2006 Oklahoma Code - Title 74. — State Government

OKLAHOMA STATUTES

TITLE 74.

STATE GOVERNMENT

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§741.  Office  Location of.

The governor shall keep his office at the seat of government, in which shall be transacted the business of the executive department of the state.

R.L.1910, § 8051.  

§742.  May remove officers appointed.

The Governor shall have power to remove any officers appointed by him, in case of incompetency, neglect of duty, or malfeasance in office; and may then fill the same as provided in cases of vacancy.

R.L.1910, § 8052.  

§742.1.  Filing of Gubernatorial appointments with Senate.

All Gubernatorial appointments to state agencies, boards and commissions which require confirmation by the Senate and which occur when the Legislature is not in session shall be filed by the Governor with the President Pro Tempore of the Senate within ten (10) days of the time said appointments are made by the Governor.

Laws 1981, c. 272, § 43, eff. July 1, 1981.  

§742.2.  Vacancies requiring legislative confirmation  Interim appointments.

A.  When a vacancy occurs in any position in state government and appointment to the position for a full term is subject to confirmation by one or both houses of the Legislature, such confirmation shall be required for the appointment to fill the vacancy for the unexpired term.

B.  A person whose nomination has been submitted to the Legislature may be appointed to hold such office on an acting or interim basis and may assume the duties of the office and receive any compensation or travel reimbursement allowed by law for the position pending confirmation by one or both houses of the Legislature.  No person whose nomination has been withdrawn by the Governor or other appointing authority after the effective date of this act or rejected by one or both houses of the Legislature after the effective date of this act shall be eligible to hold such office on an acting or interim basis.  Provided, such person shall be eligible for acting or interim appointment if requested by the appropriate house or houses of the Legislature.

Added by Laws 1988, c. 303, § 36, emerg. eff. July 1, 1988.  

§74-2.3.  "Congressional district" defined.

A.  Except where otherwise specified by law, the term "congressional district", when used with respect to the appointment of a member of a state board, commission, authority, or other statutory entity, shall mean the district as most recently configured by law.

B.  For entities which subsection A of this section renders out of compliance with specific statutory requirements, subsequent appointments shall be so made as to cause compliance to be effected at the earliest possible date.

Added by Laws 1992, c. 364, § 1, emerg. eff. June 4, 1992.

§74-2.4.  Change in number of congressional districts - Conflicts in board membership requirements.

If a change in the number of congressional districts creates a conflict between a requirement that a board, commission, authority, or other statutory entity shall have a specified number of members and a requirement that one or more members shall be appointed from each congressional district, the appointing authority shall make appointments as follows:

1.  If the conflict has been created by a decrease in the number of districts, the appointing authority shall make additional appointments as necessary to maintain a full board and may make said additional appointments without regard to the appointee's district of residence; and

2.  If the conflict has been created by an increase in the number of districts, the appointing authority shall make only such appointments as are necessary to maintain a full board, doing so in such fashion that the members are distributed among the districts to the greatest possible extent.

Added by Laws 1992, c. 364, § 13, emerg. eff. June 4, 1992.

§743.  Journal of official acts.

He shall keep a journal in the executive office in which shall be made an entry of every official act done by him and the time when done.  If, in cases of emergency, acts are done elsewhere than in such office, an entry thereof shall be made in the journal as soon thereafter as possible.

R.L.1910, § 8053.  

§744.  Military record to be kept.

The Governor shall cause a military record to be kept, in which shall be made an entry of every act done by him as commander in chief.

R.L.1910, § 8054.  

§745.  Reward for criminal's arrest.

Whenever the Governor is satisfied that any crime has been committed within the state, and that the person charged therewith has not been arrested, or has escaped therefrom, in his discretion he may offer a reward not exceeding Five Hundred Dollars ($500.00) for the arrest and delivery to the proper authorities of the person so charged, which reward shall be audited upon the certificate of the governor that the same has been earned and paid out of any appropriation available therefor.

R.L.1910, § 8055.  

§746.  May employ counsel for State.

The Governor shall have power to employ counsel to protect the rights or interests of the state in any action or proceeding, civil or criminal, which has been, or is about to be commenced, and the counsel so employed by him may, under the direction of the Governor, plead in any cause, matter, or proceeding in which the state is interested or a party, may prosecute offenses against the law of the state, and may institute and conduct proceedings before grand juries; provided, that nothing herein contained shall limit the power of courts of record to appoint an attorney to prosecute criminal actions in such courts when the district attorney is disqualified or unable to act.

R.L.1910, § 8056.  

§747.  Maintenance of Governor's mansion.

The Governor of the State of Oklahoma is hereby authorized, at the expense of the state, and within the limitations of the appropriation authorized below, to maintain in such manner as the governor deems necessary and appropriate, the mansion provided for his occupancy by the State of Oklahoma and to pay all expenses connected with said occupancy.  Such expenses shall include food, entertainment and such other expenditures as would be necessary and proper for the Governor, the family and the guests of the Governor when the duties of the Office of Governor dictate such expenditures.  The expense of the occupancy and upkeep of the Governor's Mansion shall be from funds appropriated annually by the Legislature from the General Revenue Fund for such purposes.  The funds shall be paid monthly upon a claim approved by the Governor of Oklahoma.  The Governor shall deposit such funds in a separate account and shall keep a separate record of all expenditures.  At the end of the fiscal year, the Governor shall submit an itemized report, or final accounting, of such expenditures to the State Auditor and Inspector.  Such report shall be a public record and shall be made available for inspection upon demand.

Added by Laws 1929, c. 272, p. 395, § 1, emerg. eff. June 13, 1929.  Amended by Laws 1983, c. 334, § 7, emerg. eff. June 30, 1983; Laws 1992, c. 332, § 8, eff. July 1, 1992; Laws 1999, c. 165, § 1, eff. Nov. 1, 1999.

§748.  Governor  Incapacity  Devolution of powers and duties.

A.  The Office of Governor, with its compensation, shall devolve upon the Lieutenant Governor or the person who is next in succession to the Office pursuant to the provisions of Section 15 of Article VI of the Oklahoma Constitution if the Governor transmits to the President Pro Tempore of the Senate and the Speaker of the House of Representatives his written declaration that he is unable to discharge the powers and duties of his Office.  The Lieutenant Governor or other successor shall hold the Office until the Governor transmits to the President Pro Tempore of the Senate and the Speaker of the House of Representatives a written declaration that he is able to perform the powers and duties of his Office.

B.  If a majority of a committee, comprised of the State Auditor and Inspector, State Treasurer, Superintendent of Public Instruction, Chairman of the Corporation Commission and Insurance Commissioner, transmits to the President Pro Tempore of the Senate, the Speaker of the House of Representatives and the Governor its written declaration that the Governor is unable to discharge the powers and duties of his Office, then the Office, with its compensation, shall devolve upon the Lieutenant Governor or other successor in fortyeight (48) hours unless the Governor transmits to the President Pro Tempore of the Senate, the Speaker of the House of Representatives and the members of the committee a written declaration to the contrary within the same fortyeighthour time period.

C.  If, within fortyeight (48) hours after the Governor transmits such a declaration, a majority of the committee provided in subsection B of this section transmits to the President Pro Tempore of the Senate and the Speaker of the House of Representatives a written declaration that the Governor is unable to perform the powers and duties of his Office, then the Legislature shall convene within seventytwo (72) hours.  If a resolution declaring probable justification for a determination that inability exists is not adopted by twothirds (2/3) of the members of each house of the Legislature within seventytwo (72) hours after the Legislature convenes, then the Governor shall continue to hold the Office.

If such a resolution is adopted by twothirds (2/3) of the members of each house of the Legislature within seventytwo (72) hours after the Legislature convenes, then a copy of the resolution shall be transmitted immediately to the Supreme Court.

D.  The Supreme Court shall determine the issue of the inability of the Governor, by preference and with priority over all other matters, under such rules as it shall adopt.  If the Supreme Court determines that the Governor is unable to perform the powers and duties of his Office, then the Office, with its compensation, shall devolve upon the Lieutenant Governor or other successor.  If the Supreme Court determines that the Governor is able, then he shall continue to hold the Office.

E.  If the Office has devolved upon the Lieutenant Governor or other successor pursuant to the provisions of this act, and a majority of the committee provided in subsection B of this section transmits to the President Pro Tempore of the Senate and the Speaker of the House of Representatives a written declaration that the Governor is able to perform the powers and duties of his Office, then the Supreme Court shall determine the issue pursuant to the provisions of subsection D of this section.

F.  When the Office has devolved upon the Lieutenant Governor or other successor, the provisions of this act shall also apply to the person holding the Office.

Added by Laws 1985, c. 111, § 1, emerg. eff. May 28, 1985.  

§749.2.  SECTION 749.2  Other necessary committees  Expenses.

In the event the United States of America becomes actually at war with any foreign power, or to cooperate with the National Defense Program, the Governor may, if necessity demands, appoint committees as the need may arise to deal with defense problems affecting this state and may pay the expenses of same out of any contingency fund appropriated for the use of the Governor.

Laws 1941, p. 439, § 2.  

§749.11.  Division of Planning and Management Analysis.

There is hereby created within the Office of the Governor a Division of Planning and Management Analysis.  The Division is to accomplish the following purposes:

(1)  Provide technical assistance to the Governor and Legislature in identifying long range goals and objectives for the states, to include studies pertaining to governmental organization to best accomplish these goals and objectives.

(2)  Provide assistance and coordination to state agencies in the identification of programs essential for the accomplishment of approved goals and objectives.

(3)  Provide assistance to state agencies in the preparation of organizational and operational plans to include cost benefit analysis for the most effective and efficient accomplishment of identified programs.

(4)  Provide coordination and review of plans in functional areas of state government as may be necessary for the receipt of federal funds, and to insure that the receipt of such funds will in fact compliment the attainment of approved state goals and objectives.

(5)  Participate with other states or subdivisions thereof in interstate planning, assist governmental conferences or councils and regional planning commissions in actions of mutual benefit.

Laws 1975, c. 140, § 2, emerg. eff. May 20, 1975.  

§749.21.  Office of Handicapped Concerns  Creation.

There is hereby established an agency of the executive branch of state government to be known as the Office of Handicapped Concerns.

Laws 1980, c. 135, § 1.  

§749.22.  Powers and duties.

The Office of Handicapped Concerns shall have the following powers and duties:

1.  To identify the needs of people with disabilities on a continuing basis and to attempt to meet those needs;

2.  To serve as a referral and information source for people with disabilities seeking services and for agencies seeking assistance in their provision of services;

3.  To generate community awareness and support of programs for people with disabilities;

4.  To advise and assist the Governor and the Legislature in developing policies to meet the needs of people with disabilities; and

5.  To assist agencies in meeting the requirements of Public Law 93112, and subsequent amendments thereto, as the same pertain to people with disabilities.

Added by Laws 1980, c. 135, § 2.  Amended by Laws 1996, c. 132, § 1, eff. Nov. 1, 1996.

§749.23.  Director  Appointment, duties and compensation of employees.

A.  The Office of Handicapped Concerns shall be administered by a Director who shall be appointed by the Governor and serve at the pleasure of the Governor.  Such appointment shall be subject to Senate confirmation within thirty (30) days after the appointment or the convening of the next legislative session, if the Legislature is not in session on the date of appointment.

B.  The Director shall and is hereby authorized to appoint and fix the duties and compensation of employees, not otherwise prescribed by law, and otherwise direct the work of the staff in performing the functions and accomplishing the purposes of the Office of Handicapped Concerns.

Laws 1980, c. 135, § 3.  

§749.24.  Duties of Office of Handicapped Concerns.

The Office of Handicapped Concerns shall be responsible for the following duties:

1.  To carry out the responsibilities of the Governor's Advisory Committee on Employment of People with Disabilities;

2.  To provide referral assistance, continuing needs assessment and to advise and assist private and public agencies in statewide policy development concerning people with disabilities; and

3.  To implement the provisions of Public Law 93112, and subsequent amendments thereto, as such pertain to people with disabilities.

Added by Laws 1980, c. 135, § 4, eff. July 1, 1980.  Amended by Laws 1986, c. 169, § 5, operative July 1, 1986; Laws 1996, c. 132, § 2, eff. Nov. 1, 1996.

§74-9.25.  Assistance of Governor's Advisory Committee on Employment of People with Disabilities and Governor's Advisory Committee to the Office of Handicapped Concerns.

The Office of Handicapped Concerns shall be assisted by the Governor's Advisory Committee on Employment of People with Disabilities and the Governor's Advisory Committee to the Office of Handicapped Concerns.

Added by Laws 1980, c. 135, § 5.  Amended by Laws 1996, c. 132, § 3, eff. Nov. 1, 1996.

§749.26.  Governor's Advisory Committee to the Office of Handicapped Concerns  Membership  Term.

The Governor's Advisory Committee to the Office of Handicapped Concerns shall be composed of forty (40) members who shall be appointed by the Governor.  Such members shall serve at the pleasure of the Governor.  Twenty of such members shall be people with disabilities or the parents of people with disabilities.  All members of the Committee traveling on authorized state business may be reimbursed for expenses incurred in such travel in accordance with the State Travel Reimbursement Act, Section 500.1 et seq. of this title.

Added by Laws 1980, c. 135, § 6.  Amended by Laws 1996, c. 132, § 4, eff. Nov. 1, 1996.

§749.27.  Rules and Regulations.

The Office of Handicapped Concerns is hereby authorized to make necessary rules and regulations to carry out the provisions of this act.

Laws 1980, c. 135, § 7.  

§749.27A.  Client Assistance Program.

The office is hereby authorized to conduct the Client Assistance Program for theState of Oklahoma under the terms of Section 112 of the Rehabilitation Act of 1973 as amended as long as federal funds are available.  The office is authorized to pursue legal and administrative remedies necessary to operate this program.

Added by Laws 1986, c. 169, § 4, operative July 1, 1986. Amended by Laws 1987, c. 206, § 7, operative July 1, 1987; Laws 1987, c. 236, § 1, emerg. eff. July 20, 1987.  

§74-9.28.  Transfer of powers and duties, etc. of Governor's Advisory Committee on Employment of People with Disabilities to the Office of Handicapped Concerns.

All the powers, duties, functions, records, employees, property, matters pending and funds of the Governor's Advisory Committee on Employment of People with Disabilities are hereby transferred to the Office of Handicapped Concerns.

Added by Laws 1980, c. 135, § 8.  Amended by Laws 1996, c. 132, § 5, eff. Nov. 1, 1996.

§74-9.29.  The Governor's Advisory Committee on Employment of People with Disabilities - Creation.

There is hereby created within the Office of Handicapped Concerns a division for "The Governor's Advisory Committee on Employment of People with Disabilities".

Added by Laws 1957, p. 522, § 1, emerg. eff. May 24, 1957.  Amended by Laws 1980, c. 135, § 9.  Renumbered from Title 40, § 301 by Laws 1980, c. 135, § 16.  Amended by Laws 1996, c. 132, § 6, eff. Nov. 1, 1996.

§749.30.  Purpose of act  Cooperation with other agencies.

The purpose of this act is to carry on a continuing program to promote the employment of the physically, mentally, emotionally, and otherwise people with disabilities of Oklahoma by creating statewide interest in the rehabilitation and employment of people with disabilities, and by obtaining and maintaining cooperation with all public and private groups and individuals in this field.  The Governor's Committee shall work in close cooperation with the President's Committee on Employment of People with Disabilities to more effectively carry out the purpose of this act, and with state and federal agencies having responsibilities for employment and rehabilitation of people with disabilities.

Added by Laws 1957, p. 522, § 2, emerg. eff. May 24, 1957.  Renumbered from Title 40, § 302 by Laws 1980, c. 135, § 16.  Amended by Laws 1996, c. 132, § 7, eff. Nov. 1, 1996.

§74-9.31.  Governor's Advisory Committee on Employment of People with Disabilities - Membership - Appointment - Vacancies - Travel expenses.

The Governor's Advisory Committee on Employment of People with Disabilities shall consist of not more than seventy-five (75) members composed of state leaders of industry, business, agriculture, labor, veterans, women, religious, educational, civic, fraternal, welfare, scientific, and medical and other professions, groups or individuals who shall be appointed by the Governor for a term of two (2), four (4) or six (6) years.  Vacancies on the Committee shall be filled by the Governor.  All members of the Committee traveling on authorized state business may be reimbursed for expenses incurred in such travel in accordance with the State Travel Reimbursement Act, Section 500.1 et seq. of this title.

Added by Laws 1957, p. 523, § 3, emerg. eff. May 24, 1957.  Amended by Laws 1980, c. 135, § 10.  Renumbered from Title 40, § 303 by Laws 1980, c. 135, § 16.  Amended by Laws 1996, c. 132, § 8, eff. Nov. 1, 1996.

§749.32.  Executive committee.

The Governor's Advisory Committee on Employment of People with Disabilities shall elect from its membership, a chair, vice-chair, secretarytreasurer, and eight other members to serve on the executive committee.  The officers shall be elected for a term of one (1) year, but may succeed themselves.  The administrative powers and duties of the Committee shall be vested in the executive committee.  An organizational meeting shall be held within sixty (60) days after fifty members of the Committee have been appointed and qualified.  The full Committee shall meet semiannually, but, at the request of the chair or executive committee, special meetings may be called.  The executive committee shall meet quarterly, but special meetings may be called by the chair or six members of the executive committee.

Added by Laws 1957, p. 523, § 5, emerg. eff. May 24, 1957.  Amended by Laws 1980, c. 135, § 11.  Renumbered from Title 40, § 305 by Laws 1980, c. 135, § 16.  Amended by Laws 1996, c. 132, § 9, eff. Nov. 1, 1996.

§749.33.  Revolving Fund.

There is created in the State Treasury a revolving fund for the Office of Handicapped Concerns to be designated as the "Office of Handicapped Concerns Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all nonfederal monies received by the Office of Handicapped Concerns, including receipts, from any state agency or institution, gifts, contributions, donations and bequests.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Office of Handicapped Concerns to perform duties as prescribed by law.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Amended by Laws 1988, c. 174, § 4, operative July 1, 1988.  

§749.34.  Gifts, donations, bequests or grants.

The Office of Handicapped Concerns shall accept, hold in trust, and authorize the use of any grant or devise of land, or any donations or bequests of money or other personal property made to the Office so long as the terms of the grant, donation, bequest or will are carried out.  The Office may invest and reinvest any funds and money, lease, or sell any real or personal property, and invest the proceeds for the purpose of promoting the wellbeing of people with disabilities unless prohibited by the terms of the grant, donation, bequest, gift, or will.  If, due to circumstances, the requests of the person or persons making the grant, donation, bequest, gift, or will cannot be carried out, the Office shall have the authority to use the remainder thereof for the purposes of this act.  Said funds shall be deposited to the revolving fund to carry out the provisions of this act.  Such gifts, donations, bequests, or grants shall be exempt for tax purposes.  The Office shall report annually to the Governor all monies and properties received and expended by virtue of this section.

Added by Laws 1957, p. 523, § 7, emerg. eff. May 24, 1957.  Amended by Laws 1980, c. 135, § 13.  Renumbered from Title 40, § 307 by Laws 1980, c. 135, § 16.  Amended by Laws 1996, c. 132, § 10, eff. Nov. 1, 1996.

§749.35.  Nonpartisan and nonprofit character of Committee.

The Governor's Advisory Committee on Employment of People with Disabilities shall be nonpartisan, nonprofit, and shall not be used for the dissemination of partisan principles, nor for the promotion of the candidacy of any person seeking public office or preferment.

Added by Laws 1957, p. 524, § 8, emerg. eff. May 24, 1957.  Amended by Laws 1980, c. 135, § 14.  Renumbered from Title 40, § 308 by Laws 1980, c. 135, § 16.  Amended by Laws 1996, c. 132, § 11, eff. Nov. 1, 1996.

§74-9.41.  Repealed by Laws 2000, c. 251, § 4, eff. July 1, 2000.

§7410.  Compensation when acting as Governor.

The Lieutenant Governor when serving as acting Governor during the absence of the Governor from the state shall be paid for his services as acting Governor at the same rate of pay as the Governor. Laws 1947, p. 585, § 1.  

§7410.1.  Short title.

Sections 1 through 5 of this act shall be known and may be cited as the "Executive Branch Reform Act of 1986".

Added by Laws 1986, c. 207, § 1, emerg. eff. June 6, 1986.  

§7410.2.  Purpose of act.

The purpose of the Executive Branch Reform Act of 1986 is to organize the various departments, agencies, boards, commissions and other entities of the executive branch of state government into a cabinet system of government in order to improve the effectiveness, efficiency and accountability of state government.

Added by Laws 1986, c. 207, § 2, emerg. eff. June 6, 1986.  

§74-10.3.  Cabinet system to be created.

A.  Within forty-five (45) days of assuming office, each Governor may create a cabinet system for the executive branch of state government.  The cabinet system may be an organizational framework created by executive order which includes all executive agencies, boards, commissions, or institutions and their assignments to specific cabinet areas.  The cabinet system shall consist of no more than fifteen cabinet areas and each cabinet area shall consist of executive agencies, boards, commissions, or institutions with similar programmatic or administrative objectives; provided, one cabinet area shall consist of the Oklahoma Department of Veterans Affairs, its institutions and other executive agencies, boards, commissions and institutions which are related to veterans.  The Governor's cabinet shall be in effect until the Legislature supersedes each cabinet area by providing by law for specific cabinet areas or departments, or removes by law the authority of the Governor to create a cabinet area.

B.  The Governor shall appoint, with the advice and consent of the Senate, a Secretary to head each cabinet area.  The Secretary appointee for the cabinet area consisting of the Oklahoma Department of Veterans Affairs and other related veterans entities shall be an honorably discharged veteran and be eligible to receive benefits from the United States Department of Veterans Affairs.  A cabinet Secretary may be appointed as a position funded by the Office of the Governor from funds available to that office, or appointed as a cabinet Secretary from among the agency heads within the cabinet area.  The cabinet Secretaries shall:

1.  Advise the Governor of any policy changes or problems within the area they represent;

2.  Advise the entities represented of any policy changes or problems as directed by the Governor; and

3.  Coordinate information gathering for the Legislature as requested.

C.  The cabinet Secretaries shall serve at the pleasure of the Governor, however, the appointment or removal of a cabinet Secretary who is also an agency head shall not otherwise affect the status of the other duties of the agency head.  Whenever a Secretary position becomes vacant, the Governor shall appoint a successor within thirty (30) calendar days pursuant to the provisions of subsection B of this section.  If the Legislature is not in session at the time of appointment it shall be subject to the advice and consent of the Senate upon convening of the next regular session of the Legislature.

Added by Laws 1986, c. 207, § 3, emerg. eff. June 6, 1986.  Amended by Laws 1989, c. 27, § 2, operative July 1, 1989; Laws 2003, c. 189, § 1, emerg. eff. May 7, 2003; Laws 2003, c. 371, § 1; Laws 2005, c. 65, § 1, eff. Nov. 1, 2005; Laws 2005, c. 428, § 1, emerg. eff. June 6, 2005.

NOTE:  Laws 2003, c. 371, § 4 repeals Laws 2003, c. 189, § 1, which was also amended by Laws 2003, c. 371, § 1.

§74-10.4.  Executive environmental subcommittee of Governor's cabinet.

A.  Effective January 1, 1993, there is hereby established an executive environmental subcommittee of the Governor's cabinet which shall be composed of three (3) cabinet members, selected by the Governor from those members of the Governor's cabinet responsible for the natural resources agencies, as follows:  the cabinet secretaries for the Department of Environmental Quality, the Oklahoma Corporation Commission, the Department of Agriculture, the Oklahoma Water Resources Board, the Conservation Commission, the Department of Mines, and such other members as the Governor may appoint to reach a total of three.  The cabinet secretary for the Department of Environmental Quality or its successor cabinet position shall serve as chairperson of the committee.

B.  The executive environmental committee shall:

1.  Coordinate pollution control programs of the state carried on by all state agencies to avoid duplication of effort;

2.  Maintain an up-to-date record of the availability, acquisition and disposition of all federal funds, state appropriations and other grants intended for pollution control, prevention or abatement;

3.  Coordinate and make application on behalf of various state environmental agencies and state agencies with limited environmental responsibilities for federal funds disbursed pursuant to the Federal Water Pollution Control Act and the Federal Environmental Protection Act and such other sources of private or public funds or grants for which more than one state environmental agency or state agency with limited environmental responsibilities may qualify;

4.  Maintain a central repository for all duly promulgated rules pertaining to environmental pollution prevention, control and abatement; and

5.  Perform such other duties assigned to it by the Governor.

Added by Laws 1992, c. 398, § 19, eff. Jan. 1, 1993.  Amended by Laws 1999, c. 413, § 18, eff. Nov. 1, 1999.

§74-10.5.  Salaries.

Notwithstanding other limits established by law, the following cabinet Secretaries may be annually compensated for their services, payable monthly, as follows:

1.  The Secretary of Human Resources and Administration may receive a maximum salary of Seventy Five Thousand Dollars ($75,000.00);

2.  The Secretary of Agriculture may receive a maximum salary of Seventy Thousand Dollars ($70,000.00);

3.  The Secretary of Commerce and Tourism may receive a maximum salary of Seventy Thousand Dollars ($70,000.00);

4.  The Secretary of Education may receive a maximum salary of Sixty-five Thousand Dollars ($65,000.00);

5.  The Secretary of Energy may receive a maximum salary of Seventy Thousand Dollars ($70,000.00);

6.  The Secretary of Finance and Administration may receive a maximum salary of Ninety Thousand Dollars ($90,000.00);

7.  The Secretary of Health and the Secretary of Human Services may receive a maximum salary of Eighty Thousand Dollars ($80,000.00);

8.  The Secretary of Safety and Security may receive a maximum salary of Eighty-five Thousand Dollars ($85,000.00);

9.  The Secretary of State may receive a maximum salary of Sixty-five Thousand Dollars ($65,000.00).  However, if the Secretary of State is designated as a cabinet Secretary, the salary of the Secretary of State may be increased to an amount not to exceed the highest salary provided for a cabinet Secretary pursuant to this section; and

10.  The Secretary of Veterans Affairs may receive a maximum salary of Sixty-five Thousand Dollars ($65,000.00).

Added by Laws 1997, c. 384, § 2, eff. July 1, 1997.  Amended by Laws 2000, c. 418, § 13, eff. July 1, 2000; Laws 2003, c. 371, § 2.

§74-10.6.  Renumbered as § 51.1 of this title by Laws 2004, c. 157, § 8, emerg. eff. April 26, 2004.

§7418.  Attorney General as chief law officer.

The Attorney General shall be the chief law officer of the state.

Laws 1939, p. 44, § 1.  

§7418a.  Oath of office.

Before the Attorney General enters upon the duties of his office, he shall execute the constitutional oath of office, which oath shall be filed in the office of the Secretary of State.

Laws 1939, p. 44, § 2; Laws 1973, c. 131, § 1, emerg. eff. May 10, 1973; Laws 1980, c. 159, § 32, emerg. eff. April 2, 1980.  

§74-18b.  Duties of Attorney General - Counsel of Corporation Commission as representative on appeal from Commission.

A.  The duties of the Attorney General as the chief law officer of the state shall be:

1.  To appear for the state and prosecute and defend all actions and proceedings, civil or criminal, in the Supreme Court and Court of Criminal Appeals in which the state is interested as a party;

2.  To appear for the state and prosecute and defend all actions and proceedings in any of the federal courts in which the state is interested as a party;

3.  To initiate or appear in any action in which the interests of the state or the people of the state are at issue, or to appear at the request of the Governor, the Legislature, or either branch thereof, and prosecute and defend in any court or before any commission, board or officers any cause or proceeding, civil or criminal, in which the state may be a party or interested; and when so appearing in any such cause or proceeding, the Attorney General may, if the Attorney General deems it advisable and to the best interest of the state, take and assume control of the prosecution or defense of the state's interest therein;

4.  To consult with and advise district attorneys, when requested by them, in all matters pertaining to the duties of their offices, when said district attorneys shall furnish the Attorney General with a written opinion supported by citation of authorities upon the matter submitted;

5.  To give an opinion in writing upon all questions of law submitted to the Attorney General by the Legislature or either branch thereof, or by any state officer, board, commission or department, provided, that the Attorney General shall not furnish opinions to any but district attorneys, the Legislature or either branch thereof, or any other state official, board, commission or department, and to them only upon matters in which they are officially interested;

6.  At the request of the Governor, State Auditor and Inspector, State Treasurer, or either branch of the Legislature, to prosecute any official bond or any contract in which the state is interested, upon a breach thereof, and to prosecute or defend for the state all actions, civil or criminal, relating to any matter connected with either of their Departments;

7.  Whenever requested by any state officer, board or commission, to prepare proper drafts for contracts, forms and other writing which may be wanted for the use of the state;

8.  To prepare drafts of bills and resolutions for individual members of the Legislature upon their written request stating the gist of the bill or resolution desired;

9.  To enforce the proper application of monies appropriated by the Legislature and to prosecute breaches of trust in the administration of such funds;

  10.  To institute actions to recover state monies illegally expended, to recover state property and to prevent the illegal use of any state property, upon the request of the Governor or the Legislature;

11.  To pay into the State Treasury, immediately upon its receipt, all monies received by the Attorney General belonging to the state;

12.  To keep and file copies of all opinions, contracts, forms and letters of the office, and to keep an index of all opinions, contracts and forms according to subject and section of the law construed or applied;

13.  To keep a register or docket of all actions, demands and investigations prosecuted, defended or conducted by the Attorney General in behalf of the state.  Said register or docket shall give the style of the case or investigation, where pending, court number, office number, the gist of the matter, result and the names of the assistants who handled the matter;

14.  To keep a complete office file of all cases and investigations handled by the Attorney General on behalf of the state;

15.  To report to the Legislature or either branch thereof whenever requested upon any business relating to the duties of the Attorney General's office;

16.  To institute civil actions against members of any state board or commission for failure of such members to perform their duties as prescribed by the statutes and the Constitution and to prosecute members of any state board or commission for violation of the criminal laws of this state where such violations have occurred in connection with the performance of such members' official duties;

17.  To respond to any request for an opinion of the Attorney General's office, submitted by a member of the Legislature, regardless of subject matter, by written opinion determinative of the law regarding such subject matter;

18.  To convene multicounty grand juries in such manner and for such purposes as provided by law; provided, such grand juries are composed of citizens from each of the counties on a pro rata basis by county;

19.  To investigate any report by the State Auditor and Inspector filed with the Attorney General pursuant to Section 223 of this title and prosecute all actions, civil or criminal, relating to such reports or any irregularities or derelictions in the management of public funds or property which are violations of the laws of this state;

20.  To represent and protect the collective interests of all utility consumers of this state in rate-related proceedings before the Corporation Commission or in any other state or federal judicial or administrative proceeding;

21.  To represent and protect the collective interests of insurance consumers of this state in rate-related proceedings before the Insurance Property and Casualty Rate Board or in any other state or federal judicial or administrative proceeding;  

22.  To certify local crimestoppers programs qualified to receive repayments of rewards pursuant to Section 991a of Title 22 of the Oklahoma Statutes; and

23.  To investigate and prosecute any criminal action relating to insurance fraud, if in the opinion of the Attorney General a criminal prosecution is warranted, or to refer such matters to the appropriate district attorney.

B.  Nothing in this section shall be construed as requiring the Attorney General to appear and defend or prosecute in any court any cause or proceeding for or on behalf of the Oklahoma Tax Commission, the Board of Managers of the State Insurance Fund, or the Commissioners of the Land Office.

C.  In all appeals from the Corporation Commission to the Supreme Court of Oklahoma in which the state is a party, the Attorney General shall have the right to designate counsel of the Corporation Commission as the Attorney General's legally appointed representative in such appeals, and it shall be the duty of the said Corporation Commission counsel to act when so designated and to consult and advise with the Attorney General regarding such appeals prior to taking action therein.

Added by Laws 1939, p. 44, § 3, emerg. eff. May 21, 1939.  Amended by Laws 1976, c. 130, § 1, emerg. eff. May 24, 1976; Laws 1979, c. 30, § 53, emerg. eff. April 6, 1979; Laws 1979, c. 241, § 17, operative July 1, 1979; Laws 1982, c. 26, § 1, operative Oct. 1, 1982; Laws 1987, c. 39, § 1, eff. Nov. 1, 1987; Laws 1991, c. 17, § 3, eff. Sept. 1, 1991; Laws 1992, c. 294, § 14, eff. Sept. 1, 1992; Laws 1993, c. 349, § 32, eff. Sept. 1, 1993; Laws 1995, c. 328, § 12, eff. July 1, 1995; Laws 1996, c. 295, § 1, eff. July 1, 1996; Laws 1999, c. 344, § 4, emerg. eff. June 8, 1999.

§74-18c.  Employment of attorneys, authority of boards or officials - Defense of actions by Attorney General.

A.  1.  Except as otherwise provided by this subsection, no state officer, board or commission shall have authority to employ or appoint attorneys to advise or represent said officer, board or commission in any matter.

2.  The provisions of this subsection shall not apply to the Corporation Commission, the Council on Law Enforcement Education and Training, the Consumer Credit Commission, the Board of Managers of the State Insurance Fund, the Oklahoma Tax Commission, the Commissioners of the Land Office, the Oklahoma Public Welfare Commission also known as the Commission for Human Services, the Board of Corrections, the Oklahoma Health Care Authority, the Department of Public Safety, the Oklahoma State Bureau of Narcotics and Dangerous Drugs Control, the Alcoholic Beverage Laws Enforcement Commission, the Transportation Commission, the Oklahoma Energy Resources Board, the Department of Central Services, the Oklahoma Merit Protection Commission, the Office of Personnel Management, the Oklahoma Water Resources Board, the Department of Labor, the State Department of Agriculture, the Northeast Oklahoma Public Facilities Authority, the Oklahoma Firefighters Pension and Retirement System, the Oklahoma Public Employees Retirement System, the Uniform Retirement System for Justices and Judges, the Oklahoma Conservation Commission and the Office of Juvenile Affairs.

3.  The provisions of paragraph 2 of this subsection shall not be construed to authorize the Office of Juvenile Affairs to employ any attorneys that are not specifically authorized by law.

4.  All the legal duties of such officer, board or commission shall devolve upon and are hereby vested in the Attorney General; provided that:

a. the Governor shall have authority to employ special counsel to protect the rights or interest of the state as provided in Section 6 of this title, and

b. liquidation agents of banks shall have the authority to employ local counsel, with the consent of the Bank Commissioner and the Attorney General and the approval of the district court.

B.  At the request of any state officer, board or commission, except the Corporation Commission, the Board of Managers of the CompSource Oklahoma, Oklahoma Tax Commission and the Commissioners of the Land Office, the Grand River Dam Authority, the Oklahoma State Bureau of Narcotics and Dangerous Drugs Control, the Alcoholic Beverage Laws Enforcement Commission, the Oklahoma Firefighters Pension and Retirement System, the Oklahoma Public Employees Retirement System, the Uniform Retirement System for Justices and Judges and the Interstate Oil and Gas Compact Commission, the Attorney General shall defend any action in which they may be sued in their official capacity.  At the request of any such state officer, board or commission, the Attorney General shall have authority to institute suits in the name of the State of Oklahoma on their relation, if after investigation the Attorney General is convinced there is sufficient legal merit to justify the action.

C.  Any officer, board, or commission which has the authority to employ or appoint attorneys may request that the Attorney General defend any action arising pursuant to the provisions of the Governmental Tort Claims Act.

D.  Nothing in this section shall be construed to repeal or affect the provisions of the statutes of this state pertaining to attorneys and legal advisors of the several commissions and departments of state specified in subsection B of this section, and all acts and parts of acts pertaining thereto shall be and remain in full force and effect.

Added by Laws 1939, p. 46, § 4, emerg. eff. May 21, 1939.  Amended by Laws 1947, p. 585, § 1, emerg. eff. April 23, 1947; Laws 1982, c. 35, § 2, emerg. eff. March 26, 1982; Laws 1985, c. 294, § 7, emerg. eff. July 24, 1985; Laws 1991, c. 335, § 28, emerg. eff. June 15, 1991; Laws 1994, c. 382, § 47, eff. Sept. 1, 1994; Laws 1995, c. 76, § 3, eff. July 1, 1995; Laws 1995, c. 352, § 194, eff. July 1, 1995; Laws 1996, c. 3, § 18, emerg. eff. March 6, 1996; Laws 1997, c. 296, § 1, eff. Sept. 1, 1997; Laws 1998, c. 230, § 3, eff. Nov. 1, 1998; Laws 1999, c. 1, § 30, emerg. eff. Feb. 24, 1999; Laws 2002, c. 438, § 4, eff. July 1, 2002; Laws 2005, c. 405, § 8, eff. July 1, 2005.

NOTE:  Laws 1985, c. 283, § 5 repealed by Laws 1991, c. 335, § 37, emerg. eff. June 15, 1991.  Laws 1994, c. 242, § 47 repealed by Laws 1995, c. 1, § 40, emerg. eff. March 2, 1995.  Laws 1995, c. 1, § 29 repealed by Laws 1995, c. 260, § 3, eff. July 1, 1995.  Laws 1995, c. 260, § 2 repealed by Laws 1996, c. 3, § 25, emerg. eff. March 6, 1996.  Laws 1998, c. 203, § 3 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.

§74-18c-2.  Repealed by Laws 1995, c. 180, § 2, eff. July 1, 1995.

§7418d.  District attorneys, aiding and requiring aid of.

The Attorney General shall have authority to require the aid and assistance of district attorneys in their respective counties in the matters hereinbefore enumerated and may in any case brought to the Supreme Court or Criminal Court of Appeals from their respective counties demand and receive the assistance of the district attorney from whose county such case is brought.  Any district attorney desiring the assistance of the Attorney General in any matter shall request the Governor for such assistance, and upon receiving the direction of the Governor to render such assistance, the Attorney General shall proceed immediately, compatible with the performance of his own duties to render the assistance.

Laws 1939, p. 46, § 5.  

§7418e.  Criminal actions  Quo warranto  Appearance before grand juries.

In addition to the above powers and duties, the Attorney General shall, when requested by the Governor, have power and authority to institute and prosecute criminal actions and actions in the nature of quo warranto; and shall, when requested by the Governor, compatible with the performance of his other duties, appear before and assist grand juries in their investigations.

Laws 1939, p. 47, § 6.

§74-18f.  Investigations.

The Attorney General shall have authority to conduct investigations and it shall be the duty of the Department of Public Safety of the State of Oklahoma, when so directed by the Governor of the State of Oklahoma, to furnish him with investigators from the personnel of said Department, to assist in such investigations and to assemble evidence for the Attorney General in any cases to be tried or in any matters to be investigated.  Likewise, it shall be the duty of the State Auditor and Inspector, upon request of the Attorney General, to furnish him with experienced auditors and/or accountants from the personnel of his department to make audits and check records for the Attorney General in any case to be tried or in any matter being investigated by the Attorney General.  The cost of such services shall be borne by the entity audited.

Added by Laws 1939, p. 47, § 7, emerg. eff. April 21, 1939.  Amended by Laws 1979, c. 30, § 136, emerg. eff. April 6, 1979; Laws 1997, c. 136, § 2, eff. July 1, 1997.

§7418g.  Appearance not waiver of immunity of State.

The appearance of the Attorney General in any matter, proceeding or action in any court, before any commission, board or officer, shall not be construed to waive the immunity of the State of Oklahoma from being sued.

Laws 1939, p. 49, § 13.  

§74-18m-1.  Workers' Compensation Fraud Unit.

A.  There is hereby created within the Office of the Attorney General a Workers' Compensation Fraud Unit.

B.  The Workers' Compensation Fraud Unit, upon inquiry or complaint, shall determine the extent, if any, to which any violation has occurred of any statute or administrative rule of this state pertaining to workers' compensation fraud and may initiate any necessary investigation, civil action, criminal action, referral to the Insurance Commissioner or Insurance Department, referral to the Administrator of the Workers' Compensation Court, referral to a district attorney or referral to any appropriate official of this or any other state or of the federal government.

C.  In the absence of fraud, bad faith, reckless disregard for the truth, or actual malice, no person, insurer, or agent of an insurer shall be liable for damages in a civil action or subject to criminal prosecution for communication, publication, or any other action taken to supply information about suspected workers' compensation fraud to the Workers' Compensation Fraud Unit or any other agency involved in the investigation or prosecution of suspected workers' compensation fraud.

D.  The Attorney General and the Office of the Attorney General, the Insurance Commissioner and the Insurance Department, the Administrator of the Workers' Compensation Court, every district attorney and every law enforcement agency shall cooperate and coordinate efforts for the investigation and prosecution of suspected workers' compensation fraud.

Added by Laws 1993, c. 349, § 27, eff. Sept. 1, 1993.  Amended by Laws 1994, 2nd Ex. Sess., c. 1, § 16, emerg. eff. Nov. 4, 1994.

§74-18m-2.  Workers' compensation fraud - Powers of Attorney General or designee - Records, documents, reports and evidence confidential.

A.  If the Attorney General or a designee has reason to believe as a result of inquiry or complaint that a person has engaged in or is engaging in an act or practice that violates any administrative rule or statute pertaining to workers' compensation fraud, the Attorney General or a designee shall have all of the powers of a district attorney.

B.  Records, documents, reports and evidence obtained or created by the Office of the Attorney General as a result of workers' compensation fraud shall be confidential and shall not be subject to the Oklahoma Open Records Act or to outside review or release by any individual except when authorized by the Attorney General or when required by an administrative or judicial proceeding.

Added by Laws 1993, c. 349, § 28, eff. Sept. 1, 1993.

§74-18n-1.  Insurance Fraud Unit.

A.  There is hereby created within the Office of the Attorney General an Insurance Fraud Unit.

B.  The Insurance Fraud Unit, upon inquiry or complaint or upon referral from the Insurance Department, shall determine the extent, if any, to which a violation has occurred of any statute or administrative rule of this state pertaining to insurance fraud and may initiate any necessary investigation, civil action, criminal action, referral to the Insurance Commissioner or Insurance Department, referral to a district attorney, or referral to any appropriate official of this or any other state or of the federal government.

C.  In the absence of fraud, bad faith, reckless disregard for the truth, or actual malice, no person, insurer, or agent of an insurer shall be liable for damages in a civil action or subject to criminal prosecution for supplying information about suspected insurance fraud to the Insurance Fraud Unit of the Office of the Attorney General or any other agency involved in the investigation or prosecution of suspected insurance fraud.

D.  The Attorney General and the Office of the Attorney General, the Insurance Commissioner, the Insurance Department, every district attorney, and every law enforcement agency shall cooperate and coordinate efforts for the investigation and prosecution of suspected insurance fraud.

Added by Laws 1999, c. 344, § 5, emerg. eff. June 8, 1999.

§74-18n-2.  Power of Attorney General to investigate insurance fraud - Confidentiality of records.

A.  If the Attorney General or a designee has reason to believe as a result of inquiry or complaint or as a result of referral from the Insurance Department that a person has engaged in or is engaging in an act or practice that violates any administrative rule or statute pertaining to Insurance Fraud, the Attorney General or a designee shall have all the powers of a district attorney.

B.  Nothing in this section shall be construed to waive, limit or impair any evidentiary privilege recognized by law.

C.  As used in this section, "records" include, but are not limited to, anything for which a request to produce may be served pursuant to Section 3234 of Title 12 of the Oklahoma Statutes.

D.  Records, documents, reports and evidence obtained or created by the Office of the Attorney General as a result of insurance fraud, including workers' compensation insurance fraud, shall be confidential and shall not be subject to the Oklahoma Open Records Act or to outside review or release by any individual.  An employee of the Attorney General's Office may disclose, at the discretion of the Attorney General, such investigative information to officers and agents of federal, state, county or municipal law enforcement agencies, to the Insurance Commissioner or Insurance Department, and to district attorneys, in the furtherance of criminal investigations within their respective jurisdictions.

Added by Laws 1999, c. 344, § 6, emerg. eff. June 8, 1999.

§74-18p-1.  Victims Services Unit.

A.  There is hereby created within the Office of the Attorney General a Victims Services Unit.

B.  The duty of the Unit is to provide services for persons who require domestic violence or sexual assault services through a domestic violence or sexual assault program.

C.  As used in this act, "domestic violence program" or "sexual assault program" means an agency, organization, facility or person that offers, provides or engages in the offering of any shelter, residential services or support services to:

1.  Victims or survivors of domestic abuse as defined in Section 60.1 of Title 22 of the Oklahoma Statutes, any dependent children of such victim or survivor, and any other member of the family or household of such victim or survivor;

2.  Victims or survivors of sexual assault;

3.  Persons who are homeless as a result of domestic abuse or sexual assault or both domestic abuse and sexual assault; and

4.  Persons who commit domestic abuse,

and which may provide other services, including, but not limited to, counseling, case management, referrals or other similar services to victims or survivors of domestic abuse or sexual assault.

Added by Laws 2005, c. 348, § 1, eff. July 1, 2005.

§74-18p-2.  Domestic Violence and Sexual Assault Advisory Council.

A.  There is hereby created, to continue until July 1, 2009, in accordance with provisions of the Oklahoma Sunset Law, the Domestic Violence and Sexual Assault Advisory Council.  The Council shall be a nine-member committee appointed by the Attorney General.

B.  Four of the members shall be selected from a list of eight nominees provided by the Oklahoma Coalition on Domestic Violence and Sexual Assault and five of the members shall be selected by the Attorney General from the State of Oklahoma at large; provided, that of the members selected by the Attorney General from the state at large, one member shall be a representative of any domestic violence programs funded through or by the Attorney General, and one member shall be a citizen of this state with expertise in the area of sexual assault services.

C.  The Council shall select a chair annually.  Appointment to the Council shall be for two (2) years.  The Attorney General shall appoint persons to fill unexpired terms when necessary.

D.  The duties of the Council shall be to review rules and overall policies relating to the operation and funding of domestic violence and sexual assault programs in this state and make recommendations to the Attorney General regarding its findings.

E.  The current members of the Domestic Violence and Sexual Assault Committee created pursuant to Section 3-312 of Title 43A of the Oklahoma Statutes shall remain in effect as the Domestic Violence and Sexual Assault Advisory Council and carry on the powers and duties assigned to it according to law.  The current members of the Committee shall remain on the Council until the expiration of their individual terms of office or until such offices are vacated.  Future appointments to the Council shall be made according to the provisions of this section.

Added by Laws 2005, c. 348, § 2, eff. July 1, 2005.

§74-18p-3.  Role of Attorney General - Case files - Confidentiality.

A.  The Attorney General is hereby authorized and directed to enter into agreements and to contract for the shelter and other services that are needed for victims of domestic abuse or sexual assault.  Any domestic violence or sexual assault program providing services pursuant to a contract or subcontract with the Attorney General and receiving funds from the Attorney General or any contractor with the Attorney General shall be subject to the provisions of the administrative rules of the Attorney General.

B.  1.  Except as otherwise provided by paragraph 3 of this subsection, the case records, case files, case notes, client records, or similar records of a domestic violence or sexual assault program certified by the Attorney General or of any employee or trained volunteer of a program regarding an individual who is residing or has resided in such program or who has otherwise utilized or is utilizing the services of any domestic violence or sexual assault program or counselor shall be confidential and shall not be disclosed.

2.  For purposes of this subsection, the term "client records" shall include, but not be limited to, all communications, records, and information regarding clients of domestic violence and sexual assault programs.

3.  The case records, case files, or case notes of programs specified in paragraph 1 of this subsection shall be confidential and shall not be disclosed except with the written consent of the individual, or in the case of the individual's death or disability, of the individual's personal representative or other person authorized to sue on the individual's behalf or by court order for good cause shown by the judge in camera.

C.  The district court shall not order the disclosure of the address of a domestic violence shelter, the location of any person seeking or receiving services from a domestic violence or sexual assault program, or any other information which is required to be kept confidential pursuant to subsection B of this section.

D.  The home address, personal telephone numbers and social security number of board members, staff and volunteers of certified domestic violence and sexual assault programs shall not be construed to be open records pursuant to the Oklahoma Open Records Act.

Added by Laws 2005, c. 348, § 3, eff. July 1, 2005.

§74-18p-4.  Minor mothers.

A.  As used in this section, "minor mother" means an unemancipated female under the age of eighteen (18) years of age who is pregnant or the biological parent of any child.

B.  A domestic violence shelter facility may provide shelter and care to a minor mother, who is the victim of domestic abuse or is seeking relief from domestic abuse for herself or on behalf of any of her children or both herself and any of her children.

C.  A domestic violence shelter facility may provide shelter or care only during an emergency constituting an immediate danger to the physical health or safety of the minor mother or her child or both the minor mother and any of her children.  Such shelter or care shall not extend beyond thirty (30) days unless the facility receives an order issued by the court to continue such services or the parent or guardian of the minor mother consents to such services.

D.  The provisions of Section 856 of Title 21 of the Oklahoma Statutes shall not apply to any domestic violence shelter facility and any person operating such facility who in good faith is providing shelter and care pursuant to the provisions of this section to a minor mother and any of her children who is a runaway from her parent or legal guardian.

E.  The emergency custody hearing provided for in Section 7003-2.4 of Title 10 of the Oklahoma Statutes shall be provided for a minor mother who is seeking relief from domestic abuse for herself or on behalf of any of the her children.

Added by Laws 2005, c. 348, § 4, eff. July 1, 2005.

§74-18p-5.  Statewide telephone communication service for victims.

The Office of the Attorney General shall be responsible for the development, maintenance and operation of a twenty-four-hour statewide telephone communication service for the victims of rape, forcible sodomy and domestic violence.  The purpose of the service is to provide information to such victim regarding any immediate action which should be taken by the victim, the social services available, and the legal rights and remedies of the victim.

Added by Laws 2005, c. 348, § 5, eff. July 1, 2005.

§74-18p-6.  Promulgation of rules - Certification - Exemptions - Standards for facilities and programs - Application fees.

A.  Effective July 1, 2005, all administrative rules promulgated by the Department of Mental Health and Substance Abuse Services relating to domestic violence and sexual assault programs shall be transferred to and become a part of the administrative rules of the Office of the Attorney General.  The Office of Administrative Rules in the Secretary of State's office shall provide adequate notice in the Oklahoma Register of the transfer of such rules, and shall place the transferred rules under the Administrative Code section of the Attorney General.  Such rules shall continue in force and effect as rules of the Office of the Attorney General from and after July 1, 2005, and any amendment, repeal or addition to the transferred rules shall be under the jurisdiction of the Attorney General.

B.  The Attorney General shall adopt and promulgate rules and standards for certification of domestic violence programs and for private facilities and organizations which offer domestic and sexual assault services in this state.  These facilities shall be known as "certified domestic violence shelters" or "certified domestic violence programs" or "certified sexual assault programs" or "certified treatment programs for batterers", as applicable.

C.  Applications for certification as a certified domestic violence shelter, domestic violence program, sexual assault program or treatment program for batterers, pursuant to the provisions of this section, shall be made to the Office of the Attorney General on prescribed forms.  The Attorney General may certify the shelter or program for a period of three (3) years subject to renewal as provided in the rules promulgated by the Attorney General.  Nothing in this section shall preclude the Office of the Attorney General from making inspection visits to a shelter or program to determine contract or program compliance.

D.  Licensed physicians, licensed psychologists, licensed social workers, individual members of the clergy, licensed marital and family therapists, licensed behavioral practitioners, and licensed professional counselors shall be exempt from certification requirements; provided, however, these exemptions shall only apply to individual professional persons in private practice and not to any domestic violence program or sexual assault program operated by such person.

E.  Facilities providing services for victims or survivors of domestic abuse or sexual assault and any dependent children of such victims or survivors shall comply with standards promulgated by the Attorney General; provided, that the certification requirements and standards promulgated by the Attorney General shall not apply to programs and services offered by the Department of Health, the Department of Mental Health and Substance Abuse Services, or the Department of Human Services.  The domestic violence or sexual assault programs certified pursuant to the provisions of this section shall cooperate with inspection personnel of this state and shall promptly file all reports required by the Attorney General.  Failure to comply with rules and standards of the Attorney General shall be grounds for revocation of certification, after proper notice and hearing.

F.  The Attorney General is hereby authorized to collect from each applicant the sum of One Hundred Fifty Dollars ($150.00) to help defray the costs incurred in the certification process.

Added by Laws 2005, c. 348, § 6, eff. July 1, 2005.

§74-18p-7.  Injunctions.

A.  The Attorney General or any district attorney, in such person's discretion, may bring an action for an injunction against any domestic violence program or sexual assault program found to be in violation of the provisions of Title 74 of the Oklahoma Statutes or of any order or determination of the Attorney General.

B.  In any action for an injunction brought pursuant to this section, any findings of the Attorney General or district attorney, after hearing and due notice, shall be prima facie evidence of the facts found therein.

Added by Laws 2005, c. 348, § 7, eff. July 1, 2005.

§74-18p-8.  Oversight by Attorney General - Collection and confidentiality of information records.

A.  The Office of the Attorney General shall have the authority to collect information sufficient to meet its responsibilities related to oversight, management, evaluation, performance improvement and auditing of domestic violence and sexual assault services and combating and preventing domestic violence and sexual assault in this state.

B.  The individual forms, computer and electronic data, and other forms of information collected by and furnished to the Attorney General shall be confidential and shall not be public records as defined in the Oklahoma Open Records Act.

C.  Except as otherwise provided by state and federal confidentiality laws, identifying information shall not be disclosed and shall not be used for any public purpose other than the creation and maintenance of anonymous datasets for statistical reporting and data analysis.

Added by Laws 2005, c. 348, § 8, eff. July 1, 2005.

§74-19.  Attorney General's Evidence Fund and Revolving Fund - Invoicing retirement funds for attorney's fees.

A.  1.  Out of all money received or collected by the Attorney General on behalf of the state or any department or agency thereof, and paid into the State Treasury, twenty-five percent (25%) thereof shall be deposited as follows:  three-fourths (3/4) in a special agency account fund in the State Treasury, designated the Attorney General's Evidence Fund, which fund shall be a continuing fund, not subject to fiscal year limitations, and one-fourth (1/4) in the Attorney General's Revolving Fund created by Section 20 of this title.  Provided, however, the provisions for deposits into the Attorney General's Revolving Fund shall not apply to any monies paid to the State of Oklahoma as a result of the settlement of the lawsuit filed by the State of Oklahoma against the tobacco industry.

2.  All money paid to the Attorney General for reimbursement of court costs, fees and other expenses and appropriated monies authorized to be transferred to the agency special account shall be deposited in the Attorney General's Evidence Fund.  Such fund shall be used by the Attorney General for necessary expenses relative to any pending case or other matter within the official responsibility of the Attorney General.

3.  Notwithstanding other provisions of this section, the balance on deposit in the Attorney General's Evidence Fund shall never exceed the sum of One Million Five Hundred Thousand Dollars ($1,500,000.00).  Effective July 1, 2005, the balance on deposit in the Attorney General's Evidence Fund shall never exceed the sum of One Million Eight Hundred Fifty Thousand Dollars ($1,850,000.00).

B.  All money received or credited by the Attorney General on behalf of the Teachers' Retirement System of Oklahoma, the Oklahoma Public Employees Retirement System, the Oklahoma Firefighters Pension and Retirement System, the Oklahoma Police Pension and Retirement System, the Oklahoma Law Enforcement Retirement System or the Uniform Retirement System for Justices and Judges shall be paid to the State Treasurer of the state and distributed to the appropriate fund of the respective retirement system as directed by the board of trustees of said respective retirement system.  The Attorney General shall invoice the respective retirement system and the respective retirement system shall pay for reasonable attorney's fee for actual legal services rendered by the Attorney General's office related to the money received or credited on behalf of the respective retirement system based on an hourly rate determined by the Attorney General.  The hourly rate charged by the Attorney General to a retirement system for services related to the collection of money received or credited on behalf of the respective retirement system shall be based on the labor, time and problems involved, the skill and expertise called for in the performance of the services and the standing of the specific attorney or attorneys involved.  The hourly rate charged by the Attorney General to a retirement system shall not be based on the value of the property at issue or recovered.  The Attorney General shall not separately invoice a retirement system for the work performed by an attorney employed by the Attorney General's office whose salary and other related costs are paid in part or in whole by said retirement system pursuant to an agreement entered into between the Attorney General and the retirement system for legal services.

C.  From any monies paid to the State of Oklahoma representing attorney fees, paralegal fees and other costs of litigating the lawsuit filed by the State of Oklahoma against the tobacco industry, the Attorney General shall make such deposits as are appropriate pursuant to subsection A of this section.  The balance of any such monies shall be deposited in the General Revenue Fund of the State Treasury.

Added by Laws 1965, c. 95, § 1.  Amended by Laws 1973, c. 131, § 2, emerg. eff. May 10, 1973; Laws 1976, c. 208, § 10, operative July 1, 1976; Laws 1979, c. 196, § 4, emerg. eff. May 25, 1979; Laws 1982, c. 229, § 3, emerg. eff. May 4, 1982; Laws 1992, c. 15, § 27, emerg. eff. March 25, 1992; Laws 1992, c. 316, § 51, eff. July 1, 1992; Laws 1996, c. 347, § 1, emerg. eff. June 14, 1996; Laws 1999, c. 350, § 1, emerg. eff. June 8, 1999; Laws 2000, c. 47, § 1, emerg. eff. April 14, 2000; Laws 2000, 1st Ex.Sess., c. 8, § 23, eff. July 1, 2001; Laws 2004, c. 494, § 1, eff. Sept. 1, 2004.

§74-19.1.  Attorney General's Law Enforcement Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Office of the Attorney General to be designated the "Attorney General's Law Enforcement Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies received from the sale of confiscated property, the seizure and forfeiture of confiscated monies, property, gifts, bequests, revises or contributions, public or private, including federal funds unless otherwise provided by federal law or regulation.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Attorney General for the purposes of investigation, enforcement and prosecution of cases involving criminal and forfeiture laws of this state and the United States of America or to match federal grants.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1991, c. 282, § 7, eff. July 1, 1991.

§74-19.2.  Attorney General's Workers' Compensation Fraud Unit Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Office of the Attorney General, to be designated the "Attorney General's Workers' Compensation Fraud Unit Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies designated to the fund by law.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Attorney General for the purposes of investigation, civil action, criminal action or referral to the district attorney in cases involving suspected workers' compensation fraud.

Added by Laws 1992, c. 316, § 52, eff. July 1, 1992.

§74-19.3.  Attorney General's Insurance Fraud Unit Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Office of the Attorney General, to be designated the "Attorney General's Insurance Fraud Unit Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal limitations, and shall consist of any monies designated to the fund by law.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Attorney General for the purposes of investigation, civil action, criminal action, or referral to the district attorney in cases involving suspected insurance fraud.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1999, c. 344, § 7, emerg. eff. June 8, 1999.

§7419a.  Disbursements  Audits.

Disbursements may be made from the fund provided by this act to the Attorney General upon appropriate voucher and claim for the purpose of paying fees and expenses of a confidential nature.  The Attorney General shall retain written receipts for all expenditures so made and promulgate written rules to provide strict accountability for such expenditures.  The fund provided by this act shall be fully audited by the State Auditor and Inspector at least once in each fiscal year.

Laws 1965, c. 95, § 2; Laws 1979, c. 30, § 137, emerg. eff. April 6, 1979. .

§7420. Opinions of Attorney General  Publication and distribution  Surplus publication  Attorney General's Revolving Fund.

A.  The Attorney General shall annually publish all of the written opinions which he promulgates in connection with the interpretation of the laws of the State of Oklahoma.  One copy of the bound volume shall be sent to each member of the Legislature, each state officer, the chairman of each board or commission, and the county law library in each county in the state where the same shall be available to the public and fifty copies shall be sent to the Publications Clearinghouse of the Oklahoma Department of Libraries for purposes of exchange as set out in Title 65 of the Oklahoma Statutes.  A copy of each annual volume is to be placed on file in the Secretary of State's Office and shall be available for public inspection.

B.  The Attorney General is hereby authorized to sell any surplus bound volumes and requested individual copies of opinions to help cover the cost of the publication, postal charges and other necessary expenses and proceeds of such sales shall be deposited into the fund herein established.

C.  There is hereby created in the State Treasury a revolving fund for the Attorney General, to be designated the Attorney General's Revolving Fund.  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received from the sale of copies of surplus bound volumes and requested individual copies of opinions and such other monies as are provided for by law.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Amended by Laws 1987, c. 203, § 9, operative July 1, 1987.  

§74-20a.  Repealed by Laws 1998, c. 364, § 38, emerg. eff. June 8, 1998.

§7420f.  State officer or employee  Legal defense services.

A.  In the event an action is brought against an employee, who for the purposes of this act shall be an elected or appointed state officer or employee of any state officer, institution, agency, board or commission of any branch of state government in any civil action or special proceeding in the courts of this state, or of the United States, by reason of any act done or omitted in good faith in the course of his employment, it is the duty of the Attorney General or staff attorney of such person's agency where the agency is authorized by law to be represented in court by a member of its own permanent legal staff, when requested in writing by such employee, to appear and defend the action or proceeding in his behalf.  Such written request shall be made within fifteen (15) days after service of summons on the employee and a copy of the request shall be transmitted by the employee to the head of his agency and the Attorney General.

B.  The Attorney General or a designated legal officer shall not represent a state employee if that employee did not perform a statutorily required duty and such duty is a basis of the civil action or special proceeding.

C.  The Attorney General may direct an appropriate legal officer including a staff attorney of an agency authorized by law to be represented in court by a member of its own permanent legal staff to appear and defend such action.  The Attorney General may request the assistance of a district attorney in any such action.  The Attorney General may intervene in any such action or proceeding and appear on behalf of the State of Oklahoma, or any of its officers or employees, where he deems the state to have an interest in the subject matter of the litigation.

D.  The Attorney General shall determine the method of preparation and presentation of such defense.  The Attorney General or other legal officer under his direction shall not be held civilly liable for the exercise of such discretion.

E.  The employee named in the action may employ private counsel at his own expense to assist in his defense.

F.  Any officer or employee who acts outside of the scope of his official authority shall be liable in damages in the same manner as any private citizen.

G.  When an original action seeking either a writ of mandamus or prohibition against a district judge, associate district judge, or special judge of the district court is commenced, the Attorney General shall represent such judicial officer if, and only if, directed to do so, in writing, by the Chief Justice of the Oklahoma Supreme Court, upon the Chief Justice's finding that such representation is necessary to protect either the function or integrity of the judiciary.  Such finding by the Chief Justice shall be final and binding.

In the event that the Attorney General is or shall be disqualified from representing such judicial officer, the Attorney General shall immediately notify, in writing, the Chief Justice.  The Chief Justice then may appoint counsel to represent the judicial officer.  The appointed counsel shall determine the method of preparation and presentation of such defense.  The appointed counsel shall not be held civilly liable for the exercise of such discretion.  The appointed counsel shall, upon approval by the Chief Justice, be entitled to be compensated for services rendered.

H.  A settlement involving injunctive relief which substantially impacts the operation or programs of a state agency or would impose obligations requiring the expenditure of funds in excess of unallocated unencumbered monies in the agency's appropriations or beyond the current fiscal year shall be reviewed prior to its finalization by the President Pro Tempore of the Senate or his designee, the Speaker of the House or his designee, and the Governor or his designee.  The purpose of the review is to determine the budgetary, programmatic and operational impact of the proposed settlement.  The President Pro Tempore of the Senate, Speaker of the House and Governor shall be given a reasonable time in which to make recommendations regarding the proposed settlement given due consideration to the time requirements of the case.  Such recommendations must be considered by the state agency, such agency's counsel of record and the Attorney General in determining whether to finalize the settlement agreement.

Laws 1976, c. 208, § 1, operative July 1, 1976; Laws 1984, c. 278, § 3, operative July 1, 1984; Laws 1992, c. 71, § 1, eff. Sept. 1, 1992; Laws 1992, c. 288, § 2, eff. July 1, 1992.

§7420g.  Defense duties  Evidence

A.  Before any such defense is undertaken, an inquiry shall be made by the Attorney General of the facts on which the action or special proceedings are based.  Unless the Attorney General determines that the employee was acting in good faith and in the course of his employment, representation shall not be provided pursuant to this act.

B.  It shall be the duty of any state law enforcement agency to provide investigators at the request of the Attorney General to assist him in carrying out the provisions of this act.

C.  No findings or reports of the Attorney General or persons making inquiry under his direction pursuant to the provisions of this section shall be admissible as evidence in any such action or special proceeding and no reference thereto shall be made in any such trial or hearing.

Laws 1976, c. 208, Section 2.

Laws 1976, c. 208, § 2, operative July 1, 1976.  

§7420h.  Cost of litigation

A.  The cost of litigation in any case for which representation is provided pursuant to this act shall be paid out of the Attorney General's Evidence Fund.

B.  Cost of litigation shall include, but is not limited to, court costs, deposition expenses, travel and lodging, witness fees and other similar costs; except that this act shall not be construed as authorizing the payment by the State of Oklahoma or any agency thereof of any judgment making an award of monetary damages.

Laws 1976, c. 208, Section 3.

Laws 1976, c. 208, § 3, operative July 1, 1976.  

§74-20i.  Contracting for legal representation by private attorneys - Approval by Attorney General - Report.

A.  An agency or official of the executive branch may obtain legal representation by one or more attorneys by means of one of the following:

1.  Employing an attorney as such if otherwise authorized by law;

2.  Contracting with the Office of the Attorney General; or

3.  If the Attorney General is unable to represent the agency, or official due to a conflict of interest, or the Office of the Attorney General is unable or lacks the personnel or expertise to provide the specific representation required by such agency or official, contracting with a private attorney or attorneys pursuant to this section.

B.  When entering into a contract for legal representation by one or more private attorneys, an agency or official of the executive branch shall select an attorney or attorneys from a list of attorneys maintained by the Attorney General.  An agency may contract for legal representation with one or more attorneys who are not on the list only when there is no attorney on the list capable of providing the specific representation and only with the approval of the Attorney General.  The list shall include any attorney who desires to furnish services to an agency or official of the executive branch and who has filed a schedule of fees for services with and on a form approved by the Attorney General.  An agency or official may agree to deviate from the schedule of fees only with the approval of the Attorney General.

C.  Before entering into a contract for legal representation by one or more private attorneys, an agency or official of the executive branch shall furnish a copy of the proposed contract to the Attorney General and, if not fully described in the contract, notify the Attorney General of the following:

1.  The nature and scope of the representation including, but not limited to, a description of any pending or anticipated litigation or of the transaction requiring representation;

2.  The reason or reasons for not obtaining the representation from an attorney employed by the agency or official, if an attorney is employed by the agency or official;

3.  The reason or reasons for not obtaining the representation from the Attorney General by contract;

4.  The anticipated cost of the representation including the following:

a. the basis for or method of calculation of the fee including, when applicable, the hourly rate for each attorney, paralegal, legal assistant, or other person who will perform services under the contract, and

b. the basis for and method of calculation of any expenses which will be reimbursed by the agency or official under the contract; and

5.  An estimate of the anticipated duration of the contract.

D.  Before entering into a contract for legal representation by one or more private attorneys where the agency has reason to believe that the case, transaction or matter will equal or exceed Twenty Thousand Dollars ($20,000.00) or after employment when it becomes apparent that the case, transaction or matter will equal or exceeds Twenty Thousand Dollars ($20,000.00), an agency or official of the executive branch shall obtain the approval of the Attorney General when the total cost, including fees and expenses, of all contracts relating to the same case, transaction, or matter will equal or exceed Twenty Thousand Dollars ($20,000.00).  Any amendment, modification, or extension of a contract which, had it been a part of the original contract would have required approval by the Attorney General, shall also require approval by the Attorney General.

E.  When an agency or official of the executive branch enters into a contract for professional legal services pursuant to this section, the agency shall also comply with the applicable provisions of Section 85.41 of Title 74 of the Oklahoma Statutes.

F.  The provisions of this section shall not apply to the Oklahoma Indigent Defense System created pursuant to Section 1355 et seq. of Title 22 of the Oklahoma Statutes.

G.  The Attorney General shall, on or before February 1 of each year, make a written report on legal representation obtained pursuant to paragraphs 2 and 3 of subsection A of this section.  The report shall include a brief description of each contract, the circumstances necessitating each contract, and the amount paid or to be paid under each contract.  The report shall be filed with the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the Chair of the Appropriations and Budget Committee of the House of Representatives, and the Chair of the Appropriations Committee of the Senate.

Added by Laws 1995, c. 180, § 1, eff. July 1, 1995.

§74-21b.  Assistant Attorneys General - Other employees - Appointments - Duties and compensation.

The following positions are hereby created in the Office of the Attorney General in lieu of all positions previously existing in said office:  One First Assistant Attorney General, and such other Assistant Attorneys General, investigators, and other employees as the Attorney General shall deem necessary for the proper performance of his or her duties.

The Attorney General shall appoint and fix the duties and compensation of all Assistant Attorneys General, investigators, and other employees necessary to perform the duties imposed upon the Attorney General by law, payable from appropriations made for such purposes.

CLEET-certified investigators of the Office of the Attorney General shall have and exercise all the powers and authority of peace officers pursuant to rules promulgated by the Attorney General.

Added by Laws 1971, c. 16, § 1, emerg. eff. March 12, 1971.  Amended by Laws 1973, c. 131, § 3, emerg. eff. May 10, 1973; Laws 1982, c. 90, § 3, emerg. eff. April 1, 1982; Laws 1982, c. 229, § 4, eff. Jan. 10, 1983; Laws 1987, c. 203, § 10, operative July 1, 1987; Laws 1989, c. 348, § 25, eff. Nov. 1, 1989; Laws 1990, c. 264, § 128, operative July 1, 1990; Laws 2000, c. 366, § 1, emerg. eff. June 6, 2000.

§7428.  First Assistant Attorney General.

The Attorney General shall appoint a First Assistant Attorney General, to assist him in his executive and other duties, which Assistant shall have had not less than five (5) years' experience in the active practice of law.  Such Assistant shall take the constitutional oath of office and file it in the Office of the Secretary of State.  In the absence or disability of the Attorney General, such Assistant may perform the duties of the Attorney General.

Laws 1939, p. 47, § 8; Laws 1973, c. 131, § 4, emerg. eff. May 10, 1973; Laws 1980, c. 159, § 33, emerg. eff. April 2, 1980.  

§7428c.  Appointment of assistants and employees  Term.

The Attorney General is hereby authorized to appoint the Assistants and employees created in this act, in addition to those now authorized by law, and they shall hold their offices and positions at the pleasure and discretion of the Attorney General.

Laws 1939, p. 49, § 11.  

§7428d.  Certain offices not affected by this act.

Nothing contained in this act shall be construed as abolishing or affecting any attorneyship where the salary thereof is paid from funds not provided by the State of Oklahoma; and provided further, that nothing contained in this act shall be construed as abolishing or affecting the Office of Proration Attorney, Pardon and Parole Attorney, Counsel, whether one or more for the Grand River Dam Authority, and any legal assistance for the Assistant Representative of the State of Oklahoma on the Interstate Oil and Gas Compact Commission.

Laws 1939, p. 49, § 12.  

§7429.  Designation as Natural Gas Curtailment and Regulation Hearings Counsel.

The Office of the Attorney General is hereby authorized and directed to act as the Oklahoma Natural Gas Curtailment and Regulation Hearings Counsel in proceedings before federal regulatory agencies and state and federal courts.

Laws 1979, c. 196, § 5, emerg. eff. May 25, 1979.  

§74-30.  Short title.

Sections 1 through 4 of this act shall be known and may be cited as the "Oklahoma Drug and Alcohol Abuse Policy Board Act".

Added by Laws 1991, c. 121, § 1, emerg. eff. April 29, 1991.

§74-30a.  Legislative findings.

The Legislature finds that drug and alcohol abuse is one of the most critical problems facing law enforcement, education, and the social service agencies in the State of Oklahoma and that the problem continues to escalate, threatening the quality of life in our state, destroying the integrity of the family, disrupting the lives of children and adults, increasing crime, and creating a drain on the resources available to combat those many problems through the various state and local agencies in our state.  In order to expand and enhance the ability of the state to combat the serious drug and alcohol problems, the Legislature finds that a centralized, well-coordinated statewide effort is necessary to curb both the supply of drugs and the demand for drugs and alcohol among Oklahomans, especially our youth, and that a statewide plan should be coordinated by the Attorney General of Oklahoma and developed by the various state and local law enforcement, education, and social service agencies in order to direct the efforts and activities of all entities that are involved in efforts against drug and alcohol abuse.

Added by Laws 1991, c. 121, § 2, emerg. eff. April 29, 1991.

§74-30b.  Oklahoma Drug and Alcohol Abuse Policy Board - Members - Chairperson - Election of officers - Meetings.

A.  There is hereby created the Oklahoma Drug and Alcohol Abuse Policy Board.

B.  A chairperson shall be chosen annually by the members of the Oklahoma Drug and Alcohol Abuse Policy Board to serve a term beginning July 1.  The chairperson may establish committees, subcommittees, or other working groups in order to accomplish the goals of the Board.

C.  The Board shall be composed of the following members:

1.  The Governor or designee;

2.  The Attorney General or designee;

3.  The Director of the Oklahoma State Bureau of Narcotics and Dangerous Drugs Control or designee;

4.  The Director of the Oklahoma State Bureau of Investigation or designee;

5.  The Commissioner of Public Safety or designee;

6.  The Commissioner of the Department of Mental Health and Substance Abuse Services or designee;

7.  The Commissioner of Health or designee;

8.  The Adjutant General of the Military Department or designee;

9.  The Superintendent of Public Instruction or designee;

10.  The Director of the Department of Corrections or designee;

11.  The Director of the Department of Human Services or designee;

12.  The Director of the Alcoholic Beverage Laws Enforcement Commission or designee;

13.  The Executive Director of the District Attorneys' Council or designee;

14.  The Executive Director of the Oklahoma Commission on Children and Youth or designee;

15.  The Executive Director of the Office of Juvenile Affairs or designee; and

16.  Two appointees of the Governor, who shall be private citizens appointed to serve for one-year terms.

D.  Any other state or local agency or individual may become a nonvoting member of the Board upon approval of a two-thirds (2/3) majority of the voting members set forth in subsection C of this section.

E.  Other officers, excluding the chairperson, may be elected at the discretion of the voting Board members.

F.  The Board shall hold meetings at least quarterly and at such other times as the chairperson deems necessary.

Added by Laws 1991, c. 121, § 3, emerg. eff. April 29, 1991.  Amended by Laws 1996, c. 247, § 45, eff. July 1, 1996; Laws 1997, c. 227, § 2, emerg. eff. May 20, 1997.

§74-30c.  Duties.

The Oklahoma Drug and Alcohol Abuse Policy Board shall:

1.  Encourage the establishment of a mechanism for the exchange of information and ideas to assist in the marshalling, coordinating and directing of the various missions and efforts related to fighting drug and alcohol abuse of the agencies set forth in subsection C of Section 3 of this act;

2.  Encourage other institutions, both public and private, to participate in creating uniform drug policies for the state;

3.  Create a structure and organization to facilitate the coordination of this state's war against drug and alcohol abuse by establishing strategies on prevention, treatment and rehabilitation, thereby avoiding duplication of effort and preserving state resources;

4.  Establish a central focus and policy in coordinating and directing public and private efforts toward solving all alcohol and drug-related problems;

5.  Develop and refine a comprehensive statewide plan which addresses all areas of the war against drugs including:  law enforcement, prosecution, prevention, treatment and rehabilitation efforts, maximizing the utilization of the state's resources; and

6.  Issue reports of findings and recommendations to the Governor, President Pro Tempore of the Senate and Speaker of the House of Representatives on or before February 1 of each year.

Added by Laws 1991, c. 121, § 4, emerg. eff. April 29, 1991.

§74-30d.  Termination of Board.

The Oklahoma Drug and Alcohol Abuse Policy Board shall cease to exist after July 1, 2000.

Added by Laws 1991, c. 121, § 5, emerg. eff. April 29, 1991.  Amended by Laws 1994, c. 336, § 1, emerg. eff. June 8, 1994; Laws 1997, c. 227, § 3, emerg. eff. May 20, 1997.

§74-34.  Replacement warrant or bond - Affidavit - Records.

The State Treasurer is hereby authorized and empowered to issue a replacement warrant or bond in lieu of any warrant or bond that has been lost or destroyed; provided, that no replacement warrant or bond shall be issued until an affidavit setting forth the facts as to the loss or destruction of said original warrant or bond has been filed with the State Treasurer.  The Director of State Finance and the State Treasurer shall make such records in their respective offices as will, as nearly as possible, preclude any loss being sustained by the state on account of the issue of any replacement warrant or bond.

Such entries shall include a stop payment order against the original warrant which will, as nearly as possible, cancel said original warrant.  The Director of State Finance shall transfer to the Canceled Warrant Fund the payable amount of lost or destroyed warrants on which payment has been stopped pursuant to the provisions of this section from the fund and account against which said warrant had been drawn.  Warrants issued to replace lost or destroyed warrants pursuant to the provisions of this section shall be drawn against the Canceled Warrant Fund.

R.L. 1910, § 8067.  Amended by Laws 1915, c. 63, § 1; Laws 1979, c. 47, § 93, emerg. eff. April 9, 1979; Laws 1982, c. 39, § 3, emerg. eff. March 26, 1982; Laws 1996, c. 219, § 5, eff. July 1, 1996.

§74-51.  Short title.

Sections 1 through 4 of this act shall be known as may be cited as the "Oklahoma Homeland Security Act".

Added by Laws 2004, c. 157, § 1, emerg. eff. April 26, 2004.

§74-51.1.  Oklahoma Office of Homeland Security.

A.  There is hereby created the Oklahoma Office of Homeland Security.  The Governor shall be the chief officer of the Office and shall appoint a Homeland Security Director who shall be responsible to the Governor for the operation and administration of the Office.  The Governor shall determine the salary for the Director.

B.  The Oklahoma Homeland Security Director shall possess or obtain a federally recognized Top Secret Level Clearance.

1.  Any employee of state government appointed to the position of Oklahoma Homeland Security Director shall have a right to return to the previously held classified position of the employee without any loss of rights, privileges, or benefits immediately upon completion of the duties as Oklahoma Homeland Security Director, provided the employee is not otherwise disqualified.

2.  Any person appointed to the position of Oklahoma Homeland Security Director, if already a member of a state retirement system, shall be eligible to continue participation in that system.  If not a member of a state retirement system, the Director shall be eligible to participate in the Oklahoma Public Employees Retirement System.  The Oklahoma Homeland Security Director shall be eligible for participation in only one retirement system and shall elect in writing the system in which the Director intends to participate.

3.  The Commissioner of the Department of Public Safety may commission the Director of Homeland Security as a peace officer if  at the time of appointment the Director is certified as a law enforcement officer by the Council on Law Enforcement Education and Training (CLEET) or as a state trooper if at the time of appointment the Director is a CLEET-certified officer of the Oklahoma Highway Patrol.

C.  The Oklahoma Office of Homeland Security shall consist of at least three divisions:

1.  Prevention and Intelligence;

2.  Response and Recovery Planning; and

3.  Awareness and Preparedness.

D.  The Director shall be authorized to employ personnel necessary to achieve the mission of the Office.  Other federal, state, and local personnel may be assigned to the Office of Homeland Security pursuant to an interagency agreement.  The Governor shall designate at which appropriate state agency the Oklahoma Office of Homeland Security shall be located.  That agency shall provide housing, administrative staff and other support to the Oklahoma Office of Homeland Security.  All positions and personnel of the Office of Homeland Security shall be exempt from the full-time-employee limit of the state agency where the Office of Homeland Security is located.

E.  The Oklahoma Homeland Security Director shall have the duty and responsibility to develop and coordinate the implementation and administration of a comprehensive statewide strategy to secure the State of Oklahoma from the results of acts of terrorism, from a public health emergency, from cyberterrorism, and from weapons of mass destruction as that term is defined in 18 U.S.C., Section 2332a, and to perform other duties assigned by the Governor.  These duties shall include but not be limited to:

1.  Representing the State of Oklahoma with federal agencies as the state homeland security director for purposes of accessing federal funds and cooperating with federal agencies in the development and implementation of a nationwide homeland security plan of response; and

2.  Coordinating the Homeland Security efforts within the State of Oklahoma, including working with the Governor and Legislature, state agencies, and local elected officials and local governments, emergency responder groups, private-sector businesses, educational institutions, volunteer organizations, and the general public.  State agencies receiving federal funding for homeland security purposes shall report the amount and intended use of those funds to the Oklahoma Homeland Security Director to ensure efficient use of funds and to avoid duplication of efforts.

F.  Included in the comprehensive statewide strategy and consistent with the National Strategy for Homeland Security, as promulgated by the Office of the President of the United States, or its successor plan or plans, the Oklahoma Homeland Security Director shall establish the following strategic objectives for Oklahoma:

1.  To prevent terrorist attacks;

2.  To reduce vulnerability to terrorism;

3.  To minimize the damage from and to recover from terrorist attacks; and

4.  Such other duties as the Governor may prescribe.

G.  The Oklahoma Office of Homeland Security shall have the following duties:

1.  Establish a plan for the effective implementation of a statewide emergency All-Hazards response system, including the duties and responsibilities of regional emergency response teams;

2.  Create, implement, and administer an advisory system;

3.  Coordinate and prepare applications for federal funds related to homeland security and accessing and distributing the federal funds; and

4.  Cooperate with federal agencies in the development and implementation of a nationwide homeland security plan or response.

H.  The Oklahoma Office of Homeland Security and any local government may enter into contracts with each other for equipment and personnel, or both.  The contract may include any provisions agreed upon by the parties and as required by any federal or state grant, if applicable.

I.  All state agencies and political subdivisions of this state and all officers and employees of those agencies and political subdivisions are hereby directed to cooperate with and lend assistance to the Oklahoma Homeland Security Director.

Added by Laws 2002, S.J.R. No. 42, § 1, emerg. eff. Feb. 21, 2002.  Amended by Laws 2004, c. 157, § 2, emerg. eff. April 26, 2004.  Renumbered from § 10.6 of this title by Laws 2004, c. 157, § 8, emerg. eff. April 26, 2004.

§74-51.2.  Oklahoma Homeland Security Revolving Fund.

A.  There is hereby created in the State Treasury a revolving fund for the Oklahoma Office of Homeland Security to be designated the "Oklahoma Homeland Security Revolving Fund".  The Oklahoma Homeland Security Revolving Fund shall be a continuing fund, not subject to fiscal year limitations and shall consist of monies received by the Oklahoma Office of Homeland Security or the Department of Public Safety from:

1.  Reimbursements from responsible parties for reasonable actions taken and costs incurred by a regional team in response to an incident or event involving a dangerous substance;

2.  Reimbursements, grants, or other monies received from other state agencies and entities of state government;

3.  Reimbursements, grants, or other monies received by the Oklahoma Office of Homeland Security or the Department of Public Safety from the United States government or pursuant to proceedings in district court to enforce claims initiated pursuant to the Oklahoma Homeland Security Act or the Oklahoma Emergency Response Act;

4.  Gifts, donations, and bequests;

5.  Monies appropriated or apportioned by the state; and

6.  Receipts from other ancillary services related to incidents or events related to dangerous substances, not otherwise provided by law.

B.  All monies accruing to the credit of the Oklahoma Homeland Security Revolving Fund are hereby appropriated and may be budgeted and expended by the Oklahoma Office of Homeland Security for:

1.  Operating expenses;

2.  Administrative duties; and

3.  Education and reimbursement for expenses of regional teams, including maintenance of equipment.

C.  Expenditures from the Oklahoma Homeland Security Revolving Fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 2004, c. 157, § 3, emerg. eff. April 26, 2004.

§74-51.3.  Regional advisory councils.

A.  There are hereby created regional planning and coordination advisory councils for homeland security.  The Oklahoma Homeland Security Director shall designate the geographical boundaries for each regional advisory council within the state.

B.  Each regional advisory council shall be composed of the following members:

1.  A chief of a paid fire department;

2.  A chief of a volunteer fire department;

3.  A county sheriff;

4.  A chief of a police department;

5.  A physician or hospital administrator;

6.  An emergency management coordinator;

7.  An emergency medical services provider;

8.  A veterinarian;

9.  A representative of a state or local disaster relief agency;

10.  A city manager or mayor;

11.  A county commissioner;

12.  A public health representative; and

13.  A Council of Government representative.

The members of the regional advisory councils shall be appointed by the Oklahoma Homeland Security Director.  The Director shall appoint from a list of nominees provided to the Director from statewide associations or entities that represent the disciplines to be represented on the advisory councils.  All members can be removed for cause by the Director.

C.  Each member of a regional advisory council shall reside in or have employment duties within the region to be served by the regional advisory council.  Regional advisory council members shall have staggered terms of office not exceeding three (3) years and may be reappointed upon the expiration of a term.

D.  Each regional advisory council shall meet at least twice a year or more frequently at the discretion of the Director.  The Director or designee from the Oklahoma Office of Homeland Security shall attend the meetings of the regional advisory councils.  A majority of the members of the regional advisory council shall constitute a quorum.  The Office of Homeland Security shall establish policies and procedures regarding the operation of the regional advisory councils.

E.  The duties and responsibilities of each regional advisory council shall be:

1.  Assessing and documenting the needs of the region related to homeland security;

2.  Coordinating and cooperating with the Oklahoma Office of Homeland Security to achieve the strategic objectives prescribed in this act; and

3.  Other duties and responsibilities as determined by the Oklahoma Homeland Security Director.

Added by Laws 2004, c. 157, § 4, emerg. eff. April 26, 2004.  Amended by Laws 2005, c. 397, § 1, eff. July 1, 2005.

§7461.1.  Director of Public Affairs.

The Governor shall appoint a Director of Public Affairs, by and with the advice and consent of the Senate, who shall hold office at the pleasure of the Governor and shall continue to serve until his successor is duly appointed and is qualified. The salary of the Director of Public Affairs shall be set by the Legislature.

Added by Laws 1983, c. 304, § 178, eff. July 1, 1983. Amended by Laws 1985, c. 294, § 12, emerg. eff. July 24, 1985.  

§74-61.2.  Department of Central Services.

There is hereby created in the Executive Department, a Department of Central Services, under the administrative control of the Director of Central Services.  Whenever the terms "Board of Affairs", "State Board of Public Affairs", "Board" when used in reference to the Board Of Public Affairs or "Office of Public Affairs", appear in the Oklahoma Statutes they shall mean the Department of Central Services.  Whenever the term "Director of Public Affairs" appears in the Oklahoma Statutes it shall mean the Director of Central Services.

Added by Laws 1983, c. 304, § 179, eff. July 1, 1983.  Amended by Laws 1992, c. 37, § 2, emerg. eff. April 3, 1992.

§7461.3.  Experts and assistants.

The Director of Public Affairs, with the approval of the Governor, shall employ and make the appointment of such experts and assistants as may be necessary in the performance of his duties as required by law.  No appointments to positions shall be made in excess of the positions authorized by act of the Legislature for the Office of Public Affairs.

Added by Laws 1983, c. 304, § 180, eff. July 1, 1983.  

§7461.4.  Legal counsel.

The Director of Central Services shall employ an attorney and one assistant attorney to serve as legal counsel for the Department of Central Services.  The attorney and one assistant attorney shall be authorized to appear for and represent the Department of Central Services in all litigation that may arise from the discharge of its duties, except as otherwise provided in this section, and shall advise it upon all legal matters pertaining to the Department of Central Services.  The salary for the attorney and the assistant attorney shall be fixed by the Director.  Any litigation concerning the Comprehensive Professional Risk Management Program of the Department of Central Services shall be handled by the Attorney General of the State of Oklahoma; provided, the Director of Central Services may employ private attorneys to handle any litigation which involves entities covered by the Comprehensive Professional Risk Management Program which are not state agencies.  The attorney, the assistant attorney and, in addition, the Attorney General, are further authorized to appear for and represent officers and employees of the Department of Central Services in any civil suits brought against such officers and employees in their individual capacities upon alleged causes of action which arose from acts or omissions of such officers and employees within the scope of their official duties.

Added by Laws 1985, c. 294, § 8, emerg. eff. July 24, 1985.  Amended by Laws 1994, c. 329, § 1, eff. July 1, 1994; Laws 1996, c. 316, § 6, eff. July 1, 1996.

§7461.5.  Certain positions subject to Merit System  Compliance with personnel laws and rules and regulations.

A.  Effective July 1, 1988, the following positions of the Office of Public Affairs shall become subject to the provisions of the Merit System of Personnel Administration:

1.  Accounting Division:

a. Accountant I;

2.  Administration Division:

a. Administrative Officer (for rental services), and

b. Typist Clerk III;

3.  Central Purchasing Division:

a. Typist Clerk III;

4.  Data Processing Division:

a. Data Processing Programmer/Analyst;

5.  Building Management Division:

a. Custodial Worker (2),

b. Typist Clerk III,

c. Carpenter I,

d. Secretary, and

e. Clerk I;

6.  Construction and Properties Division:

a. Typist Clerk III, and

b. Construction Technician (2); and

7.  Risk Management Division:

a. Executive Secretary II, and

b. Administrative Assistant II.

B.  All incumbent employees subject to this section shall be classified without regard to qualifications or examinations.  Such employees shall be granted status in the class of positions into which the employee's individual position has been allocated by the Merit System.

C.  All personnel transactions subsequent to June 30, 1988, shall be governed by and in compliance with the Oklahoma Personnel Act, Section 840.1 et seq. of Title 74 of the Oklahoma Statutes, and the Merit System of Personnel Administration rules and regulations or any other applicable laws.

D.  No pecuniary liability shall be imposed on account of any state law against any officer or employee of the Office of Public Affairs based on any personnel appointment affected by this section occurring prior to June 30, 1988.

Added by Laws 1988, c. 305, § 24, operative July 1, 1988.  

§74-61.6.  Repealed by Laws 2004, c. 340, § 15.

§74-62.1.  Short title.

Sections 1 through 6 of this act shall be known and may be cited as the "Oklahoma Surplus Property Act".

Added by Laws 1995, c. 342, § 1, emerg. eff. June 9, 1995.

§74-62.2.  Definitions.

For purposes of the Oklahoma Surplus Property Act:

1.  "Authorized entity" means a political subdivision, school, a multipurpose senior citizen center, as such term is defined in the federal Older Americans Act of 1965, group or organization eligible to acquire surplus property from a surplus property program;

2.  "Surplus property" means items, commodities, materials, supplies or equipment a state agency owns and determines to be excess, obsolete, antiquated, unused or not needed;

3.  "State agency" means any state board, bureau, commission, department, authority, public trust, interstate commission, the Judiciary, the Legislature, and the Office of the Governor;

4.  "Department" means the Department of Central Services;

5.  "Director" means the Director of the Department of Central Services;

6.  "Surplus property program" means programs the Director establishes for the purchase, sale and disposal of surplus property;

7.  "Sale" means methods the Director uses to dispose of surplus property; and

8.  "Minimal value" or "no value" means surplus property that has less value than the costs the Department may incur to sell, trade or dispose of the surplus property.

Added by Laws 1995, c. 342, § 2, emerg. eff. June 9, 1995.  Amended by Laws 1998, c. 203, § 4, emerg. eff. May 11, 1998; Laws 2000, c. 218, § 1, eff. Nov. 1, 2000; Laws 2003, c. 389, § 1, eff. July 1, 2003.

§74-62.3.  Duties of Director - Agency compliance - Availability of surplus property to political subdivisions, school districts, and nonprofit entities - Donation of property to law enforcement agency.

A.  The Director of the Department of Central Services shall promulgate rules for use by state agencies and the Department of Central Services to dispose of surplus property.  The rules shall include standards for recordkeeping, methods for removal or disposal of surplus property, and acquisition by state agencies and authorized entities of surplus property, and for Department management of surplus property programs.

B.  A state agency selling, trading, redistributing or otherwise disposing of surplus property shall comply with the rules promulgated by the Director.

C.  The Department shall make surplus property available to state agencies and authorized entities, which shall include political subdivisions, school districts, and nonprofit entities of this state.

D.  The provisions of this act shall not apply to institutions of higher education in this state, or the Northeast Oklahoma Public Facilities Authority.  The Grand River Dam Authority shall be exempt from the provisions of this act for any surplus property disposed of prior to November 1, 2006.

E.  Notwithstanding the provisions of this act, the Oklahoma State Bureau of Investigation may, pursuant to rules promulgated by the Oklahoma State Bureau of Investigation Commission for that purpose, donate any surplus property, as defined in Section 62.2 of this title, to any law enforcement agency of any political subdivision of the State of Oklahoma.  The use of such donated equipment shall be limited to valid and authorized law enforcement efforts by the receiving agency.

Added by Laws 1995, c. 342, § 3, emerg. eff. June 9, 1995.  Amended by Laws 2000, c. 218, § 2, eff. Nov. 1, 2000; Laws 2004, c. 276, § 1, eff. Nov. 1, 2004; Laws 2005, c. 234, § 1, emerg. eff. May 26, 2005.

§74-62.4.  Sale of surplus property - Disposition of proceeds - Discard or transfer - Disposal for a state agency.

A.  Pursuant to rules promulgated by the Director of Central Services, proceeds from the sale of the surplus property shall be credited to a special cash fund created by Section 62.5 of this title.

B.  Any surplus property determined by a state agency to have minimal or no value may be discarded or transferred to the Department pursuant to rules the Director promulgates.

C.  If the Department disposes of a vehicle or equipment pursuant to the Oklahoma Surplus Property Act for a state agency, the Department shall remit the proceeds from the sale, less a reasonable fee imposed by the Department for handling and disposition, to the state agency.

D.  The Director may expend proceeds accruing to the Department within the special cash fund created by Section 62.5 of this title to defray operating expenses for the State Surplus Property program and expenses the Department incurs to support program operations.

Added by Laws 1959, p. 353, § 9, eff. July 1, 1959.  Amended by Laws 1963, c. 267, § 1, emerg. eff. June 13, 1963; Laws 1995, c. 342, § 4, emerg. eff. June 9, 1995.  Renumbered from § 85.9 of this title by Laws 1995, c. 342, § 9, emerg. eff. June 9, 1995.  Amended by Laws 2000, c. 218, § 3, eff. Nov. 1, 2000; Laws 2003, c. 372, § 2, eff. July 1, 2003.

§74-62.5.  Special cash fund - Creation.

A.  There is hereby created a special cash fund in the State Treasury for each state agency which requests that the Director sell, trade, or redistribute to other state agencies any surplus property.

B.  All proceeds received from such transaction, and the proceeds of any insurance claim arising from the loss by fire, theft or casualty of insured material, supplies, or equipment shall be deposited in such special cash fund of such state agency and may be expended for the purchase or replacement of materials, supplies, or equipment of such state agency and for the payment of the cost of conducting any such transaction.

C.  Whenever an unencumbered balance exists in said fund after June 30, the close of each fiscal year, such balance shall lapse and be transferred to the General Revenue Fund of the current fiscal year.

Added by Laws 1963, c. 267, § 2, emerg. eff. June 13, 1963.  Amended by Laws 1978, c. 159, § 1, emerg. eff. April 7, 1978; Laws 1995, c. 342, § 5, emerg. eff. June 9, 1995.  Renumbered from § 85.9A of this title by Laws 1995, c. 342, § 9, emerg. eff. June 9, 1995.

§74-62.6.  List of surplus property - Authorization to sell, trade or redistribute.

A.  1.  Each chief administrative officer of a state agency, except as otherwise provided by subsection B of this section, shall maintain a current list of all surplus property held and disposed of by that state agency.

2.  Except as otherwise provided in paragraph 3 of this subsection, such list shall include the location where surplus property is maintained, purchase price, when sold and selling price, if transferred to which state agency or authorized entity, and if otherwise disposed of, what manner of disposal.

3.  If any surplus property having minimal or no value is transferred to the Department of Central Services, any such list shall reflect that the surplus property had minimal or no value and was transferred to the Department for disposal.

B.  The Department is authorized to sell, trade or redistribute any surplus property having minimal or no value separately or in bulk or may properly dispose of such property as provided by law.  Any costs incurred by the Department in the sale, trade, distribution or disposal of any surplus property having minimal or no value in excess of any monies received for such surplus property may be chargeable against the state agency transferring the surplus property to the Department.

C.  The lists shall be available upon request to the Department, the State Auditor and Inspector, the Governor or any member of the Legislature.

Added by Laws 1995, c. 342, § 6, emerg. eff. June 9, 1995.  Amended by Laws 2000, c. 218, § 4, eff. Nov. 1, 2000.

§74-62.7.  Surplus property of Department of Transportation - Notice of availability - Offer for sale to public entities.

A.  When the Department of Transportation determines that any equipment or vehicle becomes excess, obsolete, antiquated, unused or otherwise surplus, the Department shall notify the Department of Central Services in writing that such equipment or vehicle is surplus.  The notice shall identify:

1.  The type, brand or make, and country of manufacture of the equipment or vehicle;

2.  The age of the equipment or vehicle including, but not limited to, mileage;

3.  Whether the equipment or vehicle is in good working condition or not;

4.  If the equipment or vehicle is not in good working condition, whether it is in repairable condition at reasonable cost;

5.  Original cost of the equipment or vehicle; and

6.  Present value of the equipment or vehicle, if known.

B.  The Department of Central Services, with any other notice of surplus property, shall notify the eligible individuals or entities as provided in subsection C of this section of the availability of the surplus property of the Department of Transportation.

C.  Prior to any advertised public auction or advertised sealed bids to all individuals and entities eligible for participation in the surplus program, the Department, thirty (30) days prior to the advertised auction date, shall offer, at fair market value, the equipment or vehicles to the individuals or entities, in the following order of priority:

1.  Other state agencies;

2.  Political subdivisions of the state;

3.  Rural fire departments located in this state;

4.  Rural water districts located in this state; and

5.  Multipurpose senior citizen centers located in this state.

D.  Any equipment or vehicles purchased pursuant to this section shall be made available to the purchaser on the date of purchase.

Added by Laws 1992, c. 29, § 1, eff. Sept. 1, 1992.  Renumbered from Title 74, § 85.9C by Laws 1999, c. 289, § 16, eff. July 1, 1999.  Amended by Laws 2003, c. 389, § 2, eff. July 1, 2003.

§74-62.8.  Purchase of fire protection equipment or vehicles.

As funds become available to the Oklahoma State Department of Agriculture, the Oklahoma State Department of Agriculture shall be authorized to purchase equipment or vehicles for the purpose of offering the equipment or vehicles to rural fire departments located in this state at no cost to the departments for use in improving local fire capabilities.  Rural fire departments accepting equipment or vehicles from the State Department of Agriculture shall agree to use the equipment and vehicles primarily for fire protection purposes and keep the equipment or vehicles for a minimum of twenty-four (24) months.  In consideration of the economic benefit to be provided to the State of Oklahoma, its citizens and their property, by the continued use of the fire protection equipment or vehicles, the State Department of Agriculture shall transfer title to the equipment or vehicles to rural fire departments at the end of the twenty-four-month period.  The State Department of Agriculture shall promulgate rules for the dispersion of the equipment or vehicles.

Added by Laws 1997, c. 296, § 2, eff. Sept. 1, 1997.  Renumbered from § 85.9F of this title by Laws 1999, c. 289, § 17, eff. July 1, 1999.  Amended by Laws 2001, c. 169, § 6, emerg. eff. May 2, 2001.

§74-62.9.  Clandestine drug laboratory detection, removal, and disposal - Use of federal funds or grants for training and equipment.

Unless otherwise prohibited, as funds become available from appropriations approved by the United States Congress or grants awarded by federal agencies to the Oklahoma State Bureau of Investigation, or from the OSBI Revolving Fund, the A.F.I.S. Fund, or the Forensic Science Improvement Revolving Fund, the Oklahoma State Bureau of Investigation shall be authorized to use the funds to purchase equipment and provide training to law enforcement agencies located in this state at no cost to the agencies.  The costs of training may include tuition, equipment, supplies, and costs involved in attending training, and travel costs paid in accordance with the State Travel Reimbursement Act.  In consideration of the economic benefit provided to the State of Oklahoma, its citizens, their health, and their property, by the continued use of the equipment and training for use in law enforcement efforts, the Oklahoma State Bureau of Investigation may transfer title to any such equipment to a law enforcement agency for official law enforcement uses only.

Added by Laws 2001, c. 31, § 2, eff. Nov. 1, 2001.  Amended by Laws 2004, c. 276, § 2, eff. Nov. 1, 2004; Laws 2005, c. 428, § 2, emerg. eff. June 6, 2005.

§7463.  General powers and authority of Department of Central Services.

A.  The Department of Central Services shall have power to promulgate rules not inconsistent with the laws of this state.

B.  The Department of Central Services shall have charge of the construction, repair, maintenance, insurance, and operation of all buildings owned, used, or occupied by or on behalf of the state including buildings owned by the Oklahoma Capitol Improvement Authority where such services are carried out by contract with the Authority.  Whenever feasible, the Department of Central Services may utilize the Construction Division of the Department of Corrections for the construction and repair of buildings for the Department of Corrections.

C.  The Director of the Department of Central Services shall have authority to purchase all material and perform all other duties necessary in the construction, repair, and maintenance of all buildings under its management or control, shall make all necessary contracts by or on behalf of the state for any buildings or rooms rented for the use of the state or any of the officers thereof, and shall have charge of the arrangement and allotment of space in such buildings among the different state officers.

D.  The Department of Central Services shall not have any authority or responsibility for buildings, rooms or space under the management or control of the University Hospitals Authority.

E.  The Department of Central Services shall have the custody and control of all state property, and all other property managed or used by the state, except military stores and such property under the control of the State Banking Department and the two houses of the State Legislature, shall procure all necessary insurance thereon against loss and shall allot the use of the property to the several offices of the state, and prescribe where the property shall be kept for public use.

F.  The Department of Central Services shall keep an accurate account of all property purchased for the state or any of the departments or officers thereof, except that purchased for and by the two houses of the State Legislature.  The two houses shall have the exclusive use, care, and custody of their respective chambers, committee rooms, furniture, and property, and shall keep their respective records of said furniture and property.

G.  The Department of Central Services shall not have any authority or responsibility for property purchased for or under the management or control of the University Hospitals Authority except as expressly provided by law.

R.L. 1910, § 8082.  Amended by Laws 1935, p. 24, § 1, emerg. eff. May 10, 1935; Laws 1983, c. 304, § 94, eff. July 1, 1983; Laws 1993, c. 330, § 27, eff. July 1, 1993; Laws 1996, c. 166, § 3, eff. July 1, 1996.

§7463.1.  Building and Facility Revolving Fund.

There is hereby created in the State Treasury, a revolving fund for the Department of Central Services to be designated the "Building and Facility Revolving Fund".  The fund shall be a continuing fund not subject to fiscal year limitations and shall consist of all operation and maintenance charges paid to the Department by occupying agencies of the buildings operated and maintained by the Department.  Monies accruing to the fund may be expended by the Department of Central Services for operation and maintenance of the facilities and expenses the Department incurs to support building and facilities operations.  Expenditures from the fund shall be made on warrants issued by the State Treasurer against claims filed with the Director of State Finance for approval and payment.

Added by Laws 1976, c. 230, § 9, emerg. eff. June 15, 1976.  Amended by Laws 1979, c. 47, § 94, emerg. eff. April 9, 1979; Laws 1983, c. 304, § 95, eff. July 1, 1983; Laws 1984, c. 279, § 11, operative July 1, 1984; Laws 2003, c. 372, § 3, eff. July 1, 2003.

§7463.1a.  Petty cash fund.

There is hereby created a petty cash fund for the Office of Public Affairs.  Said fund shall be used as an imprest cash fund for the Building Management Division.

The amount of the Building Management petty cash fund shall not exceed Two Hundred Fifty Dollars ($250.00) and the initial amount shall be drawn by warrant from the Building and Facility Fund. The Director of State Finance is authorized to prescribe forms, systems and procedures for the administration of the Building Management petty cash fund.

Added by Laws 1988, c. 305, § 20, operative July 1, 1988.  

§7463.2.  Asbestos Abatement Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Office ofPublic Affairs, to be designated the "Asbestos Abatement Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies paid to the Office of Public Affairs for reimbursement of expenses for abatement of asbestos hazards.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Office of Public Affairs to perform the duties of the Asbestos Abatement Division of the Office of Public Affairs. Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1985, c. 312, § 48, emerg. eff. July 25, 1985. Amended by Laws 1987, c. 5, § 43, emerg. eff. March 11, 1987; Laws 1989, c. 300, § 17, operative July 1, 1989.  

§74-63.3.  Records and information on underground storage tank systems - Reports by certain agencies, districts, and institutions - Priority list for removal or repair - Approval of removal - Report to Legislature.

A.  The Office of Public Affairs shall establish and maintain adequate records and information on all underground storage tank systems owned and operated by the state or any agency of the state, including but not limited to school districts or any agency thereof and institutions of higher learning.

B.  Upon the effective date of this act, every state agency and school district and institution of higher education owning or operating an underground storage tank system shall furnish and deliver to the Office of Public Affairs a report of the underground tanks owned and operated by the agency, district or institution detailing location of the tank, the age, condition of any such tank and installation methods, if known.

C.  Prior to the report, each agency, district or institution shall:

1.  Make a visual assessment of the tanks owned and operated by them to determine whether evidence of leakage from the tank has occurred;

2.  An examination of fuel records during the past year to determine if input equals output; and

3.  Determine based upon visible assessment and upon information the condition of the tank, expected life of the tank, present and future need for the tank.

D.  Based on the information received from the agencies, districts and institutions, the Office of Public Affairs shall establish and maintain a priority list on state owned and operated underground storage tank systems with the tanks needing removal or repair due to leakage given the greatest priority.

E.  Upon establishment of the priority list, as funds become available for such purposes, the Office of Public Affairs shall provide for the upgrade, repair or removal of tanks owned and operated by said state agencies, districts or institutions so as to meet the federal protection standards for underground storage tank systems by 1999.  When possible an internal assessment of the tanks shall be made and as a preference over removal except in cases of economics or extent of deterioration of the tank, or future need of the tank, and when needed the tank shall be upgraded pursuant to the most current edition of the National Leak Prevention Association Standard No. 631.

F.  Except in an emergency situation no tank shall be removed without the approval of the Office of Public Affairs after determination that removal would be more cost effective than repairing or upgrading the tank.

G.  By January 15 of each year, the Office of Public Affairs shall make a written report to the Speaker of the House of Representatives and the President Pro Tempore of the Senate listing:

1.  The number of tanks owned and operated by state agencies, districts and institutions; and

2.  How many tanks were removed and replaced or removed, or upgraded and an estimated cost of bringing the tanks into compliance with federal law requirements by 1999.

Added by Laws 1991, c. 331, § 63, eff. Sept. 1, 1991.

§7466.  Restrictions  Interest in other business or in state contracts.

The Director of Public Affairs is prohibited from engaging in any other business for compensation for personal services during the time of service as Director.  No contract shall be entered into by said Director with any firm or corporation in which said Director shall have any interest or shall be a stockholder, nor with any relative of said Director either by blood or marriage within the third degree.

Amended by Laws 1983, c. 304, § 96, eff. July 1, 1983.  

§7471.  Taking of rebates by officer of Department of Central Services a felony.

The taking or receiving by any officer of said Department of Central Services of any rebate, percentage of contract, money, or any other thing of value from any person, firm, or corporation offering, bidding for, or in the open market and seeking to make sales to said Department, shall be a felony.  Any officer of said Department convicted under this section shall be punished by a fine not to exceed Five Thousand Dollars ($5,000.00) and by imprisonment in the State Penitentiary not less than five (5) years nor more than ten (10) years.  Such fine shall be in addition to other punishment provided by law and shall not be imposed in lieu of other punishment.

R.L. 1910, § 8090.  Amended by Laws 1983, c. 304, § 97, eff. July 1, 1983; Laws 1997, c. 133, § 584, eff. July 1, 1999; Laws 1999, 1st Ex.Sess., c. 5, § 424, eff. July 1, 1999.

NOTE:  Laws 1998, 1st Ex.Sess., c. 2, § 23 amended the effective date of Laws 1997, c. 133, § 584 from July 1, 1998, to July 1, 1999.

§7472.  Monuments and markers.

The Director of Public Affairs and the Warden of the State Reformatory are authorized and directed to furnish to the said Oklahoma Historical Society and associated organizations such monuments and markers of granite as may be desired and ordered or requisitioned for the purposes pursuant to the provisions of this section at prices not exceeding the cost of production and delivery, which includes:  Quarrying, squaring, facing, lettering prescribed inscriptions, crating, and delivering to the railway or other carrier.

Amended by Laws 1983, c. 304, § 98, eff. July 1, 1983.  

§74-74.1.  Regional service offices - Assistance to state agencies - Priority of buildings used - Transportation of records and documents.

The State Office of Public Affairs shall assist any state agency authorized to establish and maintain regional service offices in obtaining adequate and suitable quarters, office space or facilities for any such regional service offices.  Priority for obtaining adequate quarters, office space or facilities shall be given in the following order:  Stateowned buildings, county or municipalowned buildings, public trust or building authorityowned buildings or private vendorowned buildings.  The Office of Public Affairs shall also facilitate the transfer or transporting of any necessary records and documents between any agency's regional service offices.

Added by Laws 1990, c. 289, § 3.

§7475.  Capitol Cafeteria Revolving Fund  Establishment  Use.

The Office of Public Affairs is hereby authorized to establish a revolving fund to be designated as the "Capitol Cafeteria Revolving Fund".  The said fund may be used for the operation of cafeterias and other food service in state buildings in the State Capitol area and for acquisition of new equipment and furnishings and for maintenance, repair, and replacement of existing equipment and furnishings used in connection with the operation of such Capitol Cafeterias or food service.  Said revolving fund shall consist of all revenues accruing through the operation of said cafeterias or food service or paid as rental to the Office of Public Affairs by any operatorlessee of such Capitol Cafeterias or food service facilities.  Expenditures from said revolving fund shall be made pursuant to general laws for the purposes set forth in this section.  Warrants for said expenditures shall be drawn by the State Treasurer, based on claims signed by the Director of Public Affairs or his designee and approved for payment by the Director of State Finance.

Amended by Laws 1983, c. 304, § 99, eff. July 1, 1983.  

§7475a.  Capitol cafeteria petty cash fund.

A.  All cash on hand or available in the Capitol cafeterias on the effective date of this act shall be deposited to the Capitol Cafeteria Revolving Fund.

B.  There is hereby created a petty cash fund for the Office of Public Affairs.  Said fund shall be used as a cash drawer change fund for the Capitol cafeterias.

C.  The amount of the Capitol cafeteria's petty cash fund shall not exceed Two Thousand Dollars ($2,000.00) and the initial amount shall be drawn by warrant from the Capitol Cafeteria Revolving Fund. Any adjustment to the amount retained in the Capitol cafeteria's petty cash fund shall be by withdrawal and deposit to the Capitol Cafeteria Revolving Fund.  Purchases from the Capitol cafeteria's petty cash fund are prohibited.  The Director of State Finance is authorized to prescribe forms, systems and procedures for the administration of the Capitol cafeteria's petty cash fund.

Added by Laws 1984, c. 279, § 9, operative July 1, 1984.  

§7476.  Mailing service  Interagency communications and deposit of state mail.

The Office of Public Affairs is authorized to initiate and operate a mailing service for the agencies and departments of the state located in Oklahoma City.  The Director of Public Affairs shall promulgate and adopt such reasonable rules and regulations as may be necessary for the efficient and economical operation of a clearinghouse for interagency communications and for the deposit of the state's mail with the United States Post Office.  The Office shall have the authority to employ such personnel and to purchase and acquire such equipment, materials, and supplies as may be necessary to carry out the provisions of Sections 76 through 76b of this title.  Every agency and department of the state located in Oklahoma City shall be required to participate in the mailing service, except the Department of Human Services, the Oklahoma Commission for Human Services, the Oklahoma Tax Commission, the University of Oklahoma Medical Center, the Oklahoma Employment Security Commission, the Oklahoma Legislature, the Oklahoma Medical Center, and the Oklahoma State Department of Health located in the Oklahoma Health Sciences Center.

Amended by Laws 1983, c. 304, § 100, eff. July 1, 1983; Laws 1988, c. 326, § 38, emerg. eff. July 13, 1988.  

§7476a.  Appropriations for mailing service  Statement of operations.

Appropriations made to the Office of Public Affairs for the mailing service shall be used for the acquisition, purchase, lease, repair, and replacement of equipment needed in the operation of the mailing service, and may be used for the payment of salaries, and in the purchase of necessary postage, materials and supplies, and in the payments of the administrative expenses of the Office of Public Affairs in connection with the operation of the mailing service.  At the end of each month the Office shall furnish a statement, on such reasonable basis of pieces of mail and communications handled, as shall be established by the Office, to all state agencies and departments to which the mailing service has been furnished.  All amounts collected shall be deposited pursuant to Sections 76 through 76b of this title to the credit of the General Revenue Fund of the State Treasury.  Any proceeds from the sale or disposition of any equipment or property used by the Office in the operation of the mailing service shall be deposited to the credit of the State Treasury.

Amended by Laws 1983, c. 304, § 101, eff. July 1, 1983.  

§7476b.  Financial statement of mailing service.

The Director of Public Affairs shall furnish to the Governor and the Legislature at the close of each fiscal year a statement showing the financial condition of the mailing service, and such other information regarding the mailing service as may be necessary for a proper understanding thereof.

Amended by Laws 1983, c. 304, § 102, eff. July 1, 1983.  

§7476c.  Postal Services Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Department of Central Services, to be designated the "Postal Services Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Department of Central Services for providing postal services.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended to provide postal and interagency mail services and expenses the Department of Central Services incurs to support postal services operations.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1988, c. 305, § 21, operative July 1, 1988.  Amended by Laws 2003, c. 372, § 4, eff. July 1, 2003.

§7477c.  East Central Oklahoma Health Social Services Center  Property and machinery exchange authorized.

The Director of Public Affairs is hereby authorized to negotiate with the board of county commissioners, Pontotoc County, Oklahoma, to exchange surplus Department of Transportation buildings and properties presently owned by the Office of Public Affairs for property and machinery owned by the Pontotoc County Commissioners, for the purpose of servicing the East Central Oklahoma Health Social Services Center at Ada.

Amended by Laws 1983, c. 304, § 103, eff. July 1, 1983.  

§7477d.  Oklahoma War Veterans Commission  Assignment of building.

The Office of Public Affairs is hereby authorized and directed to assign the building located at 2311 North Central, Oklahoma City, Oklahoma, formerly occupied by the Materials and Testing Laboratory of the Department of Transportation, to the Oklahoma War Veterans Commission.  Said Commission shall assign any space not used as office space for its staff and employees to national and statechartered veterans organizations or their auxiliaries.

Amended by Laws 1983, c. 304, § 104, eff. July 1, 1983.  

§7478.  Fleet Management Division - Fleet Manager - Duties.

A.  There is hereby created and established within the Department of Central Services, the Fleet Management Division.  The Division shall provide oversight of and advice to state agencies that own, operate and utilize motor vehicles.

B.  The Director of Central Services shall:

1.  Appoint and fix duties and compensation for a Fleet Manager who shall serve as the administrative head of the division;

2.  Hire personnel as necessary to provide fleet management services to state agencies;

3.  Acquire facilities to maintain vehicles;

4.  Promulgate rules for efficient and economical operations to provide fleet management services to state agencies; and

5.  Report to the Governor, Speaker of the House of Representatives, and President Pro Tempore of the Senate those agencies that fail to comply with the provisions of law and the rules of the Fleet Management Division regarding submission of reports, vehicle use, and vehicle maintenance.

C.  The rules shall include provisions to:

1.  Establish uniform written vehicle acquisition and disposal standards for use by all state agencies to justify actual need for vehicles;

2.  Establish standards for routine vehicle inspection and maintenance;

3.  Provide standards and forms for recordkeeping of fleet operation, maintenance, and repair costs for mandatory use by all state agencies to report the data to the Fleet Management Division on a monthly basis;

4.  Provide standards and utilize methods for disposal of vehicles pursuant to the Oklahoma Surplus Property Act and any other applicable state laws; and

5.  Address any other matter or practice which relates to the responsibilities of the Director of Central Services.

D.  The Fleet Manager shall:

1.  Develop specifications for contracts for vehicle maintenance for state vehicles not serviced or maintained by state agencies;

2.  Conduct onsite inspections to verify state agency or supplier compliance with Division standards for inspections, maintenance and recordkeeping;

3.  Assess state agency needs for vehicles and types of vehicles;

4.  Assign, transfer or lease vehicles to a state agency to meet the needs of the state agency;

5.  Unless otherwise provided by law, determine whether a state agency may use or operate a vehicle without state identifying markings, bearing a license plate used by a privately owned vehicle to perform the duties of the state agency without hindrance;

6.  Report to the Director of Central Services occurrences of agencies failing to comply with the provisions of law and the rules of the Fleet Management Division regarding submission of reports, vehicle use, and vehicle maintenance; and

7.  Provide, upon the request of the Governor, the President Pro Tempore of the Senate or the Speaker of the House of Representatives, reports from data the Fleet Manager collects.

Added by Laws 1985, c. 43, § 1, operative July 1, 1985.  Amended by Laws 2001, c. 169, § 7, eff. Nov. 1, 2001; Laws 2004, c. 511, § 1, eff. Nov. 1, 2004.

§7478a.  Requisition of motor vehicles.

A.  State agencies with authority to own motor vehicles shall submit a requisition to the Director of Central Services prior to acquisition of a motor vehicle.  The requisition shall state the type of vehicle, the intended purpose of the vehicle, a statement that the agency has actual need for the vehicle, the supplier of the vehicle, that the state agency has sufficient funds to acquire and maintain the vehicle and cite the statutory authority of the state agency to acquire a vehicle.

B.  The Director of Central Services shall review the requisition and approve or deny the request of the state agency within fifteen (15) days of receipt by the Director of Central Services.  The Director of State Finance shall not approve a purchase order or claim for a motor vehicle unless the acquisition of the motor vehicle was approved by the Director of Central Services.

C.  The provisions of subsections A and B of this section shall not apply to the Department of Public Safety.

Added by Laws 1986, c. 301, § 29, operative July 1, 1986.  Amended by Laws 1988, c. 305, § 26, operative July 1, 1988; Laws 2001, c. 169, § 8, eff. Nov. 1, 2001.

§7478b.  State agencies  Notice of disposal of vehicles - When disposal permitted.

A.  A state agency shall notify the Fleet Management Division of the Department of Central Services not less than thirty (30) days prior to any vehicle disposal by the state agency.

B.  A state agency shall not dispose of a passenger car, truck, pickup, or other vehicle the state agency owns until it has been in use for sixty thousand (60,000) miles or at least twentyfour (24) months have elapsed since the day the claim was approved for the payment thereof, unless the vehicle has damage and repairs that will exceed Two Thousand Five Hundred Dollars ($2,500.00), or the Director of the Fleet Management Division of the Department of Central Services provides written authorization for disposal.

Added by Laws 1985, c. 43, § 3, operative July 1, 1985.  Amended by Laws 2001, c. 169, § 3, eff. Nov. 1, 2001.  Renumbered from § 156.4 of Title 47 by Laws 2001, c. 169, § 10, eff. Nov. 1, 2001.

§7478c.  State Fleet Management Fund.

A.  There is hereby created a special fund to be designated the "State Fleet Management Fund".  The fund may be appropriated for and used for the acquisition, leasing, operation, storage, maintenance, repair and replacement of motor vehicles under the control of the Fleet Management Division, the payment of insurance premiums, and the payment of the administrative expenses of the Division in connection with the operation of the motor pool and expenses the Department of Central Services incurs to support Division operations.

B.  At the end of each month the Division shall render a statement, on such reasonable basis of mileage or rental as shall be established by the Division, to all state agencies to which transportation has been furnished, and all amounts collected shall be deposited to the credit of the "State Fleet Management Fund".

C.  Proceeds from the disposition of motor vehicles or other property owned by the Division shall be deposited to the credit of the fund.

D.  The Fleet Management Division is authorized to maintain a petty cash fund in such amount not exceeding Two Thousand Dollars ($2,000.00) to make immediate cash payments as are required or necessary in the opinion of the Fleet Management Director.  Any such cash disbursement shall be made only by the persons so designated by the Fleet Management Director, and only in the payment of claims authorized by law.  Such proofs and receipts shall be presented by the person making a claim as is required by the Fleet Management Director.

Added by Laws 1968, c. 89, § 9, emerg. eff. April 1, 1968.  Amended by Laws 2001, c. 169, § 4, eff. Nov. 1, 2001.  Renumbered from § 159.9 of Title 47 by Laws 2001, c. 169, § 10, eff. Nov. 1, 2001.  Amended by Laws 2003, c. 372, § 5, eff. July 1, 2003.

§7478d.  Reports to Governor.

The Fleet Management Division shall furnish to the Governor at the close of each fiscal year a statement showing the financial condition of the Division, an inventory of all motor vehicles under its control, and such other information regarding the state motor vehicle transportation system as is necessary for a proper understanding of the operation of such system and of the financial condition of the motor pool operations.

Added by Laws 1968, c. 89, § 10, emerg. eff. April 1, 1968.  Amended by Laws 2001, c. 169, § 5, eff. Nov. 1, 2001.  Renumbered from § 159.10 of Title 47 by Laws 2001, c. 169, § 10, eff. Nov. 1, 2001.

§74-79.  Renumbered as § 85.45k of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-80.1.  Fleet Management Division - Exchange of information.

A.  Prior to October 1, 2005, each state agency that uses state vehicles shall submit to the Fleet Management Division, upon forms developed by the Division, a report that contains the following information:

1.  The number of vehicles purchased or leased by the state agency with the VIN, mileage, and make, model, and year of each vehicle;

2.  The maintenance plans and records for the vehicles;

3.  The amount of use of each vehicle;

4.  The state agency policy for use of vehicles by employees for travel to and from the residences of the employees;

5.  The type of markings on the vehicles and justifications for any exemptions from requirement that vehicles have markings;

6.  Fuel purchasing practices;

7.  Rotation of vehicles based on mileage; and

8.  Justification for any exemptions the state agency may have in the law relating to the purchase or lease of vehicles.

B.  Prior to December 1, 2005, the Fleet Management Division shall submit a report to the Task Force to Study the Fleet Management Division of the Department of Central Services that contains the following information:

1.  A summarization of the data collected pursuant to subsection A of this section;

2.  Recommendations for legislation that would be beneficial to the Division in implementing the Fleet Management Reform Act; and

3.  The status of a web-based statewide fleet management information system.

Added by Laws 2005, c. 393, § 2, emerg. eff. June 6, 2005.

§74-85.1.  Citation.

Sections 85.1 through 85.45k of this title shall be known and may be cited as "The Oklahoma Central Purchasing Act".

Added by Laws 1959, c. 350, § 1, eff. July 1, 1959.  Amended by Laws 1998, c. 371, § 1, eff. Nov. 1, 1998.

§74-85.2.  Definitions.

As used in the Oklahoma Central Purchasing Act, unless the context otherwise requires:

1.  "Acquisition" means items, products, materials, supplies, services, and equipment a state agency acquires by purchase, lease-purchase, lease with option to purchase, or rental pursuant to the Oklahoma Central Purchasing Act unless the items, products, supplies, services, or equipment are exempt pursuant to the Oklahoma Central Purchasing Act;

2.  "Best value criteria" means bid or proposal evaluation criteria which include, but are not limited to, the following:

a. the acquisition's operational cost a state agency would incur,

b. the quality of the acquisition, or its technical competency,

c. the reliability of the bidder's delivery and implementation schedules,

d. the acquisition's facilitation of data transfer and systems integration,

e. the acquisition's warranties and guarantees and the bidder's return policy,

f. the bidder's financial stability,

g. the acquisition's adherence to the state agency's planning documents and announced strategic program direction,

h. the bidder's industry and program experience and record of successful past performance with acquisitions of similar scope and complexity,

i. the anticipated acceptance by user groups, and

j. the acquisition's use of proven development methodology, and innovative use of current technologies that lead to quality results;

3.  "Bid" or "proposal" means an offer a bidder submits in response to an invitation to bid or request for proposal;

4.  "Bidder" means an individual or business entity that submits a bid or proposal in response to an invitation to bid or a request for proposal;

5.  "Business entity" means individuals, partnerships, business trusts, cooperatives, associates, corporations or any other firm, group or concern which functions as a separate entity for business purposes;

6.  "Change order" means a unilateral written order directing a supplier to make a change;

7.  "Chief administrative officer" means an individual responsible for directing the administration of a state agency.  The term does not mean one or all of the individuals that make policy for a state agency;

8.  "Component" means any item supplied as part of an end item or of another component;

9.  "Consolidation contract" means a contract for several state agencies for the purpose of purchasing computer software maintenance or hardware maintenance;

10.  "Contract" means a mutually binding legal relationship obligating the seller to furnish an acquisition and the buyer to pay for it.  It includes all types of commitments that obligate a state agency to an expenditure of funds or action that, unless otherwise authorized, is in writing.  In addition to bilateral instruments, contracts include, but are not limited to:

a. awards and notices of awards,

b. orders issued under basic ordering agreements,

c. letter contracts,

d. orders under which the contract becomes effective by written acceptance or performance, and

e. bilateral contract modifications;

11.  "Contract modification" means any written change in the terms of the contract;

12.  "Contracting" means purchasing, renting, leasing, or otherwise obtaining acquisitions from private sources.  Contracting includes description, but not determination, of acquisitions required, selection and solicitation of sources, preparation and award of contracts, and contract administration;

13.  "Electronic commerce" means the use of electronic methods to enable solicitation, supplier response, notice of contract award, state agency acquisition processes, or any other function to make an acquisition;

14.  "Enterprise agreement" means an agreement for computer hardware, software, and service that a supplier manufactures, develops, and designs, and that one or more state agencies use;

15.  "Equipment" means personal property a state agency acquires for its use which is an item or product and shall include all personal property used or consumed by a state agency that is not included within the category of materials and supplies;

16.  "High technology system" means advanced technological equipment, software, communication lines, and services for the processing, storing, and retrieval of information by a state agency;

17.  "Item" or "product" means some quantity or kind of such supplies, materials or equipment;

18.  "Local governmental entity" means any unit of local government including, but not limited to, any school district, county, or municipality of this state;

19.  "Lowest and best" means an acquisition based on criteria which include, but are not limited to, the following:

a. the lowest total purchase price,

b. the quality and reliability of the product, and

c. the consistency of the proposed acquisition with the state agency's planning documents and announced strategic program direction;

20.  "Materials" or "supplies" includes all property except real property or equipment that a state agency acquires for its use or consumption;

21.  "Multistate contract" or "multigovernmental contract" means an agreement entered into between two or more entities of government for acquisitions pursuant to a single contract;

22.  "Nonprofessional services" means services which are predominantly physical or manual in character and may involve the supplying of products;

23.  "Political subdivision" means local governmental entities and such other entities specified as political subdivisions pursuant to the Governmental Tort Claims Act;

24.  "Open market contract" means a contract for a one-time acquisition not exceeding the acquisition amount requiring competitive bid pursuant to Section 85.7 of this title;

25.  "Professional services" means services which are predominantly mental or intellectual in character rather than physical or manual and which do not involve the supplying of products.  Professional services include services to support or improve state agency policy development, decision making, management, administration, or the operation of management systems;

26.  "Purchase order" means an offer by a state agency to make an acquisition utilizing simplified procedures;

27.  "Requisition" means a written request by a state agency for an acquisition;

28.  "Services" or "contractual services" means direct engagement of the time and effort of a contractor for the primary purpose of performing an identifiable task rather than for the furnishing of an end item of supply;

29.  "Sole brand acquisition" means an acquisition that by specification restricts the acquisition to one manufacturer or brand name;

30.  "Sole source acquisition" means an acquisition which, by specification, restricts the acquisition to one supplier;

31.  "Split purchase" means dividing a known quantity or failing to consolidate a known quantity of an acquisition for the purpose of evading a competitive bidding requirement;

32.  "State agency" includes any office, officer, bureau, board, counsel, court, commission, institution, unit, division, body or house of the executive or judicial branches of the state government, whether elected or appointed, excluding only political subdivisions of the state;

33.  "State purchase card" means an electronic transaction device issued to state agency officials for making acquisitions;

34.  "State Purchasing Director" or "Director of Central Purchasing" includes any employee or agent of the State Purchasing Director, acting within the scope of delegated authority;  

35.  "Statewide contract" means a contract for specific acquisitions entered into by state agencies during a specified period with a provision allowing the agencies to place orders as the acquisitions are needed for delivery during the period specified; and

36.  "Supplier" or "vendor" means an individual or business entity that sells or desires to sell acquisitions to state agencies.

Added by Laws 1959, p. 350, § 2, eff. July 1, 1959.  Amended by Laws 1986, c. 173, § 1, emerg. eff. May 12, 1986; Laws 1991, c. 197, § 1, eff. July 1, 1991; Laws 1992, c. 250, § 6, eff. July 1, 1992; Laws 1994, c. 329, § 2, eff. July 1, 1994; Laws 1996, c. 316, § 1, eff. July 1, 1996; Laws 1998, c. 371, § 2, eff. Nov. 1, 1998; Laws 1999, c. 289, § 1, eff. July 1, 1999; Laws 2000, c. 333, § 1, emerg. eff. June 5, 2000.

§74-85.3.  Purchasing Division - Director - Employees - Encouragement of certain purchases - Conflict of interest.

A.  There is hereby created and established in the Department of Central Services a Purchasing Division, the administrative head of which shall be the State Purchasing Director.

B.  The Director of the Department of Central Services shall hire the State Purchasing Director.  The State Purchasing Director shall:

1.  Be at least twenty-eight (28) years of age;

2.  Have a thorough knowledge of office practices and buying procedures in volume purchasing; and

3.  Be a graduate of an accredited college or university with at least five (5) years' experience in commercial or governmental purchasing, or, in lieu of such education, have at least ten (10) years' experience in commercial or governmental purchasing.

C.  The Purchasing Division shall include the following employees, and employment of such employees is hereby authorized:

1.  One assistant director;

2.  One qualified specifications engineer;

3.  Buyers who have at least three (3) years' procurement experience for:

a. food,

b. hardware,

c. textiles,

d. petroleum,

e. office supplies,

f. building materials,

g. pharmaceutical supplies,

h. automotive equipment, parts, and accessories, and

i. any other commodity group found by the Director of the Department of Central Services to justify special purchasing attention;

4.  One buyer for products and services of the severely disabled as provided in Section 3001 et seq. of this title;

5.  One dietitian, who shall have the qualifications required by the State Department of Health; and

6.  Such other technical and clerical personnel as shall be assigned to the Purchasing Division by the Director of the Department of Central Services.

D.  All activities of any state agency, department, or institution relating to purchasing shall be under the direction of the Purchasing Division unless otherwise provided by the Oklahoma Central Purchasing Act.

E.  The Purchasing Division shall provide qualified personnel to assist the purchasing activities of state agencies, departments, and institutions.

F.  Each state agency, department, and institution shall designate personnel to coordinate its purchasing functions with the Purchasing Division.

G.  The Purchasing Division may, if the needs of a state agency, department, or institution are such as to so require, employ, and establish a buyer within a state agency, department, or institution.

H.  No state agency, department, or institution subject to the Oklahoma Central Purchasing Act shall have or maintain a purchasing section without the prior approval in writing of the Purchasing Division unless otherwise provided in the Oklahoma Central Purchasing Act.

I.  The Purchasing Division shall make acquisitions from industries operated by the State Department of Corrections pursuant to the provisions of Section 549.1 of Title 57 of the Oklahoma Statutes.

J.  None of the personnel authorized by this section shall:

1.  Sell to or otherwise provide acquisitions to any state agency subject to the Oklahoma Central Purchasing Act;

2.  Be employees, partners, associates, officers, or stockholders in or with any business entity that sells to or otherwise provides acquisitions to any agency subject to the Oklahoma Central Purchasing Act;

3.  Be employed in any of the positions authorized by this section if a spouse or child owns any stock in any business entity which sells to or otherwise provides acquisitions to any agency subject to the Oklahoma Central Purchasing Act; or

4.  Be employed in any of the positions authorized by this section if a relative within the third degree of consanguinity or affinity sells to or otherwise provides acquisitions to any agency subject to the Oklahoma Central Purchasing Act or is interested in any business entity which does so, except that such relative, excluding a spouse or child, may own Five Thousand Dollars ($5,000.00) worth or less, or one percent (1%) or less, whichever amount is the lesser amount, of the stock of a corporation or any business entity which sells to or otherwise provides acquisitions to any state agency subject to the Oklahoma Central Purchasing Act.

Added by Laws 1959, p. 350, § 3, eff. July 1, 1959.  Amended by Laws 1961, p. 589, § 1; Laws 1968, c. 88, § 1, emerg. eff. April 1, 1968; Laws 1976, c. 230, § 16, emerg. eff. June 15, 1976; Laws 1980, c. 159, § 34, emerg. eff. April 2, 1980; Laws 1983, c. 304, § 105, eff. July 1, 1983; Laws 1993, c. 175, § 1, emerg. eff. May 10, 1993; Laws 1996, c. 214, § 2, emerg. eff. May 21, 1996; Laws 1999, c. 289, § 2, eff. July 1, 1999.

§74-85.3A.  Exempted entities.

Compliance with the provisions of the Oklahoma Central Purchasing Act shall not be required of:

1.  County government;

2.  The Oklahoma State Regents for Higher Education, the institutions, centers, or other constituent agencies of The Oklahoma State System of Higher Education; or

3.  The telecommunications network known as OneNet.

Added by Laws 1999, c. 289, § 3, eff. July 1, 1999.

§74-85.4.  Requisitions - Determination of quantitative need by agencies - Forms - Information required - Lease-purchase agreements - Change order or addendum - Lease of products - Purchases from federal government.

A.  Except as otherwise provided by the Oklahoma Central Purchasing Act, every state agency shall make all acquisitions used, consumed or spent by the state agency in the performance of its official functions by the presentation of requisitions to the Purchasing Division.

B.  The provisions of the Oklahoma Central Purchasing Act shall not preclude a state agency from:

1.  Accepting gifts or donations in any manner authorized by law; or

2.  Making an acquisition for itself without presentation of a requisition when an acquisition without requisition is authorized in writing by the State Purchasing Director.

C.  Subject to the provisions of this section, every state agency shall determine its own quantitative needs for acquisitions and the general class or nature of the acquisitions.

D.  The Director of Central Services shall prescribe standardized contract forms and all other forms requisite or deemed necessary by the Director of Central Services to effectuate the provisions of this section and the Oklahoma Central Purchasing Act.

E.  1.  A contract that results from a requisition required by this section for nonprofessional services or professional services whether or not such services are exempt from the competitive bidding requirements of this section or pursuant to Section 85.7 of this title shall be signed by the chief administrative officer of the state agency or the chief administrative officer of the requisitioning unit of the state agency certifying that:

a. no employee of the state agency is able and available to perform the services to be provided pursuant to the contract,

b. the state agency shall receive, review and accept a detailed work plan from the supplier for performance pursuant to the contract if requested by the State Purchasing Director,

c. the state agency has developed, and fully intends to implement, a written plan providing for the assignment of specific state agency personnel to:

(1) monitoring and auditing supplier performance,

(2) the periodic review of interim reports, or other indications of performance, and

(3) if requested by the State Purchasing Director, the ultimate utilization of the final product of the nonprofessional or professional services,

d. the work to be performed under the contract is necessary to the state agency's responsibilities, and there is statutory authority to enter into the contract,

e. the contract will not establish an employment relationship between the state or the state agency and any persons performing under the contract,

f. no current state employee will engage in the performance of the contract, unless specifically approved by the State Purchasing Director,  

g. the purchase of the nonprofessional or professional services is justified, and

h. the contract contains provisions that are required by Section 85.41 of this title.

2. a. When a state agency requisition indicates that a supplier will provide acquisitions in components or phases, the requisition shall list each component or phase, and the State Purchasing Director shall include the list in the Invitation to Bid.

b. The determination of the lowest and best bid or best value bid, as required by the Oklahoma Central Purchasing Act, shall include all component or phase deliveries and shall not be based solely on the first component or phase delivery.

c. For a purchase order or contract that includes separate component deliveries, the Purchasing Director or a state agency may issue change orders to increase a purchase order or contract for the acquisition that do not exceed an increase of ten percent (10%) of the original purchase order or contract total price.

F.  Any person certifying the information required by subsection E of this section who knows such information to be false, shall upon conviction be guilty of a misdemeanor and shall be punished by fine or imprisonment or both fine and imprisonment pursuant to the provisions of Section 85.15 of this title and shall be civilly liable for the amount of the contract.

G.  The State Purchasing Director may request additional information necessary to adequately review the requisitions to ensure compliance with the Oklahoma Central Purchasing Act.

H.  If the Purchasing Director determines that an acquisition is not necessary, excessive or not justified, the State Purchasing Director shall deny the requisition.

I.  1.  No state agency shall enter into a lease-purchase agreement if title is acquired to tangible property of any class or nature by making lease, rental, or any other type payments, except as specifically authorized by law and except insofar as data processing equipment or other equipment is concerned; provided, however, the lease-purchase of data processing or other equipment by any state agency shall be processed by competitive bids through the Purchasing Division of the Department of Central Services.

2.  The Council of Legislative Bond Oversight shall have the authority to determine the most cost-effective method for obtaining financing for lease-purchase agreements, which may be financed by either negotiated sale or competitive bid.  If the Council of Legislative Bond Oversight determines that the lease-purchase of personal or real property should be financed through negotiated sale, the financing shall be subject to the provisions of the Oklahoma Bond Oversight and Reform Act.  Unless the Council determines that the sale should be executed on a negotiated basis, such financing shall be processed by competitive bids through the Purchasing Division of the Department of Central Services.

3.  Regardless of the method of financing, the acquisition price of personal property subject to a lease-purchase agreement shall be processed by competitive bids through the Purchasing Division of the Department of Central Services.

4.  The State Purchasing Director may permit lease-purchasing of equipment by the Oklahoma Tourism and Recreation Commission if such leasing is determined by the State Purchasing Director to be in the best interest of the state; provided, that such leasing must be processed by competitive bids through the State Purchasing Director except as to those acquisitions exempt under Section 85.12 of this title.

J.  No state agency shall enter into a lease-purchase contract between the state agency as lessee and a private party as lessor if the contract is not capable of complete performance within the current fiscal year in which the contract was entered into unless a valid nonappropriation clause is included in the contract.  Such contracts shall contain the following or substantially similar language:

Lessee shall have the right to terminate the lease, in whole but not in part, at the end of any fiscal year of lessee, if the Legislature fails to allocate sufficient funds to lessee for the rental payments required under the lease.

K.  1.  No change order or addendum shall be made to a lease-purchase agreement which extends the term or life of the original bid contract.  Any lease-purchase agreement requiring such extensions or refinancing shall be readvertised and processed in accordance with the provisions of the Oklahoma Central Purchasing Act.

2.  Every state agency, whether or not subject to the provisions of the Oklahoma Central Purchasing Act, shall maintain a list of all tangible personal property which it is acquiring by a lease-purchase method and, prior to the renewal of a lease-purchase agreement, shall evaluate the rate being paid under the current lease-purchase agreement against rates currently being received by the Purchasing Division of the Department of Central Services on a competitive bid basis to determine whether or not refinancing of the property will benefit the state.  Any state agency which elects not to submit a requisition for a possible refinancing when the existing rates are at least one percent (1%) above rates being currently bid, and when the total sum to be paid for the property including principal and interest will be reduced, shall submit a written justification to the State Purchasing Director stating the reasons for not attempting to refinance the property.  The State Purchasing Director shall forward all such justifications to the Chair of the Appropriations Committee of the Senate and the Chair of the Committee on Appropriations and Budget of the House of Representatives no later than February 1 of each year.

3.  Unless otherwise provided by law, no state agency shall enter into a lease-purchase agreement for real or personal property costing less than Fifty Thousand Dollars ($50,000.00).

4. a. Unless otherwise provided by law, the maximum term of a state agency lease-purchase agreement shall be the lesser of the useful life of real or personal property subject to a lease-purchase agreement as determined by the State Purchasing Director, or three (3) years for personal property and ten (10) years for real property, respectively.

b. The Council of Legislative Bond Oversight shall have the authority to extend the term of a lease-purchase agreement beyond three (3) years for personal property and ten (10) years for real property if the State Purchasing Director determines that the useful life of the property exceeds the terms and the Oklahoma State Bond Advisor recommends the extension as being in the best interests of this state.

5.  Unless otherwise provided by law, state agency real property acquisitions subject to lease-purchase agreements shall be explicitly authorized by the Legislature.  Acquisitions of real property authorized by the Legislature, unless otherwise exempted by the Legislature, shall be subject to the competitive bid provisions of the Oklahoma Central Purchasing Act.  If a state agency is authorized to enter into a lease-purchase agreement for real property, the financing of the acquisition, including acquisitions deemed desirable for executing a lease-purchase, certificate of participation, or similar agreement or obligation, shall be obtained in accordance with the provisions of the Oklahoma Central Purchasing Act.  The State Purchasing Director shall consult with the Oklahoma State Bond Advisor on the preparation, evaluation, and negotiation of such financing.  Legislative authorization shall constitute legal authorization for this state or state agencies to enter into such lease-purchase agreements.

L.  The State Purchasing Director may permit leasing of products by state agencies if such leasing is determined by the State Purchasing Director to be in the best interest of the state, provided that such leasing must be processed by competitive bids through the State Purchasing Director except as to those acquisitions exempt pursuant to Section 85.12 of this title.

M.  1.  Before reoffering or remarketing an obligation, a state agency shall obtain written approval from the Oklahoma State Bond Advisor.  Should a remarketing of a lease-purchase agreement be proposed that includes the remarketing of securities or obligations to more than a single investor, any disclosure language prepared in connection with such remarketing that describes the state's liability under the lease-purchase agreement shall be approved in advance and in writing by the Oklahoma State Bond Advisor.

2.  In no event shall a state agency enter into a lease-purchase agreement unless that agreement states that the State of Oklahoma reserves the right to approve any reoffering of this obligation to another investor either through private placement, issuance of certificates of participation, or any other mechanism.

N.  1.  Whenever it appears advantageous to the state or to any state agency to purchase or otherwise acquire any acquisition which may be offered for sale by the government of the United States of America or any agency thereof, the State Purchasing Director may execute a contract for the acquisition with the federal government or federal agency.

2.  If the State Purchasing Director approves an acquisition from the federal government or agency and determines that the regulations of the federal government, or agency handling the disposition and sale require that partial or full payment be made at the time sale is effected and before the acquisition will be delivered, the State Purchasing Director, upon requisition by the requesting party, shall have a state warrant drawn against the funds of the acquiring state agency payable to the United States of America or its proper agency.  The warrant shall be in such amount as may be necessary to meet the terms and conditions of sale without requiring a certificate showing that the acquisition has actually been delivered to the state agency in whose behalf the purchase is being negotiated.

Added by Laws 1959, p. 351, § 4, eff. July 1, 1959.  Amended by Laws 1972, c. 163, § 1, emerg. eff. April 7, 1972; Laws 1980, c. 339, § 5, emerg. eff. June 25, 1980; Laws 1983, c. 304, § 106, eff. July 1, 1983; Laws 1984, c. 148, § 1, emerg. eff. April 19, 1984; Laws 1986, c. 173, § 2, emerg. eff. May 12, 1986; Laws 1987, c. 203, § 97, operative July 1, 1987; Laws 1989, c. 300, § 18, operative July 1, 1989; Laws 1993, c. 327, § 13, eff. July 1, 1993; Laws 1997, c. 294, § 28, eff. July 1, 1997; Laws 1998, c. 371, § 3, eff. Nov. 1, 1998; Laws 1999, c. 321, § 1, eff. July 1, 1999; Laws 2000, c. 6, § 21, emerg. eff. March 20, 2000; Laws 2003, c. 342, § 1, eff. July 1, 2003.

NOTE:  Laws 1999, c. 289, § 4 repealed by Laws 2000, c. 6, § 33, emerg. eff. March 20, 2000.

§74-85.5.  Powers and duties of State Purchasing Director.

A.  Pursuant to the provisions of Section 85.4 of this title, the State Purchasing Director, under the supervision of the Director of the Department of Central Services, shall have sole and exclusive authority and responsibility for all acquisitions used or consumed by state agencies.

B.  The State Purchasing Director, after consultation with the requisitioning state agency, shall have authority to determine the particular brand, model, or other specific classification of each acquisition and to draft or invoke pursuant to the Oklahoma Central Purchasing Act specifications establishing the requirements for all necessary contracts or purchase orders.

C.  The Director of the Department of Central Services shall have authority and responsibility to promulgate rules pursuant to provisions of the Oklahoma Central Purchasing Act governing, providing for, prescribing, or authorizing any act, practice, or requirement for which regulatory power is delegated for:

1.  The time, manner, authentication, and form of making requisitions for acquisitions;

2.  Inspection, analysis, and testing of acquisitions or samples suppliers submit prior to contract award;

3.  The form and manner of submission for bids or proposals a supplier submits and the manner of accepting and opening bids or proposals;

4.  The conditions under which the Department of Central Services shall require written contracts for acquisitions, the conditions under which acquisitions may be made on an open account basis, and the conditions and manner of negotiating such contracts;

5.  Obtaining acquisitions produced by state institutions;

6.  Conditions under which any of the rules herein authorized may be waived;

7.  The amounts of and deposits on any bond required to be submitted with a bid or contract for the furnishing of acquisitions and the conditions under which such bond shall be required;

8.  Storage and storage facilities necessary to accomplish responsibilities of the Director of the Department of Central Services;

9.  The manner and conditions of delivery, which shall include the designation of the common carrier of property to be used to transport acquisitions whenever a common carrier is used, and the acceptance, or rejection, including check of quantities, of any acquisitions;

10.  The form of any estimate, order, or other document the Director of the Department of Central Services requires;

11.  State agency acquisitions not exceeding the acquisition purchase amount requiring competitive bid pursuant to Section 85.7 of this title to ensure competitiveness, fairness, compliance with provisions of all sections of the Oklahoma Central Purchasing Act, and compliance with provisions of Section 3001 et seq. of this title, which relate to the State Use Committee.  The rules shall include separate provisions based on acquisition purchase price as follows:

a. state agencies shall make acquisitions not exceeding Two Thousand Five Hundred Dollars ($2,500.00), provided the acquisition process is fair and reasonable and is conducted pursuant to rules authorized pursuant to this section, and

b. state agencies with certified procurement officers and internal purchasing procedures found compliant by the Director of the Department of Central Services pursuant to this section may make acquisitions in excess of Two Thousand Five Hundred Dollars ($2,500.00) as provided below:

(1) acquisitions with a price exceeding Two Thousand Five Hundred Dollars ($2,500.00) and not exceeding Ten Thousand Dollars ($10,000.00), pursuant to rules authorized by this section, and

(2) acquisitions with a price exceeding Ten Thousand Dollars ($10,000.00) and not exceeding the amount requiring a requisition to the State Purchasing Director, pursuant to Section 85.7 of this title, by telephone, facsimile, invitation to bid, or solicitation by means of electronic commerce, receipt of bids and bid award by the state agency;

12.  Training by the State Purchasing Director of state agency procurement officers;

13.  Review and audit by the State Purchasing Director of state agency acquisitions;

14.  The conditions for increasing acquisition limits for state agencies which have had a prior reduction in acquisition limit by the Director of the Department of Central Services;

15.  State agency use of a state purchase card to make acquisitions; and

16.  Any other matter or practice which relates to the responsibilities of the Director of the Department of Central Services.

D.  The State Purchasing Director shall provide training for state agency purchasing officials and other purchasing staff.  The training shall include principles of state procurement practices, basic contracting, provisions of the Oklahoma Central Purchasing Act, rules promulgated pursuant to the Oklahoma Central Purchasing Act, provisions of Section 3001 et seq. of this title, which relate to the State Use Committee, and any other matters related to state procurement practices.  State agency purchasing officials that demonstrate proficiency shall be certified as "certified procurement officers" by the State Purchasing Director and shall be authorized to make acquisitions pursuant to provisions of the Oklahoma Central Purchasing Act and rules authorized by this section.  The State Purchasing Director shall assess a fee to state agencies for the training that does not exceed each state agency's pro rata share of the costs the State Purchasing Director incurs to provide the training.

E.  The State Purchasing Director shall review state agency acquisitions for the purposes of:

1.  Ensuring state agency compliance with provisions of the Oklahoma Central Purchasing Act;

2.  Ensuring state agency compliance with rules promulgated by the Department of Central Services pursuant to the Oklahoma Central Purchasing Act;

3.  Ensuring state agency compliance with provisions of Section 3001 et seq. of this title pertaining to the State Use Committee;

4.  Reporting any acquisition by any state agency found not to be in compliance with those sections or rules to the Director of the Department of Central Services; and

5.  Recommending that the Director of the Department of Central Services reduce the acquisition competitive bid limit amount for any state agency found not to be in compliance with the Oklahoma Central Purchasing Act or rules promulgated thereto.

F.  When recommended by the State Purchasing Director, based on written findings by the State Purchasing Director, the Director of the Department of Central Services may:

1.  Require retraining of state agency procurement officials and other purchasing staff found not to be in compliance with provisions of the Oklahoma Central Purchasing Act, or rules promulgated pursuant to the Oklahoma Central Purchasing Act;

2.  Reduce the acquisition competitive bid limit for any state agency found not to be in compliance with provisions of the Oklahoma Central Purchasing Act or rules promulgated pursuant to the Oklahoma Central Purchasing Act;

3.  Transmit written findings by the State Purchasing Director to the State Auditor and Inspector for further investigation, indicating purchasing procedures that do not conform to provisions pursuant to the Oklahoma Central Purchasing Act or rules promulgated pursuant to the Oklahoma Central Purchasing Act;

4.  Transmit to the Attorney General or the State Auditor and Inspector for further investigation a report made by the State Purchasing Director that the Director of the Department of Central Services reasonably believes indicates that an action that constitutes a criminal violation pursuant to the Oklahoma Central Purchasing Act or other laws has been taken by any state agency, state agency official, bidder, or supplier; or

5.  Increase the state agency acquisition purchase amount requiring competitive bid, not to exceed the acquisition purchase amount requiring competitive bid, pursuant to Section 85.7 of this title.

G.  1.  Pursuant to the requirements of the Oklahoma Central Purchasing Act, the State Purchasing Director shall have authority to enter into any statewide, multistate or multigovernmental contract.  The state entity designated by law, as specified in Section 1010.3 of Title 56 of the Oklahoma Statutes, shall participate in the purchase of pharmaceuticals available through such multistate or multigovernmental contracts entered into by the State Purchasing Director.

2.  The State Purchasing Director may utilize contracts awarded by other governmental agencies, including agencies of the United States of America.

3.  The State Purchasing Director may designate contracts described in this subsection for use by state agencies.

H.  The State Purchasing Director may develop and test new contracting policies and procedures that hold potential for making the Purchasing Division more effective and efficient.

I.  The State Purchasing Director shall endeavor to satisfy state agencies in terms of cost, quality, and timeliness of the delivery of acquisitions by using bidders who have a record of successful past performance, promoting competition, minimizing administrative operating costs, and conducting business with integrity, fairness, and openness.

J.  The State Purchasing Director shall undertake the following:

1.  The use of electronic commerce pursuant to the Oklahoma Online Bidding Act for solicitation, notification, and other purchasing processes;

2.  Monitoring rules promulgated pursuant to the Oklahoma Central Purchasing Act to ensure that the rules, satisfy the interests of the state, are clear and succinct, and encourage efficiency in purchasing processes;

3.  A program to identify vendors with poor delivery and performance records;

4.  Development of criteria for the use of sealed bid contracting procedures, negotiated contracting procedures, selection of types of contracts, postaward administration of purchase orders and contracts, contract modifications, termination of contracts, and contract pricing;

5.  Continual improvement in the quality of the performance of the Purchasing Division through training programs, management seminars, development of benchmarks and key management indicators, and development of standard provisions, clauses and forms;

6.  Development of electronic means of making state agencies aware of office furniture, equipment, machinery, tools, and hardware available for purchase from the surplus property programs; and

7.  Development of programs to improve customer relations through training, improved communications, and appointment of technical representatives.

K.  The State Purchasing Director shall, in cooperation with the Oklahoma Department of Agriculture, Food, and Forestry, identify the needs of state agencies and institutions for agricultural products grown and produced in Oklahoma.

L.  The State Purchasing Director may authorize state agencies to utilize a state purchase card for acquisitions on statewide contracts issued by the State Purchasing Director with no limit on the amount of the transaction.  For any other transaction with a state purchase card, the transaction shall not exceed Two Thousand Five Hundred Dollars ($2,500.00).

M.  The State Purchasing Director may utilize and authorize state agencies to utilize reverse auctions to obtain acquisitions.

N.  Prior to the award of a contract to a supplier, the State Purchasing Director shall verify, pursuant to applicable provisions of law, that the supplier is eligible to do business in the State of Oklahoma by confirming registration with the Secretary of State and franchise tax payment status pursuant to Sections 1203 and 1204 of Title 68 of the Oklahoma Statutes.  The provisions of this subsection shall be applicable only if the contract amount is Twenty-five Thousand Dollars ($25,000.00) or greater.

O.  As a condition of awarding a contract pursuant to the Oklahoma Central Purchasing Act, the State Purchasing Director shall verify with the Oklahoma Tax Commission that the business entity to which the state contract is to be awarded, whether subject to the procedures required by Section 85.7 of this title or not, has obtained a sales tax permit pursuant to the provisions of Section 1364 of Title 68 of the Oklahoma Statutes if such entity is required to do so.

P.  The State Purchasing Director is hereby authorized to explore and investigate cost savings in energy, resource usage, and maintenance contracts and to identify and negotiate contract solutions including, but not limited to, pilot projects to achieve cost savings for the State of Oklahoma.

Q.  The Department of Central Services may finance a new heat and air system for the State Capitol.

R.  The Office of State Finance, with input from the State Purchasing Director, shall promulgate payment procedure rules for state agencies to adhere to regarding statewide contracts issued by the State Purchasing Director.

S.  The Office of State Finance along with the Department of Central Services, Central Purchasing Division, shall promulgate payment procedure rules for agencies to adhere to regarding statewide contracts issued by the Division.

Added by Laws 1959, p. 351, § 5, eff. July 1, 1959.  Amended by Laws 1983, c. 304, § 107, eff. July 1, 1983; Laws 1984, c. 148, § 2, emerg. eff. April 19, 1984; Laws 1995, c. 342, § 7, emerg. eff. June 9, 1995; Laws 1996, c. 316, § 2, eff. July 1, 1996; Laws 1998, c. 65, § 2, emerg. eff. April 8, 1998; Laws 1998, c. 371, § 4, eff. Nov. 1, 1998; Laws 1999, c. 289, § 5, eff. July 1, 1999; Laws 2002, c. 483, § 3, eff. July 1, 2002; Laws 2003, c. 170, § 1, eff. Nov. 1, 2003; Laws 2003, c. 342, § 2; Laws 2004, c. 5, § 87, emerg. eff. March 1, 2004; Laws 2004, c. 511, § 2, eff. Nov. 1, 2004; Laws 2005, c. 1, § 126, emerg. eff. March 15, 2005.

NOTE:  Laws 2003, c. 60, § 7 repealed by Laws 2003, c. 342, § 7.  Laws 2003, c. 257, § 1 repealed by Laws 2004, c. 5, § 88, emerg. eff. March 1, 2004.  Laws 2003, c. 376, § 6 repealed by Laws 2004, c. 5, § 89, emerg. eff. March 1, 2004.  Laws 2004, c. 404, § 1 repealed by Laws 2005, c. 1, § 127, emerg. eff. March 15, 2005.

§74-85.5a.  State purchase card.

The State Purchasing Director may authorize personnel assigned to the Office of Global Business Services of the Department of Commerce, upon a finding by the Secretary of Commerce that such personnel have a legitimate need therefore, to utilize a state purchase card for acquisitions for programs, functions or services essential to the mission of the agency while traveling on Department of Commerce business in foreign locations with transaction limits not to exceed Thirty-five Thousand Dollars ($35,000.00).  The purchase cardholders are required to sign a purchase card agreement prior to becoming a cardholder and to attend purchase card procedure training.  The Department of Commerce will conduct quarterly internal auditing on all purchase card transactions associated with business and travel in foreign locations.

Added by Laws 2005, c. 467, § 26, eff. July 1, 2005.

§7485.6.  Grade and quality of merchandise delivered.

State agencies shall have the right to question the grade and quality of any merchandise delivered to the agency.  The Central Purchasing Division must determine, through postaward contract administration procedures, whether the supplies and services meet the grade and quality specified in the contract, and take remedial action with the appropriate vendor if the supply or service does not.

Added by Laws 1959, p. 352, § 6, eff. July 1, 1959.  Amended by Laws 1996, c. 316, § 3, eff. July 1, 1996.

§74-85.7.  Competitive bid or proposal procedures.

A.  1.  Except as otherwise provided by the Oklahoma Central Purchasing Act, no state agency shall make an acquisition for an amount exceeding Twenty-five Thousand Dollars ($25,000.00) without submission of a requisition to the State Purchasing Director and submission of suppliers' competitive bids or proposals to the State Purchasing Director.

2.  Any acquisition a state agency makes shall be made pursuant to the Oklahoma Central Purchasing Act and rules promulgated pursuant thereto.

a. Split purchasing for the purpose of evading the requirement of competitive bidding shall be a felony.

b. The State Purchasing Director may waive or increase the limit of Twenty-five Thousand Dollars ($25,000.00) for a state agency acquisition by not more than ten percent (10%) to perfect an otherwise valid acquisition inadvertently exceeding the limit due to administrative error by the state agency or unforeseeable circumstances.  The state agency shall request a waiver upon the discovery of the error or circumstance to the State Purchasing Director on a form the Director requires.

c. The State Purchasing Director shall report all requests for waivers or increases, stating the amount and whether the request was granted or denied, monthly to the Governor, President Pro Tempore of the Senate, and Speaker of the House of Representatives.

3. a. Contracts for master custodian banks or trust companies, investment managers, investment consultants, and actuaries for the state retirement systems, CompSource Oklahoma, State and Education Employees Group Insurance Board, pension fund management consultants of the Oklahoma State Pension Commission and the Commissioners of the Land Office, and other professional services as defined in Section 803 of Title 18 of the Oklahoma Statutes shall be exempt from competitive bidding procedures of Section 85.4 of this title.

b. Contracts with financial institutions to act as depositories and managers of the Oklahoma College Savings Plan accounts shall be exempt from competitive bidding procedures.

c. A state agency that makes an acquisition pursuant to this paragraph shall notify the State Purchasing Director within fifteen (15) days following completion of the acquisition.  The Department of Central Services shall compile a list of the exempt contracts and send the list to a member of the Appropriations and Budget Committee of the House of Representatives or Appropriations Committee of the Senate, if the member requests.

4.  Requisitions pursuant to this section shall not be required prior to emergency acquisitions by a state agency not exceeding Thirty-five Thousand Dollars ($35,000.00).  The state agency shall submit a requisition to the State Purchasing Director within five (5) days following the acquisition together with a statement of the emergency.  The State Purchasing Director shall send the requisition and a written analysis to the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives specifying the facts and circumstances giving rise to the emergency requisition.

5.  Requisitions pursuant to this section for acquisitions to alleviate a serious environmental emergency shall not be required if, upon receiving a request from the Chair of the Corporation Commission and after having examined the facts and circumstances of the case, the Governor certifies in writing the existence of a serious environmental emergency.  For the purposes of this section, "serious environmental emergency" means a situation within the jurisdiction of the Commission:

a. in which serious damage to the environment will quickly occur if immediate action is not taken and the damage will be so significant that the urgent need for action outweighs the need for competitive bids, or

b. a situation in which human life or safety is in imminent danger or significant property interests are threatened with imminent destruction.

6.  Acquisitions for repairs of equipment in emergencies, of livestock through a market agency, dealer, commission house, or livestock auction market bonded or licensed under federal or state law, the purchase or collection of semen or embryos, and the placement of embryos into recipient livestock shall not require requisitions pursuant to this section or any other provisions of the Oklahoma Central Purchasing Act.

7.  The Board of Directors of the Oklahoma Historical Society shall select suppliers for the restoration of historical sites and museums and shall not be subject to the requisition requirements of this section or any other provision of the Oklahoma Central Purchasing Act.  The Board may send a requisition to the State Purchasing Director and request supplier bid or proposal submission procedures, but supplier and bid selection will be the prerogative of the Board and will be based on contractors' documented qualifications and experience.

8.  Purchases of postage by state agencies shall be made pursuant to Sections 90.1 through 90.4 of this title.

9.  Sole source or sole brand acquisitions by a state agency or the State Purchasing Director shall comply with Section 85.45j of this title.

10.  Acquisitions for the design, development, communication, or implementation of the state employees flexible benefits plan shall not be subject to the requirements of this section; provided, that the Flexible Benefits Advisory Council shall use procedures consistent with the competitive bid requirements of the Oklahoma Central Purchasing Act.

11. a. Any acquisition of a service which the Department of Central Services has approved as qualifying for a fixed and uniform rate shall be made pursuant to provisions of this paragraph.

b. The Department of Central Services shall establish criteria and guidelines for those services which may qualify for a fixed and uniform rate.

c. Fixed and uniform rate contracts authorized by this paragraph shall be limited to contracts for those services furnished to persons directly benefiting from such services and shall not be used by a state agency to employ consultants or to make other acquisitions.

d. Any state agency desiring to have a service qualified for a fixed and uniform rate shall make a request for service qualification to the Department of Central Services and submit documentation to support the request.  The Department of Central Services shall approve or deny the request.  If the Department of Central Services approves the request, the state agency shall establish a fixed and uniform rate for the service.  No contracts shall be entered into by the state agency until the rate has been approved by the state agency in a public hearing.  The proposed rate shall be clearly and separately identified in the agenda of the state agency for the hearing and shall be openly and separately discussed during such hearing.  The state agency shall notify the Director of the Department of Central Services of its pending consideration of the proposed rate at least thirty (30) days before the state agency is to meet on the proposed rate.  The state agency shall deliver to the Director of the Department of Central Services a copy of the agenda items concerning the proposed rate with supporting documentation.  The Director of the Department of Central Services shall communicate any observation, reservation, criticism, or recommendation to the agency, either in person at the time of the hearing or in writing delivered to the state agency before or at the time of the hearing.  The Director of the Department of Central Services shall specifically note in the written communications whether the Director of the Department of Central Services has determined the rate to be excessive.  Any written communication presented in the absence of the Director of the Department of Central Services shall be presented orally during the public hearing.  Whether made in person or in writing, any comment made by the Director of the Department of Central Services shall be made a part of the minutes of the hearing in full.

e. Within two (2) weeks after the convening of the Legislature, the administrative officer of the state agency shall furnish to the Speaker of the House of Representatives, the President Pro Tempore of the Senate and to any member of the House or Senate, if requested by the member, a complete list of all of the types of services paid for by uniform fixed rates, the amount of the rate last approved by the agency for the service, and the number of contracts then in existence for each type of service.  Any rate which has been determined to be excessive by the Director of the Department of Central Services shall be specifically identified in the list by the state agency.

f. At any time, the Director of the Department of Central Services may review, suspend, or terminate a contract entered into pursuant to the provisions of this paragraph if the Director of the Department of Central Services determines the contract is not necessary, is excessive, or is not justified.

12.  Specifically prescribed nonmedical adaptive technology-related acquisitions for individuals with disabilities who are clients of the State Department of Rehabilitation Services and which are prescribed by a physician, rehabilitation engineer, qualified rehabilitation technician, speech therapist, speech pathologist, occupational therapist, physical therapist, or qualified sensory aids specialist, and other client acquisitions, shall not be subject to the requisition requirements of this section.  The Commission for Rehabilitation Services shall develop standards for the purchase of such acquisitions and may elect to utilize the Purchasing Division for an acquisition.  The standards shall foster economy, provide a short response time, include appropriate safeguards, require written records, ensure appropriate competition for economical and efficient purchasing, and shall be approved by the State Purchasing Director.

13.  The Department of Human Services shall develop procedures for acquisitions of specifically prescribed nonmedical assistive technology-related items not exceeding the acquisition purchase amount requiring a requisition pursuant to this section for individuals under sixteen (16) years of age who are recipients of Supplemental Security Income which are prescribed by a physician, qualified sensory aids specialist or qualified special education instructor.  The procedures shall reflect standards for the acquisition of such nonmedical assistive technology-related items, may provide for utilization of the Purchasing Division when appropriate, shall foster economy, provide a short response time, shall include appropriate safeguards and written records to ensure appropriate competition and economical and efficient purchasing, and shall be approved by the State Purchasing Director.

14. a. Structured settlement agreements entered into by the Attorney General's office in order to settle any lawsuit involving the state, the Legislature, any state agency or any employee or official of the state shall not be subject to the competitive bidding requirements of this section if:

(1) prior to entering into any contract for the services of an entity to administer a structured settlement agreement, the Attorney General receives proposals from at least three entities engaged in providing such services, and

(2) the selection of a particular entity is made on the basis of the response to the request which is the most economical and provides the most competent service which furthers the best interests of the state.

b. A list of any such structured settlement agreements entered into by the Attorney General with summary thereon for the previous calendar year shall be submitted to the Speaker of the House of Representatives and the President Pro Tempore of the Senate on January 31 of each year.

15.  Acquisitions a state agency makes pursuant to a contract the State Purchasing Director enters into or awards and designates for use by state agencies shall be exempt from competitive bidding procedures.

16.  The Commission on Marginally Producing Oil and Gas Wells shall be exempt from the competitive bid requirements of this section for contracts with local vendors for the purpose of holding special events and exhibitions throughout the state.

17.  Agreements entered into by any state agency with the United States Army Corp of Engineers in order to provide emergency response or to protect the public health, safety, or welfare shall not require requisitions and shall not be subject to competitive bidding requirements of this section.

B.  Acquisitions shall be awarded to the lowest and best, or best value, bidder at a specified time and place, which shall be open to the public.

C.  Bids for professional service contracts for an amount requiring submission of requisitions to the State Purchasing Director shall be evaluated by the State Purchasing Director and the state agency contracting for such service.  Both cost and technical expertise shall be considered in determining the lowest and best, or best value, bid.  Further, the state agency shall present its evaluation and recommendation to the State Purchasing Director.  A documented evaluation report containing the evaluations of the State Purchasing Director and the state agency contracting for such service shall be completed prior to the awarding of a professional service contract and such report shall be a matter of public record.

D.  When requested by CompSource Oklahoma, the State and Education Employees Group Insurance Board, or the governing board of a state retirement system authorized to hire investment managers, the Department of Central Services shall assist the requesting body in the process of selecting investment managers.  When requested by the Flexible Benefits Advisory Council, the Department of Central Services shall assist the Council in the process of selecting contracts for the design, development, communication, or implementation of the state employees flexible benefits plan.

E.  Except as otherwise specifically provided by law, the acquisition of food items or food products by a state agency from a public trust created pursuant to Sections 176 through 180.56 of Title 60 of the Oklahoma Statutes shall comply with competitive bidding procedures pursuant to the provisions of this section.

Added by Laws 1959, p. 352, § 7, eff. July 1, 1959.  Amended by Laws 1963, c. 345, § 1; Laws 1967, c. 109, § 1, emerg. eff. April 25, 1967; Laws 1980, c. 261, § 1, eff. Oct. 1, 1980; Laws 1983, c. 334, § 8, emerg. eff. June 30, 1983; Laws 1985, c. 281, § 4, emerg. eff. July 22, 1985; Laws 1986, c. 173, § 4, emerg. eff. May 12, 1986; Laws 1988, c. 326, § 39, emerg. eff. July 13, 1988; Laws 1989, c. 291, § 3, eff. July 1, 1989; Laws 1989, c. 370, § 14, operative July 1, 1989; Laws 1990, c. 337, § 19; Laws 1991, c. 332, § 10, eff. July 1, 1991; Laws 1992, c. 373, § 19, eff. July 1, 1992; Laws 1993, c. 129, § 1, eff. July 1, 1993; Laws 1994, c. 233, § 2, eff. Sept. 1, 1994; Laws 1995, c. 1, § 31, emerg. eff. March 2, 1995; Laws 1995, c. 253, § 7, eff. Nov. 1, 1995; Laws 1996, c. 3, § 19, emerg. eff. March 6, 1996; Laws 1996, c. 214, § 3, emerg. eff. May 21, 1996; Laws 1996, c. 316, § 4, eff. July 1, 1996; Laws 1997, c. 207, § 3, eff. July 1, 1997; Laws 1997, c. 404, § 5, eff. July 1, 1997; Laws 1998, c. 384, § 1, emerg. eff. June 9, 1998; Laws 1999, c. 1, § 31, emerg. eff. Feb. 24, 1999; Laws 1999, c. 289, § 6, eff. July 1, 1999; Laws 2000, c. 6, § 22, emerg. eff. March 20, 2000; Laws 2003, c. 342, § 3; Laws 2004, c. 309, § 2, eff. July 1, 2004.

NOTE:  Laws 1988, c. 321, § 41 repealed by Laws 1989, c. 291, § 11, eff. July 1, 1989.  Laws 1989, c. 318, § 3 repealed by Laws 1990, c. 337, § 26.  Laws 1991, c. 197, § 2 repealed by Laws 1992, c. 373, § 22, eff. July 1, 1992.  Laws 1994, c. 223, § 1 repealed by Laws 1995, c. 1, § 40, emerg. eff. March 2, 1995.  Laws 1995, c. 212, § 4 repealed by Laws 1996, c. 3, § 25, emerg. eff. March 6, 1996.  Laws 1996, c. 134, § 1 repealed by Laws 1996, c. 288, § 10, eff. July 1, 1996.  Laws 1996, c. 288, § 6 repealed by Laws 1997, c. 2, § 26, emerg. eff. Feb. 26, 1997.  Laws 1997, c. 2, § 18 repealed by Laws 1997, c. 404, § 7, eff. July 1, 1997.  Laws 1998, c. 371, § 5 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.  Laws 1999, c. 142, § 3 repealed by Laws 2000, c. 6, § 33, emerg. eff. March 20, 2000.

74-85.7a.  Open market or statewide contract for supplies, equipment or materials - Bidders to provide information as to manufacturer and country of origin of supplies, equipment and materials.

A.  The Department of Central Services may require each bidder for an open market contract or a statewide contract for supplies, equipment or materials to provide information as to the manufacturer and country of origin of any such supplies, equipment or materials as specified by labels attached to the supplies, equipment or materials where such identification is required by federal or state law.  If an item has more than one component part or accessory which may have been manufactured in more than one country, the bidder may specify the countries of origin for only the major component parts or accessories as determined by the Department where such identification is required by federal or state law.

B.  Any open market contract or statewide contract may require the contractor to obtain from all of his subcontractors information as to the manufacturer and country or countries of origin of any supplies, equipment or materials provided to the state where such identification is required by federal or state law.

Added by Laws 1992, c. 205, § 1, eff. July 1, 1992.

§74-85.7c.  High technology systems and upgrades and enhancements.

A.  No state agency shall enter into a contract for the acquisition of a high technology system unless the vendors proposing to supply the acquisition:

1.  Provide documentation of the projected schedule of recommended or required upgrades or improvements to the high technology system over a projected three-year period following the targeted purchase date; or

2.  Provide documentation that no recommended or required upgrades or improvements to the high technology system are planned over a projected three-year period following the targeted purchase date.

For purposes of this subsection, vendors shall provide documentation required for all entities which will be utilized in satisfying any phase.

B.  No state agency shall enter into a contract for the acquisition of an upgrade or enhancement to a high technology system unless:

1.  The vendor agrees to provide the acquisition at no charge to the state;

2.  The vendor previously agreed in a contract to provide the acquisition at no additional charge to the state;

3.  The state agency obtains from the vendor proposing to supply the acquisition documentation that any required or recommended upgrade will enhance or is necessary for the performance of the state agency duties and responsibilities; or

4.  The vendor provides documentation that the vendor will no longer supply assistance to the state agency for the purpose of maintenance of the high technology system and the state agency documents that the functions performed by the high technology system are necessary for the performance of the state agency duties and responsibilities.

C.  The State Purchasing Director or the procurement officer of state agencies not subject to the Central Purchasing Act shall not process any state agency request for a high technology system acquisition unless the proposed vendor provides documentation that complies with subsections A or B of this section.

D.  The State Purchasing Director shall provide such advice and assistance as may be required in order for state agencies to comply with the provisions of this section.  For purposes of this section, "state agency" shall include all state agencies, whether subject to the Central Purchasing Act or not.

Added by Laws 1998, c. 371, § 6, eff. Nov. 1, 1998.

§74-85.7d.  Information technology access clause.

The Director of the Department of Central Services shall promulgate rules prescribing an information technology access clause which shall require compliance with the accessibility to information technology standards of Section 508 of the Workforce Investment Act of 1998 and as developed pursuant to Section 2 of this act.  The clause shall be included in all contracts for the procurement of information technology by, or for the use of, state agencies, as defined in Section 3 of this act, on or after January 1, 2005.

Added by Laws 2004, c. 128, § 5, eff. July 1, 2004.

§7485.8.  Testing.

The State Purchasing Director, on approval by the Director of Public Affairs, is hereby authorized to make use of any state laboratories for the tests and analyses authorized in Section 85.5 of this title wherever practicable and to use private laboratories or the laboratories of another government agency if it is impracticable to use state laboratories; and he is further authorized to cooperate in test and analysis programs or agreements with other states or the United States government, and to accept federal funds and funds donated by private endowments or foundations for the purpose of participation in such testing programs.

Amended by Laws 1983, c. 304, § 108, eff. July 1, 1983.  

§74-85.9.  Renumbered as § 62.4 of this title by Laws 1995, c. 342, § 9, emerg. eff. June 9, 1995.

§74-85.9A.  Renumbered as § 62.5 of this title by Laws 1995, c. 342, § 9, emerg. eff. June 9, 1995.

§7485.9B.  Purchase of supplies and equipment from surplus property program.

Each chief administrative officer of any state agency is encouraged to make needed purchases of office furniture or equipment, of other equipment or machinery, and of tools and hardware from the surplus property program operated by the Office of Public Affairs.

Added by Laws 1986, c. 173, § 11, emerg. eff. May 12, 1986.  

§74-85.9C.  Renumbered as § 62.7 of this title by Laws 1999, c. 289, § 16, eff. July 1, 1999.

§74-85.9D.  Contracts for computer software and hardware maintenance - Coordination through Purchasing Division.

A.  Except as otherwise provided in subsection B of this section, agencies within the executive branch shall coordinate acquisition of computer software maintenance and hardware maintenance contracts through the Purchasing Division of the Department of Central Services.  The Purchasing Division may establish consolidation contracts and enterprise agreements for state agencies.  The State Purchasing Director may negotiate consolidation contracts, enterprise agreements and high technology system contracts in lieu of or in conjunction with bidding procedures to reduce acquisition cost.

B.  The provisions of this section shall not apply to the Northeast Oklahoma Public Facilities Authority.

Added by Laws 1995, c. 291, § 1, emerg. eff. May 25, 1995.  Amended by Laws 1996, c. 214, § 4, emerg. eff. May 21, 1996; Laws 1998, c. 203, § 5, emerg. eff. May 11, 1998; Laws 1999, c. 289, § 7, eff. July 1, 1999; Laws 2000, c. 333, § 2, emerg. eff. June 5, 2000.

§74-85.9E.  OneNet - Statewide contract - GSA schedule or contract purchases - Negotiation for education or government discounts.

A.  The Department of Central Services shall recognize as a statewide contract an unencumbered contract consummated in behalf of the telecommunications network known as OneNet by the Oklahoma State Regents for Higher Education or any other state entity assigned responsibility for OneNet; provided, said recognition shall require recommendation by the Information Services Division of the Office of State Finance.  The Department of Central Services shall not subject purchases pursuant to said contracts to any quantity limit.

B.  For purchases that require review of the purchase requisition by the Information Services Division of the Office of State Finance and that are not available on a statewide contract but are available from a General Services Administration (GSA) schedule or contract, or are available from a GSA schedule or contract at a lesser price than from a state contract, state agencies may, with the approval of the Information Services Division, purchase from the vendor or vendors on the GSA schedule or contract.

C.  The Oklahoma State Regents for Higher Education and any other state entity assigned responsibility for OneNet are authorized to negotiate for education or government discounts from published price listings and to make contracts at such prices subject to adjustment for price increases nationally published.

Added by Laws 1996, c. 214, § 1, emerg. eff. May 21, 1996.

§74-85.9F.  Renumbered as § 62.8 of this title by Laws 1999, c. 289, § 17, eff. July 1, 1999.

§74-85.9G.  Behavioral services contract providers - Rules establishing qualifications.

The governing bodies of the state agencies contracting for behavioral services shall each promulgate rules establishing the qualifications for those employees of the contract providers when such agency delivers behavioral health care services pursuant to a contract or subcontract with the state agencies.

Added by Laws 1998, c. 153, § 1, emerg. eff. April 27, 1998.

§74-85.10.  Records open for public inspection.

Except as otherwise provided by law, records of the State Purchasing Director pertaining to any acquisition, contract, transfer, negotiations, order, or rejection shall be open during regular office hours of the Purchasing Division to any person subject to reasonable limitations to prevent the removal of records from the Purchasing Division and to allow records to be kept current and in good order; and the acquisition records of state agencies shall be open to public inspection under the same conditions.  If the State Purchasing Director requires bidders to submit bidders' financial or proprietary information with a bid, proposal, or quotation, the State Purchasing Director may designate the information confidential and reject all requests to disclose the information so designated.

Added by Laws 1959, p. 353, § 10.  Amended by Laws 2000, c. 333, § 3, emerg. eff. June 5, 2000.

§7485.11.  Publication of rules, regulations and specifications.

The Purchasing Director shall publish such rules and regulations authorized hereunder as may be practicable at least once each year and is authorized to publish such specifications relating to materials, supplies, equipment and services to be acquired for the state as may best promote competition and apprise potential suppliers of the type of product desired. Laws 1959 P. 353, Sec. 11.

Laws 1959, p. 353, § 11.  

§74-85.12.  Act not to affect nonconflicting procedures - Acquisitions excluded.

A.  The provisions of this section shall not be construed to affect any law relating to fiscal or accounting procedure except as they may be directly in conflict herewith; and all claims, warrants, and bonds shall be examined, inspected, and approved as now provided by law.

B.  Except as otherwise provided by this section, the acquisitions specified in this subsection shall be made in compliance with Section 85.39 of this title but are not subject to other provisions of the Oklahoma Central Purchasing Act:

1.  Food and other products produced by state institutions and agencies;

2.  The printing or duplication of publications or forms of whatsoever kind or character by state agencies if the work is performed upon their own equipment by their own employees.  Pursuant to this paragraph, the state agency may only use equipment owned or leased by the agency and may only utilize that equipment for printing services required by the agency in performing duties imposed upon the agency or functions authorized to be performed by the agency.  Any use of the equipment by the agency pursuant to an agreement or contract with any other entity resulting in delivery of intermediate or finished products to the entity purchasing or using the products shall be subject to the provisions of the Oklahoma Central Purchasing Act;

3.  Department of Transportation and Transportation Commission contractual services or right-of-way purchases; contracts awarded pursuant to bids let by the Transportation Commission for the maintenance or construction of streets, roads, highways, bridges, underpasses, or any other transportation facilities under the control of the Department of Transportation, the acquisitions of equipment or materials accruing to the Department of Transportation required in Federal-Aid contracts; and contracts for public service type announcements initiated by the Department of Transportation; but not contractual services for advertising or public relations or employment services;

4.  Utility services where rates therefor are regulated by a state or federal regulatory commission, or by municipal ordinance, or by an Indian Tribal Council for use by the Department of Corrections only;

5.  Acquisitions by the University Hospitals Authority.  The Authority shall develop standards for the acquisition of products and services and may elect to utilize the Purchasing Division.  The standards shall foster economy and short response time and shall include appropriate safeguards and record-keeping requirements to ensure appropriate competition and economical and efficient purchasing;

6.  Contracts for custom harvesting by the Department of Corrections for the Department or its institutions;

7.  Contracts with private prison contractors which are subject to the contracting procedures of Section 561 of Title 57 of the Oklahoma Statutes;

8.  Acquisitions by the Oklahoma Municipal Power Authority;

9.  Acquisitions by the Grand River Dam Authority;

10.  Acquisitions by rural water, sewer, gas, or solid waste management districts created pursuant to the Rural Water, Sewer, Gas and Solid Waste Management Districts Act;

11.  Acquisitions by the Oklahoma Ordnance Works Authority, the Northeast Oklahoma Public Facilities Authority, or the Midwestern Oklahoma Development Authority;

12.  Contracts entered into by the Oklahoma Industrial Finance Authority for the services of an appraiser or for acquisition of insurance when the Authority's Board of Directors determines that an emergency exists, and contracts for the services of legal counsel when approved by the Attorney General;

13.  Expenditure of monies appropriated to the State Board of Education for Local and State Supported Financial Support of Public Schools, except monies allocated therefrom for the Administrative and Support Functions of the State Department of Education;

14.  Expenditure of monies appropriated to the State Department of Rehabilitation Services for educational programs or educational materials for the Oklahoma School for the Blind and the Oklahoma School for the Deaf;

15.  Contracts entered into by the Oklahoma Department of Career and Technology Education for the development, revision, or updating of vocational curriculum materials, and contracts entered into by the Oklahoma Department of Career and Technology Education for training and supportive services that address the needs of new or expanding industries;

16.  Contracts entered into by the Oklahoma Center for the Advancement of Science and Technology for professional services;

17.  Contracts entered into by the Oklahoma Department of Commerce pursuant to the provisions of Section 5066.4 of this title;

18.  Acquisitions made by the Oklahoma Historical Society from monies used to administer the White Hair Memorial;

19.  Acquisitions available to an agency through a General Services Administration (GSA) contract or other federal contract if the acquisition is on current statewide contract and the terms of the GSA or other federal contract, as determined by the State Purchasing Director, are more favorable to the agency than the terms of a statewide contract for the same products;

20.  Purchases of pharmaceuticals available through a multistate or multigovernmental contract if such pharmaceuticals are or have been on state contract within the last fiscal year, and the terms of such contract are more favorable to the state or agency than the terms of a state contract for the same products, as determined by the State Purchasing Director.  The state entity designated by law, as specified in Section 1010.3 of Title 56 of the Oklahoma Statutes, shall participate in the purchase of pharmaceuticals available through such contracts;

21.  Contracts for managed health care services entered into by the state entity designated by law or the Department of Human Services, as specified in paragraph 1 of subsection A of Section 1010.3 of Title 56 of the Oklahoma Statutes;

22.  Acquisitions by the Forestry Service of the Oklahoma Department of Agriculture, Food, and Forestry as authorized by the federal General Services Administration through a General Services Administration contract or other federal contract if the acquisitions are not on current statewide contract or the terms of the federal contract are more favorable to the agency than the terms of a statewide contract for the same products;

23.  Acquisitions of clothing for clients of the Department of Human Services and acquisitions of food for group homes operated by the Department of Human Services;

24.  Acquisitions by the Oklahoma Energy Resources Board;

25.  Acquisitions of clothing for juveniles in the custody of the Office of Juvenile Affairs and acquisitions of food for group homes operated by the Office of Juvenile Affairs;

26.  State contracts for flexible benefits plans pursuant to the Oklahoma State Employees Benefits Act, Section 1361 et seq. of this title;

27.  Acquisitions by the Department of Securities to investigate, initiate, or pursue administrative, civil, or criminal proceedings involving potential violations of the acts under the Department's jurisdiction;

28.  Acquisitions by the Native America Cultural and Educational Authority and acquisitions by the Oklahoma Department of Commerce to assist the Native American Cultural and Educational Authority pursuant to Section 5017 of this title;

29.  Acquisitions for resale in and through canteens operated pursuant to Section 537 of Title 57 of the Oklahoma Statutes;

30.  Acquisitions by the Oklahoma Boll Weevil Eradication Organization for employment and personnel services, and for acquiring sprayers, blowers, traps, and attractants related to the eradication of boll weevils in this state or as part of a national or regional boll weevil eradication program;

31.  Contracts entered into by the Oklahoma Indigent Defense System for expert services pursuant to the provisions of subsection D of Section 1355.4 of Title 22 of the Oklahoma Statutes;

32.  Acquisitions by the Oklahoma Correctional Industries and the Agri-Services programs of the Oklahoma Department of Corrections of raw materials, component parts and other products used to produce goods or services for resale and for the production of agricultural products; and

33.  Contracts entered into by the Department of Human Services for provision of supported living services to members of the plaintiff class in Homeward Bound, Inc., et. al., v. The Hissom Memorial Center, et. al., Case Number 85-C-437-E, United States District Court for the Northern District of Oklahoma.

C.  Pursuant to the terms of a contract the State Purchasing Director enters into or awards, a state agency, common school, municipality, rural fire protection district, county officer, or any program contract, purchase, acquisition or expenditure that is not subject to the provisions of the Oklahoma Central Purchasing Act, may, unless acting pursuant to a contract with the state that specifies otherwise, make use of statewide contracts and the services of the Purchasing Division and the State Purchasing Director.  Any political subdivision or rural fire protection district may designate the State Purchasing Director as its agent for any acquisition from a statewide contract or otherwise available to the state.

D.  The State Purchasing Director shall make periodic audits of the purchasing procedures of the Oklahoma Ordnance Works Authority, the Northeast Oklahoma Public Facilities Authority, the University Hospitals Authority, and the Midwestern Oklahoma Development Authority to ensure that the procedures are being followed.

Added by Laws 1959, p. 353, § 12, eff. July 1, 1959.  Amended by Laws 1963, c. 22, § 1; Laws 1968, c. 188, § 1, emerg. eff. April 15, 1968; Laws 1969, c. 205, § 1, emerg. eff. April 18, 1969; Laws 1970, c. 58, § 1, emerg. eff. March 16, 1970; Laws 1974, c. 295, § 1, emerg. eff. May 29, 1974; Laws 1976, c. 114, § 1, emerg. eff. May 14, 1976; Laws 1977, 1st Ex. Sess., c. 5, § 24, emerg. eff. June 21, 1977; Laws 1980, c. 199, § 1, emerg. eff. May 12, 1980; Laws 1980, c. 345, § 17, emerg. eff. June 25, 1980; Laws 1981, c. 218, § 25, emerg. eff. June 2, 1981; Laws 1983, c. 334, § 9, emerg. eff. June 30, 1983; Laws 1985, p. 1682, H.J.R. No. 1039, § 3, eff. Nov. 1, 1985; Laws 1986, c. 247, § 15, operative July 1, 1986; Laws 1986, c. 259, § 23, operative July 1, 1986; Laws 1987, c. 205, § 29, operative July 1, 1987; Laws 1987, c. 236, § 51, emerg. eff. July 20, 1987; Laws 1988, c. 326, § 40, emerg. eff. July 13, 1988; Laws 1989, c. 378, § 1, emerg. eff. June 7, 1989; Laws 1990, c. 337, § 20; Laws 1991, c. 70, § 1, emerg. eff. April 15, 1991; Laws 1991, c. 341, § 4, eff. July 1, 1991; Laws 1991, c. 335, § 30, emerg. eff. June 15, 1991; Laws 1992, c. 44, § 3, emerg. eff. April 3, 1992; Laws 1992, c. 246, § 1, emerg. eff. May 21, 1992; Laws 1993, c. 129, § 2, eff. July 1, 1993; Laws 1993, c. 336, § 8, eff. July 1, 1993; Laws 1994, c. 2, § 28, emerg. eff. March 2, 1994; Laws 1996, c. 214, § 5, emerg. eff. May 21, 1996; Laws 1996, c. 316, § 5, eff. July 1, 1996; Laws 1997, c. 2, § 19, emerg. eff. Feb. 26, 1997; Laws 1997, c. 257, § 1, eff. Nov. 1, 1997; Laws 1998, c. 5, § 26, emerg. eff. March 4, 1998; Laws 1998, c. 203, § 6, emerg. eff. May 11, 1998; Laws 1998, c. 371, § 7, eff. Nov. 1, 1998; Laws 1999, c. 1, § 32, emerg. eff. Feb. 24, 1999; Laws 1999, c. 289, § 8, eff. July 1, 1999; Laws 2000, c. 6, § 23, emerg. eff. March 20, 2000; Laws 2001, c. 33, § 169, eff. July 1, 2001; Laws 2003, c. 342, § 4; Laws 2004, c. 5, § 90, emerg. eff. March 1, 2004; Laws 2005, c. 156, § 1, eff. July 1, 2005.

NOTE:  Laws 1981, c. 204, § 3 repealed by Laws 1983, c. 334, § 15, emerg. eff. June 30, 1983.  Laws 1986, c. 245, § 7 repealed by Laws 1987, c. 80, § 13, operative July 1, 1987.  Laws 1987, c. 222, § 118 repealed by Laws 1987, c. 236, § 203, emerg. eff. July 20, 1987.  Laws 1987, c. 208, § 9 repealed by Laws 1988, c. 81, § 2, emerg. eff. March 25, 1988.  Laws 1988, c. 81, § 1 and Laws 1988, c. 273, § 3 repealed by Laws 1989, c. 353, § 14, emerg. eff. June 3, 1989 and by Laws 1989, c. 378, § 2, emerg. eff. June 7, 1989.  Laws 1989, c. 353, § 7 repealed by Laws 1990, c. 337, § 26.  Laws 1989, c. 369, § 10 repealed by Laws 1990, c. 337, § 26.  Laws 1990, c. 315, § 8 repealed by Laws 1991, c. 70, § 2, emerg. eff. April 15, 1991.  Laws 1991, c. 130, § 1 repealed by Laws 1991, c. 335, § 37, emerg. eff. June 15, 1991.  Laws 1992, c. 37, § 1 repealed by Laws 1992, c. 246, § 9, emerg. eff. May 21, 1992.  Laws 1993, c. 330, § 28 repealed by Laws 1994, c. 2, § 34, emerg. eff. March 2, 1994.  Laws 1996, c. 84, § 2 repealed by Laws 1996, c. 288, § 11, emerg. eff. June 5, 1996.  Laws 1996, c. 247, § 46 and Laws 1996, c. 288, § 7 repealed by Laws 1997, c. 2, § 26, emerg. eff. Feb. 26, 1997.  Laws 1997, c. 169, § 1 repealed by Laws 1998, c. 5, § 29, emerg. eff. March 4, 1998.  Laws 1998, c. 253, § 3 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.  Laws 1999, c. 197, § 3 repealed by Laws 2000, c. 6, § 33, emerg. eff. March 20, 2000.  Laws 2003, c. 257, § 2 repealed by Laws 2004, c. 5, § 91, emerg. eff. March 1, 2004.

§7485.12a.   Requisitions for insurance.

Any state agency that purchases insurance through the Purchasing Division of the Office of Public Affairs shall submit a requisition form to acquire or maintain insurance to the Purchasing Division not less than fortyfive (45) days prior to the expiration date of the existing insurance policy held by the agency.  The time requirement for the submission of a requisition form, as provided for in this section, shall not apply to any state agency that:

1.  has no existing insurance policy covering the property sought to be insured; or

2.  must acquire insurance expediently due to some exigent circumstance as determined by the Purchasing Director of the Purchasing Division of the Office of Public Affairs.

Added by Laws 1984, c. 35, § 1, eff. Nov. 1, 1984.  

§7485.12b.  Leasing, chartering or contracting for aircraft.

All agencies or departments of this state shall lease, charter or contract for the use of any aircraft pursuant to the provisions of the Oklahoma Central Purchasing Act, except aircraft owned and operated by another agency or department of this state.  The Office of Public Affairs shall develop and implement guidelines for the use of such aircraft.

Added by Laws 1985, c. 271, § 2, eff. Nov. 1, 1985.  

§74-85.12c.  Department of Human Services - Local fund-raising activities - Purchases made from funds.

A.  Purchases made from funds received by local offices administered by the Department of Human Services for fund-raising activities and donations for the benefit of clients and potential clients at the local offices where such purchases may not otherwise be paid for from appropriated funds, shall not be subject to requirements of the Oklahoma Central Purchasing Act.  Monies received by such fund-raising activities or donations shall be maintained in an Agency Special Account, and expenditure control shall reside at the local offices.  Monies received by such fund-raising activities or donations from the local office, vending operations administered by employees of the Department of Human Services, and all other nonrestricted cash and cash-equivalent items received by employees of the Department of Human Services shall be deposited in the Agency Special Account established for this purpose.  Such deposits shall be made at local banking institutions approved by the State Treasurer.

B.  Purchases made from funds received by local offices administered by the Office of Juvenile Affairs for fund-raising activities and donations for the benefit of clients and potential clients at the local offices where such purchases may not otherwise be paid for from appropriated funds shall not be subject to requirements of the Oklahoma Central Purchasing Act.  Monies received by such fund-raising activities or donations shall be maintained in an agency special account, and expenditure control shall reside at the local offices.  Monies received by such fund-raising activities or donations from the local office, vending operations administered by employees of the Office of Juvenile Affairs, and all other nonrestricted cash and cash-equivalent items received by employees of the Office of Juvenile Affairs shall be deposited in the agency special account established for this purpose.  The deposits shall be made at local banking institutions approved by the State Treasurer.

C.  Merchandise for resale purchased and sold through a canteen established at an institution or facility operated by the Office of Juvenile Affairs shall be exempt from the requirements of the Oklahoma Central Purchasing Act.

Added by Laws 1994, c. 280, § 1, eff. July 1, 1994.  Amended by Laws 1996, c. 247, § 47, eff. July 1, 1996; Laws 1998, c. 268, § 17, eff. July 1, 1998.

§7485.13.  Accepting or giving of gratuities prohibited  Penalty.

It shall be unlawful for the State Purchasing Director or any buyer or any officer of the Office of Public Affairs, or any member of their immediate family, under the Oklahoma Central Purchasing Act to accept any gift, donation, or gratuity for himself or any member of his immediate family from any seller or prospective seller of any property covered by the Oklahoma Central Purchasing Act; and it shall further be unlawful for any seller or any prospective seller to give or donate anything of value to the State Purchasing Director or any buyer or officer of the Office of Public Affairs or any buyer under the Oklahoma Central Purchasing Act or any member of the immediate family of the State Purchasing Director or buyer or officer of the Office of Public Affairs.

The violation of any provision of this section shall constitute a misdemeanor and in the event the State Purchasing Director or any buyer or any officer of the Office of Public Affairs is convicted for the violation of this section he shall forfeit his position immediately in addition to the penalty provided in this section.

Laws 1959, p. 354, sec. 13.  Amended by Laws 1983, c. 304, sec. 109, emerg. eff. July 1, 1983.

Amended by Laws 1983, c. 304, § 109, eff. July 1, 1983.  

§7485.14.  Federal laws to govern.

Notwithstanding any provision of this act to the contrary, in all cases where federal granted funds are involved, the federal laws, rules and regulations thereto shall govern to the extent necessary to insure the benefit of such funds to the State of Oklahoma.

Laws 1959, p. 354, § 14.  

§7485.15.  Strict conformity  Penalties.

All persons, agents, officers and employees of the state included within the provisions of this act are required to conform strictly to the provisions of this act, and any such persons, agents, officers or employees violating any provision of this act, shall be deemed guilty of a misdemeanor unless herein otherwise provided, and upon conviction shall be fined not less than One Hundred Dollars ($100.00) nor more than Five Hundred Dollars ($500.00) or be imprisoned in the county jail not to exceed six (6) months or by both such fine and imprisonment. Laws 1959 P. 355, Sec. 19.

Laws 1959, p. 355, § 19.  

§74-85.17.  Repealed by Laws 1999, c. 289, § 19, eff. July 1, 1999.

§74-85.17A.  Bidding preferences - Reciprocity.

State agencies shall not discriminate against bidders from states or nations outside Oklahoma, except as provided by this section.  State agencies shall reciprocate the bidding preference given by other states or nations to bidders domiciled in their jurisdictions for acquisitions pursuant to the Oklahoma Central Purchasing Act.  The State Purchasing Director shall annually prepare and distribute to certified procurement officers a schedule providing which states give bidders in their states a preference and the extent of the preference.  This schedule shall be used by state agencies in evaluating bids.

Added by Laws 2001, c. 214, § 1, eff. July 1, 2001.

§7485.19.  Department for analyzing and evaluating goods and services.

The Director of Central Purchasing shall create a department for analyzing and evaluating goods and services bought through Central Purchasing Agency using state owned laboratories and independent testing laboratories as needed. Laws 1969 C. 205, Sec. 2. Emerg. eff. April 18, 1969.

Laws 1969, c. 205, § 2, emerg. eff. April 18, 1969.  

§7485.22.  Notarized sworn statement attached to competitive bid.

A notarized sworn statement shall be attached to any competitive bid submitted to the State of Oklahoma for goods or services, which shall be in substantially the following form:

STATE OF OKLAHOMA  )

) ss

COUNTY OF  )

_______________, of lawful age, being first duly sworn, on oath says:

1.  (s)he is the duly authorized agent of _____________, the bidder submitting the competitive bid which is attached to this statement, for the purpose of certifying the facts pertaining to the existence of collusion among bidders and between bidders and state officials or employees, as well as facts pertaining to the giving or offering of things of value to government personnel in return for special consideration in the letting of any contract pursuant to the bid to which this statement is attached;

2.  (s)he is fully aware of the facts and circumstances surrounding the making of the bid to which this statement is attached and has been personally and directly involved in the proceedings leading to the submission of such bid; and

3.  neither the bidder nor anyone subject to the bidder's direction or control has been a party:

a.   to any collusion among bidders in restraint of freedom of competition by agreement to bid at a fixed price or to refrain from bidding,

b.   to any collusion with any state official or employee as to quantity, quality or price in the prospective contract, or as to any other terms of such prospective contract, nor

c.   in any discussions between bidders and any state official concerning exchange of money or other thing of value for special consideration in the letting of a contract.

_________________________________

Subscribed and sworn to before me this _____ day of ___________, 19__.

_________________________________

Notary Public (or Clerk or Judge)

Amended by Laws 1984, c. 166, § 6, operative July 1, 1984.  

§7485.23.  Notarized sworn statement attached to contract.

A notarized sworn statement shall be attached to each contract for goods and services awarded by the state, which shall be in substantially the following form:

STATE OF OKLAHOMA  )

)  ss

COUNTY OF  )

________________, of lawful age, being first duly sworn, on oath says:

1.  (s)he is the duly authorized agent of _________________, the contractor under the contract which is attached to this statement, for the purpose of certifying the facts pertaining to the giving of things of value to government personnel in order to procure said contract;

2.  (s)he is fully aware of the facts and circumstances surrounding the making of the contract to which this statement is attached and has been personally and directly involved in the proceedings leading to the procurement of said contract; and

3.  neither the contractor nor anyone subject to the contractor's direction or control has paid, given or donated or agreed to pay, give or donate to any officer or employee of the State of Oklahoma any money or other thing of value, either directly or indirectly, in procuring the contract to which this statement is attached.

]tss

_________________________________

(Name/Title)

Subscribed and sworn to before me this _____ day of ___________, 19__.

_________________________________

Notary Public (or Clerk or Judge)

Amended by Laws 1983, c. 334, § 10, emerg. eff. June 30, 1983; Laws 1984, c. 166, § 7, operative July 1, 1984.  

§74-85.24.  Renumbered as § 138 of Title 61 by Laws 1999, c. 289, § 18, eff. July 1, 1999.

§7485.26.  Purchase of blanket bond for state officers and employees  Definition  Bond exclusive.

The Purchasing Division of the Office of Public Affairs is directed to purchase from the lowest bidder a surety contract or contracts in the form known as a "blanket bond" to cover all elective state officers, appointive officers, and employees in the manner provided in this section.  No other bond shall be acceptable as surety for any elected or appointed officer or employee of this state in lieu of said blanket bond.  For purposes of Sections 85.26 through 85.31 of this title, a "blanket bond" is defined as a public employees' blanket position bond which covers all employees up to the penalty of the bond for each employee and the full penalty of the bond is always in force during its term and no restoration is necessary and there is no additional premium after a loss is paid.

Laws 1974, c. 131, sec.1, operative July 1, 1974.  Amended by Laws 1983, c. 304, sec. 112, emerg. eff. July 1, 1983.

Laws 1974, c. 43, § 3, emerg. eff. April 13, 1974; Laws 1980, c. 339, § 2, emerg. eff. June 25, 1980.  

§7485.27.  Elective state officers  Blanket bond.

Each elective state officer shall, before entering office, give surety in an amount and upon terms and conditions as may be specified and provided by this act.  Such blanket bond shall be furnished by a company duly qualified under the insurance laws of this state.  The blanket bond shall be payable to the State of Oklahoma and, whenever possible, conditioned on the faithful performance of the duties of the individuals covered by the provisions of this act during their employment or term of office and that they will properly account for all monies and property received by virtue of their position or employment.  Laws 1974, c. 131, Section 2, operative July 1, 1974.

Laws 1974, c. 131, § 2, operative July 1, 1974.  

§7485.28.  Classification of officers and employees for coverage under bond.

A.  For purposes of this act, each head of a department, institution, agency, commission, authority or other body of state government shall determine and classify the officers or employees under his jurisdiction and control who are required to give surety to the state, having due regard for the duties and responsibilities of any such office or employment and shall require such surety in such amounts and upon such terms and conditions as may be specified and provided by this act.

B.  In determining which officers or employees shall be bonded, the head of the department, agency, institution, commission, authority or other body of state government may make such determination by classes of employees with due regard to the duties and responsibilities of officers and employees falling within such class.  Laws 1974, c. 131, Section 3, operative July 1, 1974.

Laws 1974, c. 131, § 3, operative July 1, 1974.  

§74-85.29.  Schedule of amounts of surety required.

The amount of surety required for each state officer or employee pursuant to Sections 85.26 through 85.31 of this title is as follows:

DEPARTMENT AMOUNT OF BOND

Office of the State Treasurer $300,000.00

Office of Public Affairs 100,000.00

Insurance Commission 100,000.00

Office of the State Auditor and Inspector 50,000.00

Office of State Finance 50,000.00

Bank Commissioner 50,000.00

CompSource Oklahoma President and

  Chief Executive Officer 50,000.00

Commissioners of the Land Office 50,000.00

Oklahoma Securities Commission 50,000.00

Oklahoma Tax Commission 50,000.00

Department of Human Services 50,000.00

Oklahoma Public Employees Retirement System 50,000.00

Oklahoma Corporation Commission 50,000.00

State Board of Education 50,000.00

Finance Division 150,000.00

All Others 25,000.00

Department of Transportation 25,000.00

Boards of Regents of Oklahoma

  Universities and Colleges 50,000.00

Office of Attorney General 10,000.00

The University Hospitals 50,000.00

All Other State Departments, Agencies,

  Institutions, Commissions, Authorities,

  and other bodies of state government 10,000.00

Provided, however, that nothing in the Oklahoma Central Purchasing Act shall prohibit any head of a department, institution, agency, commission, authority or other body of state government from requiring the Central Purchasing Division to purchase increased amounts of blanket bond coverage for his employees up to a total maximum coverage of Fifty Thousand Dollars ($50,000.00) when the listed amount is deemed inadequate.  The cost of increased coverage shall be borne by the department, institution, agency, commission, authority or other body of state government requesting the increased coverage.

Added by Laws 1974, c. 131, § 4, operative July 1, 1974.  Amended by Laws 1979, c. 30, § 163, emerg. eff. April 6, 1979; Laws 1980, c. 159, § 35, emerg. eff. April 2, 1980; Laws 1983, c. 304, § 113, eff. July 1, 1983; Laws 1989, c. 353, § 8, emerg. eff. June 3, 1989; Laws 1994, c. 283, § 6, eff. Sept. 1, 1994; Laws 2002, c. 50, § 5, eff. Nov. 1, 2002.

NOTE:  Laws 1983, c. 135, § 1 repealed by Laws 1989, c. 353, § 14, emerg. eff. June 3, 1989.

§7485.30.  Statutorily required bonds.

Whenever, by any presently existing law of this state or by any law hereafter enacted, any officer or employee is required to furnish bond as a prerequisite to employment, such requirement as to terms, conditions, penalty, amount or quality or type of surety shall be and is hereby deemed and defined to mean the furnishing of a bond or surety contract in the manner and amount under the provisions and requirements of this act.

Laws 1974, c. 131, Section 5, operative July 1, 1974.

Laws 1974, c. 131, § 5, operative July 1, 1974.  

§74-85.31.  Purchasing Division to purchase all bonds - Payment of premiums - Approval.

A.  Whenever any officer, statutory board, commission, committee, department, authority, or any state agent or agency by whatever name called, is authorized by any law of this state to purchase any official bond, surety bond, blanket bond, or surety contract upon any state officer or employee, the authority is hereby transferred and conferred upon the Purchasing Division of the Department of Central Services.  The authority shall be exercised by the Purchasing Division in the manner pursuant to the provisions and requirements prescribed by Section 85.58A of this title.

B.  The premium for a bond will be invoiced to the Purchasing Division and paid for by legislative appropriation set aside for that specific purpose.

C.  If the legislative appropriation is insufficient to meet the cost of a bond, the State Purchasing Director in conjunction with the State Risk Administrator shall assess each entity covered by the bond a pro rata share of the excess cost amount.

D.  A blanket bond shall be approved as to form and legal sufficiency by the general counsel of the Department of Central Services and shall be filed with the Director of Central Services.

Added by Laws 1974, c. 131, § 6, operative July 1, 1974.  Amended by Laws 1983, c. 304, § 114, eff. July 1, 1983; Laws 2002, c. 483, § 4, eff. July 1, 2002.

§74-85.32.  Repealed by Laws 1996, c. 316, § 7, eff. July 1, 1996.

§74-85.33.  Registration of State Vendors Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Department of Central Services to be designated the "Registration of State Vendors Revolving Fund".  The fund shall consist of any monies received from fees collected in accordance with subsection B of this section.  The revolving fund shall be a continuing fund, without legislative appropriation, not subject to fiscal year limitations, and shall be under the control and management of the Department of Central Services.  Expenditures from the Registration of State Vendors Revolving Fund shall be budgeted and expended pursuant to the laws of the state and the statutes relating to public finance.  The fund shall be used to defray the costs of the Purchasing Division for commodity research, classification, and analysis and expenses the Department incurs to support Purchasing Division operations.  Warrants for expenditures from said fund shall be drawn by the State Treasurer, based on claims signed by an authorized employee or employees of the Department, and approved for payment by the Director of State Finance.

B.  The Department of Central Services shall collect a fee of Twenty-five Dollars ($25.00) to register suppliers that desire to do business with this state through the Purchasing Division.  The suppliers shall register separately for each commodity list.  Each registration shall entitle the supplier to be on that list for one (1) year, to receive all bid notices in that classification for that period, and to receive one copy of the State's Commodity Classification Manual when published.  All fees collected in accordance with this section shall be deposited in the revolving fund created in subsection A of this section.

Added by Laws 1977, c. 243, § 11, emerg. eff. June 15, 1977.  Amended by Laws 1983, c. 304, § 115, eff. July 1, 1983; Laws 1998, c. 371, § 8, eff. Nov. 1, 1998; Laws 1999, c. 289, § 9, eff. July 1, 1999; Laws 2003, c. 372, § 6, eff. July 1, 2003.

§74-85.33A.  Contract Management Revolving Fund.

A.  There is hereby created in the State Treasury a revolving fund for the Department of Central Services to be designated the "Contract Management Revolving Fund".  The fund shall consist of any monies received from fees, levies or rebates the Department receives in accordance with subsection B of this section.  The revolving fund shall be a continuing fund, without legislative appropriation, not subject to fiscal year limitations, and shall be under the control and management of the Department of Central Services.  Expenditures from the Contract Management Revolving Fund shall be budgeted and expended pursuant to the laws of the state and the statutes relating to public finance.  The fund shall be used to defray the costs of the Purchasing Division for operations of the Purchasing Division and expenses the Department of Central Services incurs to support operation of the Purchasing Division.  Warrants for expenditures from the fund shall be drawn by the State Treasurer, based on claims signed by an authorized employee or employees of the Department, and approved for payment by the Director of State Finance.

B.  The State Purchasing Director may enter into or award contracts that provide a contract management fee, levy or rebate to the Department of Central Services.  The State Purchasing Director shall ensure that a contract that provides a management fee, levy or rebate provides value to acquiring agencies exceeding open market acquisition costs.

Added by Laws 2003, c. 342, § 5, eff. July 1, 2003.

§74-85.34.  Renumbered as § 85.58A of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.34A.  Renumbered as § 85.58B of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.34B.  Renumbered as § 85.58D of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.34C.  Renumbered as § 85.58E of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.34D.  Renumbered as § 85.58F of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.34E.  Renumbered as § 85.58G of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.34F.  Renumbered as § 85.58H of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.34G.  Renumbered as § 85.58I of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.34H.  Renumbered as § 85.58J of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.35.  Renumbered as § 85.58K of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.36.  Repealed by Laws 1994, c. 329, § 13, eff. July 1, 1994.

§74-85.36A.  Renumbered as § 85.58L of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.37.  Renumbered as § 85.58M of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.38.  Renumbered as § 85.58N of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.39.  Agency internal purchasing procedures.

A.  1.  Each state agency shall develop internal purchasing procedures for acquisitions by the state agency. Procedures shall, at a minimum, include provisions for the state agency's needs assessment, funding, routing, review, audits, monitoring, and evaluations.  Following development, the state agency shall submit the procedures to the State Purchasing Director.

2.  The State Purchasing Director shall review the procedures submitted pursuant to paragraph 1 of this subsection to determine compliance with the Oklahoma Central Purchasing Act, rules promulgated pursuant thereto, Sections 3001 through 3010 of this title, and provisions of paragraph 1 of this subsection.  The State Purchasing Director shall provide written findings, including details of noncompliance, if any, to the Director of the Department of Central Services.

3.  The Director of the Department of Central Services shall, within fifteen (15) days after the procedures are submitted, notify the state agency that the procedures are in compliance or indicate revisions necessary to bring the procedures into compliance.

B.  A state agency shall not make acquisitions exceeding Two Thousand Five Hundred Dollars ($2,500.00) pursuant to Section 85.5 of this title, unless the Director of the Department of Central Services provides notice of compliance.

C.  Each state agency shall maintain a document file for each acquisition the state agency makes which shall include, at a minimum, justification for the acquisition, supporting documentation, copies of all contracts, if any, pertaining to the acquisition, evaluations, written reports if required by contract, and any other information the State Purchasing Director requires be kept.

Added by Laws 1986, c. 173, § 3, emerg. eff. May 12, 1986.  Amended by Laws 1998, c. 371, § 9, eff. Nov. 1, 1998; Laws 1999, c. 289, § 10, eff. July 1, 1999.

§74-85.40.  Travel expenses to be included in bid, proposal, or quotation.

Suppliers that may incur travel expenses pursuant to an acquisition by a state agency from the supplier shall include travel expenses in the total acquisition price in the supplier's bid, proposal, or quotation.  A state agency shall not pay any supplier travel expenses in addition to the total price of the acquisition.

Added by Laws 1986, c. 173, § 5, emerg. eff. May 12, 1986; Amended by Laws 1991, c. 197, § 3, eff. July 1, 1991; Laws 1999, c. 289, § 11, eff. July 1, 1999.

§74-85.41.  Professional services contracts.

A.  A state agency that acquires professional services shall comply with the provisions of this section.

B.  The state agency shall evaluate the performance of the professional services provided pursuant to a professional services contract.  The performance evaluation shall indicate the quality of service or work product of the supplier.  The state agency shall retain the evaluation in the document file the state agency maintains for the acquisition pursuant to Section 85.39 of this title.  If the evaluation indicates deficiencies with the supplier's work, the state agency shall send a copy of the evaluation to the State Purchasing Director.

C.  If the work product of the contract is a report, the state agency shall file the report with the State Librarian and Archivist.

D.  A state agency shall administer, monitor, and audit the professional services contract.  The State Purchasing Director may require the state agency to report to the State Purchasing Director the status of an unfinished professional services contract.

E.  A professional services contract shall include an audit clause which provides that all items of the supplier that relate to the professional services are subject to examination by the state agency, the State Auditor and Inspector and the State Purchasing Director.

F.  1.  If the final product of the professional services contract is a written proposal, report, or study, the professional services contract shall require the supplier to sign a sworn statement certifying that the supplier has not previously provided the state agency or another state agency with a final product that is a substantial duplication of the final product of the proposed contract.

2.  Any state agency renewing a contract with a supplier shall not be subject to the provisions of paragraph 1 of this subsection.

G.  1.  Contracts for professional services shall provide for payment for services at a uniform rate throughout the duration of the contract if the services throughout the duration of the contract are similar and consistent.

2.  No state agency shall execute a contract for professional services providing for nonuniform payments throughout the duration of the contract without authorization of the State Purchasing Director.

Added by Laws 1986, c. 173, § 6, emerg. eff. May 12, 1986.  Amended by Laws 1992, c. 250, § 2, eff. July 1, 1992; Laws 1994, c. 302, § 1, eff. Sept. 1, 1994; Laws 1998, c. 371, § 10, eff. Nov. 1, 1998; Laws 1999, c. 289, § 12, eff. July 1, 1999; Laws 2002, c. 483, § 5, eff. July 1, 2002.

§74-85.42.  One-year limitation on entering contracts with certain persons - Exceptions.

A.  Except as otherwise provided for in this section, any agency, whether or not such agency is subject to the Oklahoma Central Purchasing Act, Section 85.1 et seq. of this title, is prohibited from entering into a sole source contract or a contract for professional services with or for the services of any person, who has terminated employment with or who has been terminated by that agency for one (1) year after the termination date of the employee from the agency.  The provisions of this subsection shall not prohibit an agency from hiring or rehiring such person as a state employee.

B.  Each contract entered into by any person or firm with the State of Oklahoma shall include an affidavit certifying that no person who has been involved in any manner in the development of that contract while employed by the State of Oklahoma shall be employed to fulfill any of the services provided for under said contract.  This subsection shall not preclude faculty and staff of the institutions within The State System of Higher Education from negotiating and participating in research grants and educational contracts.  Nor shall this subsection apply to personnel of the Capital Resources Division of the Oklahoma Department of Commerce who contract to provide services to the Oklahoma Capital Investment Board.

C.  As used in this section, person is defined as any state official or employee of a department, board, bureau, commission, agency, trusteeship, authority, council, committee, trust, school district, fair board, court, executive office, advisory group, task force, study group, supported in whole or in part by public funds or entrusted with the expenditure of public funds or administering or operating public property, and all committees, or subcommittees thereof, judges, justices, and state legislators.

D.  An agency may enter into a sole source contract or a contract for professional services at any time with a person who is a qualified interpreter for the deaf.

E.  The Department of Transportation, Oklahoma Water Resources Board, Department of Environmental Quality, Oklahoma Tourism and Recreation Department, the Oklahoma Transportation Authority and the Oklahoma Department of Agriculture, Food, and Forestry may enter into a contract for professional services at any time with a person who has retired from state service, provided the provisions specified in subsection B of this section are satisfied.

F.  The Department of Human Services may enter into a contract for professional services related to computer application development support and network engineering at any time with a person who has separated from state service, provided the provisions specified in subsection B of this section are satisfied.

Added by Laws 1986, c. 173, § 7, emerg. eff. May 12, 1986.  Amended by Laws 1988, c. 69, § 2, emerg. eff. March 25, 1988; Laws 1991, c. 341, § 5, eff. July 1, 1991; Laws 1992, c. 240, § 2, eff. Sept. 1, 1992; Laws 1999, c. 409, § 1, emerg. eff. June 10, 1999; Laws 2000, c. 339, § 21, emerg. eff. June 6, 2000; Laws 2001, c. 440, § 4, eff. July 1, 2001; Laws 2002, c. 22, § 28, emerg. eff. March 8, 2002; Laws 2002, c. 343, § 2, emerg. eff. May 30, 2002; Laws 2003, c. 342, § 6, eff. July 1, 2003.

NOTE:  Laws 2001, c. 327, § 2 repealed by Laws 2002, c. 22, § 34, emerg. eff. March 8, 2002.

§74-85.43.  Annual report of acquisitions.

A.  Each chief administrative officer of a state agency shall submit to the State Purchasing Director by November 1 of each year a report listing all acquisitions exceeding Ten Thousand Dollars ($10,000.00) but not exceeding Twenty-five Thousand Dollars ($25,000.00) of the state agency for the preceding fiscal year which will include the following information:

1.  Professional services contracts;

2.  Nonprofessional services contracts; and

3.  Contracts for the leasing of property including real property contracts and any lease agreements for products or equipment.

B.  The report shall contain:

1.  The name of the supplier;

2.  A description of each acquisition;

3.  The purchase price of the acquisition; and

4.  The total amount expended to date for the preceding fiscal year for the acquisition.

C.  The report shall specifically identify sole source and sole brand acquisitions.

D.  The state agency shall submit the report to the State Auditor and Inspector and to the Department of Central Services.  The state agency shall submit the report to any member of the Appropriations and Budget Committee of the House of Representatives or Appropriations Committee of the Senate if a member so requests.

E.  The State Auditor and Inspector shall review the report for compliance with statutes and rules or other provisions of law applicable to sole source and sole brand acquisitions.

Added by Laws 1986, c. 173, § 8, emerg. eff. May 12, 1986.  Amended by Laws 1998, c. 371, § 11, eff. Nov. 1, 1998; Laws 1999, c. 289, § 13, eff. July 1, 1999.

§7485.44.  Contracts violating fulltimeequivalent employee limitation not to be entered into.

Any chief administrative officer of an agency, whether or not such agency is subject to the Oklahoma Central Purchasing Act, shall not enter into any contract for nonprofessional or professional services for the purpose of or which would result in the circumvention of the fulltimeequivalent employee limitation established by law for such agency.

Added by Laws 1986, c. 173, § 9, emerg. eff. May 12, 1986.  

§74-85.44A.  Court order requiring purchase of goods or services.

A court order requiring the purchase of certain goods or services by a state agency, whether or not such state agency is subject to the Oklahoma Central Purchasing Act, shall not invalidate competitive bidding procedures required pursuant to Section 85.7 of Title 74 of the Oklahoma Statutes if such court order does not specify specific vendors or providers.  Any such purchase of goods or services shall comply with competitive bid procedures.

Added by Laws 1992, c. 250, § 3, eff. July 1, 1992.

§74-85.44B.  Payment for goods or services pursuant to contract.

Payment for products or services pursuant to a contract executed by a state agency, whether or not such state agency is subject to the Oklahoma Central Purchasing Act, Section 85.1 et seq. of this title, shall be made only after products have been provided or services rendered.  This section shall not prohibit the payment for subscriptions to magazines, periodicals, or books or for payment to vendors providing subscription services.  This section shall not prohibit payment for services provided by the United States Army Corp of Engineers prior to the services being rendered if the action is taken pursuant to a cooperative agreement between a state agency and the Corp to provide emergency response or to protect the public health, safety, or welfare.

Added by Laws 1992, c. 250, § 4, eff. July 1, 1992.  Amended by Laws 1993, c. 101, § 1, emerg. eff. April 20, 1993; Laws 2004, c. 309, § 3, eff. July 1, 2004.

§74-85.44C.  Contract allowing vendor or service provider to acquire ownership of material or equipment furnished pursuant to contract.

It shall be unlawful for any state agency, whether or not such state agency is subject to the Oklahoma Central Purchasing Act, to enter into any contract which provides for the state or state agency to furnish material or equipment to be used by the vendor or service provider contracting with the state in the performance of the contract if the contract allows the vendor or service provider to acquire ownership of the material or equipment during or after the term of the contract in any manner other than through competitive bidding or a public sale procedure.

Added by Laws 1992, c. 250, § 5, eff. July 1, 1992.

§7485.45.  Oklahoma Minority Business Enterprise Assistance Act.

Sections 2 through 10 of this act shall be known and may be cited as the "Oklahoma Minority Business Enterprise Assistance Act".

Added by Laws 1987, c. 191, § 2, operative July 1, 1987.  

§7485.45a.  Legislative intent.

It is recognized by this state that the preservation and expansion of the American economic system of private enterprise is through free competition, but it is also recognized that the security and wellbeing brought about by such competition cannot be realized unless the actual and potential capacity of minority business enterprises is encouraged and developed.  Therefore, it is the intent of the Legislature that the state ensure that minority business enterprises are not underrepresented in the area of procurement of state contracts for construction, services, equipment and goods.  It is further the intent that this state provide for the aggressive solicitation of minority business enterprises, provide a feasibility study on a Small Business Surety Bond Guaranty Program, provide other programs targeted for assisting minority business enterprises in qualifying for state bids, and establish a percentage preference bid program for minority business enterprises who desire to participate in such program.

Added by Laws 1987, c. 191, § 3, operative July 1, 1987.  

§7485.45b.  Definitions.

For purposes of the Oklahoma Minority Business Enterprise Assistance Act:

1.  "Minority" means a person who is a lawful resident of the State of Oklahoma and who is:

a. Black (a person having origins in any of the black racial groups of Africa),

b. Hispanic (a person of Mexican, Puerto Rican, Cuban, Central or South American descent),

c. Asian American (a person having origins in any of the original peoples of the Far East, Southeast Asia, the Indian subcontinent, or the Pacific Islands), or

d. American Indian and Alaskan Native (a person having origins in any of the original peoples of North America);

2.  "Minority business enterprise" means a small business concern, as defined pursuant to Section 3 of the Small Business Act and implementing regulations, which is owned and controlled by one or more minorities and is authorized to do and is doing business under the laws of this state, paying all taxes duly assessed, and domiciled within this state.  "Owned and controlled" means a business:

a. which is at least fiftyone percent (51%) owned by one or more minorities or, in the case of a publicly owned business, at least fiftyone percent (51%) of all classes or types of the stock is owned by one or more minorities, and

b. whose management and daily business operations are controlled by one or more such individuals;

3.  "Office" means the Office of Public Affairs; and

4.  "Person" means an individual, sole proprietorship, partnership, association, or corporation.

Added by Laws 1987, c. 191, § 4, operative July 1, 1987.  

§7485.45c.  Bidpreference program.

A.  For competitive bids submitted to the state pursuant to the Oklahoma Central Purchasing Act or pursuant to the Public Competitive Bidding Act of 1974 by certified minority businesses, the State Purchasing Director shall prepare and implement a bidpreference program.  The program shall require that a percentage be added to the price of the lowest bid and if the certified minority business enterprise submits a bid that falls between the lowest bid plus the percentage, it shall receive the contract.

Provided however, in no instance shall the minority business enterprise be entitled to both a minority bid preference under this act and the preference for stateproduced goods pursuant to Section 85.32 of this title.

B.  The minority business enterprise preference program shall be implemented on the following schedule:

1.  For the 19881989 fiscal year, the State Purchasing Director shall certify the percent of funds expended on state contracts which have been awarded to minority business enterprises certified pursuant to Section 7 of this act.  If the State Purchasing Director certifies that a minimum of ten percent (10%) of the funds expended on state contracts were expended on contracts awarded to minority business enterprises certified pursuant to Section 7 of this act then the minority percentage bid preference shall be zero.  If the percentage of such funds expended on minority business enterprises is less than ten percent (10%) then a five percent (5%) bid preference shall go into effect; and

2.  For each following fiscal year, the State Purchasing Director shall certify the percent of funds expended on state contracts which have been awarded to minority business enterprises. When the State Purchasing Director certifies that a minimum of ten percent (10%) of the funds expended on state contracts are expended on contracts awarded to minority business enterprises then the percentage bid preference shall remain at that preference level for a period of one (1) year. After that oneyear period, unless the minority bid preference level is zero, the State Purchasing Director shall reduce by one percent (1%) each year the bid preference level unless the required percent of funds expended on state contracts awarded to minority business enterprises decreases below the ten percent (10%) minimum. At that time, the State Purchasing Director shall increase the percentage bid preference one percent (1%) each year to a maximum of five percent (5%) to attain the minimum ten percent (10%) goal of the program.  Each year the State Purchasing Director may increase or decrease the bid percentage level in compliance with this section to maintain the minimum ten percent (10%) goal of the program.

C.  The Department of Transportation is exempted from the provisions of the Minority Business Enterprise Assistance Act.

Added by Laws 1987, c. 191, § 5, operative July 1, 1987.  

§7485.45d.  Inability to award contract under preference program.

In the event that the State Purchasing Director is unable to award a contract pursuant to the provisions of Section 5 of this act, the award may be placed pursuant to the normal competitive bid and award provisions.

Added by Laws 1987, c. 191, § 6, operative July 1, 1987.  

§7485.45e.  Certification as minority business enterprise.

A.  Any minority business enterprise that desires to participate in the minority bid preference program and to bid upon any state contract within the purview of the State Purchasing Director or any other state contract to be let by any state agency not subject to the Oklahoma Central Purchasing Act shall first apply to the State Purchasing Director for certification.

B.  The State Purchasing Director shall certify a business which meets the eligibility requirement of this section to qualify as a minority business enterprise.  To qualify as a minority business enterprise, the business shall:

1.  be a minority business enterprise;

2.  submit any documentary evidence required by the rules and regulations of the Office of Public Affairs to support its status as a minority business enterprise;

3.  sign an affidavit stating that it is a minority business enterprise;

4.  be qualified to bid pursuant to the provisions of the Oklahoma Central Purchasing Act.

5.  present:

a. an application including the entire business history of the operation,

b. birth certificates for all minority principals,

c. if Native American, tribal registration card/certificate,

d. current resumes on all principals, key managers and other key personnel,

e. a current financial statement,

f. proof of investment by principals,

g. loan agreements,

h. lease/rental agreement for space, equipment,

i. evidence of latest bond,

j. if the applicant is a sole proprietor, he shall also include:  a copy of a bank signature card,

k. if the applicant is a partnership a copy of the partnership agreement shall also be included, and

l. if the applicant is a corporation it shall also include:  articles of organization, corporation bylaws, copies of all stock certificates, minutes of the first corporate organizational meeting, bank resolution on all company accounts, and a copy of the latest U.S. corporate tax return.

C.  The State Purchasing Director shall prepare and maintain a list of certified minority business enterprises.

D.  The purchasing director may deny certification to any minority business enterprise in accordance with the provisions of this act and the rules and regulations of the Office of Public Affairs.  Any person adversely affected by an order of the State Purchasing Director denying certification as a minority business enterprise may appeal as provided in the Administrative Procedures Act.

Added by Laws 1987, c. 191, § 7, operative July 1, 1987.  

§7485.45f.  Report on contracts awarded to minority business.

On or before July 15 of each year, the State Purchasing Director shall submit a report to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate on the status of the percentile of state funds expended on contracts awarded to minority business in the preceding fiscal year and provide any report, statistic or information concerning the compliance of the Department of Central Services with the Oklahoma Minority Business Enterprise Assistance Act.

Added by Laws 1987, c. 191, § 8, operative July 1, 1987.  Amended by Laws 1998, c. 364, § 27, emerg. eff. June 8, 1998.

§7485.45g.  Assignment of contracts.

If a minority business enterprise is awarded a contract by this state pursuant to the Oklahoma Minority Business Enterprise Assistance Act, said business shall not assign the rights of the contract to any other business without prior written approval of the State Purchasing Director verifying that such business is also a minority business enterprise certified as such by the Office of Public Affairs.  Any such assignment made without the prior written approval of the State Purchasing Director shall be deemed unlawful pursuant to paragraph 5 of subsection A of Section 10 of this act. Such unlawful assignment shall be voidable by the Office of Public Affairs.

Added by Laws 1987, c. 191, § 9, operative July 1, 1987.  

§7485.45h.  Prohibited acts  Penalty.

A.  It shall be unlawful for a person to:

1.  Knowingly and with intent to defraud, fraudulently obtain, retain, attempt to obtain or retain, or aid another in fraudulently obtaining or retaining or attempting to obtain or retain, certification as a minority business enterprise for the purposes of this act.

2.  Knowingly and willfully make a false statement with the intent to defraud, whether by affidavit, report, or other representation, to a state official or employee for the purpose of influencing the certification or denial of certification of any entity as a minority business enterprise.

3.  Knowingly and willfully obstruct, impede, or attempt to obstruct or impede any state official or employee who is investigating the qualifications of a business entity which has requested certification as a minority business enterprise.

4.  Knowingly and willfully with intent to defraud, fraudulently obtain, attempt to obtain, or aid another person in fraudulently obtaining or attempting to obtain, public monies to which the person is not entitled under this act.

5.  Knowingly and willfully assign any contract awarded pursuant to the Oklahoma Minority Business Enterprise Assistance Act to any other business enterprise without prior written approval of the State Purchasing Director pursuant to Section 85.45g of this title.

B.  Any person convicted of violating any provision of the Oklahoma Minority Business Enterprise Assistance Act shall be guilty of a felony, punishable by imprisonment in the State Penitentiary for not more than five (5) years, or a fine of not more than Ten Thousand Dollars ($10,000.00), or by both such imprisonment and fine.

C.  If a contractor, subcontractor, supplier, subsidiary, principal or affiliate thereof, has been found to have violated this act and that violation occurred within three (3) years of another violation of this act, the Department of Central Services shall prohibit that contractor, subcontractor, supplier, subsidiary, or affiliate thereof, from entering into a state project or state contract and from further bidding to a state entity, and from being a subcontractor to a contractor for a state entity and from being a supplier to a state entity.

Added by Laws 1987, c. 191, § 10, operative July 1, 1987.  Amended by Laws 1997, c. 133, § 585, eff. July 1, 1999; Laws 1999, 1st Ex.Sess., c. 5, § 425, eff. July 1, 1999.

NOTE:  Laws 1998, 1st Ex.Sess., c. 2, § 23 amended the effective date of Laws 1997, c. 133, § 585 from July 1, 1998, to July 1, 1999.

§74-85.45i.  Studies to determine disparity in minority business.

No later than December 31, 1994, each municipality with a population of three hundred thousand (300,000) or more according to the latest Federal Decennial Census shall conduct a study to determine the disparity, if any, in minority business contracts awarded by such municipality, and to determine the feasibility of the establishment of a percentage preference bid program that provides for a minimum of five percent (5%) of the funds expended on municipal contracts to be awarded to minority business enterprises as certified by the Oklahoma State Purchasing Director under the Oklahoma Minority Business Enterprise Assistance Act, Sections 85.45 through 85.45h of Title 74 of the Oklahoma Statutes.

Added by Laws 1994, c. 322, § 32, emerg. eff. June 8, 1994.

§74-85.45j.  Sole source or sole brand acquisition.

A.  1.  Pursuant to the provisions of this section, an acquisition may be exempt from competitive bidding procedures as a sole source or sole brand acquisition.

2.  If a state agency desires to make a sole source or sole brand acquisition, the state agency shall retain in the state agency's acquisition file or attach to the requisition an affidavit signed by the chief administrative officer of the state agency, in the following form:

SOLE SOURCE OR SOLE BRAND ACQUISITION

AFFIDAVIT

STATE AGENCY ________________________

SUPPLIER NAME ________________________

SUPPLIER ADDRESS ________________________

SUPPLIER TELEPHONE ________________________

I hereby affirm that pursuant to the provisions of the attached requisition or contract that

(Name of Supplier)

is the only person or business entity singularly qualified to provide the acquisition, and if a product is the only brand or product which is unique, for the following reasons:

______________________________________________________

______________________________________________________

______________________________________________________

______________________________________________________

______________________________________________________

The following is a brief description of all efforts which were made to verify that the services or products to be purchased pursuant to the provisions of the attached requisition or contract qualify as a sole source or sole brand acquisition:

______________________________________________________

______________________________________________________

______________________________________________________

______________________________________________________

______________________________________________________

I understand that the signing of this affidavit knowing such information to be false may subject me to punishment for perjury.

_____________________________

(Chief administrative officer)

STATE OF OKLAHOMA )

  ) ss.

COUNTY OF OKLAHOMA)

Subscribed and sworn to before me this __ day of _____, 19__ or 20__.

_________________________________

Notary Public

My Commission expires:

____________________________

3.  A court order requiring the purchase of specific products or services but which does not specify a brand or supplier shall not substitute for the affidavit required by this subsection or otherwise invalidate the acquisition procedures required pursuant to the Oklahoma Central Purchasing Act.

4.  Any chief administrative officer of a state agency affirming the affidavit required by this subsection who knows the information to be false shall be deemed guilty of perjury and upon conviction shall be punished by fine or by imprisonment or both fine and imprisonment pursuant to law.  Upon conviction or upon entering a plea of nolo contendere pursuant to this paragraph, the chief administrative officer shall immediately forfeit his or her position and shall be ineligible for appointment to or employment in the state service for a period of five (5) years after entering a plea of nolo contendere or being convicted.

5.  Upon a determination by the Director of the Department of Central Services that there are reasonable grounds to believe that a violation of this subsection has occurred, the Director shall send findings to the Attorney General that support the determination.  The Attorney General shall review the findings and determine whether to investigate or prosecute the person.

6.  If the acquisition's purchase price is such that the state agency is required to submit a requisition to the State Purchasing Director, the State Purchasing Director shall approve or deny the requisition for a sole source or sole brand acquisition.  Prior to approving a requisition pursuant to this paragraph, the State Purchasing Director shall document reasons a sole source or sole brand purchase is necessary and shall retain a written record for three (3) fiscal years following the end of the fiscal year during which the sole source or sole brand acquisition was made.

7.  For sole source or sole brand acquisitions exceeding Two Thousand Five Hundred Dollars ($2,500.00) and not requiring submission of a requisition to the State Purchasing Director, the state agency's certified procurement officer shall document reasons a sole source or sole brand acquisition is necessary and shall retain a written record for three (3) fiscal years following the end of the fiscal year during which the sole source or sole brand acquisition was made.

8.  The chief administrative officer of each state agency shall submit to the State Purchasing Director a monthly listing of all sole source and sole brand acquisitions exceeding Two Thousand Five Hundred Dollars ($2,500.00) executed by the state agency in the preceding month.  The report shall indicate whether requisitions for sole source and sole brand acquisitions were disapproved or modified by the State Purchasing Director and information the State Purchasing Director requires.

9.  The State Purchasing Director shall electronically provide to the Office of State Finance the information received pursuant to paragraph 8 of this subsection in machine-readable format and in the form the Office of State Finance requires.

B.  By the fifteenth day of each month, or the first working day thereafter, the Office of State Finance shall provide a report from the information received pursuant to this section to:

1.  The Speaker of the House of Representatives and the President Pro Tempore of the Senate;

2.  The Majority and Minority Leaders of both the House of Representatives and the Senate;

3.  The Chair and Vice Chair of the Appropriations and Budget Committee of the House of Representatives and the Appropriations Committee of the Senate; and

4.  Any member of the Legislature requesting the report.

The report shall detail all sole source and sole brand acquisitions by state agencies for the month prior to the month preceding the submission of the report.  The report shall be titled "Monthly Sole Source and Sole Brand Contracting Report of Oklahoma State Agencies" and indicate the time period of the report.  The report shall be provided in physical form unless the requesting person specifies the electronic version.  The report shall be signed by the Director of State Finance or the Director's designee.  The report shall be in columnar database format and shall include at least the following fields of information:  state agency number; state agency name; date created by the Department of Central Services for the requisition; date of either approval or disapproval of the requisition; if disapproved, the reason why such contract was disapproved; estimated amount of the requisition; purchase order amount; purchase order number; actual business name of supplier; supplier federal employer identification number; contact person; and the commodity classification listing at the appropriate level to distinguish between similar acquisitions.  Information required by this subsection shall be reported and maintained on each report through the next reporting period after an acquisition is made.  The applicable data in the fields of information specified in this subsection shall be listed even if the state agency requisition is disapproved.

C.  The Office of State Finance shall maintain electronic historic data or any other data received pursuant to this section for at least two (2) years.

D.  By August 15 of each year, from the data received pursuant to this section, the Office of State Finance shall complete and submit a report detailing the number of sole source or sole brand contracts issued by each state agency and a list of the business names of the suppliers who received sole source or sole brand awards during the previous fiscal year and if more than one such award, the number of awards so executed.

Added by Laws 1990, c. 236, § 11, eff. July 1, 1991.  Amended by Laws 1999, c. 289, § 14, eff. July 1, 1999; Laws 2001, c. 398, § 1, emerg. eff. June 4, 2001.

§74-85.45k.  State Travel Office.

A.  There is hereby created the State Travel Office within the Purchasing Division of the Department of Central Services.

B.  All state agencies and departments of this state shall make arrangements for all air travel on scheduled commercial airlines for state employees required to travel in the course of their official duties and for all other persons traveling at state expense through the State Travel Office, except when the state agency determines that:

1.  The air travel services can be secured at a cost less than that which can be secured by the State Travel Office; or

2.  The air travel originates from a location outside the state and it would be impractical to arrange for the air travel through the State Travel Office; or

3.  The air travel is necessitated by an emergency and time does not permit utilization of the State Travel Office's services; or

4.  The air travel is part of a package arrangement made by the organization scheduling the meeting or conference.

C.  All claims made for reimbursement shall contain a statement showing the reason for the exemption.

D.  The State Travel Office shall divide the state into high travel areas and low travel areas.  A high travel area shall consist of no more than one county.  Oklahoma, Tulsa, Payne and Cleveland Counties and any other county that accounts for a substantial portion of air travel at state expense shall be designated as high travel areas.  The remaining counties of the state shall be designated as low travel areas.  Low travel areas may consist of more than one county, as determined by the State Travel Office.  The State Travel Office shall contract with no less than six private travel agencies in a high travel area and one or more private travel agencies in a low travel area to provide the scheduling and related travel services required to comply with this section.  In order to take advantage of local competitive situations, institutions of The Oklahoma State System of Higher Education in high travel areas are authorized to solicit competitive bids for air travel services by travel agencies.  If the bids result in greater savings than the state contract, then these institutions may issue individual contracts to not less than two travel agencies.  Further, institutions of The Oklahoma State System of Higher Education in high travel areas are also authorized to solicit competitive bids for applicable city pair destination rates to airline companies.  If the bids result in a greater savings than the state contract rates, these institutions may issue individual contracts to the airline companies with the lowest bids.

E.  The State Travel Office shall promulgate rules and contract specifications to which the contract travel agencies shall be subject.  The rules and specifications shall be drawn with the intent of obtaining the lowest available fares for scheduled commercial air travel.

F.  At the end of each month the contract travel agencies shall furnish a statement, in a form approved by the State Travel Office, showing certain details of all travel arrangements handled to each state agency for which the contract travel agencies have furnished their services and shall also furnish copies of said statements to the State Travel Office.

Added by Laws 1985, c. 271, § 1, eff. Nov. 1, 1985.  Amended by Laws 1986, c. 203, § 1, eff. Nov. 1, 1986; Laws 1993, c. 204, § 1, eff. Sept. 1, 1993; Laws 1998, c. 371, § 12, eff. Nov. 1, 1998.  Renumbered from § 79 of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.45o.  Short title.

Sections 1 through 5 of this act shall be known and may be cited as the "Oklahoma Online Bidding Act".

Added by Laws 2003, c. 60, § 1, eff. July 1, 2003.

§74-85.45o.  Short title.

Sections 1 through 5 of this act shall be known and may be cited as the "Oklahoma Online Bidding Act".

Added by Laws 2003, c. 60, § 1, eff. July 1, 2003.

§74-85.45p.  Intent of act.

The intent of the Oklahoma Online Bidding Act is:

1.  To provide increased economy in state government procurement activities and to maximize to the fullest extent practicable the purchasing value of state monies while ensuring that procurements are the most advantageous to state agencies;

2.  To foster effective broad-based competition for state procurement within the free enterprise system;

3.  To modernize state statutes governing state government procurement and permit the continued development of explicit and thoroughly considered procurement policies and practices;

4.  To ensure the fair and equitable treatment of all persons who deal with state government procurement processes and to promote increased public confidence in state government procurement procedures; and

5.  To provide an ongoing funding source for new and innovative electronic procurement practices that would otherwise not be possible due to previous funding practices and guidelines.

Added by Laws 2003, c. 60, § 2, eff. July 1, 2003.

§74-85.45q.  Definitions.

As used in the Oklahoma Online Bidding Act:

1.  "Information technology" means data processing, telecommunications, and office systems technologies and services;

2.  "Services" means the furnishing of labor, time, or effort by a contractor not required to deliver a specific end product, other than reports which are merely incidental to required performance;

3.  "Construction" shall be defined as provided by Section 202 of Title 61 of the Oklahoma Statutes for online bids subject to the Public Building Construction and Planning Act;

4.  "Procurement" means buying, purchasing, renting, leasing, or otherwise acquiring any goods, services, construction, or information services.  The term also means all functions that pertain to the obtaining of any goods, services, construction, or information services, including, but not limited to, the description of requirements, selection, and solicitation of sources, preparation and award of contracts, and all phases of contract administration;

5.  "State agencies" or "agencies" shall be defined as provided by Section 85.2 of Title 74 of the Oklahoma Statutes for online bids subject to the Oklahoma Central Purchasing Act or as defined by Section 202 of Title 61 of the Oklahoma Statutes for online bids subject to the Public Building Construction and Planning Act;

6.  "Online bidding" means an electronic procurement process in which state agencies receive bids from vendors for goods, services, construction, or information services over the Internet in a real-time, competitive bidding event;

7.  "Internet" means the international computer network of both federal and nonfederal interoperable packet-switched data networks, including the graphical subnetwork called the World Wide Web; and

8.  "Solicitation" means a request or invitation by the State Purchasing Director or a state agency for a supplier to submit a priced offer to sell acquisitions to the state.  A solicitation may be an invitation to bid, request for proposal, or request for quotation.

Added by Laws 2003, c. 60, § 3, eff. July 1, 2003.

§74-85.45r.  Requirements of online bidding process - Limitations on application of act - Disclosure - Remedies.

A.  When a state agency purchasing agent determines that electronic or online bidding is more advantageous than other procurement methods provided by the laws of this state, the purchasing agent may use online bidding to obtain bids as authorized by the Oklahoma Central Purchasing Act or the Public Building Construction and Planning Act for the purchase of goods, services, construction, or information services.

B.  The online bidding process shall provide:

1.  A designated opening and closing date and time.  At the opening date and time, state agencies shall begin accepting online electronic bids.  Online bids shall be accepted until the designated closing date and time, except as provided by paragraph 6 of this subsection;

2.  The posting of all online bids electronically and updating of bids on a real-time basis by state agencies;

3.  The authorization for state agencies to require bidders to register before the opening date and time and, as part of that registration, require bidders to agree to any terms, conditions or other requirements of the solicitation or applicable acts;

4.  The authorization for state agencies to also require potential bidders to prequalify as bidders and to restrict solicitations to prequalified online bidders;

5.  The retention of the authority of state agencies to determine the criteria that will be used as the basis for making awards; and

6.  The authorization for the Director of the Department of Central Services, in the event the state agency determines that a significant error or event occurred that affected the electronic receipt of any online bid by the agency, to determine it is in the best interest of the state to allow the agency to accept an electronic bid after the specified official closing date and time.

C.  The provisions of the Oklahoma Online Bidding Act shall not apply to bid or proposal sealing or opening provisions found in any state law other than the Oklahoma Central Purchasing Act or the Public Building Construction and Planning Act.

D.  All bids submitted electronically through the online bidding process pursuant to the Oklahoma Online Bidding Act are subject to the same public disclosure laws that govern bids received pursuant to sealed bid procurement procedures pursuant to the Oklahoma Central Purchasing Act or the Public Building Construction and Planning Act.

E.  All remedies available to state agencies and suppliers through the sealed bid process pursuant to the Oklahoma Central Purchasing Act or the Public Building Construction and Planning Act are also available to state agencies and online bidders in an online bidding process.

Added by Laws 2003, c. 60, § 4, eff. July 1, 2003.

§74-85.45s.  Rules.

The Director of the Department of Central Services shall promulgate rules to implement the Oklahoma Online Bidding Act.

Added by Laws 2003, c. 60, § 5, eff. July 1, 2003.

§74-85.46.  Repealed by Laws 1990, c. 236, § 12, eff. July 1, 1991.

§74-85.47.  Short title.

This act shall be known and may be cited as the "Oklahoma Small Business Surety Bond Guaranty Program Act".

Added by Laws 1990, c. 236, § 1, eff. July 1, 1991.

§74-85.47a.  Definitions.

1.  "Administrator" means the Small Business Surety Bond Guaranty Program Administrator;

2.  "Fund" means the Small Business Surety Bond Guaranty Fund;

3.  "Indemnity fund" means a fund established through the Office of Public Affairs to underwrite the Small Business Surety Bond Guaranty Program;

4.  "Principal" means a small business entity as defined pursuant to Section 3 of the Small Business Act, 16 U.S.C. Section 632;

5.  "Program" means the Small Business Surety Bond Guaranty Program; and

6.  "Surety" means a corporation granted authority by the Insurance Commissioner to write bonds or insurance in this state guaranteeing the performance of contracts.

Added by Laws 1990, c. 236, § 2, eff. July 1, 1991.

§74-85.47b.  Administrator - Powers and duties.

The Administrator shall be authorized to:

1.  Use the services of other governmental agencies and public trusts which are necessary to carry out the provisions of this act;

2.  Contract for and accept, for use in carrying out the provisions of this program, loans and grants from the federal government and any of its agencies and instrumentalities and from public trusts;

3.  Acquire, manage, operate, dispose of, or otherwise deal with property, take assignments of rentals and leases, and make contracts, leases, agreements and arrangements that are necessary or incidental to the performance of his duties;

4.  Prescribe or approve the form of and terms and conditions in applications, guarantee agreements or any other documents entered into by the Administrator, principals or sureties in connection with the program;

5.  Acquire or take assignments of documents executed, obtained or delivered in connection with any assistance provided under this program; and

6.  Fix, determine, charge and collect any premiums and fees pursuant to rules promulgated by the Director of the Office of Public Affairs.

Laws 1990, c. 236, § 3, eff. July 1, 1991; Laws 1992, c. 197, § 1, eff. Sept. 1, 1992.

§74-85.47c.  Small Business Surety Bond Guaranty Fund.

A.  There is hereby created in the State Treasury a revolving fund for the Small Business Surety Bond Guaranty Program to be designated the "Small Business Surety Bond Guaranty Fund".  The Fund shall be a continuing fund, not subject to fiscal year limitations and shall consist of:

1.  Premiums, fees, and any other amounts received with respect to bonding assistance provided under this program;

2.  Proceeds from the sale, lease, or other disposition of property or contracts held or acquired by the Office of Public Affairs pursuant to this program;

3.  Income from investments that the State Treasurer makes from monies in the Fund; and

4.  Any other monies made available under this program.

B.  The Fund shall be used:

1.  For the purposes provided for in this program; and

2.  To pay part or all of the expenses of administering the program.

C.  All monies accruing to the credit of the Fund shall be deposited with the State Treasurer and invested and reinvested in the same manner as other state funds, and any investment earnings shall be paid into the Fund.  All monies accruing to the credit of the Fund are hereby appropriated and may be budgeted and expended for the purposes provided in subsection B of this section.  Expenditures from said Fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1990, c. 236, § 4, eff. July 1, 1991.

§74-85.47d.  Guaranty capabilities of program - Terms of guaranty - Establishment of indemnity fund.

A.  Subject to the restrictions of the Oklahoma Small Business Surety Bond Guaranty Program Act, the Administrator, on application, may guarantee any surety which qualifies pursuant to this act for any losses incurred as a result of a principal's breach of a bid bond, a payment bond, a defect or maintenance bond, or a performance bond required for a public construction contract for the state, federal agencies and political subdivisions of the State of Oklahoma.  Provided, the guaranty shall not be extended to any bond with a face value in excess of Two Hundred Fifty Thousand Dollars ($250,000.00), nor shall the total face value of the bonds to which the guaranty is extended for any one principal exceed Five Hundred Thousand Dollars ($500,000.00).  Provided further, the guaranty shall not be granted to an issuer of a letter of credit used in lieu of said bonds.

B.  The terms of a guaranty under the Oklahoma Small Business Surety Bond Guaranty Program Act shall not exceed the terms of the contract for which bonding is obtained.

C.  The Office of Public Affairs shall establish an indemnity fund for this program using a public trust or other entity capable of creating a fund which is not subject to the constitutional prohibitions of Sections 15 and 23 of Article X of the Oklahoma Constitution.

Laws 1990, c. 236, § 5, eff. July 1, 1991; Laws 1992, c. 197, § 2, eff. Sept. 1, 1992.

§74-85.47e.  Requirements to obtain surety bond guaranty - Applications.

A.  To qualify for a surety bond guaranty pursuant to the program, a surety and principal shall meet the requirements of this section.

B.  A surety shall meet the following requirements:

1.  Be a company which writes bid, payment, defect or maintenance, or performance bonds in its normal course of business;

2.  Has not refused to provide said bonds for which the principal is submitting application to the program; and

3.  Has been licensed to do surety business in the State of Oklahoma prior to July 1, 1991.

C.  The principal shall satisfy the Administrator that:

1.  As determined from creditors, employers and other individuals who have personal knowledge of the principal, the principal has a reputation for financial responsibility;

2.  The principal is a resident of this state;

3.  The principal is unable to obtain adequate bonding on reasonable terms and conditions through normal channels and has been denied such bonding by two sureties that write contract bonds.

4.  Bonding is required in order for the principal to bid on public construction contracts or to serve as a prime contractor or subcontractor on such contracts.

D.  The surety and principal shall submit to the Administrator an application for each contract on the form that the Administrator provides.  The application for each contract shall include:

1.  A detailed description of the project for which the contract is to be let;

2.  An itemization of known and estimated costs;

3.  The total amount of investment required to perform the contract;

4.  The funds available to the principal for working capital;

5.  The amount of bonding assistance sought from the program;

6.  Information that relates to the financial status of the principal, including:

a. a current balance sheet,

b. a profit and loss statement, and

c. credit references;

7.  A schedule of all existing and pending contracts and the current status of each; and

8.  Any other relevant information that the Administrator requests.

E.  After receipt of an application for assistance from the Oklahoma Small Business Surety Bond Guaranty Program, the Administrator may require that a principal shall provide an audited balance sheet before the Administrator makes a decision on the application.

Added by Laws 1990, c. 236, § 6, eff. July 1, 1991.

§74-85.47f.  Premiums and fees.

A.  The Administrator may set reasonable premiums and fees, not to exceed limits established by rules promulgated by the Director of the Office of Public Affairs, to be paid for the purpose of providing bonding assistance under this program.

B.  The premiums and fees set by the Administrator shall be payable in the amounts, at the time and in the manner that the Administrator requires.

C.  The premiums and fees need not be uniform among transactions, and may vary in amount:

1.  Among transactions; and

2.  At different stages during the terms of transactions.

Laws 1990, c. 236, § 7, eff. July 1, 1991; Laws 1992, c. 197, § 3, eff. Sept. 1, 1992.

§74-85.47g.  Administration of program.

The Small Business Surety Bond Guaranty Program shall be a program of the Office of Public Affairs.  The Director of the Office of Public Affairs is authorized to hire a Small Business Surety Bond Guaranty Program Administrator to administer the Small Business Surety Bond Guaranty Program.  The Administrator shall hold a bachelor's degree or higher degree in business, accounting, mathematics, economics or engineering and shall have previous experience as a surety underwriter.  The Administrator shall be in the unclassified service of this state.

Added by Laws 1990, c. 236, § 8, eff. July 1, 1991.

§74-85.47h.  Prohibited acts - Penalties.

A.  A person shall not knowingly make or cause any false statement or report to be made in any application or in any document furnished to the Administrator.

B.  A person shall not knowingly make or cause any false statement or report to be made for the purpose of influencing the action of the Administrator on an application for assistance or for the purpose of influencing any action of the Administrator affecting bonding assistance whether or not such assistance may have already been extended.

C.  Any person who violates any provision of this section shall be guilty of a felony and, upon conviction, shall be subject to a fine not exceeding Ten Thousand Dollars ($10,000.00) or imprisonment of up to five (5) years, or both such fine and imprisonment.

Added by Laws 1990, c. 236, § 9, eff. July 1, 1991.  Amended by Laws 1997, c. 133, § 586, eff. July 1, 1999; Laws 1999, 1st Ex.Sess., c. 5, § 426, eff. July 1, 1999.

NOTE:  Laws 1998, 1st Ex.Sess., c. 2, § 23 amended the effective date of Laws 1997, c. 133, § 586 from July 1, 1998, to July 1, 1999.

§74-85.47i.  Implementation of act - Rules and regulations.

The Director of the Office of Public Affairs shall promulgate and adopt rules necessary to carry out the provisions of the Small Business Surety Bond Guaranty Program Act.

Added by Laws 1990, c. 236, § 10, eff. July 1, 1991.

§74-85.47j.  Liability of state limited.

Nothing in this act shall be interpreted to constitute a financial obligation or general obligation of the state.  No state revenue shall be used to guarantee, nor pay any losses suffered by any person or firm.

Added by Laws 1990, c. 236, § 11, eff. July 1, 1991.

§7485.50.  Short title.

This act shall be known and may be cited as the "Oklahoma State Recycling and Recycled Materials Procurement Act".

Added by Laws 1988, c. 311, § 1, eff. July 1, 1988.  Amended by Laws 1990, c. 145, § 1, operative July 1, 1990.

§7485.51.  Definitions.

As used in the Oklahoma State Recycling and Recycled Materials Procurement Act:

1.  "Department" means the Department of Central Services;

2.  "Paper recycling" means the processing of scrap paper or other such recoverable waste paper into reusable products.  Such collection and recycling of recoverable waste paper shall be done in an environmentally acceptable manner;

3.  "State public entity" means the State Legislature, any bureau, agency, board, commission, or authority of the state, the office of the Governor, the judiciary, or any state university, school district, or county of the state which is supported in whole or in part by state funds;

4.  "Recoverable waste paper" generated by businesses or consumers, which has served its intended use and has been separated from solid waste for purposes of collection and recycling, shall include, but is not limited to, such paper as computer cards, computer printout papers, copy paper, white office papers, colored office papers, corrugated boxes, newspapers, envelope coatings, bindery trimmings, printing scrap and butt rolls.  Mill broke repulped internally within a paper manufacturing facility shall not be considered recoverable waste paper;

5.  "Director" means the Director of Central Services;

6.  "Division" means the Purchasing Division of the Department of Central Services;

7.  "Recycled paper products" means all paper products manufactured from recoverable waste paper with not less than ten percent (10%) of their total weight consisting of waste paper.

8.  "Products manufactured with recycled materials" means products that contain at least a minimum percentage of specified materials recovered from the recycling of post-consumer products as defined in rules and regulations promulgated by the Division;

9.  "Recyclable materials" means materials or products which are capable of being recycled, including but not limited to paper, glass, plastics, metals, automobile oil, and batteries.  Refuse-derived fuel or other material that is destroyed by incineration is not a recyclable material; and

10.  "Uncoated" means not coated with plastic, clay, or other material used to create a glossy finish.

Added by Laws 1980, H.J.R. No. 1057, eff. Oct. 1, 1980.  Amended by Laws 1983, c. 304, § 66, eff. July 1, 1983; Laws 1988, c. 311, § 2, eff. July 1, 1988.  Renumbered from Title 63, § 2766 by Laws 1988, c. 311, § 9, eff. July 1, 1988.  Amended by Laws 1990, c. 145, § 2, operative July 1, 1990; Laws 1992, c. 155, § 1, eff. July 1, 1992.

§7485.52.  Intent of Legislature  Implementation of act  Exemptions.

A.  It is the intent of the Legislature that all state public entities comply with the provisions of the Oklahoma State Recycling and Recycled Materials Procurement Act.  All political subdivisions of this state are encouraged to collect and recycle recoverable waste paper and recyclable materials to the greatest extent possible.  The  Department of Central Services shall coordinate recycling efforts among the state public entities.  The Director of Central Services shall adopt such rules, regulations, and orders as are necessary for the implementation of the Oklahoma State Recycling and Recycled Materials Procurement Act.  The rules and regulations at a minimum shall establish procedures for:

1.  The identification, handling, hauling, storing, safety factors, and disposition of recoverable waste paper and recyclable materials;

2.  The separation of recoverable waste paper and recyclable materials from solid waste generated by state public entities;

3.  A system for the collection of recoverable waste paper and recyclable materials from solid waste generated by state public entities;

4.  Assuring that the recoverable waste paper and recyclable materials are made available to private industries for collection and recycling at the greatest economic value and to the greatest extent feasible.  The Department may execute multiple contracts as necessary  for purposes including but not limited to serving other government entities and different geographic areas of the state.  In addition to the preference provisions of Section 85.53 of this title, rules and regulations governing availability of recyclable materials shall give preference to private recyclable materials industries that operate in Oklahoma, and that will employ residents of the state to handle, transport and sort such materials;

5.  The purchase of uncoated office paper and printed paper whenever practicable; and

6.  Separating for the purpose of recycling all recyclable materials including but not limited to lead acid batteries, waste oil and major appliances that are generated as solid waste by state public entities.

B.  All state public entities shall comply with the procedures and systems established pursuant to the Oklahoma State Recycling and Recycled Materials Procurement Act.

C.  1.  The Director may exempt any single activity or facility of any state public entity from compliance with rules promulgated pursuant to the Oklahoma State Recycling and Recycled Materials Procurement Act if the Director determines there is a lack of market availability or that it is not economically feasible to follow and comply with the procedures and systems established by the Director.

2.  The exemption shall be for a period not in excess of one (1) year, but additional exemptions may be granted for periods not to exceed one (1) year.

3.  The Director shall make public all exemptions together with the reasons for granting such exemptions.

Added by Laws 1980, H.J.R. No. 1057, eff. Oct. 1, 1980.  Amended by Laws 1983, c. 304, § 67, eff. July 1, 1983; Laws 1988, c. 311, § 3, eff. July 1, 1988.  Renumbered from Title 63, § 2767 by Laws 1988, c. 311, § 9, eff. July 1, 1988.  Amended by Laws 1990, c. 145, § 3, operative July 1, 1990; Laws 1992, c. 155, § 2, eff. July 1, 1992.

§7485.53.  State public entities to procure products and materials containing recycled materials - Intent of Legislature - Bids for state purchases - Rules and regulations - Procurement specifications.

A.  It is the intent of the Legislature that all state public entities procure products or materials with the recycled content levels required or specified by rules promulgated pursuant to the provisions of this section when such products or materials are available.

B.  By July 1, 1993, the Division when accepting bids for state purchases of supplies, equipment and materials shall give preference to the suppliers of paper products or products manufactured with recycled materials if:

1.  The price for recycled products and materials is not substantially higher than the price for nonrecycled products and materials.  The Department of Central Services shall establish by rule the annual percentage over and above the price of nonrecycled products and materials which will be allowed for the purchase of recycled products and materials; and

2.  The quality and grade requirements are otherwise comparable.

C.  By July 1, 1993, any state public entity not subject to the Central Purchasing Act when accepting bids for purchases of supplies, equipment and materials, shall give preference to the suppliers of recycled paper products and products manufactured from recycled materials if:

1.  The price for recycled products and materials is not substantially higher than the price for nonrecycled products and materials.  The price paid for recycled products and materials shall not exceed the percentage over the price for nonrecycled products and materials established by the Department; and

2.  The quality and grade requirements are otherwise comparable.

D.  The Purchasing Division and any state public entity not subject to the Central Purchasing Act shall ensure, to the greatest extent economically practical and possible, that the recycled or recovered content of all paper purchased by the Division or agency, measured as a proportion, by weight, of paper products purchased in a calendar year, is not less than the following:

1.  By 1995, ten percent (10%) of all purchased paper;

2.  By 1997, twenty-five percent (25%) of all purchased paper; and

3.  By 1999, forty percent (40%) of all purchased paper.

E.  1.  By July 1, 1993, the Division shall promulgate rules and implement a program for extending state procurement specifications to products manufactured with recycled materials and identifying recycled products.

2.  By July 1, 1993, any state public entity not subject to the Central Purchasing Act shall implement a program for extending agency procurement specifications to products manufactured with recycled materials.

F.  In writing specifications under this section, the Department and any other state public entity shall incorporate requirements relating to the recyclability and ultimate disposition of products and, wherever possible, shall write the specifications so as to minimize the amount of solid waste generated by the state.  All specifications under this section shall discourage the purchase of single-use, disposable products and require, whenever practical, the purchase of multiple-use, durable products.

G.  For materials that are not otherwise recycled, the Division and each state public entity not subject to the Central Purchasing Act shall, to the extent practicable, enter into agreements to purchase products made from recyclable materials from vendors who agree to purchase like materials separated from solid waste generated by the state for reuse or use as a raw material in manufacturing.

Added by Laws 1988, c. 311, § 4, eff. July 1, 1988.  Amended by Laws 1990, c. 145, § 4, operative July 1, 1990; Laws 1992, c. 155, § 3, eff. July 1, 1992.

§7485.54.  Division and Director  Duties and responsibilities.

A.  The Purchasing Division shall review the procurement specifications currently used by the Department of Central Services in order to eliminate, wherever economically feasible, discrimination against the procurement of recycled paper and other products manufactured with recycled materials.

B.  The Division shall establish purchasing practices which, to the maximum extent economically feasible, assure purchase of recycled paper products.

C.  The Director of Central Services shall review and incorporate, where appropriate, guidelines published in the Federal Register.

D.  The Director shall promulgate rules to encourage recycling and conservation of purchased products.

Added by Laws 1988, c. 311, § 5, eff. July 1, 1988.  Amended by Laws 1990, c. 145, § 5, operative July 1, 1990; Laws 1992, c. 155, § 4, eff. July 1, 1992; Laws 1998, c. 364, § 28, emerg. eff. June 8, 1998.

§7485.55.  Public entities - Powers, duties and responsibilities.

A.  Each state public entity whether or not subject to the Central Purchasing Act shall:

1.  Be subject to the rules promulgated by the Purchasing Division regarding the purchase of recycled products;

2.  Establish management practices in accordance with the provisions of the Oklahoma State Recycling and Recycled Materials Procurement Act;

3.  Report by November 1 of each year to the Director of Central Services the following:

a. the total amount of waste paper and other recyclable materials sold during the previous fiscal year,

b. the amount of procured recycled paper products and other products manufactured with recycled materials, and

c. the total amount of monies collected and expended to implement the Oklahoma State Recycling and Recycled Materials Procurement Act; and

4.  The Director shall coordinate the information provided by state public entities and report and submit such information to the Governor, the President Pro Tempore of the Senate, and to the Speaker of the House of Representatives on or before January 15 of each year.

B.  It is the intention of the Legislature that all state public entities and other governmental subdivisions of this state aggressively pursue procurement practices that encourage solid waste reduction and development of markets for recyclable materials and compost and shall, whenever practical, procure products containing recycled materials.

Added by Laws 1988, c. 311, § 6, eff. July 1, 1988.  Amended by Laws 1990, c. 145, § 6, operative July 1, 1990; Laws 1992, c. 155, § 5, eff. July 1, 1992; Laws 1998, c. 135, § 1, emerg. eff. April 16, 1998.

§74-85.55a.  Information clearinghouse - Joint agreements and contracts - Interstate transactions.

A.  The Department of Central Services shall maintain a clearinghouse of information regarding products made from recycled paper products and products manufactured with recycled materials for purchase by state public entities.  The clearinghouse shall include information concerning the availability, price and quality of products made from recycled paper products and products manufactured with recycled materials.  The clearinghouse shall also include information concerning vendors and other persons willing to purchase recyclable materials from state public entities.  The Department shall develop a mechanism to make this information available to all state public entities.

B.  The Department may enter into agreements with purchasing agents of any other state, local governments, or the federal government under which any of the parties may agree to participate in, administer, sponsor or conduct purchasing transactions under a joint contract for the purchase of materials, supplies, equipment, permanent personal property, miscellaneous capital or contractual services consistent with this act.

C.  The Department may cooperate with purchasing agents and other interested parties of any other state, local governments, or the federal government to develop uniform purchasing specifications on a regional or national level to facilitate cooperative interstate purchasing transactions.

Added by Laws 1992, c. 155, § 6, eff. July 1, 1992.

§7485.56.  State Recycling Revolving Fund  Use of revenues from sale of waste materials.

A.  There is hereby created in the State Treasury a revolving fund for the Department of Central Services, to be designated the "State Recycling Revolving Fund".  The fund shall be administered in accordance with standard revolving fund procedures.  The Department shall direct to the State Recycling Revolving Fund any federal or private grants which may qualify.  The Department shall have the authority to expend monies from the fund for the purpose of implementing the Oklahoma State Recycling and Recycled Materials Procurement Act and to defray expenses the Department incurs to support recycling operations.

B.  Revenues received from the sale of waste materials which can be recycled through any recycling programs operated by the Department shall be used to implement the Oklahoma State Recycling and Recycled Materials Procurement Act and to defray expenses the Department incurs to support recycling operations.

Added by Laws 1980, p. 1201, H.J. Res. No. 1057, § 3, eff. Oct. 1, 1980.  Amended by Laws 1983, c. 304, § 68, eff. July 1, 1983; Laws 1988, c. 311, § 7, eff. July 1, 1988.  Renumbered from § 2768 of Title 63 by Laws 1988, c. 311, § 9, eff. July 1, 1988.  Amended by Laws 1990, c. 145, § 7, operative July 1, 1990; Laws 2003, c. 372, § 7, eff. July 1, 2003.

§7485.57.  Employment of disabled workers, inmates of jails and correctional institutions and retired persons.

The Office of Public Affairs, whenever possible, shall contract with, employ or utilize the services of the disabled workers, inmates of county jails, and the Department of Corrections and the retired as a labor force in the identification, handling, hauling, and storage of materials and products which can be recycled.

Laws 1980, H.J.Res.No. 1057, eff. Oct. 1, 1980. Amended by Laws 1983, c. 304, § 69, eff. July 1, 1983; Laws 1988, c. 311, § 8, eff. July 1, 1988. Renumbered from Title 63, § 2769 by Laws 1988, c. 311, § 9, eff. July 1, 1988.  Amended by Laws 1990, c. 145, § 8, operative July 1, 1990.

§74-85.58A.  Comprehensive professional risk management program - Administrator - Participation by community action agencies.

A.  The Department of Central Services shall establish for all state agencies, whether or not subject to the Central Purchasing Act, and other entities as provided by law a comprehensive professional risk management program which shall:

1.  Identify and evaluate risks of loss and exposures to loss to officers, employees and properties;

2.  Minimize risks through loss-prevention and loss-control programs;

3.  Transfer risks, if economically advantageous to the state, by acquiring commercial insurance, contractual pass through of liability, or by other means;

4.  Consolidate and administer risk management plans and programs including self-insurance programs, except Workers' Compensation Insurance and State Employees Group Insurance;

5.  Determine feasibility of and, if feasible, establish self-insurance programs, considering whether a program may be self-supporting to remain financially and actuarially sound;

6.  Provide a system to allocate insurance and program costs to determine payment for insurance coverage and program expenses provided by the Department of Central Services;

7.  When requested by a state retirement system, CompSource Oklahoma or the State and Education Employees Group Insurance Board, assist in obtaining insurance authorized by law. If requested by the Oklahoma State Regents for Higher Education, assist trust funds for which the State Regents serve as trustees in obtaining insurance authorized by law;

8.  Assist state agencies and officers, employees, and members thereof, charged with licensing authority, in obtaining insurance for liability for judgments, based on the licensing authority, rendered by any court pursuant to federal law;  

9.  When requested by a public trust established pursuant to Title 60 of the Oklahoma Statutes of which the State of Oklahoma is the beneficiary, obtain, provide or assist the public trust in obtaining insurance authorized by law or trust indenture covering any board member, trustee, official, officer, employee or volunteer for errors and omissions or liability risks arising from the performance of their official duties pursuant to law or trust indenture; and

10.  When requested by the State Regents, for the purpose of insuring real property required pursuant to Section 4018 of Title 70 of the Oklahoma Statutes, of which the State Regents is the beneficiary, obtain, provide or assist the State Regents in obtaining insurance for the real property pursuant to the provisions of this section.

B.  The Director of Central Services may hire or contract for the services of a Risk Management Administrator to supervise the Comprehensive Professional Risk Management Program established pursuant to this section.  If appointed by the Director as a state employee, the Risk Management Administrator shall be in the unclassified service.

C.  The Risk Management Administrator shall evaluate insurance coverage needs and in force for state agencies, whether or not subject to the Central Purchasing Act, and other entities as provided by law.  All entities shall submit to the Risk Management Administrator all information which the Risk Management Administrator deems necessary to perform this duty.

D.  The Risk Management Administrator in conjunction with the State Purchasing Director under the authority of the Director of Central Services may negotiate insurance coverage and services contracts.  The State Purchasing Director shall ensure open processes for solicitation and qualification of insurance coverage and services providers.  The State Purchasing Director shall award contracts for insurance coverage and services to the provider which offer the best and final terms and conditions.

E.  The school districts of this state may request the Risk Management Administrator to advise for the purchase of insurance coverage for the school districts.

F.  A state agency, whether or not subject to the Central Purchasing Act, that contemplates purchase of property and casualty insurance, shall provide details of the proposed purchase to the Risk Management Administrator for approval or disapproval prior to the purchase.

G.  The Director of Central Services shall promulgate rules to effect the provisions of the comprehensive professional risk management program.

H. 1. a. Any community action agency established pursuant to Sections 5035 through 5040 of this title may participate in the comprehensive professional risk management program established pursuant to this section for risks incurred as a result of operating a Head Start program or providing transportation services to the public.  The Risk Management Administrator shall obtain or provide for insurance coverage for such community action agencies or bonding for employees of such community action agencies.  Any liability insurance coverage obtained or provided shall include expenses for administrative and legal services obtained or provided by the Risk Management Administrator.

b. The Risk Management Administrator shall determine criteria for participation in the risk management program by such community action agencies.  In addition, the Risk Management Administrator may require each such community action agency to:

(1) provide adequate qualified personnel and suitable facilities and equipment for operating a Head Start program or providing transportation services to the public, and  

(2) comply with such standards as are necessary for the protection of the clients it serves.

2.  To receive coverage pursuant to this section, a community action agency shall make payments for any insurance coverage and shall otherwise comply with the provisions of this section and rules promulgated by the Department pursuant to the provisions of this section.

3.  Requests for the insurance coverage provided pursuant to the provisions of this subsection shall be submitted in writing to the Risk Management Administrator by the community action agencies.

I.  The Risk Management Administrator may provide or obtain for any state agency, public trust with the state as a beneficiary and  a director, officer, employee or member thereof, insurance for liability for loss, including judgments, awards, settlements, costs and legal expenses, resulting from violations of rights or privileges secured by the Constitution or laws of the United States of America which occur while a director, officer, employee or member is acting within the scope of service to the State of Oklahoma.  The insurance shall be for coverage in excess of the limits on liability established by the Governmental Tort Claims Act but shall not limit or waive any immunities now or hereafter available to the State of Oklahoma or any state agency, any public trust with the state as a beneficiary, or any director, officer, employee or member thereof, including, but not limited to, any immunities under the Eleventh Amendment to the Constitution of the United States, state sovereign immunity, and any absolute or qualified immunity held by any director, officer, employee or member.

Added by Laws 1984, c. 141, § 1, operative July 1, 1984.  Amended by Laws 1985, c. 97, § 1, emerg. eff. May 28, 1985; Laws 1986, c. 150, § 24, emerg. eff. April 29, 1986; Laws 1986, c. 301, § 31, operative July 1, 1986; Laws 1988, c. 321, § 42, operative July 1, 1988; Laws 1989, c. 375, § 15, emerg. eff. June 6, 1989; Laws 1990, c. 337, § 21; Laws 1993, c. 177, § 3, emerg. eff. May 13, 1993; Laws 1994, c. 329, § 3, eff. July 1, 1994.  Renumbered from § 85.34 of Title 74 by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.  Amended by Laws 2002, c. 195, § 1, eff. Nov. 1, 2002; Laws 2002, c. 483, § 6, eff. July 1, 2002.

NOTE:  Laws 1989, c. 318, § 4 repealed by Laws 1990, c. 337, § 26.

§74-85.58B.  Risk management insurance coverage - Fire protection.

A.  The Risk Management Administrator, pursuant to the provisions of this section and Section 85.34 of this title, may obtain or provide insurance coverage for any vehicle, vessel or aircraft used for or in fire fighting or services provided by the districts, departments and services specified in subsection D of this section and may obtain or provide indemnity coverage for any board member, official, employee or volunteer of any entity specified in subsection D of this section for any errors and omissions or liability risks arising from the performance of their official duties pursuant to law.

B.  The Risk Management Administrator, pursuant to the provisions of this section and Section 85.34 of this title, may obtain or provide insurance coverage for any building used for or in fire fighting or services specified in subsection D of this section.  If a fire department, district or service specified in subsection D of this section is housed in a building with any department or unit of local governmental entities, the Risk Management Administrator may also obtain or provide building or structure insurance coverage for such department or unit in such building.

C.  The Risk Management Administrator is authorized to determine eligibility criteria for participation in the Risk Management Program by such districts, departments and services or for such member, officer, employee or volunteer.  In addition, the Risk Management Administrator is authorized to establish equipment and safety standards for the vehicles, vessels, aircraft or buildings to be covered by the Risk Management Program.

D.  The Risk Management Administrator may obtain or provide the insurance coverage authorized by subsection A of this section for:

1.  Fire protection districts organized and operated pursuant to the provisions of Sections 901.1 through 901.29 of Title 19 of the Oklahoma Statutes;

2.  Volunteer or full-time fire departments established pursuant to Section 592 of Title 18 of the Oklahoma Statutes;

3.  Municipal fire departments organized and operated pursuant to the provisions of Sections 29-101 through 29-108, and Sections 29-201 through 29-205 of Title 11 of the Oklahoma Statutes;

4.  Fire protection services established pursuant to the provisions of Section 351 of Title 19 of the Oklahoma Statutes; and

5.  Rural fire coordinators employed by substate planning districts acting pursuant to rural fire defense programs.

E.  The governing authorities of such fire departments, fire protection districts and fire protection services shall be required to make payments for such insurance coverage as provided by Section 85.37 of this title.

F.  Requests for the insurance or indemnity coverage provided pursuant to the provisions of this section shall be submitted in writing to the Risk Management Administrator by the fire departments, fire protection districts or fire protection services specified in subsection C of this section.  Those fire departments, fire protection districts or fire protection services meeting eligibility criteria shall be approved for participation in the Risk Management Program by the Risk Management Administrator if the member, officer, employee or volunteer, and the vehicles, vessels, aircraft and buildings used by districts, services or departments meet the equipment and safety standards and eligibility requirements established by the Risk Management Administrator.

G.  Any insurance or indemnity coverage shall be obtained or provided solely from funds available in the shared risk pool authorized by Section 85.34B of this title.  Any coverage limits shall be based on the liquidity of the shared risk pool resulting from the annual payments made pursuant to Section 85.37 of this title and any interest accrued thereon, after deduction of such sums as may be necessary to pay all overhead and administrative expenses associated with administering the pool.

H.  Any limited indemnity coverage provided for errors and omissions pursuant to the provisions of this subsection shall only cover errors or omissions made by a board member, official, employee or volunteer of any entity specified in subsection C of this section occurring after the effective date of this act.

I.  The State of Oklahoma is not liable, directly or indirectly, for the errors and omissions of any board member, official, employee or volunteer of any entity specified in subsection C of this section in the performance of his official duties pursuant to law.  The State of Oklahoma is not liable, directly or indirectly, for the negligence of any entity specified in subsection C of this section.

J.  In providing risk management services for any entity specified by subsection C of this section or any such board member, official, employee or volunteer of such entity, it is the intention of the Legislature to provide coverage solely to the extent of assets in the shared risk pool created by Section 85.34B of this title.

K.  Any liability insurance coverage obtained or provided shall include expenses for legal services obtained or provided by the Risk Management Administrator.

Added by Laws 1987, c. 14, § 1, emerg. eff. April 13, 1987.  Amended by Laws 1991, c. 84, § 1, eff. July 1, 1991; Laws 1992, c. 44, § 4, emerg. eff. April 3, 1992; Laws 1994, c. 329, § 4, eff. July 1, 1994.  Renumbered from § 85.34A of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.58C.  Risk management insurance coverage - Rural gas districts.

A.  The Risk Management Administrator, pursuant to the provisions of this section and Section 85.34 et seq. of Title 74 of the Oklahoma Statutes, may obtain or provide insurance coverage for any board member, personnel, property and vehicles necessary for use by rural gas districts organized and operated pursuant to the provisions of Section 1324.1 et seq. of Title 82 of the Oklahoma Statutes.  The Risk Management Administrator is authorized to determine eligibility criteria for participation in the Risk Management Program by such districts.  In addition, the Risk Management Administrator is authorized to establish equipment and safety standards for any vehicles, equipment, or property used by the district and covered by the Risk Management Program.

B.  The governing authorities of the above-mentioned districts shall be required to make payments for such insurance coverage as provided by Section 85.37 of Title 74 of the Oklahoma Statutes.

C.  Requests for the insurance coverage provided pursuant to the provisions of this section shall be submitted in writing to the Risk Management Administrator by the governing boards of the districts specified in subsection A of this section.  Those districts meeting eligibility criteria shall be approved for participation in the Risk Management Program by the Risk Management Administrator if the vehicles, equipment and property meet the equipment and safety standards established by the Risk Management Administrator.

Added by Laws 1995, c. 209, § 1, emerg. eff. May 23, 1995.  Renumbered from § 85.34A1 of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.58D.  Risk Management Fire Protection Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Department of Central Services, to be designated the "Risk Management Fire Protection Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies transferred thereto by an act of the Legislature and any fees collected by the Department of Central Services in accordance with the provisions of Section 1 of Enrolled House Bill No. 1137 of the 1st Session of the 41st Oklahoma Legislature.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Department of Central Services for the purposes of the Comprehensive Professional Risk Management Program provided for in Section 85.58A of this title, including the salaries and administrative expenses of support staff responsible for administering the fund and expenses the Department incurs to support program operations.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1987, c. 203, § 95, operative July 1, 1987.  Amended by Laws 1997, c. 221, § 5, eff. Nov. 1, 1997.  Renumbered from § 85.34B of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.  Amended by Laws 2003, c. 372, § 8, eff. July 1, 2003.

§74-85.58E.  Risk management insurance coverage - Transportation for the elderly and handicapped.

A.  The Risk Management Administrator, pursuant to the provisions of this section and Section 85.34 of Title 74 of the Oklahoma Statutes, may obtain or provide insurance coverage for any vehicle used by any entity specified in subsection B of this section for transportation services for elderly and/or handicapped persons.  The Risk Management Administrator is authorized to determine eligibility criteria for participation in the Risk Management Program by such transportation services.  In addition, the Risk Management Administrator is authorized to establish equipment and safety standards for the vehicles to be covered by the Risk Management Program.

B.  The Risk Management Administrator may obtain or provide the insurance coverage authorized by subsection A of this section for:

1.  Counties;

2.  Municipalities;

3.  Community action agencies designated pursuant to Sections 5035 through 5040 of Title 74 of the Oklahoma Statutes;

4.  Any charitable corporation formed for the purpose of providing either a volunteer or full-time fire department, established pursuant to Section 592 of Title 18 of the Oklahoma Statutes, furnishing transportation for elderly and handicapped persons; and

5.  Any vehicle owned and operated by a nonprofit organization that pursuant to contract with the state or a political subdivision of the state provides older persons transportation to and from medical, dental and religious services and relief from business and social isolation.

C.  The governing authorities of such transportation services for elderly and handicapped persons shall be required to make payments for such insurance coverage as provided by Section 85.37 of Title 74 of the Oklahoma Statutes.

D.  Requests for the insurance coverage provided pursuant to the provisions of this section shall be submitted in writing to the Risk Management Administrator by the transportation services for elderly and handicapped persons specified in subsection B of this section.  Those transportation services for elderly and handicapped persons meeting eligibility criteria shall be approved for participation in the Risk Management Program by the Risk Management Administrator if the vehicles used by transportation services for elderly and handicapped persons meet the equipment and safety standards established by the Risk Management Administrator.

Added by Laws 1988, c. 40, §  1, eff. Nov. 1, 1988.  Renumbered from § 85.34C of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.58F.  Tort liability coverage for counties providing juvenile detention facilities.

A.  The Risk Management Administrator pursuant to Section 85.34 of Title 74 of the Oklahoma Statutes may obtain or provide insurance coverage for a county or counties at their request for any tort liability risks incurred as a result of providing or providing for the temporary detention of children in a juvenile detention facility pursuant to Sections 1107 through 1108 of Title 10 of the Oklahoma Statutes.

B.  The Risk Management Administrator is authorized to determine eligibility criteria for participation in the Risk Management Program for such county or counties.

C.  Such county or counties shall be required to make payments for such insurance coverage as provided by Section 85.37 of Title 74 of the Oklahoma Statutes.

D.  Requests for the insurance coverage provided pursuant to the provisions of this section shall be submitted in writing to the Risk Management Administrator by the county or counties.

Added by Laws 1988, c. 134, § 2, emerg. eff. April 19, 1988.  Renumbered from § 85.34D of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.58G.  Risk Management Elderly and Handicapped Transportation Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Department of Central Services, to be designated the "Risk Management Elderly and Handicapped Transportation Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies transferred thereto by an act of the Legislature and any fees collected by the Department of Central Services in accordance with the provisions of Section 1 of Enrolled House Bill No. 1666 of the 2nd Session of the 41st Oklahoma Legislature.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Department of Central Services for the purposes of the Comprehensive Professional Risk Management Program provided for in Section 85.58A of this title, including the salaries and administrative expenses of support staff responsible for administering said fund and expenses the Department incurs to support program operations.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1988, c. 305, § 23, operative July 1, 1988.  Renumbered from § 85.34E of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.  Amended by Laws 2003, c. 372, § 9, eff. July 1, 2003.

§74-85.58H.  Limited indemnity coverage for errors and omissions liability risks - Motor license agents and employees.

A.  Upon written certification by the Director of the Department of Central Services that errors and omissions liability insurance for motor license agents and their employees is not reasonably available in the private market at competitive rates, after taking into account the administrative costs associated with such insurance, the Risk Management Administrator pursuant to Section 85.34 of this title may obtain or provide limited indemnity coverage for motor license agents and the employees who are employed by such agents for any errors and omissions liability risks arising from the performance of their official duties pursuant to law.  Any such certification by the Director of the Department of Central Services shall be effective for a period of two (2) years.  Any such limited indemnity coverage shall be obtained or provided solely from funds available in the shared risk pool authorized by this section and subject to the limitations set out herein.  The Risk Management Administrator shall establish liability limits for such errors and omissions coverage on an annual basis.  Any such limits shall be based on the liquidity of the shared risk pool resulting from the annual payments made pursuant to subsection C of this section and any interest accrued thereon, after deduction of such sums as may be necessary to pay all overhead and administrative expenses associated with administering the pool.

B.  The Risk Management Administrator is authorized to determine eligibility criteria for participation in the Risk Management Program for such motor license agents and employees of such agents.  Any limited indemnity coverage provided for errors and omissions pursuant to the provisions of this subsection shall only cover errors or omissions made by a motor license agent or any employee of such agent occurring after July 1, 1990.

C.  Except as otherwise provided in subsection G of this section, motor license agents shall be required to make annual payments of Forty Dollars ($40.00) per motor license agent and Forty Dollars ($40.00) per employee of the motor license agent for such limited indemnity coverage.  The Risk Management Administrator is authorized to assess an additional payment per year, not to exceed Forty Dollars ($40.00) per motor license agent and per employee of such agent, if the shared risk pool resulting from the payment of the fees made pursuant to this subsection is not adequate to cover any liability incurred.

D.  Requests for the limited indemnity coverage provided pursuant to the provisions of this section shall be submitted in writing to the Risk Management Administrator by the motor license agents.

E.  All fees collected in accordance with the provisions of this section shall be deposited in the Oklahoma Motor License Agent Indemnity Fund.

F.  In providing risk management services for any motor license agent or employee of such agent, it is the intention of the Legislature to provide limited indemnification of motor license agents or employees of such agents for errors and omissions, solely to the extent of assets in the shared risk pool created by this section.  The State of Oklahoma is not liable, directly or indirectly, for the errors and omissions of any motor license agent or any employee of such agent in the performance of official duties pursuant to law.  The Risk Management Administrator shall determine the extent of indemnification for losses incurred by any such motor license agent or employee of such agent based upon the liquidity of the shared risk pool.

G.  The Risk Management Administrator is authorized to establish a system under which the extent of indemnity coverage may be extended or reduced based upon an increase or decrease in the amount of the payment required in subsection C of this section.  Said system shall only be established when the liquidity of the shared risk pool is such that the system is feasible in the judgment of the Administrator.  Upon establishment of such a system, a motor license agent may elect to increase or decrease the amount of the payment required in subsection C of this section and correspondingly extend or reduce coverage for losses incurred by the motor license agent or employee of such agent.

Added by Laws 1990, c. 315, § 7, eff. July 1, 1990.  Amended by Laws 1994, c. 329, § 5, eff. July 1, 1994; Laws 1998, c. 78, § 2, emerg. eff. April 8, 1998.  Renumbered from § 85.34F of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.58I.  Conservation districts - Participation in the Risk Management Program.

A.  The Risk Management Administrator may obtain or provide the insurance coverage specified by this section for conservation districts established pursuant to Article III of Title 27A of the Oklahoma Statutes.  Pursuant to the provisions of this section and Section 85.34 of Title 74 of the Oklahoma Statutes, the Risk Management Administrator may obtain or provide:

1.  Property and casualty insurance for any vehicle, vessel or aircraft owned or operated by the conservation districts or services provided by conservation districts;

2.  Indemnity coverage for any board member, official, employee or volunteer of any conservation district for any errors and omissions or liability risks arising from the performance of their official duties pursuant to law.  Any limited indemnity coverage provided for errors and omissions pursuant to the provisions of this subsection shall only cover errors or omissions made by a board member, official, employee or volunteer of a conservation district occurring after the effective date of this section;

3.  Property and casualty insurance coverage for any building owned or leased by the conservation districts.  If a conservation district is housed in a building with any department or unit of local governmental entities, the Risk Management Administrator may also obtain or provide building or structure insurance coverage for such department or unit in the building;

4.  Property and casualty insurance for any liability incurred by a conservation district as a result of the participation of the conservation district in the operation and maintenance of flood control structures or any liability occurring as a result of the participation of the conservation districts in federal or state programs authorized pursuant to Article III of Title 27A of the Oklahoma Statutes; or

5.  Indemnity insurance for liability for loss, including judgments, awards, settlements, costs and legal expenses, resulting from violations of rights or privileges secured by the Constitution or laws of the United States which occur while a director, officer, employee or member is acting within the scope of his service to the conservation district.  Such indemnity insurance shall be for coverage in excess of the limits on liability established by the Governmental Tort Claims Act but shall not limit or waive any immunities now or hereafter available to the conservation district, or any director, officer, employee or member thereof, including, but not limited to, any immunities under the Eleventh Amendment to the Constitution of the United States, state sovereign immunity, and any absolute or qualified immunity held by any director, officer, employee or member.

B.  The Risk Management Administrator is authorized to determine eligibility criteria for participation in the Risk Management Program by conservation districts, or for such member, officer, employee or volunteer of any conservation district.  In addition, the Risk Management Administrator is authorized to establish equipment and safety standards for the vehicles, vessels, aircraft, buildings or other structures to be covered by the Risk Management Program.

C.  Requests for the insurance or indemnity coverage provided pursuant to the provisions of this section shall be submitted in writing to the Risk Management Administrator by the conservation district.  Those conservation districts meeting eligibility criteria shall be approved for participation in the Risk Management Program by the Risk Management Administrator if the member, officer, employee or volunteer, and the vehicles, vessels, aircraft and buildings used by the conservation districts meet the equipment and safety standards and eligibility requirements established by the Risk Management Administrator.  The Risk Management Administrator shall establish liability limits for the insurance coverage authorized by this section on an annual basis.  Any such limits shall be based on the liquidity of the shared risk pool in the Conservation District Protection Account resulting from the annual payments made pursuant to Section 85.37 of Title 74 of the Oklahoma Statutes and any interest accrued thereon, after deduction of such sums as may be necessary to pay all overhead and administrative expenses associated with administering the pool.

D.  The conservation districts shall be required to make payments for such insurance coverage.  All fees collected in accordance with the provisions of this section shall be deposited in the Conservation District Protection Account within the Risk Management Political Subdivision Participation Revolving Fund.

E.  1.  Any insurance or indemnity coverage shall be provided solely from funds in the Conservation District Protection Account and to the extent of assets available in the shared risk pool established pursuant to the provisions of Section 2 of this act.  The Risk Management Administrator shall determine the extent of indemnification for losses incurred by any conservation district based upon the liquidity of the shared risk pool in the Conservation District Protection Account.

2.  The State of Oklahoma is not liable, directly or indirectly, for any liability incurred by any board member, official, employee or volunteer of any conservation district in the performance of his official duties pursuant to law.  In addition, the State of Oklahoma is not liable, directly or indirectly, for any liability incurred by a conservation district established pursuant to Article III of Title 27A of the Oklahoma Statutes.

F.  Any insurance coverage obtained or provided pursuant to the provisions of this section shall include expenses for legal services obtained or provided by the Risk Management Administrator.

Added by Laws 1995, c. 301, § 1, eff. July 1, 1995.  Renumbered from § 85.34G of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.58J.  Foster family homes - Property and casualty insurance.

A.  1.  The Risk Management Administrator may obtain or otherwise provide for the insurance coverage specified by this section for a foster family home providing foster care services for children in the custody of the Department of Human Services pursuant to the Oklahoma Children's Code or the Department of Juvenile Justice pursuant to the Juvenile Justice Code.

2.  Pursuant to the provisions of this section and Section 85.34 of Title 74 of the Oklahoma Statutes, the Risk Management Administrator may obtain or otherwise provide for property and casualty insurance for injuries or damages arising from the foster care relationship and the provision of foster care services, property damage or bodily injury, as a result of the activities of the foster child, and reasonable and necessary legal fees incurred in defense of civil claims filed pursuant to this section, the Oklahoma Foster Care and Out-of-Home Placement Act, the Oklahoma Children's Code or the Juvenile Justice Code, and any judgments awarded as a result of such claims.  Any insurance coverage obtained or provided pursuant to the provisions of this section shall include expenses for legal services obtained or provided by the Risk Management Administrator.

B.  The Risk Management Administrator is authorized to establish qualifications for coverage and to determine eligibility criteria and other standards for participation in the Risk Management Program by the foster family homes.  A foster family shall be approved for participation in the Risk Management Program by the Risk Management Administrator if the foster family meets the standards and eligibility requirements established by the Risk Management Administrator.

C.  1.  A request for the insurance coverage provided pursuant to this section shall be submitted in writing to the Department of Human Services and the Department of Juvenile Justice by a foster care family.  The Department of Human Services and the Department of Juvenile Justice shall provide a list of the names of all foster family homes which wish to obtain insurance coverage specified by this section to the Risk Management Administrators.

2.  Upon obtaining insurance coverage as provided by this section, the Department of Human Services and the Department of Juvenile Justice shall provide notice to all foster family homes with whom the state agencies contract for foster care services.

D.  The Risk Management Administrator shall establish liability limits for the insurance coverage authorized by this section on an annual basis based on the insurance carrier requirements or based on the liquidity of the shared risk pool in the Foster Families Protection Account resulting from the annual payments made pursuant to Section 85.37 of Title 74 of the Oklahoma Statutes and any interest accrued thereon, after deduction of such sums as may be necessary to pay all overhead and administrative expenses associated with administering the pool.

E.  A foster family shall be required to make payments for such insurance coverage or payments may be made from funds deposited on behalf of foster families by the Department of Human Services or the Department of Juvenile Justice if such funds are available.  All fees collected in accordance with the provisions of this section shall be deposited in the Foster Families Protection Account.  Claims against the insurance carrier or the pool shall be filed with either the Department of Human Services or the Department of Juvenile Justice, as appropriate, and shall be forwarded to the Risk Management Administrator.

F.  1.  Any insurance or indemnity coverage shall be provided solely from funds in the Foster Families Protection Account and to the extent of assets available in the shared risk pool established pursuant to the provisions of this section.  The Risk Management Administrator shall determine the extent of indemnification for losses incurred by any foster families based upon the liquidity of the shared risk pool in the Foster Families Protection Account.

2.  The State of Oklahoma is not liable, directly or indirectly, for any liability incurred by a foster family in the performance of foster care services.

G.  1.  There is hereby created in the State Treasury a revolving fund for the Department of Central Services, to be designated the "Foster Families Protection Account".  The account shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies transferred thereto by the Department of Human Services, the Department of Juvenile Justice or any child-placing agency, and any fees collected by the Department of Central Services and deposited pursuant to law.

2.  All monies accruing to the credit of said fund shall be expended by the Department of Central Services for the specific purposes specified by this section and the salaries and administrative expenses of support staff responsible for administering the fund.

3.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.  The Foster Families Protection Account shall consist of:

a. all fees and other monies received pursuant to this section, and

b. interest attributable to investment of monies in the account.

H.  1.  The monies deposited in the account shall at no time become monies of the state and shall not become part of the general budget of the Department of Central Services or any other state agency.  Except as otherwise authorized by this subsection, no monies from the account shall be transferred for any purpose to any other state agency or any account of the Department of Central Services or be used for the purpose of contracting with any other state agency or reimbursing any other state agency for any expense.

2.  Monies in the account shall only be expended for:

a. the purposes specified by this section, and

b. costs incurred by the Comprehensive Professional Risk Management Program for the administration of this section.

I.  Any costs incurred by the Department of Central Services pursuant to the provisions of this section shall not exceed the actual expenditures made by the Department of Central Services to implement the provisions of this section.

J.  Payment of claims from the Foster Families Protection Account shall not become or be construed to be an obligation of this state.  No claims submitted for reimbursement or payment from the account shall be paid with state monies.

Added by Laws 1996, c. 353, § 14, eff. Nov. 1, 1996.  Renumbered from § 85.34H of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.58K.  Risk Management Revolving Fund.

A.  There is hereby created in the State Treasury a revolving fund for the Department of Central Services, to be designated the "Risk Management Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies transferred thereto by act of the Legislature and any monies which may be deposited thereto by the Department of Central Services as provided for by law.  All interest earned by the State Treasurer on monies deposited in the Risk Management Revolving Fund shall be deposited to the Risk Management Revolving Fund.

B.  Within the Risk Management Revolving Fund, there is hereby created the Property and Casualty Account, the Motor Vehicle Liability Account and the General Tort Liability Account.  The Director of Central Services is authorized to establish such additional accounts within the Risk Management Revolving Fund deemed necessary.  The monies in each account shall be maintained actuarially separate to ensure that premiums or fees paid for specific insurance coverage are adequate to pay the expenses and claims for that coverage.

C.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Department of Central Services for the purposes of the Comprehensive Professional Risk Management Program provided for in Section 85.58A of this title, including but not limited to the salaries and administrative expenses of the Risk Management Administrator and support staff and expenses the Department incurs to support program operations.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1985, c. 312, § 43, emerg. eff. July 25, 1985.  Amended by Laws 1989, c. 300, § 19, operative July 1, 1989; Laws 1994, c. 329, § 6, eff. July 1, 1994.  Renumbered from § 85.35 of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.  Amended by Laws 2003, c. 372, § 10, eff. July 1, 2003.

§74-85.58L.  Risk Management Political Subdivision Participation Revolving Fund.

A.  There is hereby created in the State Treasury a revolving fund for the Department of Central Services, to be designated the "Risk Management Political Subdivision Participation Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies transferred thereto by an act of the Legislature and any fees collected by the Department of Central Services and deposited pursuant to law.  All monies accruing to the credit of said fund shall be expended by the Department of Central Services for the purposes specified by this section and the salaries and administrative expenses of support staff responsible for administering the fund and expenses the Department incurs to support program operations.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

B.  Within the Risk Management Political Subdivision Participation Revolving Fund, there is hereby created the Conservation District Protection Account.  The account shall be set apart as a separate, permanent and perpetual account not subject to fiscal year limitations and shall consist of:

1.  All fees and other monies received pursuant to Section 1 of the act; and

2.  Interest attributable to investment of monies in the account.

C.  1.  The monies deposited in the Risk Management Political Subdivision Participation Revolving Fund shall at no time become monies of any other state agency.  Except as otherwise authorized by this subsection, no monies from the Risk Management Political Subdivision Participation Revolving Fund shall be transferred for any purpose to any other state agency or be used for the purpose of contracting with any other state agency or reimbursing any other state agency for any expense.

2.  Monies in the Risk Management Political Subdivision Participation Revolving Fund shall only be expended for:

a. the purposes specified by this section, and

b. costs incurred by the Comprehensive Professional Risk Management Program for the administration of duties this section specifies and expenses the Department incurs to support program operations.

D.  Any costs incurred by the Department of Central Services pursuant to the provisions of this section shall not exceed the actual expenditures made by the Department of Central Services to implement the provisions of this section.

E.  Payment of claims from the Risk Management Political Subdivision Participation Revolving Fund shall not become or be construed to be an obligation of this state.  No claims submitted for reimbursement or payment from the fund shall be paid with state monies.

Added by Laws 1995, c. 301, § 2, eff. July 1, 1995.  Renumbered from § 85.36A of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.  Amended by Laws 2003, c. 372, § 11, eff. July 1, 2003.

§74-85.58M.  Insurance fee.

A.  The Department of Central Services shall levy and collect reasonable fees and premiums from state agencies and other entities as provided by law covered by the Comprehensive Professional Risk Management Program for the purpose of providing insurance coverage.

B.  All fees and premiums shall be promptly paid when due.  Fees and premiums collected in accordance with the provisions of this section shall be deposited in the appropriate risk management fund.

C.  If a state agency fails to pay the insurance fees and premiums within forty-five (45) days of due date, the Department of Central Services shall consider the invoice delinquent.  The Department may present a claim to the Office of State Finance for payment of the delinquent invoice from funds available to the delinquent agency.  The Office of State Finance shall transfer funds to the Department of Central Services to pay the invoice from monies available to the delinquent agency for the general operations of the agency which are not specifically prohibited for such use by federal or state law.  If funds of the delinquent agency are not available to pay the invoice in full, the Department of Central Services shall submit claims as necessary to pay the invoice as soon as funds are available from the funds of the delinquent agency.

Added by Laws 1985, c. 312, § 45, emerg. eff. July 25, 1985.  Amended by Laws 1986, c. 301, § 32, operative July 1, 1986; Laws 1987, c. 203, § 99, operative July 1, 1987; Laws 1993, c. 133, § 1, emerg. eff. May 4, 1993; Laws 1994, c. 329, § 7, eff. July 1, 1994.  Renumbered from § 85.37 of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998; Laws 2002, c. 483, § 7, eff. July 1, 2002.

§74-85.58N.  Quick Settlement Account.

The Special Agency Account Board shall create in the official depository of the State Treasury an agency special account for the Department of Central Services to be designated as the "Quick Settlement Account".  The purpose of the account shall be the payment of liability claims against the state after a determination by the Risk Management Administration that such payments are in the best interest of the state, are in accordance with the laws and regulations governing the Comprehensive Professional Risk Management Program, and are in an amount not exceeding Ten Thousand Dollars ($10,000.00).  No monies shall be expended from the Quick Settlement Account except as provided for in this section.

The Department of Central Services shall transfer funds as necessary from the Risk Management Revolving Fund to the Quick Settlement Account, provided that the maximum sum held in the Quick Settlement Account shall not exceed Ten Thousand Dollars ($10,000.00), excluding funds in transit.  Expenditures from the Quick Settlement Account shall be exempt from the provisions of the Oklahoma Central Purchasing Act.

Added by Laws 1985, c. 312, § 46, emerg. eff. July 25, 1985.  Amended by Laws 1994, c. 329, § 8, eff. July 1, 1994.  Renumbered from § 85.38 of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-85.58O.  Community action agency - Automobile, building and liability insurance - Limitation of liability.

A.  The Risk Management Administrator, pursuant to the provisions of this section and Section 85.58A of Title 74 of the Oklahoma Statutes, may obtain or provide insurance coverage for any public transit vehicle obtained by a community action agency or a substate planning district through the Department of Transportation pursuant to a federal grant and may obtain or provide indemnity coverage for any official or employee of the community action agency or a substate planning district for any errors and omissions or liability risks arising from the performance of official duties pursuant to law.

B.  The Risk Management Administrator, pursuant to the provisions of this section and Section 85.58A of Title 74 of the Oklahoma Statutes, may obtain or provide insurance coverage for any building used for public transit services or for storage of public transit vehicles if the public transit vehicles are obtained as provided in subsection A of this section.  If a public transit vehicle obtained as provided for in subsection A of this section is housed in a building with any department or unit of local governmental entities, the Risk Management Administrator may also obtain or provide building or structure insurance coverage for such department or unit in such building.

C.  The Risk Management Administrator is authorized to determine eligibility criteria for participation pursuant to this section in the Risk Management Program for a community action agency or a substate planning district or for officers or employees of a community action agency or a substate planning district.  In addition, the Risk Management Administrator is authorized to establish equipment and safety standards for the vehicles or buildings to be covered by the Risk Management Program pursuant to this section.

D.  Requests for the insurance or indemnity coverage provided pursuant to the provisions of this section shall be submitted in writing to the Risk Management Administrator by the community action agency or a substate planning district.  Any community action agency or a substate planning district meeting eligibility criteria shall be approved for participation in the Risk Management Program by the Risk Management Administrator if the officers and employees and the vehicles and buildings used by the participating community action agency or a substate planning district meet the equipment and safety standards and eligibility requirements established by the Risk Management Administrator.

E.  Any insurance or indemnity coverage shall be obtained or provided solely from funds available in the shared risk pool authorized by Section 3 of this act.  Any coverage limits shall be based on the liquidity of the shared risk pool resulting from the annual payments made pursuant to Section 85.58M of Title 74 of the Oklahoma Statutes and any interest accrued thereon, after deduction of such sums as may be necessary to pay all overhead and administrative expenses associated with administering the pool.

F.  Any limited indemnity coverage provided for errors and omissions pursuant to the provisions of this section shall only cover errors or omissions made by an official or employee of a community action agency or a substate planning district provided for in subsection A of this section occurring on or after the effective date of this act.

G.  Notwithstanding the provisions of the Governmental Tort Claims Act, the State of Oklahoma is not liable, directly or indirectly, for the errors and omissions of any official or employee of any community action agency or a substate planning district provided for in subsection A of this section in the performance of official duties pursuant to law.  The State of Oklahoma is not liable, directly or indirectly, for the negligence of any community action agency or a substate planning district provided for in subsection A of this section.

H.  In providing risk management services for any community action agency or a substate planning district provided for in subsection A of this section or official or employee of the community action agency or a substate planning district, it is the intention of the Legislature to provide coverage solely to the extent of assets in the shared risk pool created by Section 3 of this act.

I.  Any liability insurance coverage obtained or provided shall include expenses for legal services obtained or provided by the Risk Management Administrator.

Added by Laws 2004, c. 440, § 2, eff. July 1, 2004.

§74-85.58P.  Risk Management Public Transit Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Department of Central Services, to be designated the "Risk Management Public Transit Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies transferred thereto by an act of the Legislature and any fees collected by the Department of Central Services in accordance with the provisions of Section 2 of this act.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Department of Central Services for the purposes of the Comprehensive Professional Risk Management Program provided for in Section 85.58A of Title 74 of the Oklahoma Statutes, including the salaries and administrative expenses of support staff responsible for administering the fund and expenses the Department incurs to support program operations.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 2004, c. 440, § 3, eff. July 1, 2004.

§74-85.60.  Patented and copyrighted material negotiation and contracting for retention - State property rights - Deposit of sale proceeds.

A.  Except as otherwise provided by Section 3206.3 of Title 70 of the Oklahoma Statutes, the Department of Central Services shall be the exclusive agency to negotiate and contract for the retention of patents and copyrights on material and property developed through state contracts subject to the Central Purchasing Act, unless an agency has been given specific authority to make such agreements by statute.

B.  Except as otherwise provided by Section 3206.3 of Title 70 of the Oklahoma Statutes and Section 1365 of this title, any patented property or copyrighted material developed by contracts subject to the Central Purchasing Act, shall be the property of the State of Oklahoma under the sole management of the Department of Central Services.  Such property or material may be licensed or sold by the Department of Central Services using similar procedures governing the sale of other state property but without declaring such property to be surplus.

C.  Proceeds from the sale of such property or material under the jurisdiction of the Department of Central Services shall be deposited to the General Fund of the State of Oklahoma.

D.  The Department of Central Services may contract with legal counsel experienced in the field of patent and copyright law to advise and assist that agency in carrying out its duties and responsibilities under this section for intellectual property under the jurisdiction of the Department of Central Services.

Added by Laws 1990, c. 264, § 86, operative July 1, 1990.  Amended by Laws 1998, c. 211, § 6, eff. July 1, 1998; Laws 2000, c. 322, § 1, emerg. eff. June 5, 2000.

§74-85.34A1.  Renumbered as § 85.58C of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§7486.1.  Payment of vendor invoices.

To facilitate the payment of vendor invoices and contract estimates the State Budget Director shall design a uniform jacket to be used by all departments, institutions and agencies of the state, whereon shall be provided summarized information relative to the enclosed invoices or contract estimates, together with a space for the approval of the head of the department, institution or agency approving said vendor invoices or contract estimates for payment. Vendor invoices and contract estimates shall be accepted by the state in lieu of the claim form previously required in the same manner as commercial invoices are paid.  Vendor invoices and contract estimates shall be filed with the department, institution or agency receiving the merchandise or services in the same manner as invoices are filed with commercial firms.  Upon receipt of invoices or contract estimates the head of the department, institution or agency, or his authorized agent, may approve said documents for payment by executing a certificate of delivery or acceptance of the goods or services.  Whereupon, the authorized official of said agency may approve said invoices of contract estimates for payment by enclosing the invoice or contract estimate in a jacket provided for such purpose and affixing his approval in the space provided on the jacket.  The provisions of this section shall become effective July 1, 1949, and thereafter commercial invoices shall be accepted in lieu of the standard notarized claim prescribed by the state.

Laws 1949, p. 622, § 1.  

§7487.1.  Persons with authority to make State purchases  Prohibition on furnishing supplies and equipment.

It shall be unlawful for the superintendent or business manager of any state agency or institution or any person with authority to purchase supplies, materials or equipment for such state agency or institution, or the spouse or child of either of them, to furnish such supplies, materials or equipment, or be interested by stock ownership or other profit sharing arrangements, in any business entity which is engaged in the furnishing of such supplies, materials or equipment to such agency, department or institution of the State of Oklahoma.

Laws 1961, p. 229, § 1.  

§7487.2.  Penalties.

Any person violating the provisions of Section 1 of this act shall be guilty of a misdemeanor and upon conviction thereof shall be penalized by the payment of a sum of not to exceed One Thousand Dollars ($1,000.00) or imprisonment in the county jail for not to exceed ninety (90) days or by both such fine and imprisonment and any employment of such person in any office position or capacity by the State of Oklahoma shall be terminated immediately upon such conviction whether or not any fine or confinement is imposed by the court.

Laws 1961, p. 229, § 2.  

§7488.1.  Inventory of State institution purchases to determine conformity with specifications  Dismissal for failure to comply.

It shall be the duty of each chief administrative officer of all State institutions to make or cause to be made an inventory of all purchases made for such institution at the time of their delivery or receipt for the purpose of determining whether the items delivered are in conformity with the specifications required of such items at the time of purchase and any such chief administrative officer, who fails to make or cause to be made such inventory, shall be relieved from his position by the appointing authority.

Laws 1961, p. 590, § 1.  

§7488.2.  Report of deviation.

In the event the inventory required by this act reveals that such items deviate substantially from the specifications as ordered, such facts shall be reported by the Chief Administrative Office of the Institution to the Purchasing Director of the State of Oklahoma, and failure to make such report shall constitute a misdemeanor.

Laws 1961, p. 590, § 2.  

§74-89.  Renumbered as § 85.45j of this title by Laws 1998, c. 371, § 15, eff. Nov. 1, 1998.

§74-90.1.  Postal services.

A.  Except as otherwise provided for in this section, any agency, as defined in the Administrative Procedures Act, which has an expenditure for postage of One Thousand Dollars ($1,000.00) or more for any one (1) fiscal year shall install a postage meter machine and have all purchases of postage recorded on that postage meter machine.  Except, a field office or branch office of a state agency distantly located from the parent agency, and which office has an annual expenditure for postage of less than One Thousand Dollars ($1,000.00), may purchase postage stamps in the manner prescribed by Section 90.2 of this title and such purchases shall not be subject to the provisions of subsection B of this section.

B.  Any agency, as defined in the Administrative Procedures Act, not engaged in scientific research or community development, which finds it necessary, in order to more efficiently and effectively carry out certain programs or functions, is hereby authorized, upon making application to the Director of the Office of State Finance showing sufficient need and upon approval by said Director, to purchase not more than One Thousand Dollars ($1,000.00) worth of postage stamps during any one (1) fiscal year in the manner prescribed by Section 90.2 of this title, with a method of accountability for the use thereof to be maintained and subject to audit.  Any agency of the state engaged in scientific research or community development, which finds it necessary, in order to effectively carry out such research or development, is hereby authorized, upon making application to the Director of the Office of State Finance showing sufficient need and upon approval by the Director, to purchase postage stamps in the amount demonstrated necessary to pursue such research or development in the manner prescribed by Section 90.2 of this title, with a method of accountability for the use thereof to be maintained and subject to audit.  Provided, however, the finance officer of such state agency shall keep and maintain a record of all postage stamp allocations within the agency.  For purposes of this section, "scientific research" shall mean research conducted under formally sponsored grants or contracts; "community development" shall mean development conducted by a formally and permanently organized office for that purpose.

C.  Every state agency shall utilize business reply mail accounts, bulk mailing accounts, postage due accounts, zip + 4 codes, mailer applied bar codes or such other services offered by the United States Postal Service for the purpose of reducing postal costs and promoting efficiency.  The Department of Central Services shall oversee the implementation of the provisions of this subsection.

Added by Laws 1963, c. 112, § 1.  Amended by Laws 1980, c. 162, § 1, emerg. eff. April 14, 1980; Laws 1986, c. 241, § 1, eff. Nov. 1, 1986; Laws 1992, c. 238, § 1, eff. Sept. 1, 1992; Laws 1998, c. 364, § 29, emerg. eff. June 8, 1998; Laws 2003, c. 218, § 1, eff. Nov. 1, 2003.

§7490.2.  Payment of postal expense.

No money shall be expended by any agency, board, commission, department or institution of the state for postage stamps or post office box rent except on vouchers made payable to United States Post Office and the warrant or check shall be endorsed by the postmaster from where the purchase is made.

Laws 1963, c. 112, § 2.  

§7490.3.  Exemptions.

The traveling employees of the state shall be exempt from the terms of this act while traveling on state business.  The House of Representatives and Senate of the Oklahoma State Legislature shall be exempt from the terms of this act.

Laws 1963, c. 112, § 3.  

§7490.4.  Installation cost and rental fees  Payment.

The installation cost and rental of the postage meters required by this act shall be paid for by the agency, board, commission, department or institution from the appropriations of said agency, board, commission, department or institution.

Laws 1963, c. 112, § 4.  

§7490.5.  Definitions.

For the purposes of this act:

1.  "State agency" means any agency, department, board or commission of the state or any state eleemosynary, educational, rehabilitative, correctional or custodial facility.

2.  "Political subdivision" means any municipality, city, town, village, school or county.

Laws 1975, c. 72, § 1, emerg. eff. April 18, 1975.  

§7490.6.  Purchase of imported beef by state agencies and political subdivision prohibited.

No state agency or political subdivision of the State of Oklahoma may purchase beef, or any product consisting substantially of beef, which has been imported from outside the United States of America.

Laws 1975, c. 72, § 2, emerg. eff. April 18, 1975.  

§7490.7.  Penalty.

Any person knowingly and willfully violating this act shall be guilty of a misdemeanor.

Laws 1975, c. 72, § 3, emerg. eff. April 18, 1975.  

§74-94.  Agency having authority to designate quarters and allot space for state departments.

Except as otherwise provided by law, the Department of Central Services shall have full and complete authority to designate quarters for every department of state government, and to determine what space shall be allotted.

Added by Laws 1913, c. 197, p. 493, § 4.  Amended by Laws 1935, p. 24, § 2; Laws 1972, c. 67, § 1, emerg. eff. March 28, 1972; Laws 1983, c. 304, § 117, eff. July 1, 1983; Laws 1995, c. 268, § 4.

§7495.  Trade or transfer of products of state institutions.

The Office of Public Affairs shall have full and complete authority to trade and transfer any products produced or manufactured by any state institution for any commodity required for the support, maintenance, or operation of any farm or manufacturing industry located at said institution.  The Office of Public Affairs shall keep a full record of said trade or transfer, and report same to the Governor of the State of Oklahoma each quarter.

Amended by Laws 1983, c. 304, § 118, eff. July 1, 1983.  

§7496.  Property purchased from specific appropriations  Transfer to another department or institution.

In order that state property now located in one department or institution, which has been purchased out of an appropriation, specifically set up for such department or institution, which is not needed by such department or institution and is needed in other divisions of government, the Office of Public Affairs is hereby authorized to cause the transfer of such property to any department or institution in need of such excess property.

Amended by Laws 1983, c. 304, § 119, eff. July 1, 1983.  

§74-96.1.  Property conveyed for public college or university - Department of Central Services to act - Limitations in deed.

A.  Any property, real or personal, conveyed to the State of Oklahoma for the purpose of establishing or for the use and benefit of any public college or university in the State of Oklahoma, shall upon a request submitted to the Department of Central Services by the college or university which is the beneficiary of such conveyance, be conveyed to the board of regents of such college or university following a determination by the Department of Central Services, in its sole discretion, that such property has been and continues to be used for the benefit of such college or university.

B.  The Department of Central Services is designated to act on behalf of the State of Oklahoma to implement a transfer from the State of Oklahoma to the designated board of regents of any property described in subsection A of this section.

C.  A recital by the Department of Central Services in any deed (i) that said deed is executed pursuant to this section or (ii) that the original purpose of the conveyance to the State of Oklahoma was for establishing or for the use and benefit of the college or university grantee and that the property continues to be used for the benefit of the college or university grantee shall create a conclusive presumption as to the facts contained in said recital.

Added by Laws 2004, c. 398, § 1.

§7497.  Oil or gas lease of lands of penal or eleemosynary institutions.

The Department of Central Services is hereby authorized to lease for drilling and development of oil or gas, or both, any of the lands belonging to the state, on which are located penal or eleemosynary institutions, or are connected with or a part of the lands of such institution.  Such leasing to be made by public competition after not less than fifteen (15) days' notice by publication in two newspapers authorized by law to publish legal notices, one of which newspapers shall be published at the State Capital, and the other in the county where the land is situated, and in such manner as said Department of Central Services may by rule prescribe.  All such leasing must be on sealed bids and awarded to the highest responsible bidder, and for a term of not to exceed five (5) years from date and as long thereafter as oil and gas, or either of them, is produced in paying quantities from said land by the lessee, provided said Department may reject any and all bids.  The oil and gas interest in such land hereby authorized to be leased, is to the extent and in the manner that a private owner of lands in fee, may in his own right, execute such lease or grant.  Such lease before becoming effective or having validity, shall be approved by the Governor of the state or his designee.

Laws 1917, c. 223, p. 407, § 1, emerg. eff. March 23, 1917; Laws 1969, c. 312, § 1; Laws 1983, c. 304, § 120, eff. July 1, 1983; Laws 1992, c. 250, § 7, eff. July 1, 1992.

§7498.  Oil, gas and mineral leases upon state lands  Drilling contracts  Notice  Disposition of royalties, bonuses or rentals.

A.  The Office of Public Affairs is hereby authorized and empowered to offer for sale and sell and execute and deliver oil and gas or mineral leases upon the lands described in Section 1 of Title 73 under the control of said Office of Public Affairs. The Office of Public Affairs is hereby authorized and empowered to enter into contracts with persons or corporations for the drilling of oil and gas wells on any such property owned by the state.  No such lease or drilling contract shall be entered into by said Office of Public Affairs which provides for the payment of a royalty to the State of Oklahoma of less than oneeighth (1/8) of all of the oil, gas, or casinghead gas produced, saved, and sold from said lands, plus cash bonus, of the royalty in said leases.  Such Office shall give notice of its intention to offer for sale said lease or drilling contract by advertising said fact for a period of at least twentyone (21) days in a legal newspaper published and of general circulation in the county where said lands are located.  The Office shall award such lease, leases, or drilling contracts to the highest and best bidder.  All bidding shall be by sealed written bids filed with said Office of Public Affairs.

B.  The monies received as royalties, bonuses, or rentals by the Office of Public Affairs for the use and benefit of this state not paid by said Office of Public Affairs to the Treasurer shall be credited into the General Revenue Fund.  All royalties, bonuses, and rentals accruing to the state from any contracts or leases executed pursuant to the provisions of subsection A of this section and all other monies received from the sale of any such leases, bonuses, and royalties or other contracts made by said Office of Public Affairs shall be credited to the Public Building Fund of the State of Oklahoma.

Amended by Laws 1983, c. 304, § 121, eff. July 1, 1983.  

§7499.  Oil and gas leases upon described stateowned lands.

The Office of Public Affairs is hereby authorized and empowered to advertise, sell, and execute an oil and gas lease or leases upon the following described stateowned lands constituting a portion of the State Capitol grounds:

Beginning at a point One Hundred Fiftytwo and Seventyseven Onehundredths (152.77) feet east of the Southwest Corner of the Northeast Onequarter (NE 1/4) of Section Twentyseven (27), Township Twelve (12) North, Range Three (3) West.  Thence North Four (4) Degrees Thirtyone (31) Minutes East, Twelve Hundred Eight and Fiftyfive Onehundreths (1,208.55) feet.  Thence West Four Hundred Ninetysix (496.0) feet.  Thence South Four (4) Degrees Thirtyone (31) Minutes East, Twelve Hundred Eight and Fiftyfive Onehundredths (1,208.55) feet.  Thence East Three Hundred Five and Fiftyfour Onehundredths (305.54) feet to the place of beginning, containing Eleven and Eight Onehundredths (11.08) acres, more or less, situate in Oklahoma County, Oklahoma.

In advertising, selling, and executing such lease or leases, such Office shall follow the provisions and requirements of Section 98 of this title. The Office may provide for the consolidation of such lease or leases with a lease or leases upon other lands under such terms as such Office may determine.

Amended by Laws 1983, c. 304, § 122, eff. July 1, 1983.  

§74101.  Jurisdiction over lands covered by lease.

The lands described in Section One of this act shall be under the exclusive control and jurisdiction of the State of Oklahoma and the zoning and drilling regulations of any municipality of this state shall not apply thereto.

Laws 1937, p. 26, § 3.  

§74102.  Partial invalidity.

If any section, paragraph, sentence or phrase of this act shall be declared unconstitutional or void for any reason by any court of final jurisdiction, such decision shall not in any way invalidate or affect any other section, paragraph, sentence or phrase of this act but the same shall continue in full force and effect.

Laws 1937, p. 26, § 4.  

§74103.  Use of other stateowned lands by lesees.

The Office of Public Affairs is authorized to provide for the development for oil and gas purposes of the following described property:

All of thestate owned lands not now leased for oil and gas mining purposes within a radius of five hundred (500) yards of a point on the halfsection line running north and south between the northeast fourth and northwest fourth of Section twentyseven (27), Township Twelve (12) North, Range three (3) West of the Indian Meridian, and the center of Twentysecond (22) Street in Oklahoma City, Oklahoma, extended east from the rightofway of the Atchison, Topeka and Santa Fe Railway Company.

The development of such property shall be by means of a well, or wells, located on adjacent stateowned lands.  The Office of Public Affairs is authorized to enter into an agreement, or agreements, with the owner of the oil and gas lease, or leases, on adjacent stateowned lands, consolidating said tract with said adjacent stateowned lands or some part thereof for oil and gas development, upon such terms and conditions, and for such consideration as the Office of Public Affairs may prescribe.  There shall be reserved to the state a royalty of not less than one fourth (1/4) of the oil and gas, or the proceeds thereof, that may be produced from the property first described.  All development of the property first described for oil and gas purposes shall be by means of a well, or wells, located on the surface of said adjacent land but which may be directionally drilled and bottomed on and underneath the property first described.

Amended by Laws 1983, c. 304, § 123, eff. July 1, 1983.  

§74104.  Use of other stateowned lands by lessees.

The Office of Public Affairs may authorize the use by the oil and gas lessees of the stateowned land that lies west of the north portion of Lincoln Terrace Addition to Oklahoma City, Oklahoma, and known as the State Historical Site, or such part thereof as may be necessary, as a base for the drilling, operating, and producing of a well to be directionally drilled and bottomed under some part of Lincoln Terrace Addition to Oklahoma City, Oklahoma, together with the right to drill such well through so much of said stateowned land as such lessees shall deem necessary to cause the bottom of the well to be located in or under said Lincoln Terrace Addition, on such terms and conditions and for such consideration as the Office of Public Affairs may prescribe.  Any such well drilled shall not be deemed to be a well drilled upon said Historical Site within the meaning and provisions of the oil and gas lease covering same.

Amended by Laws 1983, c. 304, § 124, eff. July 1, 1983.  

§74105.  Exclusive control and jurisdiction of state.

The stateowned lands described in Section 1 and 2 of this act shall be under the exclusive control and jurisdiction of the State of Oklahoma and the zoning and drilling regulations of any municipality of this state shall not apply thereto or to any of the wells mentioned in this act.

Laws 1941, p. 442, § 3.  

§74106.  Payment of proceeds into General Revenue Fund.

All proceeds derived from any royalty under such leases or any bonus received from the sale of such leases, shall be paid into the General Revenue Fund of the state but this section shall not be a part of any contract with any lessee hereunder.

Laws 1941, p. 442, § 4.  

§74107.  Oil and gas or mineral leases of state lands other than Capitol lands and parkways.

The Department of Central Services is hereby authorized and empowered to sell and execute oil and gas leases, and other mining leases, on any of the lands of this state under the control of said Department of Central Services.  Sale of Oklahoma State Capitol lands or parkways or the Executive Mansion lands shall be made upon a basis of a retained royalty of not less than oneeighth (1/8) of all the oil, gas, and other minerals produced therefrom, and such additional cash bonus as may be procured.  Such leases shall contain a provision that in the event of the discovery of natural gas, gas shall be furnished free of charge to any state institution located or hereafter located upon the lands covered by said lease, or leases.  Said leases shall be sold only after advertisement for a period of three (3) weeks in a legal newspaper published and of general circulation in the county in which said lands are located.  The sale shall be made to the highest and best bidder, and all bids for any tract shall be presented to the Department of Central Services in sealed envelopes, and shall all be opened and considered at the same time.  Said Department of Central Services shall have the right to reject any and all of said bids and again readvertise said lease, or leases, for sale.

The Department of Central Services is further authorized to make and promulgate such additional rules and regulations as he may deem necessary and for the best interest of the state in facilitating the sale of said leases.  The Director may contract with other state agencies to implement the provisions of this section and any expenses charged under such contract may be paid from the proceeds of the lease.

All monies derived from the sale of any and all of said leases, and from any royalties subsequently accruing, after deduction of the amount required to pay necessary and actual expenses of developing the lease, shall be paid into the State Treasury and credited to the General Revenue Fund of the state.

Added by Laws 1941, p. 440, § 1.  Amended by Laws 1943, p. 236, § 1; Laws 1983, c. 304, § 125, eff. July 1, 1983; Laws 1995, c. 342, § 8, emerg. eff. June 9, 1995.

§74108.1.  Lease of property formerly occupied by Russell Girls Home.

The Office of Public Affairs is hereby authorized to lease the surface of a tract of land consisting of about ten (10) acres located in Oklahoma County, Oklahoma, formerly occupied and used by the state for the Russell Girls Home.  Said lease shall be only for temporary periods of time, and shall contain a provision authorizing termination of such lease whenever the needs of state require said land.  Said lease to be for a period not to exceed five (5) years with provisions for renewal thereof at the authorization of the said Office of Public Affairs, and to be upon such terms and consideration as the Office of Public Affairs deem adequate and proper.

Amended by Laws 1983, c. 304, § 126, eff. July 1, 1983.  

§74108.3.  Purpose or use for which leased.

Such leases shall not be granted for a purpose or use that would interfere with or restrict in any manner the use to which other lands of the state are being used.

Laws 1945, p. 379, § 3.  

§74109.1.  Release of expired options authorized.

If this state, including any of its departments, institutions, or agencies, has been granted an option to purchase any land, and the option has expired without being exercised, or if no specific time for the exercise of the option was specified, and the option has not been exercised for a period of two (2) years from the date thereof, the Office of Public Affairs upon the application of the owner of such land, shall be authorized to release such option and to disclaim any interest in such land by reason of such option.

Amended by Laws 1983, c. 304, § 127, eff. July 1, 1983.  

§74109.2.  Investigation  Opinion of Attorney General  Filing.

Upon receiving any such application for release of an option to purchase, the Office of Public Affairs shall make a thorough investigation for the purpose of determining whether the state has, or claims, any present interest in such land by reason of such option contract.  If after such investigation said Office determines that the state has no present interest in such land, a release and disclaimer shall be executed by said Office.  In case of doubt, the Office shallsubmit the option and all relevant facts to the Attorney General for his opinion as to the interest of the state in said land.  Any release and disclaimer executed by the Office of Public Affairs shall be filed for record in the office of the county clerk of the county where the land is located without charge.

Amended by Laws 1983, c. 304, § 128, eff. July 1, 1983.  

§74-110.1.  Inventory by Department of Central Services.

A.  The Department of Central Services shall maintain a current inventory of tangible assets owned by state boards, commissions, institutions, agencies and the institutions comprising The Oklahoma State System of Higher Education and the University Hospitals Authority.

B.  The Director of Central Services shall have authority to promulgate rules to implement the provisions of this section.

C.  For entities included in subsection A of this section, the Director of Central Services shall specify a tangible asset reporting threshold for each entity, not to exceed the federal capitalization rate specified in the Office of Management and Budget Circular A-21 or future federal circulars or regulations as amended.  When establishing the tangible asset reporting threshold for an entity, the Director of Central Services shall consider the entity's capability to provide tangible asset records, finance and accounting systems, inventory accuracy and other pertinent factors.

D.  Tangible assets shall consist of machinery, implements, tools, furniture, livestock, vehicles and other apparatus that may be used repeatedly without material impairment of its physical condition and have a calculable period of service and a value exceeding the reporting threshold the Director of Central Services establishes for the entity.

E.  Rules that the Director of Central Services promulgates shall cause all tangible assets to be properly coded, tagged, or marked in such a manner that they may be readily identified as property of the State of Oklahoma and that statistical records may be maintained.

F.  The Department of Central Services may make periodic checks of tangible assets of entities listed in subsection A of this section.  All entities will make support personnel available to the Department of Central Services to report tangible asset acquisitions, assist with identification and update inventories on a periodic basis.

G.  The Department of Central Services shall report missing tangible assets to state investigative or law enforcement officials.

Added by Laws 1947, p. 587, § 1, emerg. eff. May 21, 1947.  Amended by Laws 1969, c. 222, § 1, emerg. eff. April 21, 1969; Laws 1977, c. 63, § 1; Laws 1983, c. 304, § 129, eff. July 1, 1983; Laws 1986, c. 246, § 16, operative July 1, 1986; Laws 1992, c. 72, § 1; Laws 1994, c. 283, § 7, eff. Sept. 1, 1994; Laws 1998, c. 365, § 12, eff. July 1, 1998; Laws 2002, c. 448, § 1, eff. Nov. 1, 2002.

§74110.2.  Inventory records of departments, boards, etc.

The Office of Public Affairs may require inventory records to be maintained at state departments, boards, commissions, institutions, or agencies of the state, of all classes of supplies, books, machinery, implements, tools, furniture, livestock, and other apparatus as the Office deems necessary in order to comply with the provisions of Section 110.1 of this title.

Amended by Laws 1983, c. 304, § 130, eff. July 1, 1983; Laws 1985, c. 43, § 4, operative July 1, 1985.  

§74110.3.  State agencies  Inventory record of motor vehicles.

A.  All state agencies shall maintain inventory records of its motor vehicles. The records shall include:

1.  A detailed description of each vehicle, including its original cost;

2.  The vehicle identification number;

3.  The license tag number;

4.  The make, model, and year of the vehicle; and

5.  A designation of loaned or leased vehicles and the name of the vendor.

B.  Each state agency shall provide motor vehicle inventory records to the Office of Public Affairs at such times as may be requested by the Fleet Management Division of the Office of Public Affairs.

Added by Laws 1985, c. 43, § 5, operative July 1, 1985.  

§74-110.4.  Higher Education Facilities Revolving Fund - Accounts and purpose.

A.  There is hereby created in the State Treasury a revolving fund for the Oklahoma State Regents for Higher Education to be designated the "Higher Education Facilities Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Oklahoma State Regents for Higher Education from the assessment imposed pursuant to Section 354 of Title 17 of the Oklahoma Statutes.

B.  There shall be two accounts established in such fund.  It is the intent of the Legislature that one account shall be for the purpose of transfer and allocation to the University of Oklahoma for funding construction of a weather center on the campus of the University of Oklahoma and one account shall be for the purpose of transfer and allocation to Oklahoma State University for funding the purchase of equipment and renovation of facilities on the campus of Oklahoma State University for work on the application of advanced sensor technology for the detection of chemical and biological threats to homeland security.  Any monies accruing to the credit of said fund shall be divided equally for deposit into the two accounts provided for herein.  No funds deposited into one account shall be transferred into the other account.  All monies in each account are hereby appropriated and may be budgeted and expended by the Oklahoma State Regents for Higher Education for the purpose of allocation and transfer to the University of Oklahoma and Oklahoma State University as specified herein.  The monies deposited into the Higher Education Facilities Revolving Fund shall be in addition to and not a part of the appropriations made by the Legislature pursuant to Section 3 of Article XIII-A of the Oklahoma Constitution.

Added by Laws 2002, c. 23, § 2, emerg. eff. March 19, 2002.  Amended by Laws 2002, c. 371, § 2, emerg. eff. June 4, 2002.

§74111.  Office of State Printer abolished  Duties transferred  Letting contracts.

The office of State Printer is hereby abolished, and the duties now provided by law to be performed by the State Printer and the State Printing Department shall be performed by the Office of Public Affairs.  The Office of Public Affairs shall supervise and contract for all public printing and binding authorized by the Legislature, for the Governor, Supreme Court, and the several state institutions, state officers, or any state board or commission, created pursuant to the laws of the state.  Contracts for such printing and binding shall be let pursuant to same terms and conditions as other contracts for state supplies are let by same Office of Public Affairs in the manner provided by law.

Amended by Laws 1983, c. 304, § 131, eff. July 1, 1983.  

§74114.  Records  Reports.

The Office of Public Affairs shall keep a complete set of books of all printing used by the state and shall report to the Governor semiannually, giving an itemized statement of the printing and binding used by each department, and the amount of printing done by each printing firm.  Said report shall show the amount claimed and the amount allowed.

Amended by Laws 1983, c. 304, § 132, eff. July 1, 1983.  

§74121.  Contract for auditing of books of state commissions or departments.

The Director of Public Affairs, subject to the approval of the Governor, is hereby authorized to employ, or to contract with, an auditor or auditing company, to audit the books, records, and files of all state commissions or departments.  Such audit is to be made by a certified accountant, or accountants or firm of certified accountants, who shall be approved by the Governor of the State of Oklahoma, contracts for such audit may be made with one or more separate certified accountants, or firm of certified accountants, for auditing of the several different departments or commissions.

Amended by Laws 1983, c. 304, § 135, eff. July 1, 1983.  

§74122.  Duty of auditor or auditing company  Examination of books, records and files  Scope of audit.

The auditor or auditing company so employed or contracted with is hereby authorized and directed to audit, and it shall be his or its duty to audit, the books, records, and files and transactions of the departments mentioned in Section 1 of this act, and to make a written report thereof to the Governor immediately after the completion of each said audits.  In making said audit, said auditor, or auditing company, shall have authority to examine all the books, records and files of said departments, and to trace to any source where any shortage or maladministration seems probable.  The audits authorized by this act shall cover such periods and relate to such matters and be of the scope and extent deemed necessary by the Governor.

Laws 1931, p. 20, § 2.  

§74-123f.  Convict-made goods - Sale or distribution prohibited - Exceptions.

No products, wares, or merchandise produced, manufactured, or mined, wholly or in part, by convicts or prisoners of this state, who are employed in the state prison industries program, may be offered for sale, sold, exchanged, or distributed in this state, whether contained in the original package or otherwise.  This section shall not prohibit the sale or distribution of such products, wares, or merchandise by or for the state to departments, institutions, or agencies administered and supported by the state or its political subdivisions, and any other wholly or partially tax-supported institutions, or nonprofit charitable agencies for distribution to the needy.  This section shall not prohibit the sale or distribution of such products, wares, or merchandise produced by the Oklahoma Correctional Industries or products produced by the Agri-Services Division of the Department of Corrections by or for sale to employees or retirees of the State of Oklahoma, or to employees or retirees of any political subdivision of the state.  This section shall not prohibit the sale of brick and building tile or furniture manufactured by said state institutions to churches which are located in the State of Oklahoma.  All purchase orders made pursuant to the provisions of this section for such brick or building tile or furniture shall contain an affidavit stating that the brick or building tile shall not be used for purposes other than for the building of churches, or that the furniture shall not be used for any purpose other than church purposes.  If said state departments, institutions, agencies, or nonprofit charitable agencies do not buy or contract to buy in advance of the season for which said wares or goods are made, and make a satisfactory guarantee to the said Department of Central Services for fulfillment of their contract to purchase all the output, the state may then sell in open market any such goods or wares not generally manufactured in this state.  The provisions of this section shall not apply to the sale or distribution of surplus perishable, agricultural products nor to individual articles made by hand by prisoners during their leisure time.  This section shall not be construed as preventing the Department of Central Services or other state agency or agencies from manufacturing and selling such goods, wares, or merchandise as are not generally manufactured in this state.

Added by Laws 1937, p. 115, § 7, emerg. eff. May 22, 1937.  Amended by Laws 1939, p. 115, § 2, emerg. eff. April 25, 1939; Laws 1953, p. 407, § 1, emerg. eff. June 8, 1953; Laws 1955, p. 459, § 1, emerg. eff. June 7, 1955; Laws 1977, c. 258, § 1, eff. Oct. 1, 1977; Laws 1983, c. 304, § 136, eff. July 1, 1983; Laws 2003, c. 92, § 2, eff. Nov. 1, 2003; Laws 2004, c. 398, § 2.

§74126.1.  Easement and rightofway grants  Exemptions.

A.  The Director of the Department of Central Services is hereby authorized to grant easements, rightsofway, and enter into contracts authorizing the construction and maintenance of telephone, electric transmission and distribution lines, railroad lines, telegraph lines, and pipelines across any state lands under the management of said Director, and all lands set apart for the use and benefit of any state agency, department, or institution including all lands set apart for use of colleges, universities, hospitals, and eleemosynary institutions.  Said easements and rightsofway grants shall be for a period not to exceed twenty (20) years and shall provide for such considerations, terms, and conditions including privileges and conditions of renewal, as the Director of the Department of Central Services may determine advisable for the best interests of the state institutions in possession thereof.  This section and Section 126.2 of this title shall not affect the lands under the jurisdiction and control of the Commissioners of the Land Office of this state.

B.  The Oklahoma Ordnance Works Authority, the Midwestern Oklahoma Development Authority, and the Northeast Oklahoma Public Facilities Authority and their lands shall be exempt from the application of this section.

Added by Laws 1947, p. 587, § 1.  Amended by Laws 1951, p. 249, § 1; Laws 1983, c. 304, § 137, eff. July 1, 1983; Laws 1985, p. 1682, H.J. Res. No. 1039, § 4, eff. Nov. 1, 1985; Laws 1986, c. 245, § 8, emerg. eff. June 12, 1986; Laws 1997, c. 292, § 6, eff. July 1, 1997; Laws 1998, c. 203, § 7, emerg. eff. May 11, 1998.

§74126.2.  Leases  Exemptions.

A.  The Director of Central Services is hereby authorized to lease for a temporary period of time the surface of any of the lands belonging to the state described in Section 126.1 of this title, which are not needed or required for the proper maintenance of the institutions or departments in possession thereof.

B.  Except as otherwise provided by Section 6201 of this title, said leases shall be for a period of time not exceeding three (3) years and upon such other terms and conditions as said Director may determine to be in the best interests of the state.

C.  Except as otherwise provided by Section 6201 of this title, said leases shall provide for a termination of the lease upon reasonable notice in writing whenever the needs of the state or the institution in possession thereof requires said land.

D.  Except as otherwise provided by Section 6201 of this title, said lease contracts shall not become effective until they are submitted to and approved by the Governor of this state or his or her designee.

E.  The Director may also execute lease contracts for said lands to any institution or agency or department, commission, or municipal subdivision that requires the need of said land in conjunction with cooperation or participation in any city or state project authorized by law, if said contracts or agreements will not interfere with or restrict in any manner, the proper use of said lands by the state institution in possession thereof, and shall not become effective until after approval by the Governor or his or her designee.

F.  The Oklahoma Ordnance Works Authority, the Midwestern Oklahoma Development Authority and the Northeast Oklahoma Public Facilities Authority and their lands shall be exempt from the application of this section.

G.  Lands leased to private prison contractors pursuant to Section 561 of Title 57 of the Oklahoma Statutes shall be exempt from the application of this section.

Added by Laws 1947, p. 588, § 2.  Amended by Laws 1983, c. 304, § 138, eff. July 1, 1983; Laws 1985, p. 1682, H.J. Res. No. 1039, § 5, eff. Nov. 1, 1985; Laws 1986, c. 245, § 9, emerg. eff. June 12, 1986; Laws 1987, c. 80, § 12, operative July 1, 1987; Laws 1992, c. 250, § 8, eff. July 1, 1992; Laws 1997, c. 292, § 7, eff. July 1, 1997; Laws 1998, c. 203, § 8, emerg. eff. May 11, 1998.

§74128.1.  Director to take charge, manage and lease.

The Director of Public Affairs is authorized and directed to take charge of, manage, and lease "Capitol Building Lands", described as follows:

Lots 31 and 32, Ethel Park Addition to Oklahoma City, Oklahoma, known as Tract No. 23, being a part of Section 23  Twp. 12N  R  3 West.

Lots 1, 2, 3, 4, 5, and lots 45, 46, 47, and 48 in Block 6, Ethel Park Addition to Oklahoma City, Oklahoma, known as Tract No. 24, being a part of Section 23  Twp. 12 N  R  3 West.

Lots 1, 2, 3, 4, 5, 6, and 43, 44, 45, 46, 47, and 48, Block 1, Ethel Park Addition to Oklahoma City, Oklahoma, known as Tract No. 25, being a part of Section 23 Twp. 12 N  R  3 West.

Lots 30 and 31, Woody Crest Addition to Oklahoma City, Oklahoma, known as Tract No. 39, being a part of Section 22  Twp. 12N  R  3 West.

Lots 11 and 12, Stevens Hamill Addition to Oklahoma City, Oklahoma, known as Tract No. 19, being a part of Section 26 Twp. 12N  R  3 West.

Lots 11 and 12, Block 3, Northeast Highland Addition to Oklahoma City, Oklahoma, known as Tract No. 40, being a part of Section 23  Twp. 12N  R  3 West.

Lots 35, 36, 37, and 38 Northeast Highland Addition to Oklahoma City, Oklahoma, known as Tract No. 44, being a part of Section 22  Twp. 12N  R  3 West.

Lots 7, 8, 9, and 10, Block 1, Donley Heights, a subdivision of Blocks 19 and 20, Barrows Second Addition to Oklahoma City, Oklahoma. Lots 31 and 32, Block 4, of the subdivision of Lots 9 and 10, and 23 and 24 of Barrows First and Second Additions to Oklahoma City, Oklahoma.  Lots 11 and 12, Block 3, Northeast Highland Addition, being a part of Blocks 25 and 26, Barrows Second Addition to Oklahoma City, Oklahoma.  All of the above lots in Barrows Addition being known as Tract No. 41.

A tract of land 48' x 128' facing NE 38th Street and located between Lindsay Avenue and First Street west known as Tract No. 29. Lots 9 and 10, Block 2, Stevens Hamill Addition to Oklahoma City, Oklahoma, known as Tract No. 18, being a part of Section 26  Twp. 12 N  R  3 West.

Lots 13 through 24, inclusive, Block 2, Frances Heights Addition to Oklahoma City, Oklahoma, known as Tract No. 43, being a part of Section 22  Twp. 12 N  R  3 West.

Lots 5, 6, 11, 12, 19 and 20, Block 2, Hares Lake View Addition, situated approximately two and onehalf (2 1/2) miles Northeast of Oklahoma City, Oklahoma, known as Tract No. 30, being a part of Section 11  Twp. 12 N  R  3 West.

Also the following acreage tracts of land:

Two (2) acres, situated three and onehalf (3 1/2) miles East on 23rd Street hence two (2) miles North, thence onehalf (1/2) mile East, thence onefourth (1/4) mile North from the State Capitol Building, known as Tract No. 3, being a part of SE 1/4 of SW 1/4 of Section 8  Twp. 12 N  R  2 West.

Five (5) acres, situated one and onehalf (1 1/2) miles East and one and onehalf (1 1/2) miles North of the State Capitol Building, facing on Eastern Avenue and laying directly South of Springlake Park, and known as Tract No. 28.  Also described as S 1/2 of SE 1/4 of NE 1/4 of SE 1/4 of Section 14, Township 12 North, Range 3 West.

Also other lots and tracts not listed or described above constituting the small balance of "State Capitol Building Land" not heretofore disposed of pursuant to the provision of Chapter 298, Session Laws 1919.

Amended by Laws 1983, c. 304, § 139, eff. July 1, 1983.  

§74128.2.  Inventory and appraisal  Sale.

Said Office of Public Affairs shall make or cause to be made a full and complete inventory and appraisal of the property described in Section 128.1 of this title.  Said Office may offer for sale to the highest bidder at public sale all of the lots, blocks, or acreage tracts of said "Capitol Building Lands" that are not used by the state and which, in the judgment of said Office, will not be required for future use by the state.  Said property shall be offered for sale in separate lots or tracts, for cash, to the highest bidder.  Said sale shall be at public auction or under sealed bids whichever the Office may determine to be most advantageous.  The sale shall be advertised in a newspaper of general circulation in Oklahoma County, Oklahoma, for not less than thirty (30) days prior to the date of sale.  The notice shall contain an accurate description of all the property to be sold and terms and conditions of said sale.

The lands so offered for sale shall be subject to a reservation by this state in onehalf (1/2) of all the mineral rights therein. If royalties are not paid to the state from any of the abovedescribed lots or tracts of land, the sale of such properties shall be made subject to a reservation by this state of all of the mineral rights therein under said lots or tracts.  The Office of Public Affairs shall reserve the right to refuse any and all bids for said property.  No sale of any portion of said land shall be confirmed at a price less than ninety percent (90%) of the appraised value.  All sales shall be approved by the Governor.  All conveyances of said land shall be executed by the Commissioners of the Land Office upon request of said Office.

Amended by Laws 1983, c. 304, § 140, eff. July 1, 1983.  

§74128.3.  Disposition of proceeds  Leases for oil and gas purposes.

After payment of all costs incurred in the inventory and appraisal and advertisement and costs of sale, the remaining proceeds therefrom, and any monies derived from leasing said property, shall be deposited in a special "Capitol Building Maintenance and Repair Fund".  The fund shall be used for the maintenance and repair of all State Capitol Buildings, grounds, shrubbery, boulevards, and streets surrounding the same.  The funds shall be paid upon claims made therefor by the Office of Public Affairs and approved by the State Auditor and Inspector.  The leasing foroil and gas purposes of any such lands and the proceeds therefrom shall be conducted and handled by said Office of Public Affairs pursuant to Section 107 of this title.

Amended by Laws 1983, c. 304, § 141, eff. July 1, 1983.  

§74-129.4.  Procedures for disposal of certain state-owned real property.

A.  Unless procedures for the disposal of real property owned by this state are otherwise provided for by law, no department, board, commission, institution, or agency of this state shall sell, exchange, or otherwise dispose of such real property subject to its jurisdiction except as provided for in subsection B of this section.

B.  1.  Every department, board, commission, institution, or agency, upon legislative authorization to dispose of a parcel of real property or upon a determination, in writing, by said department, board, commission, institution, or agency that a parcel of real property subject to its jurisdiction is no longer needed by said department, board, commission, institution, or agency, shall request the Department of Central Services to dispose of said real property.

2.  Upon notification by the department, board, commission, institution, or agency to sell a parcel of real property, the Department of Central Services shall:

a. obtain three new and complete appraisals of such property.  The appraisals shall be made by three disinterested persons, knowledgeable in real estate costs, who shall ascertain:

(1) the present fair value of the property, and

(2) the present value of the improvements on such property, and

(3) the actual condition of the improvements on the property, and

b. cause notice of such sale to be published for at least one (1) day in a newspaper of general statewide circulation authorized to publish legal notices, and for at least three (3) consecutive weeks in a newspaper of general circulation published in the county or counties in which the property is located.  The notice shall contain the legal description of each parcel of real property to be offered for sale, the appraised value thereof, the time and location of the sale or opening of the bids, and terms of the sale including the fact that no parcel of property shall be sold for less than ninety percent (90%) of the appraised value of the real property, and

c. offer said property through public auction or sealed bids within three (3) weeks after the last publication of the notice in said newspapers.  The property shall be sold to the highest bidder.  The Department of Central Services shall not accept a bid of less than ninety percent (90%) of the appraised fair value of the property and the improvements on such property.  The Department of Central Services is authorized to reject all bids.

3.  The cost of the appraisements required by the provisions of this section, together with other necessary expenses incurred pursuant to this section, shall be paid by the department, board, commission, institution, or agency for which the real property is to be sold from funds available to said department, board, commission, institution, or agency for such expenditure.  All monies received from the sale or disposal of said property, except those monies necessary to pay the expenses incurred pursuant to this section, shall be deposited in the General Revenue Fund.

C.  This section shall not be construed to authorize any department, board, commission, institution, or agency, not otherwise authorized by law, to sell, lease, or otherwise dispose of any real property owned by the state.

D.  The Oklahoma Ordnance Works Authority and its lands, and the Northeast Oklahoma Public Facilities Authority shall be exempt from the application of this section.  The Grand River Dam Authority and its lands shall be exempt from the application of this section for any real property disposed of prior to November 1, 2006.

E.  Unless otherwise provided for by law, the procedures established pursuant to this section for the sale or exchange of real estate or personal property as authorized pursuant to Sections 1852.2 and 1852.3 of this title shall be followed unless the sale is to an entity of state government.

Added by Laws 1983, c. 304, § 181, eff. July 1, 1983.  Amended by Laws 1985, p. 1682, H.J. Res. No. 1039, § 6, eff. Nov. 1, 1985; Laws 1997, c. 292, § 8, eff. July 1, 1997; Laws 1998, c. 203, § 9, emerg. eff. May 11, 1998; Laws 2003, c. 372, § 17, eff. July 1, 2003; Laws 2005, c. 234, § 2, emerg. eff. May 26, 2005.

§74129.5.  Lease of certain land to City of Pauls Valley for sewage services authorized.

The Department of Human Services is hereby authorized to lease, subject to the approval of the Commission, the following land at the Southern Oklahoma Resource Center of Pauls Valley to the City of Pauls Valley for use by the city for providing sewage services upon such terms and conditions as determined by the Department of Human Services:

A.  A tract of land located in the S 1/2  N 1/2 and the S 1/2 of Section 28, Township 3 North, Range 1 East of the Indian Meridian, Garvin County, Oklahoma, more particularly described as follows:  Beginning at the SE corner of said Section 28, thence North along the section line a distance of 3,350.76 feet to the Westerly rightofway line of Gulf Colorado and Santa Fe Railroad; Thence in a Northwesterly direction along said rightofway a distance of 632.25 feet to the North line of said S 1/2  N 1/2; Thence West along North line of said S 1/2  N 1/2 to a point that is 450 feet East of the NW corner of SE 1/4 of NE 1/4 of said Section 28; Thence South 10 degrees 10 minutes 27 seconds West along existing fence a distance of 1,548.00 feet to a point; Thence North 73 degrees 28 minutes 43 seconds West along said fence a distance of 139.67 feet; Thence South 01 degree 25 minutes 37 seconds East along said fence a distance of 2,474.45 feet to the South line of said Section 28; Thence East along the section line a distance of 1,213 feet to the point of beginning and containing one hundred three and fortythree onehundredths (103.43) acres, more or less.

B.  A tract of land located in the N 1/2 of the NE 1/4 of Section 33, Township 3 North, Range 1 East of the Indian Meridian, Garvin County, Oklahoma, and being more particularly described as follows: Beginning at the NE corner of said Section 33; Thence West along section line a distance of 1,213 feet; Thence South 24 degrees 38 minutes West along an existing fence line a distance of 83 feet; Thence South 07 degrees 42 minutes East along said fence a distance of 421.83 feet to the center line of an EastWest dirt road; Thence North 88 degrees 34 minutes East along center line of road a distance of 1,191.7 feet to the East line of said Section 33; Thence North along said East line a distance of 458 feet to the point of beginning and containing thirteen and three hundred fortyseven onethousandths (13.347) acres, more or less.

C.  The following tracts and parcels less a tract of land located in the NW 1/4 of Section 34, Township 3 North, Range 1 East of the Indian Meridian, Garvin County, Oklahoma, more particularly described as follows:  Beginning at a point on the West line of said Section 34,458 feet South of NW corner thereof; Thence South 86 degrees 33 minutes East along center line of existing dirt road a distance of 664 feet; Thence South 02 degrees 34 minutes 16 seconds East along an existing fence a distance of 443.90 feet; Thence South 22 degrees 19 minutes West along said fence a distance of 521.3 feet; Thence South 46 degrees 05 minutes West along said fence a distance of 395.75 feet; Thence South 72 degrees 08 minutes West along said fence a distance of 209 feet to the West line of said Section 34; Thence North along said West line a distance of 1,304.27 feet to the point of beginning and containing fifteen and ninetenths (15.9) acres, more or less:

1.  Certain tracts and parcels situated in Section 34, Township 3 North, Range 1 East of the Indian Meridian, Garvin County, Oklahoma, more particularly described as follows, towit:

All that part, parcel and tract of land being the NW 1/4 of Section 34, Township 3 North, Range 1 East of the Indian Meridian, Garvin County, Oklahoma, containing one hundred sixty (160) acres, more or less subject to the Gulf Colorado and Santa Fe Railroad rightofway and that part, parcel and tract of land less and except the above described fifteen and ninetenths (15.9) acres and being a part of N 1/2 of NE 1/4 of Section 34, Township 3 North, Range 1 East, being more particularly described as follows:  the W 1/2 NW 1/4 NE 1/4 and NE 1/4 NW 1/4 NE 1/4 and the NW 1/4 NE 1/4 NE 1/4 and all that part or portion of the NE 1/4 NE 1/4 NE 1/4 lying North and West of and on the right bank of the Washita River and being eight and fivetenths (8.5) acres, and all that part of the SE 1/4 NW 1/4 NE 1/4 more particularly described by metes and bounds as follows, towit:  Beginning at a point 1,320 feet West and 660 feet South of the NE corner of Section 34;  Thence West parallel to the North line of Section 34, a distance of 660 feet;  Thence South a distance of 660 feet to an intersection with the right bank of the Washita River;  Thence upstream along the right bank of said river, North 60 degrees East a distance of 715 feet; Thence North and parallel to the East line of Section 34, a distance of 310 feet to the point of beginning and containing seven and thirtyfive onehundredths (7.35) acres of land, all of said lands being situated in Section 34, Township 3 North, Range 1 East and containing an aggregate total of fiftyfive and eightyfive onehundredths (55.85) acres, more or less in the NE 1/4 and one hundred fortyfour and onetenth (144.1) acres, more or less in the NW 1/4, all in said Section 34.

2.  Certain tracts and parcels situated in Section 27, Township 3 North, Range 1 East of the Indian Meridian, Garvin County, Oklahoma, more particularly described as follows, towit:

All that part, parcel and tract of the NW 1/4 of the SW 1/4 of the NW 1/4 lying West of the Gulf Colorado and Santa Fe Railroad rightofway and containing one onehundredth (.01) acres, and all that part of the SW 1/4 of the SW 1/4 of the NW 1/4 lying West of the Gulf Colorado and Santa Fe Railroad rightofway and containing one and sixtyonehundredths (1.61) acres, and all that part of the NW 1/4 of the NW 1/4 of the SW 1/4 lying West of the Gulf Colorado and Santa Fe Railroad rightofway and containing four and thirtyone onehundredths (4.31) acres, and the SW 1/4 of the NW 1/4 of the SW 1/4 lying West of the Gulf Colorado and Santa Fe Railroad rightofway containing seven and one onehundredths (7.01) acres, and all of NW 1/4 of the SW 1/4 of the SW 1/4 lying West of the Gulf Colorado and Santa Fe Railroad rightofway containing nine and thirtyeight onehundredths (9.38) acres, and all of NE 1/4 of the SW 1/4 of the SW 1/4 lying West of the Gulf Colorado and Santa Fe Railroad rightofway and containing thirtythree onehundredths (.33) acres, and the S 1/2 of the SW 1/4 of the SW 1/4 of Section 27 containing twenty (20) acres, and the S 1/2 of the SE 1/4 of the SW 1/4 of Section 27 containing twenty (20) acres, and S 1/2 of the SW 1/4 of the SE 1/4 of Section 27 containing twenty (20) acres and the SW 1/4 of the SE 1/4 of the SE 1/4 containing ten (10) acres and all that part of the SE 1/4 of the SE 1/4 of the SE 1/4 lying West of Washita River more particularly described by metes and bounds as follows, towit:  Beginning at SE corner of Section 27, Township 3 North, Range 1 East of the Indian Meridian; Thence running West 660 feet; Thence North 660 feet; Thence East 167 feet to the center line of the Washita River; Thence following the meanderings of said Washita River in a Southeasterly direction a distance of 610 feet to an intersection with the East line of Section 27; Thence South 300 feet to the point of beginning and containing seven and ninetyseven onehundredths (7.97) acres, more or less.

All said lands being situated in Section 27, Township 3 North, Range 1 East, and containing an aggregate total of one hundred and sixtytwo onehundredths (100.62) acres, more or less.

3.  Certain tracts and parcels situated in Section 26, Township 3 North, Range 1 East of the Indian Meridian, Garvin County, Oklahoma, more particularly described as follows, towit:

All that part of the SW 1/4 of the SW 1/4 of the SW 1/4 of Section 26, Township 3 North, Range 1 East, more particularly described by metes and bounds as follows, towit:  Beginning at the SW corner of said Section 26; Thence North along the West line of Section 26 a distance of 300 feet to a cut bank of the Washita River; Thence N 88 degrees 45 minutes East along the right bank of said Washita River a distance of 670 feet; Thence South parallel to the West line of Section 26 a distance of 325 feet to the South line of Section 26;  Thence running West along the South line of Section 26 a distance of 660 feet to the point of beginning and containing four and seventenths (4.7) acres, more or less.  All said land being situated in Section 26, Township 3 North, Range 1 East, and containing an aggregate total of four and seventenths (4.7) acres, more or less.

4.  All that part of the NW 1/4 NW 1/4 NW 1/4 of Section 35, Township 3 North, Range 1 East of the Indian Meridian, described by metes and bounds as follows, towit:  Beginning at the NW corner of said Section 35; Thence running East along the North line of Section 35, a distance of 660 feet; Thence South parallel to the West line of Section 35, a distance of 354 feet to an intersection with the right bank of the Washita River; Thence along the right bank of said Washita River a distance of 690 feet to an intersection with the West line of Section 35;  Thence North along the West line of Section 35 a distance of 528 feet to the point of beginning and containing six and seventenths (6.7) acres, more or less.

Added by Laws 1987, c. 178, § 1, eff. Nov. 1, 1987.  Amended by Laws 1992, c. 307, § 20, eff. July 1, 1992.

§74129.6.  Terms and conditions of lease.

The terms and conditions of the lease authorized by Section 129.5 of Title 74 of the Oklahoma Statutes shall include, but not be limited to, the following:

1.  A provision that the lease terminates immediately with possession and use reverting to the Department of Human Services if the subject land is no longer used for sewage purposes;

2.  A provision granting automatic renewal of the lease for thirty annual, fiscal terms, subject to the pro forma annual processing of lease renewals required by the Office of Public Affairs, with an option to renew upon mutual agreement of the parties for another twenty annual, fiscal terms;

3.  A provision granting the Department permission to remove or use personal property or fixtures unrelated to sewage activities;

4.  A provision as to payment to the Department of Human Services by providing inkind services, or a specified payment of money at the option of the Department to be used for the Southern Oklahoma Resource Center of Pauls Valley;

5.  A provision reserving any necessary easements or granting covenants; and

6.  Such other provisions as the Department of Human Services considers just and proper.

Added by Laws 1987, c. 178, § 2, eff. Nov. 1, 1987.  Amended by Laws 1992, c. 307, § 21, eff. July 1, 1992.

§74129.7.  Lease of other surplus land at Pauls Valley.

In addition to the land described in Section 129.5 of Title 74 of the Oklahoma Statutes, the Department of Human Services, with approval of the Human Services Commission, may lease other surplus land and property at the Southern Oklahoma Resource Center of Pauls Valley to an individual or individuals or to an entity.  Revenue from such lease shall be placed in a special agency clearing account to be used for the benefit of the residents of the Southern Oklahoma Resource Center of Pauls Valley.

Added by Laws 1987, c. 178, § 3, eff. Nov. 1, 1987.  Amended by Laws 1992, c. 307, § 22, eff. July 1, 1992.

§74-129.8.  Transfer of use of property to Redlands Community College and Oklahoma Historical Society.

A.  For purposes of this section the following definitions shall apply:

1.  Property Number One (1):  The Southwest Quarter (SW 1/4) of the Northwest Quarter (NW 1/4) containing forty acres, and Lot Two (2) containing eleven and forty hundredths acres, and a parcel described as beginning at the Southeast corner (SE/c) of the Northwest Quarter (NW 1/4) of the Northwest Quarter (NW 1/4), thence due North two hundred fifty (250) feet, thence due West four hundred twenty-five (425) feet, thence due South two hundred fifty (250) feet, thence due East four hundred twenty-five (425) feet to the place of beginning, of Section Twenty-five (25); and that part of the Southeast Quarter (SE 1/4) of the Northeast Quarter (NE 1/4) designated in the patent and Government plat as Lot Six (6) containing thirty-four acres of Section Twenty-six (26); and the Southwest Quarter (SW 1/4) of the Northwest Quarter (NW 1/4) of Section Thirteen (13) containing forty acres, all in Township Thirteen (13) North, Range Eight (8) West of the Indian Meridian, Canadian County, Oklahoma, together with all incorporeal hereditaments and appurtenances thereunto belonging.

2.  Property Number Two (2):  A part of the Northwest Quarter (NW 1/4) and of Government Lot Number 2, both being a portion of Section Twenty-five (25), Township Thirteen (13) North, Range Eight (8) West of the Indian Meridian, Canadian County, Oklahoma, together with all incorporeal hereditaments and appurtenances thereunto belonging; more particularly described as follows:  beginning at a point whence the Northeast corner of said Section Twenty-five (25), bears North 64 degrees 44' 23" East a distance of 5635.49 feet, and whence the North Quarter corner of said Section Twenty-five (25) bears North 45 degrees 30' 19" East, a distance of 3431.34 feet; thence, South 66 degrees 23' 43" East a distance of 468.43 feet; thence, South 74 degrees 49' 33" East, a distance of 391.69 feet; thence, South 77 degrees 30' 00" East, a distance of 280.00 feet to an existing fenceline; thence, along said existing fenceline, South 02 degrees 43' 49" West a distance of 529.30 feet to a point on the Northerly bank of the North Canadian River; thence, along said Northerly bank the following five (5) courses: 1) thence, North 89 degrees 55' 14" West, a distance of 284.55 feet; 2) thence, North 64 degrees 59' 36" West, a distance of 122.62 feet; 3) thence, North 49 degrees 26' 16" West, a distance of 164.58 feet; 4) thence, North 34 degrees 49' 02" West, a distance of 653.61 feet; 5) thence, North 62 degrees 35' 07" West, a distance of 227.90 feet; thence, departing from said Northerly bank, North 27 degrees 24' 53" East, a distance of 88.56 feet to the point of beginning; containing 9.93 acres, more or less.

B.  The authority of the Oklahoma Wildlife Conservation Commission to use Property Number One (1) granted pursuant to Section 1, Chapter 8, O.S.L. 1933 to the State Game and Fish Commission and succeeded to by the Oklahoma Wildlife Conservation Commission is hereby terminated.

C.  The authority and empowerment over the use of Property Number One (1) shall be transferred to Redlands Community College to be used for agricultural and equine educational purposes.  Such use shall exclude the use of Property Number Two (2) and acknowledge the authority of the Oklahoma Historical Society to access Property Number Two (2) from Property Number One (1).  Redlands Community College shall notify the Department of Central Services if it determines that the use of the property is no longer needed.

D.  The authority and empowerment over the use of Property Number Two (2) shall be transferred to the Oklahoma Historical Society together with the authority to access Property Number Two (2) from Property Number One (1).  The Oklahoma Historical Society shall notify the Department of Central Services if it determines that the use of the property is no longer needed.

Added by Laws 1998, c. 131, § 1, eff. July 1, 1998.  Amended by Laws 2001, c. 134, § 1, emerg. eff. April 24, 2001.

§74-130.  Alternative fuels - Transfer of powers, duties and responsibilities.

All powers, duties, and responsibilities of the Oklahoma Alternative Fuels Conversion Act and the Alternative Fuels Technician Certification Act now exercised by the Oklahoma Corporation Commission pursuant to law are hereby transferred to the Office of Public Affairs, together with all unexpended funds, property, records, personnel, and any outstanding financial obligations and encumbrances related thereto.

Added by Laws 1991, c. 235, § 21, eff. July 1, 1991.

§74-130.1.  Short title.

Sections 1 through 10 of this act shall be known and may be cited as the "Oklahoma Alternative Fuels Conversion Act".

Added by Laws 1990, c. 336, § 1, operative July 1, 1990.  Renumbered from Title 17, § 601 by Laws 1991, c. 235, § 23, eff. July 1, 1991.

NOTE:  Section was editorially renumbered from Title 17, § 401 to Title 17, § 601 to avoid a duplication in numbering.

§74-130.2.  Definitions.

As used in the Oklahoma Alternative Fuels Conversion Act:

1.  "Alternative fuels" means fuels which result in comparably lower emissions of oxides of nitrogen, volatile organic compounds, carbon monoxide, or particulates or any combination thereof and includes compressed natural gas, liquefied petroleum gas, liquefied natural gas, ethanol, methanol, "M-85" which is a mixture of methanol and gasoline containing at least eighty-five percent (85%) methanol, electricity, biodiesel, and "B2O" which is a mixture of biodiesel and diesel fuel containing at least twenty percent (20%) biodiesel;

2.  "Charge station" means the physical device that provides a connection from a power source to an electric vehicle as defined by the Electric Vehicle Association of America, the Electric Power Research Institute, and the Society of Automotive Engineers.  All charge stations shall comply with the National Electric Code.  Inductive connectors and conductive connectors shall comply with the guidelines of the Society of Automotive Engineers;

3.  "CNG" means compressed natural gas;

4.  "CNG conversion kit" means the equipment installed to modify a motor vehicle which is propelled by gasoline or diesel fuel so that the vehicle may be propelled by compressed natural gas;

5.  "Diesel fuel" means diesel engine fuel, and all other liquids suitable for the generation of power for the propulsion of motor vehicles except gasoline;

6.  "Fill station" means the property which is directly related to the delivery of compressed natural gas, liquefied natural gas, liquefied petroleum gas, methanol, "M-85" which is a mixture of methanol and gasoline containing at least eighty-five percent (85%) methanol, biodiesel, or "B2O" which is a mixture of biodiesel and diesel fuel containing at least twenty percent (20%) biodiesel into the fuel tank of a motor vehicle propelled by such fuel including the compression equipment and storage vessels for such fuel at the point where such fuel is delivered;

7.  "Gallon" means the quantity of fluid or liquid at a temperature of sixty degrees (60°) Fahrenheit necessary to completely fill a United States standard gallon liquid measure;

8.  "Gasoline" means the same as motor fuel and means every liquid petroleum product, or any combination thereof, other than solvents as herein defined, having an A.P.I. gravity of forty-six degrees (46°) or above at a temperature of sixty degrees (60°) Fahrenheit and at atmospheric pressure, and includes drip, casinghead or natural gasoline.  The term gasoline also includes any liquid of less than forty-six degrees (46°) A.P.I. gravity at a temperature of sixty degrees (60°) Fahrenheit compounded, blended, manufactured or otherwise produced by mixing or blending gasoline or solvents with any blending materials, as hereinafter defined, when the blended product can be used for generating power in internal combustion engines, regardless of how such liquid is made, compounded, manufactured or recovered and regardless of the name by which such liquid may be known or sold;

9.  "Government vehicle" means all motor vehicles, including, but not limited to, transit vehicles operated by any entity pursuant to Section 4031 et seq. of Title 69 of the Oklahoma Statutes or designated as public transit by the Oklahoma Department of Transportation, buses, trucks, law enforcement vehicles and emergency vehicles, owned and operated by the State of Oklahoma, any public trust authority, county, municipality, town or city within this state;

10.  "Sale" means sales, barters, exchanges, and every other manner, method, and form of transferring the ownership of personal property from one person to another, and also includes the use or consumption in this state in the first instance of gasoline received from without the state or of any other gasoline upon which the surcharge has not been paid;

11.  "School vehicle" means all buses and multi-passenger motor vehicles owned and approved to operate by the State Department of Education or any school district within this state; and

12.  "Solvents" means especially prepared commercial and industrial solvents, cleaners' and painters' naphthas, and raw petroleum materials or petrochemical intermediates when used as or sold for use in production or manufacture of plastics, detergents, synthetic rubber, herbicides, insecticides and other chemicals or products which are not prepared, advertised, offered for sale, or sold for use or suitable for use as fuel for generating power in internal combustion engines.

Added by Laws 1990, c. 336, § 2, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 1, eff. July 1, 1991.  Renumbered from § 602 of Title 17 by Laws 1991, c. 235, § 23, eff. July 1, 1991.  Amended by Laws 1993, c. 224, § 1, eff. Sept. 1, 1993; Laws 1994, c. 379, § 2, eff. Sept. 1, 1994; Laws 1998, c. 160, § 1, eff. Nov. 1, 1998; Laws 2005, c. 287, § 2, eff. July 1, 2005.

NOTE:  Section was editorially renumbered from § 402 of Title 17 to § 602 of Title 17 to avoid a duplication in numbering.

§74-130.3.  Conversion of school and government vehicles to operate on alternative fuel.

A.  All school vehicles and all government vehicles may be converted to operate on an alternative fuel.  The state, any county or municipal government and any school district within the state may have access to the Oklahoma Alternative Fuels Conversion Fund and the reasonable expenses of the conversions and/or the installation of a fill station or charge station may be reimbursed in the manner pursuant to Section 130.4 of this title if the state, county, municipality or school district can pay back such conversion and/or fill station or charge station installation costs within seven (7) years of the date of conversion and/or fill station or charge station installation.  Beginning July 1, 1995, all school districts within this state should consider only purchasing school vehicles which have the capability to operate on an alternative fuel.

B.  The reasonable expenses of the conversion of the school vehicle fleets and the government vehicle fleets that are converted pursuant to subsection A of this section shall be reimbursed in the manner pursuant to Section 130.4 of this title.

C.  The reasonable expenses of the installation of a fill station or charge station that is installed pursuant to subsection A of this section shall be reimbursed in the manner pursuant to Section 130.4 of this title.

D.  Any vehicle converted to have the capability of being fueled or charged by alternative fuels pursuant to the provisions of the Oklahoma Alternative Fuels Conversion Act shall not be sold or otherwise transferred to another person or entity before the total reimbursement of the cost of such conversion pursuant to the provisions of the Oklahoma Alternative Fuels Conversion Act unless such conversion equipment is removed and installed on another government vehicle or school vehicle owned by such public entity.

E.  Any fill station or charge station installed pursuant to the provisions of the Oklahoma Alternative Fuels Conversion Act shall not be sold or otherwise transferred to another person or entity before the total reimbursement of the cost of such fill station or charge station pursuant to the provisions of the Oklahoma Alternative Fuels Conversion Act.

F.  All school vehicles and all government vehicles which are converted to operate on alternative fuel shall be required to use such alternative fuel whenever a fill station or charge station is in operation within a five-mile radius of the respective department, district, agency, office, or political subdivision that has converted vehicles to operate on alternative fuel, and the price of the alternative fuel is comparable to the price of the fuel being displaced.  School vehicles and government vehicles that are capable of operating on a conventional fuel as well as an alternative fuel shall be exempt from this restriction on those occasions when the vehicle or vehicles must be refueled outside the five-mile radius of the respective department, district, agency, office or political subdivision that has said vehicle and no alternative fuel fill station or charge station is reasonably available.

Added by Laws 1990, c. 336, § 3, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 2, eff. July 1, 1991.  Renumbered from Title 17, § 603 by Laws 1991, c. 235, § 23, eff. July 1, 1991.  Amended by Laws 1994, c. 379, § 3, eff. Sept. 1, 1994; Laws 1998, c. 160, § 2, eff. Nov. 1, 1998; Laws 2003, c. 232, § 1, eff. Nov. 1, 2003.

NOTE:  Section was editorially renumbered from Title 17, § 403 to Title 17, § 603 to avoid a duplication in numbering.

§74-130.4.  Oklahoma Alternative Fuels Conversion Fund.

A.  There is hereby created in the State Treasury a revolving fund for the Department of Central Services to be designated as the "Oklahoma Alternative Fuels Conversion Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Department of Central Services pursuant to Section 130.5 of this title.

B.  All monies accruing to the credit of the revolving fund shall be expended by the Department of Central Services to reimburse expenses relative to the conversion of government vehicles and school vehicles to have the capability of being fueled or charged by alternative fuels and/or the expenses relative to the installation of a fill station or charge station.  The maximum amount expended per vehicle shall be the actual cost of vehicle conversion or Ten Thousand Dollars ($10,000.00), whichever is less.  The maximum amount expended per fill station or charge station shall be the actual cost of the installation or One Hundred Fifty Thousand Dollars ($150,000.00), whichever is less.  The balance on deposit in the fund shall never exceed the sum of Five Million Dollars ($5,000,000.00).

C.  Expenditures from the revolving fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1990, c. 336, § 4, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 3, eff. July 1, 1991.  Renumbered from Title 17, § 604 by Laws 1991, c. 235, § 23, eff. July 1, 1991.  Amended by Laws 1993, c. 224, § 2, eff. Sept. 1, 1993; Laws 1998, c. 160, § 3, eff. Nov. 1, 1998; Laws 2002, c. 38, § 1.

NOTE:  Section was editorially renumbered from Title 17, § 404 to Title 17, § 604 to avoid a duplication in numbering.

§74-130.5.  Reimbursement of Alternative Fuels Fund - Accounts - Surcharge on sales of alternative fuels - Collection and apportionment - Suspension of surcharge.

A.  The Oklahoma Alternative Fuels Conversion Fund shall be reimbursed by a surcharge on alternative fuels sold within the state under the provisions of the Oklahoma Alternative Fuels Conversion Act.

B.  A reimbursement account shall be established in the name of each recipient of reimbursement for vehicle conversion and/or fill station installation pursuant to the provisions of Section 603 of this title.  The initial amount of each recipient's account shall be the amount of the reimbursement received by that recipient.  A recipient's account shall be increased by the amount of any subsequent reimbursement received by that recipient; a recipient's account shall be reduced by the amount of all surcharges on alternative fuels paid by that recipient.

C.  A surcharge in an amount equivalent to the per gallon fuel cost savings in utilizing alternative fuels is hereby levied on sales of alternative fuels to recipients of reimbursement for vehicle conversion and/or fill station installation pursuant to the provisions of Section 603 of this title.  Initially, the amount of the surcharge shall be based upon monthly fuel savings as determined in the manner prescribed in subsection A of Section 603 of this title.  Such amount shall be adjusted periodically, by the Oklahoma Tax Commission, to reflect any change in the amount of fuel savings actually received by the recipient.  The surcharge shall not be levied on sales of alternative fuels for any other purposes.  The surcharge shall continue on sales to each such recipient for so long as that recipient maintains a reimbursement account.  When the reimbursement account for a recipient is reduced to zero, the surcharge levied by this section shall terminate until such time as a reimbursement account may be re-established for that recipient.

D.  The surcharge levied by this section shall be collected by the Oklahoma Tax Commission and apportioned monthly to the Oklahoma Alternative Fuels Conversion Fund.

E.  The surcharge levied by this section shall be suspended whenever the price of the alternative fuel used by the recipient is equal to or greater than the price of the original fuel displaced by the alternative fuel which may be purchased by such recipient.  Provided, such surcharge shall be reinstated whenever the price of the alternative fuel used by the recipient becomes less than the price of the original fuel displaced by the alternative fuel which may be purchased by such recipient.

F.  The Oklahoma Tax Commission shall adopt rules and regulations relating to the payment and collection of the surcharge levied by this section.

Added by Laws 1990, c. 336, § 5, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 4, eff. July 1, 1991.  Renumbered from Title 17, § 605 by Laws 1991, c. 235, § 23, eff. July 1, 1991.

NOTE:  Section was editorially renumbered from Title 17, § 406 to Title 17, § 605 to avoid a duplication in numbering.

§74-130.6.  Fund expenditures not deemed debt of government entity.

Expenditures from the Oklahoma Alternative Fuels Conversion Fund for vehicle conversions and/or fill station installations pursuant to Section 603 of this title shall not at any time be deemed to constitute a debt of the state, county, municipality or school district which owns such vehicle or fill station or a pledge of the faith and credit of the state or such county, municipality or school district, but such expenditures shall be reimbursed solely by a surcharge on the alternative fuel sold to the state or such county, municipality or school district pursuant to Section 605 of this title.

Added by Laws 1990, c. 336, § 6, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 5, eff. July 1, 1991.  Renumbered from Title 17, § 606 by Laws 1991, c. 235, § 23, eff. July 1, 1991.

NOTE:  Section was editorially renumbered from Title 17, § 407 to Title 17, § 606 to avoid a duplication in numbering.

§74-130.7.  Compliance with Act.

Compliance with the provisions of the Oklahoma Alternative Fuels Conversion Act shall be dependent upon the existence of funds within the Oklahoma Alternative Fuels Conversion Fund.

Added by Laws 1990, c. 336, § 7, operative July 1, 1990.  Renumbered from Title 17, § 607 by Laws 1991, c. 235, § 23, eff. July 1, 1991.

NOTE:  Section was editorially renumbered from Title 17, § 409 to Title 17, § 607 to avoid a duplication in numbering.

§74-130.8.  Pricing and selling of transportation fuels not to be regulated by governmental entity.

The price and sale of natural gas, methanol, electricity, "M-85", and biodiesel utilized as a transportation fuel in a motor vehicle shall not be regulated by any governmental entity within this state.

Added by Laws 1991, c. 235, § 6, eff. July 1, 1991.  Amended by Laws 1993, c. 224, § 3, eff. Sept. 1, 1993; Laws 1998, c. 160, § 4, eff. Nov. 1, 1998; Laws 2005, c. 287, § 3, eff. July 1, 2005.

§74-130.8A.  Exhaust emissions standards.

Beginning January 1, 1996, each CNG conversion kit installed in this state in any motor vehicle must meet the exhaust emissions standards of the California Air Resources Board or its successor.  CNG conversion kits installed before January 1, 1996, are exempt from this section.

Added by Laws 1994, c. 379, § 4, eff. Sept. 1, 1994.

§74-130.9.  Rules and regulations.

Except as provided for in subsection F of Section 605 of this title, the Office of Public Affairs shall adopt rules and regulations necessary to carry out the provisions of the Oklahoma Alternative Fuels Conversion Act.

Added by Laws 1990, c. 336, § 9, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 7, eff. July 1, 1991.  Renumbered from Title 17, § 609 by Laws 1991, c. 235, § 23, eff. July 1, 1991.

NOTE:  Section was editorially renumbered from Title 17, § 405 to Title 17, § 609 to avoid a duplication in numbering.

§74-130.10.  Penalties.

Any person convicted of violating the provisions of the Oklahoma Alternative Fuels Conversion Act shall be guilty of a misdemeanor and shall be punished by a fine of not more than Five Hundred Dollars ($500.00) or by confinement in the county jail not to exceed thirty (30) days, or by both fine and imprisonment.

Added by Laws 1990, c. 336, § 10, operative July 1, 1990.  Renumbered from Title 17, § 610 by Laws 1991, c. 235, § 23, eff. July 1, 1991.

NOTE:  Section was editorially renumbered from Title 17, § 408 to Title 17, § 610 to avoid a duplication in numbering.

§74-130.11.  Short title.

Sections 1 through 14 of this act shall be known and may be cited as the "Alternative Fuels Technician Certification Act".

Added by Laws 1990, c. 294, § 1, operative July 1, 1990.  Renumbered from Title 52, § 420.51 by Laws 1991, c. 235, § 24, eff July 1, 1991.

§74-130.12.  Legislative intent.

It is the intent of the Oklahoma Legislature that the State Board of Career and Technology Education develop curriculum for the training of technicians for the installation and conversion of engines to be fueled by alternative fuels as the technologies are developed.  It is further the intent of the Oklahoma Legislature that Oklahoma State University/Okmulgee develop curriculum for the training of technicians for the installation, service, modification, repair or renovation of fill stations.  It is further the intent of the Oklahoma Legislature to enact legislation which promotes the development of technology in a manner that ensures the health and safety of the citizens of this state.

Added by Laws 1990, c. 294, § 2, operative July 1, 1990.  Renumbered from § 420.52 of Title 52 by Laws 1991, c. 235, § 24, eff. July 1, 1991.  Amended by Laws 1994, c. 379, § 5, eff. Sept. 1, 1994; Laws 2001, c. 83, § 1, eff. Nov. 1, 2001.

NOTE:  Laws 2001, c. 33, § 170 repealed by Laws 2001, c. 414, § 16, eff. Nov. 1, 2001.

§74-130.13.  Definitions.

As used in the Alternative Fuels Technician Certification Act:

1.  "Alternative fuels" means fuels which result in comparably lower emissions of oxides of nitrogen, volatile organic compounds, carbon monoxide, or particulates or any combination thereof and includes compressed natural gas, liquefied petroleum gas, liquefied natural gas, methanol, "M-85" which is a mixture of methanol and gasoline containing at least eighty-five percent (85%) methanol, ethanol, reformulated gasoline and electricity;

2.  "Alternative fuels equipment technician" means any person who installs, modifies, repairs or renovates equipment used in the conversion of any engines to engines fueled by alternative fuels. This includes originally equipped manufactured engines dedicated to operate on an alternative fuel;

3.  "Alternative fuels compression technician" means any person who installs, services, modifies, repairs or renovates fill stations;

4.  "Board" means the Alternative Fuels Technician Hearing Board;

5.  "Committee" means the Committee of Alternative Fuels Technician Examiners;

6.  "Electric vehicle technician" means any person who installs, modifies, repairs, performs maintenance on, or renovates onboard charging systems, motors, controllers, power sources, or the drive systems of vehicles powered by electricity that is greater than eighty (80) volts.  This includes vehicles originally equipped as electric vehicles, vehicles converted from gliders, and vehicles converted from internal combustion engine vehicles;

7.  "Fill station" means the property which is directly related to the delivery of compressed natural gas or liquefied natural gas into the fuel tank of a motor vehicle propelled by such fuel including the compression equipment and storage vessels for such fuel at the point where the fuel is delivered; and

8.  "Glider" means a vehicle built without an engine or fuel system for the purpose of converting it to an electric vehicle.

Added by Laws 1990, c. 294, § 3, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 8, eff. July 1, 1991.  Renumbered from § 420.53 of Title 52 by Laws 1991, c. 235, § 24, eff. July 1, 1991.  Amended by Laws 1993, c. 224, § 4, eff. Sept. 1, 1993; Laws 1994, c. 379, § 6, eff. Sept. 1, 1994; Laws 1998, c. 160, § 5, eff. Nov. 1, 1998; Laws 1998, c. 343, § 1, emerg. eff. June 5, 1998; Laws 2001, c. 83, § 2, eff. Nov. 1, 2001.

NOTE:  Laws 1998, c. 320, § 2 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.

§74-130.14.  Committee of Alternative Fuels Technician Examiners - Members - Terms - Vacancies - Duties - Expenses - Quorum.  

A.  There is hereby established the Committee of Alternative Fuels Technician Examiners which shall consist of eight (8) members.  All members of the Committee shall be residents of this state.

B.  Five voting members of the Committee shall be appointed by the Director of the Department of Central Services as follows:

1.  Beginning September 1, 1994, three members shall be alternative fuels technicians selected from a list of names submitted by the State Board of Career and Technology Education, with at least one member being an alternative fuels equipment technician and at least one member being an alternative fuels compression technician;

2.  One member shall be a person involved in compressed natural gas technology in an oil and/or gas industry; and

3.  One member shall be a person involved in liquefied petroleum gas technology in an oil and/or gas industry.

C.  Beginning November 1, 1998, two additional voting members shall be appointed by the Director of the Department of Central Services, one of whom shall be selected from a list of names submitted by the State Board of Career and Technology Education and shall be an electric vehicle technician, and one of whom shall be a person involved in manufacturing, conversion, or research in the electric vehicle industry.

D.  All members shall each have at least two (2) years of active experience in alternative fuels technology.  The terms of the voting members initially appointed to the Committee shall be staggered as follows:

1.  One alternative fuels technician shall be appointed for a term of two (2) years;

2.  One alternative fuels technician shall be appointed for a term of three (3) years;

3.  One alternative fuels technician shall be appointed for a term of four (4) years;

4.  One person involved in compressed natural gas technology in an oil and/or gas industry shall be appointed for a term of three (3) years;

5.  One person involved in liquefied petroleum gas technology in an oil and/or gas industry shall be appointed for a term of four (4) years;

6.  One electric vehicle technician shall be appointed for a term of (2) years; and

7.  One person involved in manufacturing, conversion, or research in the electric vehicle industry shall be appointed for a term of three (3) years.

Thereafter, each voting member of the Committee shall be appointed for a term of five (5) years, or until their successors are appointed and qualified.

The nonvoting member shall be designated by the Director of the Department of Central Services to serve as Program Administrator and Recording Secretary to the Committee.  It is the intent of the Legislature that the person acting as the Program Administrator and Recording Secretary to the Committee as of the effective date of this act be transferred to the Department of Central Services to continue in his or her capacity.

E.  Vacancies which may occur in the membership of the Committee shall be filled by appointment of the Director of the Department of Central Services.  Each person who has been appointed to fill a vacancy shall serve for the remainder of the term for which the member such person succeeds was appointed and until a successor has been appointed and has qualified.  Members of the Committee may be removed from office by the Director of the Department of Central Services for cause in the manner provided by law for the removal of officers not subject to impeachment.

F.  The Committee shall assist and advise the Department of Central Services on all matters relating to the formulation of rules and standards in accordance with the Alternative Fuels Technician Certification Act.  The Committee shall administer the examinations of applicants for certification as alternative fuels equipment technicians, alternative fuels compression technicians, and electric vehicle technicians provided that such examinations shall be in accordance with the provisions of the Alternative Fuels Technician Certification Act.

G.  All members of the Committee shall be reimbursed for expenses incurred while in the performance of their duties in accordance with the State Travel Reimbursement Act.

H.  A majority of the total membership of the Committee shall constitute a quorum for the transaction of business.

Added by Laws 1990, c. 294, § 4, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 9, eff. July 1, 1991.  Renumbered from § 420.54 of Title 52 by Laws 1991, c. 235, § 24, eff. July 1, 1991.  Amended by Laws 1994, c. 379, § 7, eff. Sept. 1, 1994; Laws 1998, c. 160, § 6, eff. Nov. 1, 1998; Laws 2001, c. 33, § 171, eff. July 1, 2001.

§74-130.15.  Examinations for certification of technicians.

A.  Examinations for certification as alternative fuels equipment technicians shall be uniform and practical in nature for alternative fuels equipment technician certification and shall be sufficiently strict to test the qualifications and fitness of the applicants for certificates.

B.  Examinations for certification as alternative fuels compression technicians shall be uniform and practical in nature for alternative fuels compression technician certification and shall be sufficiently strict to test the qualifications and fitness of the applicants for certificates.

C.  Examinations for certification as electric vehicle technicians shall be uniform and practical in nature for electric vehicle technician certification and shall be sufficiently strict to test the qualifications and fitness of the applicants for certificates.

D.  Examinations shall be in whole or in part in writing.  The Committee shall conduct examinations twice a year and at such other times as it deems necessary.  Any applicant initially failing to pass the examination shall not be permitted to take another examination for a period of thirty (30) days.  Any applicant subsequently failing to pass the examination shall not be permitted to take another examination for a period of ninety (90) days.

E.  The Department of Central Services shall enforce the provisions of this section.

Added by Laws 1990, c. 294, § 5, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 10, eff. July 1, 1991.  Renumbered from Title 52, § 420.55 by Laws 1991, c. 235, § 24, eff. July 1, 1991.  Amended by Laws 1994, c. 379, § 8, eff. Sept. 1, 1994; Laws 1998, c. 160, § 7, eff. Nov. 1, 1998.

§74-130.16.  Certificate - Qualifications - Transfer or loan of certificate - Standards for storage and handling of liquefied petroleum gases and for electric vehicle charge stations.

A.  The Department of Central Services shall issue a certificate as an alternative fuels equipment technician to any person who:

1.  Has been licensed by the Oklahoma Liquefied Petroleum Gas Board and has successfully passed the appropriate examination as provided in the Alternative Fuels Technician Certification Act; or

2.  Has been certified by the Committee as either having successfully passed the appropriate examination or having a valid license or certificate issued by another governmental entity with licensing or certification requirements similar to those provided in the Alternative Fuels Technician Certification Act;

3.  Has paid the certification fee and otherwise complied with the provisions of the Alternative Fuels Technician Certification Act; and

4.  Has provided proof of liability insurance with limits of not less than Fifty Thousand Dollars ($50,000.00) general liability.

B.  The Department of Central Services shall issue a certificate as an alternative fuels compression technician to any person who:

1.  Has successfully passed the appropriate examination as provided in the Alternative Fuels Technician Certification Act or has been certified by the Committee as having a valid license or certificate issued by another governmental entity with licensing or certification requirements similar to those provided in the Alternative Fuels Technician Certification Act;

2.  Has paid the certification fee and otherwise complied with the provisions of the Alternative Fuels Technician Certification Act; and

3.  Has provided proof of liability insurance with limits of not less than Fifty Thousand Dollars ($50,000.00) general liability.

C.  The Department of Central Services shall issue a certificate as an electric vehicle technician to any person who:

1.  Has been certified by the Committee as either having successfully passed the appropriate examination or having a valid license or certificate issued by another governmental entity with licensing or certification requirements similar to those provided in the Alternative Fuels Technician Certification Act;

2.  Has paid the certification fee and otherwise complied with the provisions of the Alternative Fuels Technician Certification Act; and

3.  Has provided proof of liability insurance with limits of not less than Fifty Thousand Dollars ($50,000.00) general liability.

D.  In the case of a company, partnership or corporation engaged in the business of installing, servicing, repairing, modifying or renovating equipment used in the conversion of engines to engines fueled by alternative fuels, a separate certificate shall be issued by the Department of Central Services to that individual company, partnership or corporation.  This certificate is for the express purpose of recognizing that the company, partnership or corporation is an authorized alternative fuels conversion business and employs state-certified alternative fuels equipment technicians.  Any violations by a certified alternative fuels equipment technician shall be deemed a violation by the certified company, partnership or corporation employing such certified technician.

E.  In the case of a company, partnership or corporation engaged in the business of installing, servicing, repairing, modifying or renovating fill stations, a separate certificate shall be issued by the Department of Central Services to that individual company, partnership or corporation.  This certificate is for the express purpose of recognizing that the company, partnership or corporation is an authorized fill station installation business and employs state-certified alternative fuels compression technicians or electric vehicle technicians.  Any violations by a certified alternative fuels compression technician or electric vehicle technician shall be deemed a violation by the certified company, partnership or corporation employing such certified technician.

F.  In conjunction with subsection A of this section, the Department of Central Services shall issue an Alternative Fuels Equipment Installation Certification to any public entity or private company, partnership or corporation that operates commercial, private or public fleets of vehicles and employs ten (10) or more auto service technicians per location.  The certification shall be based on the ability of the applicant to provide their own alternative fuels equipment technician training program which shall be certified by the Department of Central Services, Committee of Alternative Fuels Technician Examiners.  This subsection shall not apply to allow certification of any alternative fuels compression technician training programs.

G.  All alternative fuels equipment technician certificates, alternative fuels compression technician certificates, and electric vehicle technician certificates shall be nontransferable and it shall be unlawful for any person certified pursuant to the provisions of the Alternative Fuels Technician Certification Act to loan or allow the use of such certificate by any other person, except as specifically provided in the Alternative Fuels Technician Certification Act.

H.  The standards for the storage and handling of liquefied petroleum gases adopted by the National Fire Protection Association and published in the latest edition of its Pamphlet No. 58 and the standards for the installation of compressed natural gas vehicular fuel systems adopted by the National Fire Protection Association and published in its Pamphlet No. 52 shall be the accepted standards for this state.  The accepted standards for this state for electric vehicle charge stations shall be the National Electric Code (NEC).  The Department of Central Services is authorized, and it shall be its duty to adopt and promulgate such rules or specifications relating to safety in the manufacture, assembly, sale, installation and use of vehicular alternative fuel systems.  The Department of Central Services is further authorized to modify or amend such rules or specifications as it deems reasonable and necessary.

Added by Laws 1990, c. 294, § 6, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 11, eff. July 1, 1991.  Renumbered from Title 52, § 420.56 by Laws 1991, c. 235, § 24, eff. July 1, 1991.  Amended by Laws 1993, c. 224, § 5, eff. Sept. 1, 1993; Laws 1994, c. 379, § 9, eff. Sept. 1, 1994; Laws 1998, c. 160, § 8, eff. Nov. 1, 1998.

§74-130.17.  Applications for examination, certification or renewal of certification - Fees.

A.  1.  All applications for examination, certification or renewal of certification shall be made in writing to the Department of Central Services on forms provided, if necessary, by the Department of Central Services.  All applications shall be accompanied by the appropriate fee.

2.  If a person holds a valid Class I Dealer Permit properly issued by the Oklahoma Liquefied Petroleum Gas Board, pursuant to Section 420.4 of Title 52 of the Oklahoma Statutes, the requirements of this section for certification or renewal of certification shall not be required.

B.  The following shall be the fees charged under the Alternative Fuels Technician Certification Act.

Alternative Fuels Equipment Technician Examination $50.00

Alternative Fuels Compression Technician Examination $50.00

Electric Vehicle Technician Examination $50.00

Alternative Fuels Equipment Technician Certificate $50.00

Alternative Fuels Compression Technician Certificate $50.00

Electric Vehicle Technician Certificate $50.00

Certificate renewal, if made within thirty (30) days after expiration:

Alternative Fuels Equipment Technician Certificate $50.00

Alternative Fuels Compression Technician Certificate $50.00

Electric Vehicle Technician Certificate $50.00

Penalty for Late Certification Renewal:

Alternative Fuels Equipment Technician Certificate $10.00

Alternative Fuels Compression Technician Certificate $10.00

Electric Vehicle Technician Certificate $10.00

Certificate fee if certified after March 1 of each year:

Alternative Fuels Equipment Technician Certificate $25.00

Alternative Fuels Compression Technician Certificate $25.00

Electric Vehicle Technician Certificate $25.00

Certificate fee if certified after June 1 of each year:

Alternative Fuels Equipment Technician Certificate $12.50

Alternative Fuels Compression Technician Certificate $12.50

Electric Vehicle Technician Certificate $12.50

Company, Partnership or Corporation Certificate $100.00

Annual Renewal for Company, Partnership or Corporation Certificate $100.00

Training Program Certification (one-time fee) $500.00

Alternative Fuels Installation Certification  

Per Location $1,000.00

Annual Renewal of Alternative Fuels Installation

Certification Per Location $1,000.00

Added by Laws 1990, c. 294, § 7, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 12, eff. July 1, 1991.  Renumbered from § 420.57 of Title 52 by Laws 1991, c. 235, § 24, eff. July 1, 1991.  Amended by Laws 1993, c. 224, § 6, eff. Sept. 1, 1993; Laws 1994, c. 379, § 10, eff. Sept. 1, 1994; Laws 1997, c. 234, § 5, eff. Nov. 1, 1997; Laws 1998, c. 160, § 9, eff. Nov. 1, 1998; Laws 1999, c. 366, § 6, eff. July 1, 1999.

§74-130.18.  Recertification - Rules and guidelines.

The Department of Central Services shall adopt rules and guidelines for the expiration of certificates for alternative fuels equipment technicians, alternative fuels compression technicians, and electric vehicle technicians, and for determining the recertification of alternative fuels equipment technicians, alternative fuels compression technicians, and electric vehicle technicians.

Added by Laws 1990, c. 294, § 8, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 13, eff. July 1, 1991.  Renumbered from Title 52, § 420.58 by Laws 1991, c. 235, § 24, eff. July 1, 1991.  Amended by Laws 1994, c. 379, § 11, eff. Sept. 1, 1994; Laws 1998, c. 160, § 10, eff. Nov. 1, 1998.

§74-130.19.  Alternative Fuels Technician Hearing Board - Complaints - Investigations - False or fraudulent representation - Suspension or revocation of certificate.

A.  A person or persons designated by the Director of the Department of Central Services and the Committee shall act as the Alternative Fuels Technician Hearing Board and shall comply with the provisions of the Administrative Procedures Act.

B.  The Alternative Fuels Technician Hearing Board may, upon its own motion, and shall, upon written complaint filed by any person, investigate the business transactions of any certified alternative fuels equipment or compression technician, or electric vehicle technician.  The Board shall suspend or revoke any certificate or registration obtained by false or fraudulent representation.  The Board shall also suspend or revoke any certificate or registration for any of the following:

1.  Making a material misstatement in the application for a certificate or registration, or the renewal of a certificate or registration;

2.  Loaning or illegally using a certificate;

3.  Demonstrating incompetence to act as an alternative fuels equipment technician, alternative fuels compression technician, or electric vehicle technician;

4.  Violating any provisions of the Alternative Fuels Technician Certification Act, or any rule or order prescribed by the Department of Central Services; or

5.  Willfully failing to perform normal business obligations without justifiable cause.

Any person whose alternative fuels equipment technician certificate, alternative fuels compression technician certificate, or electric vehicle technician certificate has been revoked by the Alternative Fuels Technician Hearing Board may apply for a new certificate one (1) year from the date of such revocation.

Added by Laws 1990, c. 294, § 9, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 14, eff. July 1, 1991.  Renumbered from Title 52, § 420.59 by Laws 1991, c. 235, § 24, eff. July 1, 1991.  Amended by Laws 1994, c. 379, § 12, eff. Sept. 1, 1994; Laws 1998, c. 160, § 11, eff. Nov. 1, 1998.

§74-130.20.  Work of technician by noncertified person.

After September 1, 1991, it shall be unlawful for any person to perform the work or offer, by advertisement or otherwise, to perform the work of an alternative fuels equipment technician until such person has qualified and is certified as an alternative fuels equipment technician.  Beginning September 1, 1995, it shall be unlawful for any person to perform work or offer, by advertisement or otherwise, to perform the work of an alternative fuels compression technician until such person has qualified and is certified as an alternative fuels compression technician.  Beginning November 1, 1998, it shall be unlawful for any person to perform the work or offer, by advertisement or otherwise, to perform the work of an electric vehicle technician until such person has qualified and is certified as an electric vehicle technician.  Electric vehicles that have a manufacturer's warranty shall be serviced by an authorized new car dealer.  Any vehicle manufacturer's training center located in the state, which offers alternative fuel and electric vehicle courses meeting new car manufacturing requirements, shall be exempted from this act.  Provided, nothing in the Alternative Fuels Technician Certification Act shall be construed to prohibit a noncertified person from converting the engine of a farm tractor, as defined in Section 1-118 of Title 47 of the Oklahoma Statutes, to an engine fueled by alternative fuels, as long as such farm tractor is not operated on the roads and highways of this state.

Added by Laws 1990, c. 294, § 10, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 15, eff. July 1, 1991.  Renumbered from Title 52, § 420.60 by Laws 1991, c. 235, § 24, eff. July 1, 1991.  Amended by Laws 1994, c. 379, § 13, eff. Sept. 1, 1994; Laws 1998, c. 160, § 12, eff. Nov. 1, 1998.

§74-130.21.  Change of address of holder of certificate or registration.

Any holder of a certificate or registration issued in accordance with the provisions of the Alternative Fuels Technician Certification Act shall promptly notify the Office of Public Affairs of any change in such holder's address.

Added by Laws 1990, c. 294, § 11, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 16, eff. July 1, 1991.  Renumbered from Title 52, § 420.61 by Laws 1991, c. 235, § 24, eff. July 1, 1991.

§74-130.22.  Alternative Fuels Technician Certification Revolving Fund.

All monies received by the Department of Central Services under the Alternative Fuels Technician Certification Act shall be deposited with the State Treasurer and credited to the "Alternative Fuels Technician Certification Revolving Fund".  The revolving fund shall be a continuing fund not subject to fiscal year limitations and shall be under the control and management of the Department of Central Services.  Expenditures from this fund shall be made pursuant to the purposes of the Alternative Fuels Technician Certification Act and shall include, but not be limited to, payment of operating costs, costs of programs designed to promote public awareness of the alternative fuels industry, expenditures for the preparation and printing of regulations, bulletins or other documents and the furnishing of copies of the documents to those persons engaged in the alternative fuels industry or the public, and expenses the Department incurs to support program operations.  Warrants for expenditures shall be drawn by the State Treasurer based on claims signed by the Department of Central Services and approved for payment by the Director of State Finance.  The revolving fund shall be audited at least once each year by the State Auditor and Inspector.

Added by Laws 1990, c. 294, § 12, operative July 1, 1990.  Amended by Laws 1991, c. 235, § 17, eff. July 1, 1991.  Renumbered from § 420.62 of Title 52 by Laws 1991, c. 235, § 24, eff. July 1, 1991.  Amended by Laws 2003, c. 372, § 12, eff. July 1, 2003.

§74-130.23.  Violations - Criminal penalties.

Any person convicted of violating any provision of the Alternative Fuels Technician Certification Act shall be guilty of a misdemeanor.  The continued violation of any provision of the Alternative Fuels Technician Certification Act during each day shall be deemed to be a separate offense.  Upon conviction thereof the person shall be punished by imprisonment in the county jail not to exceed one (1) year, or by a fine of not more than One Thousand Dollars ($1,000.00), or by both such fine and imprisonment for each offense.  The Alternative Fuels Technician Hearing Board may request the appropriate district attorney to prosecute such violation and seek an injunction against such practice.

Added by Laws 1990, c. 294, § 13, operative July 1, 1990.  Renumbered from Title 52, § 420.63 by Laws 1991, c. 235, § 24, eff. July 1, 1991.

§74-130.24.  Violations - Civil penalties - Determination of penalty amount - Surrender of certificate in lieu of fine.

A.  Any person who has been determined by the Alternative Fuels Technician Hearing Board to have violated any provision of the Alternative Fuels Technician Certification Act or any rule or order issued pursuant to the provisions of the Alternative Fuels Technician Certification Act may be liable for a civil penalty of not more than One Hundred Dollars ($100.00) for each day that said violation occurs.  The maximum civil penalty shall not exceed Ten Thousand Dollars ($10,000.00) for any related series of violations.

B.  The amount of the penalty shall be assessed by the Board pursuant to the provisions of subsection A of this section, after notice and hearing.  In determining the amount of the penalty, the Board shall include but not be limited to, consideration of the nature, circumstances, and gravity of the violation and, with respect to the person found to have committed the violation, the degree of culpability, and any show of good faith in attempting to achieve compliance with the provisions of the Alternative Fuels Technician Certification Act.  All monies collected from such civil penalties shall be deposited with the State Treasurer of Oklahoma and placed in the Alternative Fuels Technician Certification Revolving Fund.

C.  Any certificate holder may elect to surrender his certificate in lieu of said fine but shall be forever barred from obtaining a reissuance of said certificate.

Added by Laws 1990, c. 294, § 14, operative July 1, 1990.  Renumbered from Title 52, § 420.64 by Laws 1991, c. 235, § 24, eff. July 1, 1991.

§74-149.  Repealed by Laws 2005, c. 190, § 20, eff. Sept. 1, 2005.

§74150.1.  Short title

There is hereby created an agency of state government to be designated the Oklahoma State Bureau of Investigation.

Laws 1976, c. 259, § 1, operative July 1, 1976.  

§74-150.2.  Powers and duties.

The Oklahoma State Bureau of Investigation shall have the power and duty to:

1.  Maintain a nationally accredited scientific laboratory to assist all law enforcement agencies in the discovery and detection of criminal activity;

2.  Maintain fingerprint and other identification files including criminal history records, juvenile identification files, and DNA profiles;

3.  Establish, coordinate and maintain the automated fingerprinting identification system (AFIS) and the deoxyribonucleic acid (DNA) laboratory;

4.  Operate teletype, mobile and fixed radio or other communications systems;

5.  Conduct schools and training programs for the agents, peace officers, and technicians of this state charged with the enforcement of law and order and the investigation and detection of crime;

6.  Assist the Director of the Oklahoma State Bureau of Narcotics and Dangerous Drugs Control, the Chief Medical Examiner, and all law enforcement officers and district attorneys when such assistance is requested, in accordance with the policy determined by the Oklahoma State Bureau of Investigation Commission established in Section 150.3 of this title;

7.  Investigate and detect criminal activity when directed to do so by the Governor;

8.  Investigate, detect, institute and maintain actions involving vehicle theft pursuant to Section 150.7 of this title or oil, gas or oil field equipment theft pursuant to Sections 152.2 through 152.9 of this title;

9.  Investigate any criminal threat made to the physical safety of elected or appointed officials of this state or any political subdivision of the state and forward the results of that investigation to the Department of Public Safety, and provide security to foreign elected or appointed officials while they are in this state on official business;

10.  Investigate and detect violations of the Oklahoma Computer Crimes Act; and

11.  Investigate and enforce all laws relating to any crime listed as an exception to the definition of "nonviolent offense" as set forth in section 571 of Title 57 of the Oklahoma Statutes that occur on the turnpikes.

Added by Laws 1976, c. 259, § 2, operative July 1, 1976.  Amended by Laws 1983, c. 145, § 1, eff. Jan. 1, 1984; Laws 1986, c. 201, § 8, operative July 1, 1986; Laws 1989, c. 353, § 9, emerg. eff. June 3, 1989; Laws 1990, c. 282, § 3, operative July 1, 1990; Laws 1991, c. 227, § 2, emerg. eff. May 23, 1991; Laws 1991, c. 335, § 31, emerg. eff. June 15, 1991; Laws 1994, c. 259, § 1, eff. Sept. 1, 1994; Laws 1996, c. 281, § 1, emerg. eff. June 5, 1996; Laws 2001, c. 261, § 1, eff. July 1, 2001; Laws 2002, c. 351, § 1, emerg. eff. May 30, 2002; Laws 2003, c. 461, § 15, eff. July 1, 2003.

NOTE:  Laws 1986, c. 46, § 1 repealed by Laws 1989, c. 353, § 14, emerg. eff. June 3, 1989.  Laws 1991, c. 226, § 3 repealed by Laws 1991, c. 335, § 37, emerg. eff. June 15, 1991.

§74-150.3.  State Bureau of Investigation Commission.

A.  There is hereby created an Oklahoma State Bureau of Investigation Commission which shall consist of seven (7) members, not more than two of whom shall be from the same congressional district.  When congressional districts are redrawn, each member appointed prior to July 1 of the year in which such modification becomes effective shall complete the current term of office and appointments made after July 1 of the year in which such modification becomes effective shall be based on the redrawn districts.  No appointments may be made after July 1 of the year in which such modification becomes effective if such appointment would result in more than two members serving from the same modified district.  The members shall be appointed by the Governor and confirmed by the Senate and shall be removable only for cause, as provided by law for the removal of officers not subject to impeachment.  The term of office of each member shall be seven (7) years.  The first appointments shall be for the following terms as designated by the Governor:  one member for a term of one (1) year; one member for a term of two (2) years; one member for a term of three (3) years; one member for a term of four (4) years; one member for a term of five (5) years; one member for a term of six (6) years; and one member for a term of seven (7) years.  A member may serve more than one term on the Commission.  Each member shall continue to serve so long as the member is qualified until a successor has been appointed and confirmed by the Senate.  Vacancies occurring during a term shall be filled for the unexpired portion of the term by the same procedure used to make the regular appointments.

B.  Four of the members shall represent the lay citizenry, one member shall be a district attorney while serving in that capacity, one member shall be a sheriff while serving in that capacity, and one member shall be a chief of police while serving in that capacity; provided that the sheriff and police chief members shall have successfully completed an approved course of instruction for peace officers as required by law.

C.  Annually the Commission shall select one of the Commission members to serve as chair and one member to serve as vice-chair.  The Commission shall meet at least quarterly.  The chair shall preside at all meetings of the Commission and shall have the power to call meetings of the Commission.  In addition, meetings of the Commission may be called by a majority of the members.  The vice-chair shall perform these functions in the absence or incapacity of the chair.  A quorum of four members of the Commission shall be necessary to conduct any official business.  All actions taken by the Commission shall be by a simple majority vote of a quorum.  In the event of a tie vote, the measure being voted upon shall be deemed to have failed.

The Commission shall adopt rules of procedure for the orderly performance of its functions.

D.  Members of the Commission shall serve without salary but may be reimbursed for travel and other expenses in attending meetings and performing their duties in the manner provided for other state officers and employees under the State Travel Reimbursement Act.  The laycitizen members shall be paid Thirty Dollars ($30.00) per diem for attendance at meetings of the Commission.  No other provisions of law shall be construed as prohibiting public officers from also serving as members of the Commission, nor shall any other provisions of law be construed as prohibiting public officers or public employees from performing services for the Commission without compensation.  It is further provided that no town, city, county or other subdivision or other agency of state government shall be prohibited from receiving a grant or from benefiting from grants or expenditures of the Commission for the reason that an officer or employee of such town, city, county or other subdivision or agency of state government is a Commission member or employee.

Added by Laws 1976, c. 259, § 3, operative July 1, 1976.  Amended by Laws 1985, c. 178, § 68, operative July 1, 1985; Laws 2002, c. 375, § 21, eff. Nov. 5, 2002; Laws 2003, c. 229, § 7, emerg. eff. May 20, 2003.

§74150.4.  Commission  Powers and duties.

The Commission shall have the following powers and duties and responsibilities:

1.  To appoint the Director of the Oklahoma State Bureau of Investigation, whose compensation shall be determined by the Legislature.

2.  To hear any complaint against the Bureau or any of its employees according to the following procedure:

a. Only those complaints which have been submitted in writing and are signed will be acted upon by the Commission.

b. All hearings on complaints shall be conducted in executive sessions, and shall not be open to the public.

c. The Commission shall have limited access to pertinent investigative files when investigating a complaint. The Director shall provide a procedure whereby the identification of all persons named in any investigative file except the subject of the complaint and the complaining witness shall not be revealed to the members of the Commission.  Any consideration of files shall be in executive session not open to the public.  No information or evidence received in connection with the hearings shall be revealed to any person or agency.  Any violation hereof shall be grounds for removal from the Commission, and shall constitute a misdemeanor.

3.  To make recommendations to the Director of any needed disciplinary action necessary as a result of an investigation conducted upon a complaint received.

4.  To establish general procedures with regard to assisting law enforcement officers and district attorneys.

5.  To establish a program of training for agents utilizing such courses as the National Police Academy conducted by the Federal Bureau of Investigation.

6.  To require the Director to advise the Commission on the progress of pending investigations.  All discussions of pending investigations shall be conducted in executive session not open to the public and no minutes of such sessions shall be kept.  The Director shall not reveal the identity of any witnesses interviewed or the substance of their statements.  No information received by the Commission shall be revealed to any person or agency by any Commission member.  Any violation of this paragraph by a Commission member shall be grounds for removal from the Commission and shall constitute a misdemeanor.

Laws 1976, c. 259, § 4, operative July 1, 1976.  

§74-150.5.  Investigations - Persons to initiate request.

A.  1.  Oklahoma State Bureau of Investigation investigations not covered under Section 150.2 of this title shall be initiated at the request of the following persons:

a. the Governor,

b. the Attorney General,

c. the Council on Judicial Complaints upon a vote by a majority of the Council, or

d. the chair of any Legislative Investigating Committee which has been granted subpoena powers by resolution, upon authorization by a vote of the majority of the Committee.

2.  Requests for investigations shall be submitted in writing and shall contain specific allegations of wrongdoing under the laws of the State of Oklahoma.

B.  The Governor may initiate special background investigations with the written consent of the person who is the subject of the investigation.

C.  The chair of any Senate committee which is fulfilling the statutory responsibility for approving nominations made by the Governor may, upon a vote by a majority of the committee and with the written consent of the person who is to be the subject of the investigation, initiate a special background investigation of any nominee for the Oklahoma Horse Racing Commission as established by Section 201 of Title 3A of the Oklahoma Statutes or any nominee for the Board of Trustees of the Oklahoma Lottery Commission as established by Section 704 of Title 3A of the Oklahoma Statutes.  The Bureau shall submit a report to the committee within thirty (30) days of the receipt of the request.  Any consideration by the committee of a report from the Bureau shall be for the exclusive use of the committee and shall be considered only in executive session.

D.  All records relating to any investigation being conducted by the Bureau, including any records of laboratory services provided to law enforcement agencies pursuant to paragraph 1 of Section 150.2 of this title, shall be confidential and shall not be open to the public or to the Commission except as provided in Section 150.4 of this title; provided, however, officers and agents of the Bureau may disclose, at the discretion of the Director, such investigative information to officers and agents of federal, state, county, or municipal law enforcement agencies and to district attorneys, in the furtherance of criminal investigations within their respective jurisdictions.  Officers and agents of the Bureau may also disclose, at the discretion of the Director, such investigative information to appropriate accreditation bodies for the purposes of the Bureau's obtaining or maintaining accreditation.  Any unauthorized disclosure of any information contained in the confidential files of the Bureau shall be a misdemeanor.  The person or entity authorized to initiate investigations in this section, and the Attorney General in the case of investigations initiated by the Insurance Commissioner, shall receive a report of the results of the requested investigation.  The person or entity requesting the investigation may give that information only to the appropriate prosecutorial officer or agency having statutory authority in the matter if that action appears proper from the information contained in the report, and shall not reveal or give such information to any other person or agency.  Violation hereof shall be deemed willful neglect of duty and shall be grounds for removal from office.

E.  It shall not be a violation of this section to reveal otherwise confidential information to outside agencies or individuals who are providing interpreter services, questioned document analysis, and other laboratory services that are necessary in the assistance of Bureau investigations.  Individuals or agencies receiving the confidential and investigative information or records or results of laboratory services provided to the Bureau by those agencies or individuals, shall be subject to the confidentiality provisions and requirements established in subsection D of this section.

F.  The State Treasurer shall initiate a complete background investigation of the positions with the written consent of the persons who are the subject of the investigation pursuant to subsection I of Section 71.1 of Title 62 of the Oklahoma Statutes.  The Bureau shall advise the State Treasurer and the Cash Management and Investment Oversight Commission in writing of the results of the investigation.

Added by Laws 1976, c. 259, § 5, operative July 1, 1976.  Amended by Laws 1983, c. 96, § 1, eff. Oct. 1, 1983; Laws 1989, c. 369, § 145, operative July 1, 1989; Laws 1994, c. 227, § 5, emerg. eff. May 24, 1994; Laws 1999, c. 344, § 8, emerg. eff. June 8, 1999; Laws 2000, c. 70, § 1, eff. Nov. 1, 2000; Laws 2002, c. 77, § 1, emerg. eff. April 15, 2002; Laws 2005, c. 37, § 1, emerg. eff. April 12, 2005; Laws 2005, c. 278, § 1, eff. Nov. 1, 2005.

§74-150.6.  Director - Qualifications

A.  The Oklahoma State Bureau of Investigation shall be under the operational control of a Director.  The Director shall be appointed or dismissed by a majority vote of the total membership of the Commission.  The Director shall be a professional law enforcement officer who possesses a bachelor's degree from an accredited college or university and who shall have a minimum of five (5) years' experience in criminal investigation and/or law enforcement or five (5) years' experience as an agent with said Bureau and must have at least two (2) years' experience in an administrative position.

B.  Any Director appointed on or after July l, 2003, may participate in either the Oklahoma Public Employees Retirement System or in the Oklahoma Law Enforcement Retirement System and shall make an irrevocable election in writing to participate in one of the two retirement systems.

Added by Laws 1976, c. 259, § 6, operative July 1, 1976.  Amended by Laws 2003, c. 199, § 14, emerg. eff. May 7, 2003.

§74-150.6a.  Salaries.

A.  Effective July 1, 2004, the annual salaries for the Deputy Director, and the positions within the Oklahoma State Bureau of Investigation, as set out in this section, shall be in accordance and conformity with the following salary schedule, exclusive of longevity pay as authorized by Section 840-2.18 of this title:

1.  Deputy Director:

The salary of the Deputy Director shall be ninety-five percent (95%) of that received by the Director;

2.  Division Director:

The salary of a Division Director shall be ninety percent (90%) of that received by the Director;

3.  Agent I (OSBI), Criminalist I:

Minimum $33,500.00, Mid-point $41,875.00, Maximum $50,250.00

4.  Agent II (OSBI), Criminalist II:

Minimum $39,250.00, Mid-point $49,062.00, Maximum $58,875.00

5.  Agent III (OSBI), Criminalist III:

Minimum $46,250.00, Mid-point $57,812.00, Maximum $69,375.00

6.  Agent IV (OSBI), Criminalist IV:

Minimum $51,000.00, Mid-point $63,750.00, Maximum $76,500.00

7.  Agent V (OSBI), Criminalist V:

Minimum $56,000.00, Mid-point $70,000.00, Maximum $84,000.00

B.  Effective July 1, 2004, positions allocated to the agent and criminalist job families may receive additional compensation through the use of pay mechanisms provided for in the Oklahoma Personnel Act and the Merit System of Personnel Administration Rules.

Added by Laws 1998, c. 305, § 1, eff. July 1, 1998.  Amended by Laws 1998, c. 418, § 63, eff. July 1, 1998; Laws 2000, c. 37, § 14, eff. Oct. 1, 2000; Laws 2004, c. 346, § 1, eff. July 1, 2004.

§74-150.7.  Director - Powers and duties.

The Director of the Oklahoma State Bureau of Investigation shall have the following powers, duties and responsibilities:

1.  To appoint or dismiss a Deputy Director who shall have the same qualifications as the Director;

2.  To supervise the maintaining of all reports and records of the Bureau and to promulgate administrative rules concerning the destruction and retention of such records.  Such records shall not be transferred to the custody or control of the State Archives Commission or be subject to the provisions of Section 590 of Title 21 of the Oklahoma Statutes.  The Director may, pursuant to adopted and promulgated administrative rule, order destruction of records deemed to be no longer of value to the Bureau, excluding criminalistic and investigative records which shall forever be kept and maintained;

3.  To report to the Commission at each regular meeting, or as directed by the Commission, the current workload of the Bureau.  Such reports shall be submitted by category of the persons or entities authorized to initiate investigations as provided for in subsection A of Section 150.5 of this title, and any other category the Commission may request which does not violate the confidentiality restrictions imposed in Sections 150.1 through 152.9 of this title.  Such reports shall contain the following information:

a. what types of investigations are pending,

b. what new types of investigations have been opened,

c. what types of investigations have been closed, and

d. what criminal charges have been filed as a result of Bureau investigations.

The reports shall not contain any information on the individual subjects of the investigation or persons questioned in connection with an investigation.  These reports shall be open for public inspection;

4.  To designate positions, appoint employees and fix salaries of the Bureau, other than the salaries established by subsection A of Section 150.6a of this title, and to authorize the payment of necessary certification expenses for the employees; and

5.  To authorize the purchase and issuance of uniforms for all law enforcement officers, criminalists, and other personnel of the Bureau as designated by the Director and to purchase and issue necessary equipment for all employees of the Bureau.  All uniforms and equipment shall be used only in the performance of the official duties of the officers, criminalists or other personnel and shall remain the property of the Bureau except as otherwise provided by law.

Added by Laws 1976, c. 259, § 7, operative July 1, 1976.  Amended by Laws 1998, c. 305, § 2, eff. July 1, 1998; Laws 1999, c. 230, § 2, emerg. eff. May 26, 1999; Laws 2002, c. 42, § 1, eff. Nov. 1, 2002.

§74-150.7a.  Motor vehicle theft unit.

A.  The Director of the Oklahoma State Bureau of Investigation shall establish a vehicle theft unit within the Oklahoma State Bureau of Investigation.  The investigators shall have the same qualifications as those required for an agent.

B.  The vehicle theft unit or any commissioned employee of the Oklahoma State Bureau of Investigation may:

1.  Conduct investigations of organized motor vehicle or heavy equipment theft rings;

2.  Determine sources and outlets for stolen motor vehicles, motor vehicle parts or heavy equipment;

3.  Investigate any theft of a motor vehicle, motor vehicle parts or heavy equipment for which the Agency receives notice;

4.  Arrest or cause the arrest of any person when reasonable grounds exist to believe that such person has stolen a motor vehicle, motor vehicle parts or heavy equipment;

5.  Coordinate the effort of this state to reduce motor vehicle theft with local, state and federal law enforcement agencies; or

6.  Develop educational programs on detection and prevention of motor vehicle theft.

Added by Laws 1982, c. 197, § 1, operative July 1, 1982.  Amended by Laws 1986, c. 46, § 2, eff. Nov. 1, 1986; Laws 2001, c. 74, § 1, eff. Nov. 1, 2001.

§74150.7b.  Disclosure of motor vehicle theft or insurance fraud  Definitions.

As used in Sections 1 through 5 of this act:

1.  "Authorized governmental agency" means:

a. the Department of Public Safety, a police department of any city or town, a county sheriff's department, or any duly constituted criminal investigative department or agency of the United States, or

b. a district attorney or the prosecuting attorney of any municipality or of the United States or any judicial district of the United States; and

2.  "Insurer" means any insurer admitted in this state to write insurance for motor vehicles or otherwise liable for any loss due to motor vehicle theft or motor vehicle insurance fraud.

Added by Laws 1988, c. 201, § 1, eff. Nov. 1, 1988.  

§74150.7c.  Relevant information  Written request  Duty to inform governmental agency  Release of information.

A.  On written request to any insurer by an authorized governmental agency, the insurer or an agent authorized by an insurer to act on its behalf shall release to the authorized governmental agency any relevant information that the authorized governmental agency requests and that the insurer has relating to any specific motor vehicle theft or motor vehicle insurance fraud. Relevant information shall include but not be limited to:

1.  Insurance policy information relevant to the specific motor vehicle theft or motor vehicle insurance fraud under investigation, including any application for the policy;

2.  Policy premium payment records that are available;

3.  History of previous comprehensive and collision claims made by the insured;

4.  Information relating to the investigation of the motor vehicle theft or motor vehicle insurance fraud, including statements of any person, proofs of loss, and notice of loss; and

5.  Information on payment of claims for motor vehicles which are so damaged that the vehicle cannot be repaired or rebuilt.

B.  An insurer or an agent authorized by an insurer to act on its behalf shall notify the authorized governmental agency if the insurer or agent:

1.  Knows the identity of a person whom the insurer or agent has reason to believe committed a criminal or fraudulent act relating to a motor vehicle theft or motor vehicle insurance claim; or

2.  Has knowledge of a criminal fraudulent act relating to a motor vehicle theft or motor vehicle insurance claim that is reasonably believed not to have been reported to an authorized governmental agency; or

3.  Has a claim for a motor vehicle which is so damaged that the vehicle cannot be repaired or rebuilt.

C.  The authorized governmental agency, if provided with information pursuant to this section, may release or provide the information to any other authorized governmental agencies.

Added by Laws 1988, c. 201, § 2, eff. Nov. 1, 1988.  

§74150.7d.  Confidentiality.

Any information furnished as provided by Sections 1 through 4 of this act shall be privileged and not a part of any public record. Except as otherwise provided by law, the Oklahoma State Bureau of Investigation, any authorized governmental agency, insurer, or agent authorized by an insurer to act on its behalf that receives any information furnished as provided by Sections 1 through 4 of this act shall not release the information to the public.  The evidence or information shall not be subject to a subpoena or subpoena duces tecum in a civil or criminal proceeding unless, after reasonable notice to any insurer, an agent authorized by an insurer to act on its behalf, the Oklahoma State Bureau of Investigation, or any authorized governmental agency that has an interest in the information, and after a hearing, a court determines that the public interest and any ongoing investigation by the Oklahoma State Bureau of Investigation, authorized governmental agency, insurer, or agent authorized by an insurer to act on its behalf will not be jeopardized by obedience to the subpoena.

Added by Laws 1988, c. 201, § 3, eff. Nov. 1, 1988.  

§74150.7e.  Liability of insurer.

In the absence of fraud or malice, an insurer or person who furnishes information on behalf of an insurer shall not be liable for damages in a civil action or subject to criminal prosecution for oral or written statements made or any other action taken necessary to supply information required pursuant to this act.

Added by Laws 1988, c. 201, § 4, eff. Nov. 1, 1988.  

§74150.7f.  Violations  Penalties.

It is unlawful for any insurer or agent authorized by the insurer to act on its behalf to violate any provision of Sections 1 through 4 of this act.  Any person convicted of suchviolation shall be guilty of a misdemeanor punishable by the imposition of a fine of not more than Five Hundred Dollars ($500.00) or by imprisonment in the county jail for not more than six (6) months, or by both such fine and imprisonment.  Furthermore, upon such conviction, the license and/or authorization to transact insurance business in this state may be revoked by the Insurance Commissioner.

Added by Laws 1988, c. 201, § 5, eff. Nov. 1, 1988.  

§74-150.8.  Appointment of employees - Powers of peace officers - Probationary period - Classified service - Rights under additional pension systems.

A.  The Director shall appoint as employees only persons of outstanding honesty, integrity and ability.  An agent, at the time of appointment to the Bureau, shall be at least twenty-one (21) years of age and shall possess a bachelor's degree from an accredited college or university.

B.  The officers and agents of the Oklahoma State Bureau of Investigation, and such other employees as the Director of the Bureau of Investigation shall designate to perform duties in the investigation and prevention of crime and the enforcement of the criminal laws of the state, shall have and exercise all the powers and authority of peace officers, including the right and power of search and seizure.

C.  Any Oklahoma State Bureau of Investigation employee promoted, voluntarily demoted or transferred into an agent or criminalist position within the Bureau shall serve a twelve-month trial period.  Any state employee in a classified position with an agency other than the Bureau who is selected for an agent or criminalist position within the Bureau shall resign his or her position and be reinstated in accordance with the merit rules.

D.  Any employee in a classified position under the Merit System of Personnel Administration who is appointed Director, Deputy Director, Acting Director or Acting Deputy Director shall have a right to return to the classified service without any loss of rights, privileges or benefits immediately upon completion of the duties of the employee provided the employee is not otherwise disqualified.

E.  All other employees of the State Bureau of Investigation shall be in the classified service of the state and members of the Merit System of Personnel Administration, unless otherwise provided by law.

F.  Appointment to any position in the State Bureau of Investigation shall not jeopardize the rights of any person under any other system under which peace officers of this state or its subdivisions may become pensioned, provided that the individual contributions are continued as if such person were in the original organization within which the person qualified for such pension.

Added by Laws 1976, c. 259, § 8, operative July 1, 1976.  Amended by Laws 1977, c. 132, § 1, emerg. eff. June 3, 1977; Laws 1981, c. 340, § 23, emerg. eff. June 30, 1981; Laws 1982, c. 64, § 2, emerg. eff. March 30, 1982; Laws 1984, c. 240, § 7, operative July 1, 1984; Laws 1989, c. 369, § 146, operative July 1, 1989; Laws 1996, c. 153, § 2, emerg. eff. May 7, 1996; Laws 1998, c. 388, § 1, eff. July 1, 1998; Laws 2001, c. 236, § 1, eff. July 1, 2001; Laws 2002, c. 347, § 2, eff. Nov. 1, 2002.

§74-150.8a.  Employee performance recognition program - Awards.

A.  The Oklahoma State Bureau of Investigation is authorized to establish an employee performance recognition program that encourages outstanding job performance and productivity within the Bureau.  The Bureau is authorized to expend funds for:

1.  The purchase of recognition awards to be presented to members of work units or individual employees having exceptional job performance records or other significant contributions to the operation of the Bureau;

2.  The purchase of recognition awards to be presented to nonemployees of the Bureau in recognition of exemplary service or assistance to the Bureau and law enforcement; and

3.  A formal ceremony or banquet where the awards may be presented.

B.  Recognition awards may consist of distinctive wearing apparel, service pins, plaques, writing pens, or other distinguished awards of a value not exceeding One Hundred Fifty Dollars ($150.00) per award to recognize the achievement of the work unit or individual employee.  In addition to recognition awards, the Bureau may establish an employee benefit program not exceeding Five Thousand Dollars ($5,000.00) each fiscal year for cash awards to recognize outstanding performance in the workplace by Bureau employees.

C.  The Bureau may expend funds not exceeding Three Thousand Dollars ($3,000.00) each fiscal year for the purpose of distributing commemorative items including, but not limited to, pens, patches, and notebook portfolios bearing the seal or other identification of the Bureau to nonemployees of the Bureau.  The Bureau may expend additional funds to provide awards and commemorative items including, but not limited to, pens, patches and notebook portfolios bearing the seal or other identification of the Bureau to participants in OSBI Citizen Academies designed and held to foster better public relations and to educate members of the community about the Bureau's mission and operations.

Added by Laws 1999, c. 230, § 3, emerg. eff. May 26, 1999.  Amended by Laws 2004, c. 140, § 1, eff. Nov. 1, 2004; Laws 2005, c. 223, § 2, eff. Nov. 1, 2005.

§74-150.9.  System of criminal history records - Fees for records or fingerprint analysis - Identification files on juveniles - Penalties.

A.  The Oklahoma State Bureau of Investigation shall procure, file and maintain criminal history records for each person subject to the mandatory reporting provisions of this act, including photographs, descriptions, fingerprints, measurements and other pertinent information relating to such persons.  It shall be the duty of law enforcement officers and agencies, sheriffs, police, courts, judicial officials, district attorneys, and the persons in charge of any state correctional facility or institution to furnish criminal history records to the Bureau as required by Section 150.1 et seq. of this title.  The Oklahoma State Bureau of Investigation shall cooperate with and assist the sheriffs, chiefs of police and other law enforcement officers of the state by maintaining a complete criminal history record on each person subject to the mandatory reporting requirements of this act, and shall have on file the fingerprint impressions of all such persons together with other pertinent information as may from time to time be received from the law enforcement officers of this and other states or as may be required by law.

B.  The Oklahoma Department of Consumer Credit, the Oklahoma State Insurance Commission, the Oklahoma Horse Racing Commission, or any other state agency, board, department or commission or any other person or entity requesting a criminal history record or an analysis of fingerprints for commercial, licensing or other purposes, except law enforcement purposes, shall pay a fee to the Bureau for each criminal history record or fingerprint analysis as follows:

Oklahoma criminal history record only $15.00 each

Oklahoma criminal history record

with fingerprint analysis $19.00 each

National criminal history record

with fingerprint analysis $41.00 each

1.  For purposes of this section, "a national criminal history record check" means a check of criminal history records entailing the fingerprinting of the individual and submission of the fingerprints to the United States Federal Bureau of Investigation (FBI) for the purpose of obtaining the national criminal history record of the person from the FBI.  A criminal history record check may be obtained only when a check is authorized or required by state or federal law.

2.  Unless a national criminal history record is specifically requested, a fingerprint analysis shall be limited to only those records available at the Oklahoma State Bureau of Investigation.  Following receipt of the appropriate fee, the Bureau shall provide, as soon as possible, the criminal history record requested; provided, however, it shall be the duty and responsibility of the requesting authority to evaluate the criminal history record as such record may apply to a specific purpose or intent.  An individual may submit a certified court record showing that a charge was dismissed or a certified copy of a gubernatorial pardon to the Oklahoma State Bureau of Investigation, and upon verification of that record the Bureau records shall reflect the dismissal of that charge.

C.  The Oklahoma Bureau of Investigation may maintain an identification file, including fingerprint impressions, on any person under eighteen (18) years of age who is arrested or subject to criminal or juvenile delinquency proceedings, provided all such information shall be confidential and shall only be made available to the Bureau and other law enforcement agencies.  Whenever a fingerprint impression or other identification information is submitted to the Bureau on a person under eighteen (18) years of age, the Bureau may retain and file such fingerprint and identification information for identification purposes only.  The Bureau shall ensure that the information received and maintained for identification purposes on persons under eighteen (18) years of age shall be handled and processed with great care to keep such information confidential from the general public.  The Bureau may receive and maintain the fingerprints and other identification information on any person under eighteen (18) years of age believed to be the subject of a runaway, missing, or abduction investigation, for identification purposes at the request of a parent, guardian or legal custodian of the person.

D.  Any person who knowingly procures, utters, or offers any false, forged or materially altered criminal history record shall be guilty of a felony and upon conviction shall be punished by imprisonment in the State Penitentiary for a period not to exceed five (5) years or by a fine not to exceed Five Thousand Dollars ($5,000.00), or by both such fine and imprisonment.

Added by Laws 1976, c. 259, § 9, operative July 1, 1976.  Amended by Laws 1986, c. 201, § 11, operative July 1, 1986; Laws 1990, c. 186, § 2, eff. Sept. 1, 1990; Laws 1990, c. 258, § 49, operative July 1, 1990; Laws 1994, c. 259, § 2, eff. Sept. 1, 1994; Laws 2000, c. 258, § 1, eff. July 1, 2000; Laws 2001, c. 261, § 2, eff. July 1, 2001; Laws 2003, c. 204, § 11, eff. Nov. 1, 2003.

§74-150.9a.  Oklahoma Crime Prevention and Privacy Compact Act - Legislative findings - Definitions - Effect on other statutes.

A.  This section shall be known and may be cited as the "Oklahoma Crime Prevention and Privacy Compact Act".

B.  The State of Oklahoma finds that:

1.  Both the Federal Bureau of Investigation and state criminal history record repositories maintain fingerprint-based criminal history records;

2.  These criminal history records are shared and exchanged for criminal justice purposes through a federal-state program known as the Interstate Identification Index System;

3.  Although these records are also exchanged for legally authorized, noncriminal justice uses, such as governmental licensing and employment background checks, the purposes for and procedures by which they are exchanged vary widely from state to state;

4.  An interstate and federal-state compact is necessary to facilitate authorized interstate criminal history record exchanges for noncriminal justice purposes on a uniform basis, while permitting each state to effectuate its own dissemination policy within its own borders; and

5.  The Compact will allow federal and state records to be provided expeditiously to governmental and nongovernmental agencies that use these records in accordance with pertinent federal and state law, while simultaneously enhancing the accuracy of the records and safeguarding the information contained therein from unauthorized disclosure or use.

C.  As used in this section:

1.  "Attorney General" means the Attorney General of the United States;

2.  "Compact" means the National Crime Prevention and Privacy Compact set forth in sections of this act;

3.  "Council" means the Compact Council established under Article VI of the Compact;

4.  "FBI" means the Federal Bureau of Investigation;

5.  "Party state" means a state that has ratified the Compact; and

6.  "State" means any state, territory, or possession of the United States, the District of Columbia, and the Commonwealth of Puerto Rico.

D.  This section shall have the following effect on other statutes:

1.  Privacy Act of 1974.  Nothing in this section or the Compact shall affect the obligations and responsibilities of the FBI under Section 552a of Title 5, United States Code (commonly known as the Privacy Act of 1974);

2.  Access to certain records not affected.  Nothing in this section or the Compact shall interfere in any manner with:

a. access, direct or otherwise, to records pursuant to:

(1) Section 9109 of Title 5, United States Code,

(2) the National Child Protection Act,

(3) the Brady Handgun Violence Prevention Act (Public Law 103-159; 107 Stat. 1536),

(4) the Violent Crime Control and Law Enforcement Act of 1994 (Public Law 103-322; 108 Stat. 2074) or any amendment made by that act,

(5) the United States Housing Act of 1937 (42 U.S.C. 1437 et seq.), or

(6) the Native American Housing Assistance and Self-Determination Act of 1996 (25 U.S.C. 4101 et seq.), or

b. any direct access to federal criminal history records authorized by law;

3.  Authority of FBI Under Departments of State, Justice, and Commerce, the Judiciary, and Related Agencies Appropriation Act, 1973.  Nothing in this section or the Compact shall be construed to affect the authority of the FBI under the Departments of State, Justice, and Commerce, the Judiciary, and Related Agencies Appropriation Act, 1973 (Public Law 92-544; 86 Stat. 1115);

4.  Federal Advisory Committee Act.  The Council shall not be considered to be a federal advisory committee for purposes of the Federal Advisory Committee Act (5 U.S.C. App.); and

5.  Members of Council Not Federal Officers or Employees.  Members of the Council (other than a member from the FBI or any at-large member who may be a federal official or employee) shall not, by virtue of such membership, be deemed:

a. to be, for any purpose other than to effect the Compact, officers or employees of the United States (as defined in Sections 2104 and 2105 of Title 5, United States Code), or

b. to become entitled by reason of Council membership to any compensation or benefit payable or made available by the federal government to its officers or employees.

Added by Laws 2001, c. 261, § 3, eff. July 1, 2001.

§74-150.9b.  National Crime Prevention and Privacy Compact.

The following National Crime Prevention and Privacy Compact is hereby ratified, enacted, entered into and given force of law by the State of Oklahoma:

NATIONAL CRIME PREVENTION AND PRIVACY COMPACT

Overview

ARTICLE I—DEFINITIONS

ARTICLE II—PURPOSES

ARTICLE III—RESPONSIBILITIES OF COMPACT PARTIES

ARTICLE IV—AUTHORIZED RECORD DISCLOSURES

ARTICLE V—RECORD REQUEST PROCEDURES

ARTICLE VI—ESTABLISHMENT OF COMPACT COUNCIL

ARTICLE VII—RATIFICATION OF COMPACT

ARTICLE VIII—MISCELLANEOUS PROVISIONS

ARTICLE IX—RENUNCIATION

ARTICLE X—SEVERABILITY

ARTICLE XI—ADJUDICATION OF DISPUTES

The Contracting parties agree to the following:

Overview

a.  In General.—This Compact organizes an electronic information sharing system among the Federal Government and the States to exchange criminal history records for noncriminal justice purposes authorized by Federal or State law, such as background checks for governmental licensing and employment.

b.  Obligations of Parties.—Under this Compact, the FBI and the Party States agree to maintain detailed databases of their respective criminal history records, including arrests and dispositions, and to make them available to the Federal Government and to Party States for authorized purposes.  The FBI shall also manage the Federal data facilities that provide a significant part of the infrastructure for the system.

ARTICLE I—DEFINITIONS

In this Compact:

1.  Attorney General.—The term "Attorney General" means the Attorney General of the United States.

2.  Compact officer.—The term "Compact officer" means—

A. with respect to the Federal Government, an official so designated by the Director of the FBI; and

B. with respect to a Party State, the chief administrator of the State's criminal history record repository or a designee of the chief administrator who is a regular full-time employee of the repository.

3.  Council.—The term "Council" means the Compact Council established under Article VI.

4.  Criminal history records.—The term "criminal history records"—

A. means information collected by criminal justice agencies on individuals consisting of identifiable descriptions and notations of arrests, detentions, indictments, or other formal criminal charges, and any disposition arising therefrom, including acquittal, sentencing, correctional supervision, or release; and

B. does not include identification information such as fingerprint records if such information does not indicate involvement of the individual with the criminal justice system.

5.  Criminal history record repository.—The term "criminal history record repository" means the State agency designated by the Governor or other appropriate executive official or the legislature of a State to perform centralized recordkeeping functions for criminal history records and services in the State.

6.  Criminal justice.—The term "criminal justice" includes activities relating to the detection, apprehension, detention, pretrial release, post-trial release, prosecution, adjudication, correctional supervision, or rehabilitation of accused persons or criminal offenders.  The administration of criminal justice includes criminal identification activities and the collection, storage, and dissemination of criminal history records.

7.  Criminal justice agency.—The term "criminal justice agency"—

A. means—

i. courts; and

ii. a governmental agency or any subunit thereof that—

I. performs the administration of criminal justice pursuant to a statute or Executive order; and

II. allocates a substantial part of its annual budget to the administration of criminal justice; and

B. includes Federal and State inspectors general offices.

8.  Criminal justice services.—The term "criminal justice services" means services provided by the FBI to criminal justice agencies in response to a request for information about a particular individual or as an update to information previously provided for criminal justice purposes.

9.  Criterion offense.—The term "criterion offense" means any felony or misdemeanor offense not included on the list of nonserious offenses published periodically by the FBI.

10.  Direct access.—The term "direct access" means access to the National Identification Index by computer terminal or other automated means not requiring the assistance of or intervention by any other party or agency.

11.  Executive order.—The term "Executive order" means an order of the President of the United States or the chief executive officer of a State that has the force of law and that is promulgated in accordance with applicable law.

12.  FBI.—The term "FBI" means the Federal Bureau of Investigation.

13.  Interstate identification system.—The term "Interstate Identification Index System" or "III System"—

A. means the cooperative Federal-State system for the exchange of criminal history records; and

B. includes the National Identification Index, the National Fingerprint File and, to the extent of their participation in such system, the criminal history record repositories of the States and the FBI.

14.  National fingerprint file.—The term "National Fingerprint File" means a database of fingerprints, or other uniquely personal identifying information, relating to an arrested or charged individual maintained by the FBI to provide positive identification of record subjects indexed in the III System.

15.  National identification index.—The term "National Identification Index" means an index maintained by the FBI consisting of names, identifying numbers, and other descriptive information relating to record subjects about whom there are criminal history records in the III System.

16.  National indices.—The term "National indices" means the National Identification Index and the National Fingerprint File.

17.  Nonparty state.—The term "Nonparty State" means a State that has not ratified this Compact.

18.  Noncriminal justice purposes.—The term "noncriminal justice purposes" means uses of criminal history records for purposes authorized by Federal or State law other than purposes relating to criminal justice activities, including employment suitability, licensing determinations, immigration and naturalization matters, and national security clearances.

19.  Party state.—The term "Party State" means a State that has ratified this Compact.

20.  Positive identification.—The term "positive identification" means a determination, based upon a comparison of fingerprints or other equally reliable biometric identification techniques, that the subject of a record search is the same person as the subject of a criminal history record or records indexed in the III System.  Identifications based solely upon a comparison of subjects' names or other nonunique identification characteristics or numbers, or combinations thereof, shall not constitute positive identification.

21.  Sealed record information.—The term "sealed record information" means—

A. with respect to adults, that portion of a record that is—

i. not available for criminal justice uses;

ii. not supported by fingerprints or other accepted means of positive identification; or

iii. subject to restrictions on dissemination for noncriminal justice purposes pursuant to a court order related to a particular subject or pursuant to a Federal or State statute that requires action on a sealing petition filed by a particular record subject; and

B. with respect to juveniles, whatever each State determines is a sealed record under its own law and procedure.

22.  State.—The term "State" means any State, territory, or possession of the United States, the District of Columbia, and the Commonwealth of Puerto Rico.

ARTICLE II—PURPOSES

The purposes of this Compact are to—

1.  Provide a legal framework for the establishment of a cooperative Federal-State system for the interstate and Federal-State exchange of criminal history records for noncriminal justice uses;

2.  Require the FBI to permit use of the National Identification Index and the National Fingerprint File by each Party State, and to provide, in a timely fashion, Federal and State criminal history records to requesting States, in accordance with the terms of this Compact and with rules, procedures, and standards established by the Council under Article VI;

3.  Require Party States to provide information and records for the National Identification Index and the National Fingerprint File and to provide criminal history records, in a timely fashion, to criminal history record repositories of other States and the Federal Government for noncriminal justice purposes, in accordance with the terms of this Compact and with rules, procedures, and standards established by the Council under Article VI;

4.  Provide for the establishment of a Council to monitor III System operations and to prescribe system rules and procedures for the effective and proper operation of the III System for noncriminal justice purposes; and

5.  Require the FBI and each Party State to adhere to III System standards concerning record dissemination and use, response times, system security, data quality, and other duly established standards, including those that enhance the accuracy and privacy of such records.

ARTICLE III—RESPONSIBILITIES OF COMPACT PARTIES

a.  FBI Responsibilities.—The Director of the FBI shall—

1.  appoint an FBI Compact officer who shall—

A. administer this Compact within the Department of Justice and among Federal agencies and other agencies and organizations that submit search requests to the FBI pursuant to Article V(c);

B. ensure that Compact provisions and rules, procedures, and standards prescribed by the Council under Article VI are complied with by the Department of Justice and the Federal agencies and other agencies and organizations referred to in Article III(1)(A); and

C. regulate the use of records received by means of the III System from Party States when such records are supplied by the FBI directly to other Federal agencies;

2.  provide to Federal agencies and to State criminal history record repositories, criminal history records maintained in its database for the noncriminal justice purposes described in Article IV, including—

A. information from Nonparty States; and

B. information from Party States that is available from the FBI through the III System but is not available from the Party State through the III System;

3.  provide a telecommunications network and maintain centralized facilities for the exchange of criminal history records for both criminal justice purposes and the noncriminal justice purposes described in Article IV, and ensure that the exchange of such records for criminal justice purposes has priority over exchange for noncriminal justice purposes; and

4.  modify or enter into user agreements with Nonparty State criminal history record repositories to require them to establish record request procedures conforming to those prescribed in Article V.

b.  State Responsibilities.—Each Party State shall—

1.  appoint a Compact officer who shall—

A. administer this Compact within that State;

B. ensure that Compact provisions and rules, procedures, and standards established by the Council under Article VI are complied with in the State; and

C. regulate the in-State use of records received by means of the III System from the FBI or from other Party States;

2.  establish and maintain a criminal history record repository, which shall provide—

A. information and records for the National Identification Index and the National Fingerprint File; and

B. the State's III System-indexed criminal history records for noncriminal justice purposes described in Article IV;

3.  participate in the National Fingerprint File; and

4.  provide and maintain telecommunications links and related equipment necessary to support the services set forth in this Compact.

c.  Compliance With III System Standards.—In carrying out their responsibilities under this Compact, the FBI and each Party State shall comply with III System rules, procedures, and standards duly established by the Council concerning record dissemination and use, response times, data quality, system security, accuracy, privacy protection, and other aspects of III System operation.

d.  Maintenance of Record Services.—

1.  use of the III System for noncriminal justice purposes authorized in this Compact shall be managed so as not to diminish the level of services provided in support of criminal justice purposes.

2.  administration of Compact provisions shall not reduce the level of service available to authorized noncriminal justice users on the effective date of this Compact.

ARTICLE IV—AUTHORIZED RECORD DISCLOSURES

a.  State Criminal History Record Repositories.—To the extent authorized by Section 552a of Title 5, United States Code (commonly known as the "Privacy Act of 1974"), the FBI shall provide on request criminal history records (excluding sealed records) to State criminal history record repositories for noncriminal justice purposes allowed by Federal statute, Federal Executive order, or a State statute that has been approved by the Attorney General and that authorizes national indices checks.

b.  Criminal Justice Agencies and Other Governmental or Nongovernmental Agencies.—The FBI, to the extent authorized by Section 552a of Title 5, United States Code (commonly known as the "Privacy Act of 1974"), and State criminal history record repositories shall provide criminal history records (excluding sealed records) to criminal justice agencies and other governmental or nongovernmental agencies for noncriminal justice purposes allowed by Federal statute, Federal Executive order, or a State statute that has been approved by the Attorney General, that authorizes national indices checks.

c.  Procedures.—Any record obtained under this Compact may be used only for the official purposes for which the record was requested.  Each Compact officer shall establish procedures, consistent with this Compact, and with rules, procedures, and standards established by the Council under Article VI, which procedures shall protect the accuracy and privacy of the records, and shall—

1.  ensure that records obtained under this Compact are used only by authorized officials for authorized purposes;

2.  require that subsequent record checks are requested to obtain current information whenever a new need arises; and

3.  ensure that record entries that may not legally be used for a particular noncriminal justice purpose are deleted from the response and, if no information authorized for release remains, an appropriate "no record" response is communicated to the requesting official.

ARTICLE V—RECORD REQUEST PROCEDURES

a.  Positive Identification.—Subject fingerprints or other approved forms of positive identification shall be submitted with all requests for criminal history record checks for noncriminal justice purposes.

b.  Submission of State Requests.—Each request for a criminal history record check utilizing the national indices made under any approved State statute shall be submitted through that State's criminal history record repository.  A State criminal history record repository shall process an interstate request for noncriminal justice purposes through the national indices only if such request is transmitted through another State criminal history record repository or the FBI.

c.  Submission of Federal Requests.—Each request for criminal history record checks utilizing the national indices made under Federal authority shall be submitted through the FBI or, if the State criminal history record repository consents to process fingerprint submissions, through the criminal history record repository in the State in which such request originated.  Direct access to the National Identification Index by entities other than the FBI and State criminal history records repositories shall not be permitted for noncriminal justice purposes.

d.  Fees.—A State criminal history record repository or the FBI-

1.  may charge a fee, in accordance with applicable law, for handling a request involving fingerprint processing for noncriminal justice purposes; and

2.  may not charge a fee for providing criminal history records in response to an electronic request for a record that does not involve a request to process fingerprints.

e.  Additional Search.—

1.  If a State criminal history record repository cannot positively identify the subject of a record request made for noncriminal justice purposes, the request, together with fingerprints or other approved identifying information, shall be forwarded to the FBI for a search of the national indices.

2.  If, with respect to a request forwarded by a State criminal history record repository under paragraph 1 of this section, the FBI positively identifies the subject as having a III System-indexed record or records—

A. the FBI shall so advise the State criminal history record repository; and

B. the State criminal history record repository shall be entitled to obtain the additional criminal history record information from the FBI or other State criminal history record repositories.

ARTICLE VI—ESTABLISHMENT OF COMPACT COUNCIL

a.  Establishment.—

1.  In general.—There is established a council to be known as the "Compact Council", which shall have the authority to promulgate rules and procedures governing the use of the III System for noncriminal justice purposes, not to conflict with FBI administration of the III System for criminal justice purposes.

2.  Organization.—The Council shall—

A. continue in existence as long as this Compact remains in effect;

B. be located, for administrative purposes, within the FBI; and

C. be organized and hold its first meeting as soon as practicable after the effective date of this Compact.

b.  Membership.—The Council shall be composed of fifteen (15) members, each of whom shall be appointed by the Attorney General, as follows:

1.  Nine members, each of whom shall serve a 2-year term, who shall be selected from among the Compact officers of Party States based on the recommendation of the Compact officers of all Party States, except that, in the absence of the requisite number of Compact officers available to serve, the chief administrators of the criminal history record repositories of Nonparty States shall be eligible to serve on an interim basis.

2.  Two at-large members, nominated by the Director of the FBI, each of whom shall serve a 3-year term, of whom-

A. one shall be a representative of the criminal justice agencies of the Federal Government and may not be an employee of the FBI; and

B. one shall be a representative of the noncriminal justice agencies of the Federal Government.

3.  Two at-large members, nominated by the Chairman of the Council, once the Chairman is elected pursuant to Article VI(c), each of whom shall serve a 3-year term, of whom—

A. one shall be a representative of State or local criminal justice agencies; and

B. one shall be a representative of State or local noncriminal justice agencies.

4.  One member, who shall serve a 3-year term, and who shall simultaneously be a member of the FBI's advisory policy board on criminal justice information services, nominated by the membership of that policy board.

5.  One member, nominated by the Director of the FBI, who shall serve a 3-year term, and who shall be an employee of the FBI.

c.  Chairman and Vice Chairman.—

1.  In general.—From its membership, the Council shall elect a Chairman and a Vice Chairman of the Council, respectively.  Both the Chairman and Vice Chairman of the Council—

A. shall be a Compact officer, unless there is no Compact officer on the Council who is willing to serve, in which case the Chairman may be an at-large member; and

B. shall serve a 2-year term and may be reelected to only one additional 2-year term.

2.  Duties of vice chairman.—The Vice Chairman of the Council shall serve as the Chairman of the Council in the absence of the Chairman.

d.  Meetings.—

1.  In general.—The Council shall meet at least once each year at the call of the Chairman.  Each meeting of the Council shall be open to the public.  The Council shall provide prior public notice in the Federal Register of each meeting of the Council, including the matters to be addressed at such meeting.

2.  Quorum.—A majority of the Council or any committee of the Council shall constitute a quorum of the Council or of such committee, respectively, for the conduct of business.  A lesser number may meet to hold hearings, take testimony, or conduct any business not requiring a vote.

e.  Rules, Procedures, and Standards.—The Council shall make available for public inspection and copying at the Council office within the FBI, and shall publish in the Federal Register, any rules, procedures, or standards established by the Council.

f.  Assistance From FBI.—The Council may request from the FBI such reports, studies, statistics, or other information or materials as the Council determines to be necessary to enable the Council to perform its duties under this Compact.  The FBI, to the extent authorized by law, may provide such assistance or information upon such a request.

g.  Committees.—The Chairman may establish committees as necessary to carry out this Compact and may prescribe their membership, responsibilities, and duration.

ARTICLE VII—RATIFICATION OF COMPACT

This Compact shall take effect upon being entered into by two or more States as between those States and the Federal Government.  Upon subsequent entering into this Compact by additional States, it shall become effective among those States and the Federal Government and each Party State that has previously ratified it.  When ratified, this Compact shall have the full force and effect of law within the ratifying jurisdictions.  The form of ratification shall be in accordance with the laws of the executing State.

ARTICLE VIII—MISCELLANEOUS PROVISIONS

a.  Relation of Compact to Certain FBI Activities.—Administration of the Compact shall not interfere with the management and control of the Director of the FBI over the FBI's collection and dissemination of criminal history records and the advisory function of the FBI's advisory policy board chartered under the Federal Advisory Committee Act (5 U.S.C. App.) for all purposes other than noncriminal justice.

b.  No Authority for Nonappropriated Expenditures.—Nothing in this Compact shall require the FBI to obligate or expend funds beyond those appropriated to the FBI.

c.  Relating to Public Law 92-544.-Nothing in this compact shall diminish or lessen the obligations, responsibilities, and authorities of any State, whether a Party State or a Nonparty State, or of any criminal history record repository or other subdivision or component thereof, under the Departments of State, Justice, and Commerce, the Judiciary, and Related Agencies Appropriation Act, 1973 (Public Law 92-544), or regulations and guidelines promulgated thereunder, including the rules and procedures promulgated by the Council under Article VI(a), regarding the use and dissemination of criminal history records and information.

ARTICLE IX—RENUNCIATION

a.  In General.—This Compact shall bind each Party State until renounced by the Party State.

b.  Effect.—Any renunciation of this Compact by a Party State shall—

1.  be effected in the same manner by which the Party State ratified this Compact; and

2.  become effective 180 days after written notice of renunciation is provided by the Party State to each other Party State and to the Federal Government.

ARTICLE X—SEVERABILITY

The provisions of this Compact shall be severable, and if any phrase, clause, sentence, or provision of this Compact is declared to be contrary to the constitution of any participating State, or to the Constitution of the United States, or the applicability thereof to any government, agency, person, or circumstance is held invalid, the validity of the remainder of this Compact and the applicability thereof to any government, agency, person, or circumstance shall not be affected thereby.  If a portion of this Compact is held contrary to the constitution of any Party State, all other portions of this Compact shall remain in full force and effect as to the remaining Party States and in full force and effect as to the Party State affected, as to all other provisions.

ARTICLE XI—ADJUDICATION OF DISPUTES

a.  In General.—The Council shall—

1.  have initial authority to make determinations with respect to any dispute regarding—

A. interpretation of this Compact;

B. any rule or standard established by the Council pursuant to Article VI; and

C. any dispute or controversy between any parties to this Compact; and

2.  hold a hearing concerning any dispute described in paragraph 1 at a regularly scheduled meeting of the Council and only render a decision based upon a majority vote of the members of the Council.  Such decision shall be published pursuant to the requirements of Article VI(e).

b.  Duties of FBI.—The FBI shall exercise immediate and necessary action to preserve the integrity of the III System, maintain system policy and standards, protect the accuracy and privacy of records, and to prevent abuses, until the Council holds a hearing on such matters.

c.  Right of Appeal.—The FBI or a Party State may appeal any decision of the Council to the Attorney General, and thereafter may file suit in the appropriate district court of the United States, which shall have original jurisdiction of all cases or controversies arising under this Compact.  Any suit arising under this Compact and initiated in a State court shall be removed to the appropriate district court of the United States in the manner provided by Section 1446 of Title 28, United States Code, or other statutory authority.

Added by Laws 2001, c. 261, § 4, eff. July 1, 2001.

§74-150.10.  Uniform crime reporting system.

A.  A uniform crime reporting system shall be established by the Oklahoma State Bureau of Investigation.  The Director shall have the power and duty, when directed by the Commission, to collect and gather such information from such state agencies as may be prescribed in Section 150.1 et seq. of this title.

B.  The Oklahoma State Bureau of Investigation is hereby designated as the agency which shall collect, gather, assemble and collate such information as is prescribed by this section.

C.  1.  All state, county, city and town law enforcement agencies shall submit reports to the Oklahoma State Bureau of Investigation on forms prescribed by the Bureau.  The reports shall contain the number and nature of offenses committed within their respective jurisdictions, the disposition of such matters, and such other information as the Bureau may require, respecting information relating to the cause and prevention of crime, recidivism, the rehabilitation of criminals and the proper administration of criminal justice.

2.  Any information taken from such information, data, records or reports submitted to the uniform crime reporting system and used to prepare the Uniform Crime Report shall be an open record pursuant to the Oklahoma Open Records Act.  Requests for such information shall be submitted to the Bureau.

3.  Any request under the Oklahoma Open Records Act for any other information, data, records or reports submitted to the uniform crime reporting system by the Oklahoma State Bureau of Investigation shall be directed to the Bureau pursuant to Section 24A.20 of Title 51 of the Oklahoma Statutes.  Such information, data, records or reports shall be considered investigative records of the Bureau and shall be subject to discovery and disclosure only in compliance with Section 150.5 of this title or other applicable statute.

4.  Any request under the Oklahoma Open Records Act for any information, data, records or reports submitted by a law enforcement agency other than the Oklahoma State Bureau of Investigation to the uniform crime reporting system shall be directed to the law enforcement agency submitting the information, data, records or reports to the Bureau unit pursuant to Section 24A.20 of Title 51 of the Oklahoma Statutes.  Such information, data, records or reports shall be considered law enforcement records and shall be subject to discovery and disclosure only in compliance with Section 24A.8 of Title 51 of the Oklahoma Statutes or other applicable statute.

D.  Upon receipt of such information the Director shall have such data collated and formulated and shall compile such statistics as the Director may deem necessary in order to present a proper classification and analysis of the volume and nature of crime and the administration of criminal justice within this state.

E.  Refusal or persistent failure of any law enforcement agency to submit reports required by this section may result in discontinued access to Bureau information and assistance.

Added by Laws 1976, c. 259, § 10, operative July 1, 1976.  Amended by Laws 1994, c. 259, § 3, eff. Sept. 1, 1994; Laws 1997, c. 291, § 1, eff. Nov. 1, 1997; Laws 2000, c. 258, § 2, eff. July 1, 2000; Laws 2001, c. 45, § 2, eff. Nov. 1, 2001; Laws 2005, c. 106, § 1, emerg. eff. April 26, 2005.

§74150.11.  Evidentiary property - Disposition.

A.  All property which comes into the possession of the Oklahoma State Bureau of Investigation (OSBI), whether the same is stolen, embezzled or otherwise, which the Bureau has held for at least one (1) year unless said property is perishable, may be disposed of by order of an Oklahoma County district court if the owner or owners of said property are unknown or have not claimed the same.  The Director of the Oklahoma State Bureau of Investigation shall then be authorized to sell, deposit, or otherwise dispose of such property or any part thereof which is no longer needed to be held as evidence or otherwise used in connection with any litigation.

B.  1.  If cash or other legal tender is the subject of the action, the Director shall file a petition in the district court of Oklahoma County requesting authority to forfeit and deposit the funds.  The petition shall include the following information:

a. description of the property,

b. approximate date that the property came into possession of the Director, and

c. the names of the owner or owners, if known.

2.  Upon the filing of the petition, notice of at least ten (10) days shall be given to each known owner by the Director of the OSBI by mailing a copy of the petition and notice of hearing to the  last-known address of each owner.

3.  Notice of the hearing shall also be posted at the Oklahoma County courthouse at the regular place assigned for the posting of legal notices and in the public lobby at OSBI headquarters.

4.  If no owner appears and establishes ownership to the cash or legal tender, the court shall enter an order authorizing the forfeiture of the funds to the OSBI.  All monies forfeited shall be deposited into the OSBI Revolving Fund.

C.  1.  For disposition of all other seized property, the Director shall file a petition in the district court of Oklahoma County requesting authority to conduct a sale of the property.  The petition shall include the following information:

a. description of the property,

b. approximate date that the property came into the possession of the Director, and

c. the names of the owner or owners, if known.

2.  Upon the filing of the petition, notice of at least ten (10) days shall be given to each known owner by the Director of the OSBI by mailing a copy of the petition and notice of hearing to the   last-known address of each owner.

3.  Notice of the hearing shall also be posted at the Oklahoma County courthouse at the regular place assigned for the posting of legal notices and in the public lobby at OSBI headquarters.

4.  If no owner appears and establishes ownership to the property, the court shall enter an order authorizing the Director to sell the property to the highest bidder after notice of at least five (5) days of the auction has been given by publication in one issue of a legal newspaper of record in Oklahoma County.

5.  The Director shall make a return of sale, and when confirmed by the court, the order confirming the sale shall vest title of the property to the purchaser.  The money received from the sale shall be deposited in the OSBI Revolving Fund.

Added by Laws 1976, c. 259, § 11, operative July 1, 1976.  Amended by Laws 2002, c. 42, § 2, eff. Nov. 1, 2002.

§74-150.12.  Mandatory reporting of fingerprint and criminal history information.

A.  1.  It is hereby the duty of any sheriff, chief of police, city marshal, constable and any other law enforcement officer who takes custody of a person who has been arrested and who, in the best judgment of the arresting officer, is believed to have committed any offense, except an offense exempted by the rules promulgated by the Oklahoma State Bureau of Investigation pursuant to the provisions of Section 150.1 et seq. of this title, to take or cause to be taken the fingerprint impressions of such person or persons and to forward such fingerprint impressions together with identification information to the Oklahoma State Bureau of Investigation, at its Oklahoma City office.  In the case of any sheriff, chief of police, city marshal, constable, or any other law enforcement officer equipped with a live-scan device designed for the electronic capture and transmission of fingerprint images approved by the Oklahoma State Bureau of Investigation, fingerprint images may instead be taken and transmitted to the Bureau electronically.  If the sheriff, chief of police, city marshal, or constable has contracted for the custody of prisoners, such contractor shall be required to take the fingerprint impressions of such person.

2.  It shall not be the responsibility of, nor shall the sheriff, chief of police, city marshal, constable, other law enforcement officer, or contractor receiving custody of an arrested person as a prisoner require the arresting officer to take the fingerprint impressions of the arrested person; provided, if the arresting officer is employed by the same law enforcement agency as the sheriff, chief of police, city marshal, or constable receiving custody of such person, the arresting officer may be required to take such impressions.

3.  The law enforcement officers shall also forward the prosecution filing report and the disposition report forms to the appropriate prosecuting authority within seventy-two (72) hours.  If fingerprint impressions have not been taken at the time of an arrest, the court shall order the fingerprints to be taken by the sheriff at the arraignment, first appearance, or at the time of final adjudication of a defendant whose court attendance has been secured by a summons or citation for any offense, except an offense exempted by the rules promulgated by the Bureau.  If a person is in the custody of a law enforcement or correctional agency and a warrant issues or an information is filed alleging the person to have committed an offense other than the offense for which the person is in custody, the custodial law enforcement or correctional agency shall take the fingerprints of such person in connection with the new offense, provided the offense is not exempted by the rules of the Bureau.  Any fingerprint impressions and identification information required by this subsection shall be sent to the Bureau within seventy-two (72) hours after taking such fingerprints.

B.  In order to maintain a complete criminal history record, the court shall inquire at the time of sentencing whether or not the person has been fingerprinted for the offense upon which the sentence is based and, if not, shall order the fingerprints be taken immediately of such person and those fingerprints shall be sent by the law enforcement agency taking the fingerprint impressions to the Bureau within seventy-two (72) hours after taking the fingerprint impressions.

C.  In addition to any other fingerprints which may have been taken of a person in a criminal matter, the Department of Corrections shall take the fingerprints of all prisoners received at the Lexington Reception and Assessment Center or otherwise received into the custody of the Department and shall send copies of such fingerprints together with identification information to the Bureau within seventy-two (72) hours of taking such fingerprints.

D.  The Bureau shall, upon receipt of fingerprint impressions and identification information for offenses not exempt by rule of the Bureau, send one copy of the fingerprint impressions to the Federal Bureau of Investigation, at its Washington, D.C., office, and the other copy shall be filed in the Oklahoma State Bureau of Investigation's office.  The rules promulgated by the Bureau pursuant to the provision of this act exempting certain offenses from mandatory reporting shall be based upon recommended Federal Bureau of Investigation standards for reporting criminal history information and are not intended to include violators of city or town ordinances and great care shall be exercised to exclude the reporting of criminal history information for such offenses, except when recommended by the Federal Bureau of Investigation standards.

E.  The reporting to the Oklahoma State Bureau of Investigation of criminal history information on each person subject to the mandatory reporting requirements of Section 150.1 et seq. of this title shall be mandatory for all law enforcement agencies, courts, judicial officials, district attorneys and correctional administrators participating in criminal matters, whether reported directly or indirectly, manually or by automated system as may be provided by the rules promulgated by the Bureau.

F.  Except for offenses exempted by the rules promulgated by the Bureau, the following events shall be reported to the Bureau within seventy-two (72) hours and the Bureau shall have seventy-two (72) hours after receipt of the report to enter such information into a criminal record data base:

1.  An arrest;

2.  The release of a person after arrest without the filing of any charge; and

3.  A decision of a prosecutor not to commence criminal proceedings or to defer or postpone prosecution.

G.  Except for offenses exempted by the rules promulgated by the Bureau, the following events shall be reported to the Bureau within thirty (30) days and the Bureau shall have thirty (30) days after receipt of the report to enter such information into a criminal record data base:

1.  A decision by a prosecutor to modify or amend initial charges upon which the arrest was made, including deletions or additions of charges or counts;

2.  The presentment of an indictment or the filing of a criminal information or other statement of charges;

3.  The dismissal of an indictment or criminal information or any charge specified in such indictment or criminal information;

4.  An acquittal, conviction or other court disposition at trial or before, during or following trial, including dispositions resulting from pleas or other agreements;

5.  The imposition of a sentence;

6.  The commitment to or release from the custody of the Department of Corrections or incarceration in any jail or other correctional facility;

7.  The escape from custody of any correctional facility, jail or authority;

8.  The commitment to or release from probation or parole;

9.  An order of any appellate court;

10.  A pardon, reprieve, commutation of sentence or other change in sentence, including a change ordered by the court;

11.  A revocation of probation or parole or other change in probation or parole status; and

12.  Any other event arising out of or occurring during the course of criminal proceedings or terms of the sentence deemed necessary as provided by the rules established by the Bureau.

The Bureau shall have authority to withhold any entry on a criminal history record when there is reason to believe the entry is based on error or an unlawful order.  The Bureau shall in such case take immediate action to clarify or correct the entry.

H.  Information reportable under the provisions of this section shall be reportable by the law enforcement officer or person directly responsible for the action, event or decision, unless otherwise provided by rule or agreement.  The form and content of information to be reported and methods for reporting information, including fingerprint impressions and other identification information, shall be established by the rules promulgated by the Bureau.  The Bureau is hereby directed to establish rules to implement the provisions of Section 150.1 et seq. of this title, provided any rule relating to reporting by courts or judicial officials shall be issued jointly by the Bureau and the Oklahoma Supreme Court.

I.  Any person or agency subject to the mandatory reporting of criminal history information or fingerprints as required by the provisions of this act shall take appropriate steps to ensure that appropriate agency officials and employees understand such requirements.  Each agency shall establish, and in appropriate cases impose, administrative sanctions for failure of an official or employee to report as provided by law.  Refusal or persistent failure of a person or agency to comply with the mandatory reporting requirements of this act may result in the discontinued access to Bureau information or assistance until such agency complies with the law.

J.  All expungement orders which are presented to the Bureau for alterations to criminal history records must be accompanied by a payment of One Hundred Fifty Dollars ($150.00) payable to the Bureau.  The subject of the criminal history, whose record is being amended or updated based upon an expungement order, is responsible for such payment.  Payment shall be rendered before any expungement order may be processed by the Bureau.

Added by Laws 1976, c. 259, § 12, operative July 1, 1976.  Amended by Laws 1994, c. 259, § 4, eff. Sept. 1, 1994; Laws 2000, c. 258, § 3, eff. July 1, 2000; Laws 2003, c. 199, § 12, eff. Nov. 1, 2003; Laws 2004, c. 556, § 2, eff. Nov. 1, 2004; Laws 2005, c. 378, § 1, eff. Sept. 1, 2005; Laws 2006, c. 16, § 80, emerg. eff. March 29, 2006.

NOTE:  Laws 2005, c. 223, § 3 repealed by Laws 2006, c. 16, § 81, emerg. eff. March 29, 2006.

§74-150.12A.  Missing or runaway persons - Reports - National Crime Information Center entries - Procedures and guidelines - Family abduction reports - Missing children publicity and hotline.

A.  It shall be the duty of any sheriff, chief of police, city marshal, constable, or any other law enforcement officer, immediately upon receipt of any report of a missing or runaway person, to send one copy of such report to the Oklahoma State Bureau of Investigation and enter such information, when applicable, to the National Crime Information Center.  Within seventy-two (72) hours of location or discovery of the missing or runaway person, the sheriff, chief of police, city marshal, constable, or any other law enforcement officer shall notify the Oklahoma State Bureau of Investigation and remove the entry from the National Crime Information Center.  Upon location or discovery of the missing or runaway person, the sheriff, chief of police, city marshal, constable or any other law enforcement officer shall immediately make the appropriate entry to the National Crime Information Center in accordance with NCIC standard operating procedures.

B.  The Oklahoma State Bureau of Investigation and the Oklahoma Law Enforcement Telecommunications System shall jointly establish the procedures and guidelines necessary for enacting and maintaining an electronic database for missing and runaway persons in the State of Oklahoma which is compatible with the data collection entry procedures of the National Crime Information Center.  The Oklahoma State Bureau of Investigation shall establish guidelines for law enforcement officers concerning the collection and dissemination of information concerning missing or runaway persons.

C.  Whenever a missing or runaway person report regarding a person born in the State of Oklahoma and under eighteen (18) years of age is received by a sheriff, chief of police, city marshal, constable or any other law enforcement officer, and there is reason to believe that the person is the victim of a family abduction, the reporting agency shall notify the Oklahoma State Bureau of Investigation, the Bureau shall immediately notify the State Commissioner of Health that the person has been reported to be missing.  The Director of the Oklahoma State Bureau of Investigation and the State Commissioner of Health shall jointly establish the procedures and forms necessary for the transmittal of information between the Oklahoma State Bureau of Investigation and the State Department of Health required pursuant to the provisions of Section 150.1 et seq. of this title.

D.  The Bureau shall establish a program to periodically publicize the names and pictures of missing children along with a missing children hot-line number on OETA.

Added by Laws 1983, c. 144, § 1, eff. Nov. 1, 1983.  Amended by Laws 1984, c. 87, § 1, eff. Nov. 1, 1984; Laws 1985, c. 86, § 3, operative July 1, 1985; Laws 1986, c. 44, § 1, eff. Nov. 1, 1986; Laws 1996, c. 196, § 3, eff. July 1, 1996.

§74150.12B.  Forms for reporting domestic abuse  Report of incidents.

A.  The Oklahoma State Bureau of Investigation shall provide forms for the reporting of domestic abuse to each person required to submit such reports pursuant to the provisions of Section 3 of this act and shall establish guidelines for the collection and reporting of domestic abuse incident information pursuant to the provisions of the Domestic Abuse Reporting Act.

B.  The Director of the Oklahoma State Bureau of Investigation shall compile a monthly and annual statistical report which shall include the number of reported incidents of domestic abuse for each county and for the state as a whole, the types of crime involved in the domestic abuse, the days of the week the incidents occurred, and the hours of the day the incidents occurred.  The statistical reports shall not include the names of any of the persons involved in an incident of domestic abuse or any information which would serve to identify such persons as individuals.

C.  Copies of the monthly and annual statistical reports shall be available to the public upon request.

Added by Laws 1986, c. 197, § 4, eff. Nov. 1, 1986.  

§74150.13.  Rangers  Appointment.

A.  The Director of the Oklahoma State Bureau of Investigation is hereby authorized to appoint, with the approval of the Commission, not to exceed twenty special officers, who shall not be salaried employees of the Bureau of Investigation but who shall at all times be subject to the orders and directions of the Director; provided that such special officers shall not have authority to enforce any laws except the provisions of the Oklahoma Statutes relating to larceny of domestic animals, livestock or farm and ranch equipment or supplies, with respect to which they shall have the same authority as any other peace officer.  These officers shall be known as rangers.

B.  Rangers shall not receive any compensation or expenses from the State of Oklahoma or any of its departments, agencies or subdivisions for their services.  Before the issuance of a special commission each such ranger shall enter into a good and sufficient bond executed by a surety company authorized to do business in the State of Oklahoma in the sum of Two Thousand Five Hundred Dollars ($2,500.00), and approved by the Director, to indemnify all persons against damages accruing as a result of any illegal or unlawful acts on the part of such rangers; provided that all such special commissions shall expire on January 1 of the oddnumbered year after the appointment.  The Director may renew, suspend or revoke any such special commission at any time.

Amended by Laws 1984, c. 69, § 1, emerg. eff. March 29, 1984.  

§74150.16.  Rental or charter of aircraft.

The Oklahoma State Bureau of Investigation is hereby authorized to own and operate one aircraft and to rent or charter aircraft on a project/mission basis, such rental or charter to last only for the duration of the project/mission.  The Bureau is also authorized to pay, from any funds available to the Bureau, expenses involved in qualifying multiengine and instrument pilots as may be required to accomplish agency responsibilities.

Amended by Laws 1982, c. 377, § 8, emerg. eff. May 14, 1982.  

§74150.17.  Transfer of Statistical Analysis Division of Crime Commission to Bureau of Investigation.

A.  Effective July 1, 1980, the Statistical Analysis Division of the present Oklahoma Crime Commission shall be transferred to the Oklahoma State Bureau of Investigation.  All unexpended funds, property, records, personnel and any outstanding financial obligations or encumbrances of the Crime Commission which relate to the Statistical Analysis Division are hereby transferred to the Oklahoma State Bureau of Investigation.

B.  Effective July 1, 1988, the personnel transferred from the Oklahoma Crime Commission to the Oklahoma State Bureau of Investigation and persons occupying the position of any such personnel on July 1, 1988, shall become subject to the provisions of the Merit System of Personnel Administration.  All incumbent employees subject to this subsection shall be classified without regard to status or examinations.  Such employees shall be granted status in the class of positions to which the employee's position is allocated by the Office of Personnel Management.

C.  It is the intent of the Legislature that the mission of the Statistical Analysis Division not be changed by this transfer, and that the Oklahoma State Bureau of Investigation continue prior cooperative agreements made with the Criminal Justice Agencies of the state.

Amended by Laws 1988, c. 324, § 10, operative July 1, 1988.  

§74150.18.  Reward System  Creation  Implementation  Information required to collect  Additional requirements.

A. There is hereby created an Oklahoma Reward System to be administered by the Oklahoma State Bureau of Investigation for the purpose of providing a method of disbursing cash awards, referred to as a reward, to persons giving information resulting in the arrest and conviction of a person accused of the commission or attempted commission of a crime.

B.  The Oklahoma State Bureau of Investigation shall implement such procedures and regulations as are necessary to carry out the purposes of this act.  Such procedures shall include a method for determining the amount of reward to be offered for information on a crime or series of crimes and which such crimes shall have a reward offered to assist in their solution.

C.  Any person seeking to collect all or part of a reward offered under the provisions of this section shall submit the following information to the Oklahoma State Bureau of Investigation:  1.  The crime which was committed;

2.  The name of the victim of the crime;

3.  The name of the person arrested and convicted;

4.  The name of the law enforcement agency with which the applicant cooperated; and

5.  A written statement from that law enforcement agency providing details of the extent of the cooperation provided.

D.  The Oklahoma State Bureau of Investigation shall make such additional requirements as deemed necessary to assure proper disbursal of the reward funds.  Any person regularly employed as a peace officer, district attorney or assistant district attorney or any member of immediate family shall be prohibited from receiving any cash award from said fund.

Laws 1981, c. 83, § 1, operative July 1, 1981.  

§74-150.19a.  OSBI Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma State Bureau of Investigation to be designated the "OSBI Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies received from the sale of surplus property, fees and receipts collected pursuant to the Oklahoma Open Records Act, fines, forfeitures, fees, charges, receipts, donations, gifts, bequests, contributions, devises, interagency reimbursements, federal funds unless otherwise provided by federal law or regulation, or any other source.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Oklahoma State Bureau of Investigation for operating expenses of the Bureau, for the purpose of implementing the Oklahoma Reward System pursuant to Section 150.18 of this title, and to purchase equipment and provide training to law enforcement agencies located in the state, pursuant to Section 62.9 of this title.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1986, c. 201, § 6, emerg. eff. June 4, 1986.  Amended by Laws 2004, c. 276, § 3, eff. Nov. 1, 2004.

§74150.21.  Legal division established  Duties  Restrictions.

The Oklahoma State Bureau of Investigation shall establish or provide for a legal division and the Director may employ two attorneys as needed, which attorneys, in addition to advising the Director, the Commission and employees of the Bureau on legal matters, may appear for and represent the Director, the Commission and employees of the Bureau in administrative hearings and other legal actions and proceedings.  No Bureau attorney shall enter an appearance in a criminal action nor engage in private practice of the law while in the employment of the Oklahoma State Bureau of Investigation, except for the purpose of representing the agency in motions to quash subpoenas, other discovery matters, expungement applications, evidentiary hearings, and forfeiture proceedings.  It shall continue to be the duty of the Attorney General to give official opinions to and to prosecute and defend actions for the Director, Commission and employees of the Bureau, if requested to do so.

Added by Laws 1982, c. 64, § 1, emerg. eff. March 30, 1982.  Amended by Laws 1998, c. 388, § 2, eff. July 1, 1998; Laws 2002, c. 42, § 3, eff. Nov. 1, 2002.

§74-150.21a.  Crimes information unit.

A.  The Director of the Oklahoma State Bureau of Investigation may establish a crimes information unit within the Bureau.

B.  With authorization from the Director of the Bureau, the crimes information unit or any employee of the Bureau may:

1.  Investigate organized crime, criminal conspiracies, and threats of violent crime;

2.  Collect information concerning the activity and identity of individuals reasonably believed to be engaged in organized crime, criminal conspiracies, or threatening violent crime;

3.  Analyze collected information and disseminate such information to other law enforcement agencies for the purposes of criminal investigation and crime prevention;

4.  Coordinate the effort of this state with local, state and federal agencies to protect its citizens against organized crime, criminal conspiracies and threats of violent crime by creating a clearinghouse of crime-related information for use by local, state and federal law enforcement agencies; and

5.  Provide training to peace officers of this state concerning the legal collection, preservation and dissemination of crime-related information.

C.  Release of information compiled pursuant to this section shall be prohibited except for release of information to law enforcement officers and prosecutorial authorities for the purpose of criminal investigation, criminal prosecution, and crime prevention.  Unauthorized release or unauthorized use of this information shall be a misdemeanor and shall be punishable by incarceration in the county jail not exceeding one (1) year or a fine not exceeding Fifty Thousand Dollars ($50,000.00), or by both such fine and imprisonment.  As used in this section, "unauthorized release" or "unauthorized use" shall include, but not be limited to, giving the information to any person who is not a law enforcement officer unless necessitated by an ongoing criminal investigation, or release of information to a law enforcement officer who is not engaged in a criminal investigation requiring the information or who is not authorized by his or her agency to receive such information, or release of information in violation of any rules promulgated by the Bureau.  Information collected and compiled under the authority of this section shall be privileged and not discoverable nor subject to subpoena or order for production issued by any court, other than production in a district court criminal proceeding for the prosecution of crimes which are the subject of the information sought.  The Director of OSBI shall make a quarterly report to the OSBI Commission of all information collected and compiled under the authority of this section.

Added by Laws 1996, c. 154, § 1, eff. Nov. 1, 1996.

§74-150.21b.  OSBI reports concerning use of deadly force.

Notwithstanding any other provisions of law, when the Commissioner of Public Safety has requested the Oklahoma State Bureau of Investigation to conduct a criminal investigation of any incident involving the use of deadly force by a commissioned officer of the Department of Public Safety while in the official performance of such officer's duties, the Commissioner may use the report and the investigative information and materials in the furtherance of administrative matters within the Department, including, but not limited to, taking personnel actions and conducting internal investigations.  Under no circumstances shall an OSBI report of its investigation of any incident involving the use of deadly force by a commissioned officer of any law enforcement agency other than the Department of Public Safety be provided to the employing agency for the purpose of or be used by that agency for the purpose of administrative matters or any purpose other than criminal prosecution.

Added by Laws 1999, c. 230, § 4, emerg. eff. May 26, 1999.  Amended by Laws 2004, c. 130, § 10, emerg. eff. April 20, 2004.

§74150.22.  Special motor carrier enforcement officers  Transfer to State Bureau of Investigation.

A.  As of July 1, 1985, the persons employed as of June 30, 1985, by the Corporation Commission as special motor carrier enforcement officers and as the supervisor officer pursuant to Section 171.1 of Title 47 of the Oklahoma Statutes shall be and are ordered transferred to the Oklahoma State Bureau of Investigation for the purpose of oil and gas theft investigations.

B.  No employee transferred pursuant to this section shall be required to accept a lesser grade or salary than presently received plus any salary adjustments provided by the Legislature for state employees.  No entrance examination shall be required for the persons so transferred.

C.  All such persons shall retain all leave, sick or annual, and any retirement benefits which have accrued during their tenure with the Commission.

Added by Laws 1985, c. 282, § 5, emerg. eff. July 22, 1985.  

§74-150.23.  Sidearms and badges - Custody and possession upon retirement or death.

A.  An officer, investigator, or agent of the Oklahoma State Bureau of Investigation, the Oklahoma State Bureau of Narcotics and Dangerous Drugs Control, the Department of Wildlife Conservation, the Law Enforcement Division of the Oklahoma Horse Racing Commission, the State Fire Marshal's Office, the Oklahoma Tourism and Recreation Department, or the office of a district attorney shall be entitled to receive, upon retirement by reason of length of service, the continued custody and possession of the sidearm and badge carried by such officer, investigator, or agent immediately prior to retirement.

B.  An officer, investigator, or agent specified in subsection A of this section may be entitled to receive, upon retirement by reason of disability, the continued custody and possession of the sidearm and badge carried by such officer or agent immediately prior to retirement upon written approval of the applicable Director of the appropriate Bureau, Department, Commission, or district attorney.

C.  Custody and possession of the sidearm and badge of an officer, investigator, or agent who dies while employed by any Bureau, Department, Commission, or office specified in subsection A of this section may be awarded by the applicable Director of the appropriate Bureau, Department, Commission, or office to the spouse or next-of-kin of the deceased officer, investigator, or agent.

Added by Laws 1987, c. 103, § 1, emerg. eff. May 22, 1987.  Amended by Laws 1997, c. 134, § 1, eff. July 1, 1997; Laws 1999, c. 230, § 1, emerg. eff. May 26, 1999; Laws 2004, c. 275, § 15, eff. July 1, 2004; Laws 2005, c. 169, § 3, eff. Nov. 1, 2005.

§74-150.24.  Automated fingerprint identification system - Coordination with law enforcement agencies.

On or before January 1, 1991, there shall be established within the Oklahoma State Bureau of Investigation a computerized fingerprint identification system (AFIS).  The Oklahoma State Bureau of Investigation shall coordinate the use of this system and equipment with federal, state, county, and municipal law enforcement agencies.  All county sheriff departments and all police departments for municipalities may participate in this system.  The Oklahoma State Bureau of Investigation shall establish standards and guidelines for fingerprinting for the automated fingerprint identification system.  The Oklahoma State Bureau of Investigation may place any fingerprint received by the Bureau for any purpose in its AFIS database.

Added by Laws 1990, c. 282, § 4, operative July 1, 1990.  Amended by Laws 1994, c. 35, § 1, eff. Sept. 1, 1994.

§74-150.25.  A.F.I.S. Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma State Bureau of Investigation, to be designated the "A.F.I.S. Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Oklahoma State Bureau of Investigation, from appropriations, federal grants and assessments levied to said fund pursuant to law.  All monies accruing to the credit of said fund are hereby appropriated and shall be budgeted and expended by the Oklahoma State Bureau of Investigation for the purpose of maintaining and operating the Automated Fingerprint Identification System (A.F.I.S.) until the indebtedness for the purchase of the automated fingerprint identification system equipment has been satisfied and to purchase equipment and provide training to law enforcement agencies located in the state, pursuant to Section 62.9 of this title.  After the indebtedness has been satisfied, any monies not necessary for the maintenance, operating and upgrading expenses of the A.F.I.S. may be used for purchase, renovation or leasing of buildings, upgrading of laboratory equipment, and other capital expenditures of the Oklahoma State Bureau of Investigation and to purchase equipment and provide training to law enforcement agencies located in the state, pursuant to Section 62.9 of this title.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1990, c. 282, § 5, operative July 1, 1990.  Amended by Laws 1994, c. 188, § 3, eff. Sept. 1, 1994; Laws 2004, c. 276, § 4, eff. Nov. 1, 2004.

§74-150.26.  Information transmittal - Forms and procedures.

The Director of the Oklahoma State Bureau of Investigation shall establish the procedures and forms necessary for the transmittal of information between the Oklahoma State Bureau of Investigation and participating law enforcement and criminal justice agencies.

Added by Laws 1990, c. 282, § 6, operative July 1, 1990.

§74-150.27.  Deoxyribonucleic acid (DNA) laboratory - Coordination of use with law enforcement agencies.

A.  There shall be established within the Oklahoma State Bureau of Investigation (OSBI) a deoxyribonucleic acid (DNA) laboratory for the purpose of determining DNA profiles to be used for evidence in criminal proceedings.  The OSBI shall coordinate the use of this laboratory and equipment with federal, state, county, and municipal law enforcement agencies.  All county sheriff departments and all police departments for municipalities may participate in this laboratory.  The OSBI shall establish standards and guidelines for the deoxyribonucleic acid (DNA) laboratory and shall comply with any regulations applicable to DNA testing, sampling and laboratory standards.

B.  The OSBI may make a DNA profile of any blood or saliva specimen received for any other purpose by the Bureau and place the DNA profile in its DNA population database.  The DNA population database shall not be indexed by donor name, and the Bureau shall promulgate rules to protect the privacy of the DNA donors.

Added by Laws 1991, c. 227, § 3, emerg. eff. May 23, 1991.  Amended by Laws 1994, c. 35, § 2, eff. Sept. 1, 1994; Laws 2002, c. 235, § 3, emerg. eff. May 9, 2002; Laws 2004, c. 143, § 3, eff. Nov. 1, 2004; Laws 2005, c. 441, § 4, eff. Jan. 1, 2006.

§74-150.27a.  OSBI Combined DNA Index System (CODIS) Database.

A.  There is hereby established within the Oklahoma State Bureau of Investigation the OSBI Combined DNA Index System (CODIS) Database for the purpose of collecting and storing blood or saliva samples and DNA profiles, analyzing and typing of the genetic markers contained in or derived from DNA, and maintaining the records and samples of DNA of individuals convicted of any felony offense, and of individuals required to register pursuant to the Sex Offenders Registration Act.  The purpose of this database is the detection or exclusion of individuals who are subjects of the investigation or prosecution of sex-related crimes, violent crimes, or other crimes in which biological evidence is recovered, and such information shall be used for no other purpose.

B.  Any DNA specimen taken in good faith by the Department of Corrections, its employees or contractors, and submitted to the OSBI may be included, maintained, and kept by the OSBI in a database for criminal investigative purposes despite the specimen having not been taken in strict compliance with the provisions of this section or Section 991a of Title 22 of the Oklahoma Statutes.

C.  Upon the request to OSBI by the federal or state authority having custody of the person, any individual who was convicted of violating laws of another state or the federal government, but is currently incarcerated or residing in Oklahoma, shall submit to DNA profiling for entry of the data into the OSBI DNA Offender Database.  This provision shall only apply when such federal or state conviction carries a requirement of sex offender registration and/or DNA profiling.  The person to be profiled shall pay a fee of One Hundred Fifty Dollars ($150.00) to the OSBI.

D.  The OSBI Combined DNA Index System (CODIS) Database is specifically exempt from any statute requiring disclosure of information to the public.  The information contained in the database is privileged from discovery and inadmissible as evidence in any civil court proceeding.  The information in the database is confidential and shall not be released to the public.  Any person charged with the custody and dissemination of information from the database shall not divulge or disclose any such information except to federal, state, county or municipal law enforcement or criminal justice agencies.  Any person violating the provisions of this section upon conviction shall be deemed guilty of a misdemeanor punishable by imprisonment in the county jail for not more than one (1) year.

E.  The OSBI shall promulgate rules concerning the collection, storing, expungement and dissemination of information and samples for the OSBI Combined DNA Index System (CODIS) Database.  The OSBI shall determine the type of equipment, collection procedures, and reporting documentation to be used by the Department of Corrections or a county sheriff's office in submitting DNA samples to the OSBI in accordance with Section 991a of Title 22 of the Oklahoma Statutes.  The OSBI shall provide training to designated employees of the Department of Corrections and a county sheriff's office in the proper methods of performing the duties required by this section.

F.  The OSBI Combined DNA Index System (CODIS) Database may include secondary databases and indexes including, but not limited to:

1.  Forensic index database consisting of unknown evidence samples;

2.  Suspect index database consisting of samples taken from individuals as a result of criminal investigations;

3.  Convicted offender index database authorized pursuant to subsection A of this section; and

4.  Missing persons and unidentified remains index or database consisting of DNA profiles from unidentified remains and relatives of missing persons.

G.  Any person convicted of an offense provided in this section who is in custody after July 1, 1996, shall provide a blood or saliva sample prior to release.  Every person who is convicted of an offense provided in this section whose sentence does not include a term of incarceration shall provide a blood or salvia sample as a condition of sentence.

Added by Laws 1994, c. 40, § 2, eff. July 1, 1996.  Amended by Laws 1996, c. 153, § 3, emerg. eff. May 7, 1996; Laws 1997, c. 260, § 10, eff. Nov. 1, 1997; Laws 2001, c. 88, § 2, eff. Nov. 1, 2001; Laws 2001, c. 225, § 3, eff. July 1, 2001; Laws 2002, c. 235, § 4, emerg. eff. May 9, 2002; Laws 2004, c. 143, § 4, eff. Nov. 1, 2004; Laws 2005, c. 1, § 128, emerg. eff. March 15, 2005; Laws 2005, c. 441, § 5, eff. Jan. 1, 2006.

NOTE:  Laws 2004, c. 61, § 1 repealed by Laws 2005, c. 1, § 129, emerg. eff. March 15, 2005.

§74-150.28.  Deoxyribonucleic acid (DNA) laboratory - Acquisition or transmittal of specimens and information - Procedures.

The Director of the Oklahoma State Bureau of Investigation shall establish the procedures, methods and forms necessary for the acquisition or transmittal of specimens and information between the Oklahoma State Bureau of Investigation and participating law enforcement and criminal justice agencies.

Added by Laws 1991, c. 227, § 4, emerg. eff. May 23, 1991.

§74-150.29.  Petty cash fund.

The Oklahoma State Bureau of Investigation is hereby given authority to create a petty cash fund not to exceed Two Hundred Dollars ($200.00) for each office of the Oklahoma State Bureau of Investigation, which may be expended for the purpose of providing change for cash payments for criminal history record checks and other Oklahoma Open Records Act search and copy fees.

Added by Laws 1993, c. 71, § 1, eff. July 1, 1993.  Amended by Laws 2001, c. 74, § 2, eff. Nov. 1, 2001.

§74-150.30.  Audits of petty cash fund.

Any audit including but not limited to a financial statement audit performed by the State Auditor and Inspector's Office or an independent licensed public accountant on the funds, accounts, vouchers and books and fiscal affairs of the Oklahoma State Bureau of Investigation shall include an audit of the petty cash fund created pursuant to the provisions of the section detailing the various items of receipts and expenditures of the fund.

Added by Laws 1993, c. 71, § 2, eff. July 1, 1993.

§74-150.31.  Business operations - Rules and procedures - Accounts receivable.

The Oklahoma State Bureau of Investigation may promulgate rules and establish procedures for the business operations of the Bureau under the Oklahoma Open Records Act.  The Bureau is hereby granted the authority to establish policies and procedures for creating accounts receivable for individuals, corporations, and government agencies for providing copies of its open records in advance of payment, including the providing of criminal history information and related services.

Added by Laws 1993, c. 71, § 3, eff. July 1, 1993.

§74-150.32.  Firearms Laboratory Improvement Fund.

A.  There is hereby established the "Firearms Laboratory Improvement Fund".  The Fund shall be a continuing fund for the Oklahoma State Bureau of Investigation.  The Fund shall not be subject to fiscal year limitations and shall consist of monies received from all state agencies which seize assets pursuant to the Uniform Controlled Dangerous Substances Act during the fiscal year ending June 30, 1994.  Each agency's contribution shall be determined on a pro rata basis based on the percentage of forfeitures collected by the agency during the fiscal year ending June 30, 1993, in relation to the total monetary value of all forfeitures collected by all agencies contributing to the Fund.  The amount each agency is to contribute shall be determined by the Director of State Finance and the Cabinet Secretary for Safety and Security.  Funds shall be transferred pursuant to a time schedule established by the Director of State Finance and the Cabinet Secretary for Safety and Security, but all such funds shall be transferred as available.  The total amount of money to be paid into the Fund shall not exceed One Hundred Forty-five Thousand Dollars ($145,000.00).  Funds collected in the Drugfire Project Fund during the 1994 fiscal year shall be carried over into the Firearms Laboratory Improvement Fund.  Expenditures from the Fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

B.  The Firearms Laboratory Improvement Fund shall be used to upgrade the firearms laboratory services of the Oklahoma State Bureau of Investigation criminalistics laboratory.  Expenditures from the Fund shall be used only for training of personnel, matching funds for federal grants to obtain laboratory instrumentation, the purchase of  laboratory instrumentation and equipment, and to upgrade existing laboratory instrumentation and equipment.  If the Firearms Laboratory Improvement Fund is not expended by June 30, 1996, funds contributed by agencies shall be repaid to the agencies.

Added by Laws 1993, c. 237, § 1, eff. July 1, 1993.  Amended by Laws 1994, c. 193, § 1, eff. July 1, 1994.

§74-150.33.  Repealed by Laws 1994, c. 193, § 2, eff. July 1, 1994.

§74-150.34.  Judicial background investigations - Assignment of agent.

Of the full-time-equivalent employees authorized for the Oklahoma State Bureau of Investigation, one senior agent shall be employed for the purpose of conducting judicial background investigations requested by the Judicial Nominating Commission.  When not conducting investigations for the Judicial Nominating Commission, the senior agent may be involved in investigations as requested by the Council on Judicial Complaints and in other investigations as deemed appropriate by the Director of the Oklahoma State Bureau of Investigation; provided, however, the first priority of the agent will be to respond to requests of the Commission.

Added by Laws 1995, c. 235, § 3, eff. Sept. 1, 1995.

§74-150.35.  Forensic Science Improvement Revolving Fund - Creation - Use of fund

There is hereby created in the State Treasury a revolving fund for the Oklahoma State Bureau of Investigation to be designated the "Forensic Science Improvement Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all appropriated funds, any funds from state, federal or other grants, the funds collected from assessments provided by Section 1313.4 of Title 20 of the Oklahoma Statutes, any monies transferred from the OSBI Revolving Fund; and any other monies designated to or deposited to the benefit of this fund.  All monies accruing to the credit of this fund are hereby appropriated and may be budgeted and expended by the Oklahoma State Bureau of Investigation for the purpose of improvement of the forensic science services of the Oklahoma State Bureau of Investigation including, but not limited to:

1.  Purchase, construction, renovation, financing or leasing of facilities and equipment;

2.  Purchase, rental, upgrades, repair, and maintenance of instrumentation and equipment;

3.  Salaries, benefits, training, equipment, supplies, and overhead expenses for agency personnel;

4.  Education, training and development of OSBI personnel;

5.  Destruction of seized property and chemicals;

6.  Accreditation and quality assurance expenses;

7.  Professional services contracts;

8.  Purchase equipment and provide training to law enforcement agencies located in this state, pursuant to Section 62.9 of this title; and

9.  Enhancement or implementation of forensic technologies.

Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 2001, c. 225, § 5, eff. July 1, 2001.  Amended by Laws 2004, c. 276, § 5, eff. Nov. 1, 2004.

§74-150.36.  Short title.

This act shall be known and may be cited as the "Forensic Laboratory Accreditation Act".

Added by Laws 2002, c. 351, § 2, emerg. eff. May 30, 2002.

§74-150.37.  Definitions - Technical peer review system - Proficiency testing program - Accreditation - Evidence in criminal trials.

A.  For purposes of this act:

1.  "ASCLD/LAB" shall mean the American Society of Crime Laboratory Directors/Laboratory Accreditation Board;

2.  "ABFT" shall mean the American Board of Forensic Toxicology;

3.  "Forensic laboratory" shall mean a laboratory operated by the state or any unit of municipal, county, city or other local government that examines physical evidence in criminal matters and provides opinion testimony in a court of law in forensic disciplines accredited by ASCLD/LAB;

4.  "Technical peer review system" shall mean a system whereby the case work by an employee of a forensic laboratory shall be reviewed for technical correctness by a qualified peer;

5.  "Proficiency testing program" shall mean a program whereby the competency of analysis and the quality of performance of a laboratory is evaluated by external testing;

6.  "Toxicology analysis" shall mean a laboratory analysis whereby biological samples are tested for alcohol and/or other toxic or intoxicating substances; and

7.  "IAI" shall mean the International Association for Identification.

B.  Effective January 1, 2003, all forensic laboratories as defined in this act shall have a technical peer review system sufficient to meet or exceed ASCLD/LAB accreditation standards.

This section shall not apply to:

1.  Breath testing for alcohol;

2.  Field testing, crime scene processing, crime scene evidence collection, searches, examinations or enhancements of digital evidence, and crime scene reconstruction;

3.  Latent print identification performed by an IAI certified latent print examiner;

4.  Marihuana identification using methods generally accepted in the forensic field that are approved by a forensic laboratory accredited by ASCLD/LAB in controlled substances; and

5.  Laboratories that exclusively and solely perform forensic toxicology analysis.  Such laboratories shall have a technical peer review system sufficient to meet or exceed either ASCLD/LAB or ABFT accreditation standards.

C.  Effective January 1, 2004, all forensic laboratories as defined in this act shall have a proficiency testing program sufficient to meet or exceed ASCLD/LAB accreditation standards for such systems.  This subsection shall not apply to:

1.  Breath testing for alcohol;

2.  Field testing, crime scene processing, crime scene evidence collection, searches, examinations or enhancements of digital evidence, and crime scene reconstruction;

3.  Latent print identification performed by an IAI certified latent print examiner;

4.  Marihuana identification using methods generally accepted in the forensic field that are approved by a forensic laboratory accredited by ASCLD/LAB in controlled substances; and

5.  Laboratories that exclusively and solely perform forensic toxicology analysis.  Such laboratories shall have a proficiency testing program sufficient to meet or exceed either ASCLD/LAB or ABFT accreditation standards.

D.  Effective July 1, 2005, all forensic laboratories as defined in this act established or operating prior to that date shall be ASCLD/LAB accredited.  The following exceptions shall apply:

1.  Breath testing for alcohol;

2.  Field testing, crime scene processing, crime scene evidence collection, searches, examinations or enhancements of digital evidence, and crime scene reconstruction;

3.  Latent print identification performed by an IAI certified latent print examiner;

4.  Latent print identification performed by a latent print examiner not yet eligible for IAI certification in latent prints, provided they achieve IAI certification within six (6) months of first eligibility;

5.  Marihuana identification using methods generally accepted in the forensic field that are approved by a forensic laboratory accredited by ASCLD/LAB in controlled substances;

6.  All forensic laboratories established on or after July 1, 2005, as defined in this act, shall be ASCLD/LAB accredited within two (2) years of establishment; and

7.  Forensic laboratories that exclusively and solely perform forensic toxicology analysis may meet this requirement by being either ASCLD/LAB accredited or ABFT accredited.

E.  On or after July 1, 2005, testimony, results, reports, or evidence of forensics analysis produced on behalf of the prosecution in a criminal trial in forensic disciplines accredited by ASCLD/LAB shall be done by an ASCLD/LAB accredited forensic laboratory.  This section shall not apply to:

1.  Testimony, results, reports, or evidence of forensic analysis produced by a forensic laboratory established after July 1, 2005, and not yet required to be accredited as set forth in subsection D of this section;

2.  Testimony, results, reports, or evidence of forensic analysis produced by a forensic laboratory prior to July 1, 2005.  Such testimony, results, reports, or evidence need not be performed by an accredited forensic laboratory and may be produced or presented on behalf of the prosecution in a criminal trial after July 1, 2005, as long as the forensic analysis was produced prior to that date;

3.  Testimony, results, reports, or evidence of breath testing for alcohol;

4.  Testimony, results, reports, or evidence of field testing, crime scene processing, crime scene evidence collection, searches, examinations or enhancements of digital evidence, and crime scene reconstruction;

5.  Testimony, results, reports, or evidence of latent print identification performed by an IAI certified latent print examiner;

6.  Testimony, results, reports, or evidence of latent print identification performed by a latent print examiner not yet eligible for IAI certification in latent prints, provided they achieve IAI certification within six (6) months of first eligibility;

7.  Testimony, results, reports, or evidence of marihuana identification using methods generally accepted in the forensic field that are approved by a forensic laboratory accredited by ASCLD/LAB in controlled substances;

8.  Testimony, results, reports, or evidence of forensic toxicology analysis performed by laboratories that exclusively and solely perform such forensic toxicology analysis.  Such laboratories may produce and present such testimony, results, reports, or evidence if it is either ASCLD/LAB accredited or ABFT accredited; and

9.  Testimony, results, reports, or evidence of forensic analysis in forensic disciplines which are optional for a laboratory seeking ASCLD/LAB accreditation.

Added by Laws 2002, c. 351, § 3, emerg. eff. May 30, 2002.  Amended by Laws 2003, c. 203, § 1, emerg. eff. May 9, 2003.

§74152.2.  Definitions.

For purposes of this act:

1.  "Bureau" means the Oklahoma State Bureau of Investigation;

2.  "Director" means the Director of the Oklahoma State Bureau of Investigation; 3.  "Person" means any individual, copartnership, corporation, common law or statutory trust or association of whatever character;

4.  "Oil" means crude petroleum oil, and any other hydrocarbons, regardless of gravity, which are produced at the well in liquid form by ordinary production methods;

5.  "Oil reclaimer" means any person who reclaims, salvages, or in any manner removes or extracts oil from the waste products associated with the production, storage, and transportation of oil, including but not limited to salt water, and the residue from oil storage tank bottoms;

6.  "Load ticket" means an invoice or other shipping paper described and required by Section 1013 of Title 68 of the Oklahoma Statutes or other manifest required by state or federal law describing the cargo;

7.  "Gas" means natural gas, including casinghead gas, and any and all other hydrocarbons not defined as oil;

8.  "Unlawful oil" means any oil transported or taken in violation of any law of this state;

9.  "Unlawful gas" means gas transported or taken in violation of any law of this state;

10.  "Transportation" or "transport" means the movement of oil or gas or salt water by any vehicle in this state.  The term does not include movement by railroad tank car or by pipeline.  The term transportation or transport shall not apply to the transportation of oil or gas when such oil or gas is contained in the ordinary equipment of a motor vehicle and is used only for the operation of the motor vehicle in which contained;

11.  "Transporter" means any person who actually transports oil or gas or salt water in any vehicle on any road, street, or highway in this state;

12.  "Vehicle" means every device in, upon, or in which any person or property is or may be transported or drawn; and

13.  "Oil field equipment" means equipment or machinery used in the exploration for, production of, or transportation of oil or gas.

Added by Laws 1985, c. 187, § 1, eff. Nov. 1, 1985. Amended by Laws 1986, c. 201, § 9, operative July 1, 1986.  

§74152.3.  Additional powers and duties of Bureau.

In addition to the other powers and duties of the Bureau provided by law, the Bureau shall have the power and duty to:

1.  Review records from any oil reclaimer to ensure that oil is not stolen; and

2.  To enter upon any public or private property to conduct inspections at reasonable hours to ensure that any operation of an oil reclaiming facility is not a conduit for unlawful oil and for the purpose of investigating oil or gas theft operations and to take necessary action if any operation is found to be a conduit for stolen oil or gas; and

3.  Advise, consult, and cooperate with other agencies of this state, the federal government, other states and interstate agencies, and with affected groups and political subdivisions concerning oil reclaiming operations, the transportation of unlawful oil and unlawful gas and stolen oil field equipment; and

4.  Institute and maintain or intervene in any action or proceeding where deemed necessary by the Bureau to ensure that any operation of an oil reclaiming facility is not a conduit for unlawful oil or for the purpose of prosecuting persons involved in oil field equipment theft; and

5.  Conduct investigations of organized oil or gas theft rings and stolen oil field equipment rings; and

6.  Determine sources and outlets for unlawful oil or unlawful gas or stolen oil field equipment; and

7.  Stop any vehicle transporting or appearing to transport any oil or gas or salt water, for the purpose of inspecting, measuring, and taking samples of the cargo and inspecting load tickets to ensure that such vehicle is not transporting unlawful gas or unlawful oil; and

8.  Investigate any theft of oil or gas or oil field equipment of which the agency receives notice; and

9.  Arrest or cause the arrest of any person when reasonable grounds exist to believe such person has unlawful oil, unlawful gas or stolen oil field equipment; and

10.  Coordinate the efforts of this state to reduce oil, gas and oil field equipment theft with local, state, and federal law enforcement agencies; and

11.  Develop educational programs on detection and prevention of oil, gas and oil field equipment theft; and

12.  Exercise all incidental powers necessary and proper for the administration and enforcement of the provisions of this act.

Added by Laws 1985, c. 187, § 2, eff. Nov. 1, 1985. Amended by Laws 1986, c. 201, § 10, operative July 1, 1986.  

§74152.4.  Oil reclamation  Inspections.

The Director, investigators, and any other agent of the Bureau shall have the right at all times to go upon property where oil is being reclaimed in order to inspect, gauge, or take samples from pipelines, tank farms, pump stations, and any and all other facilities used for the reclamation of oil.

Added by Laws 1985, c. 187, § 3, eff. Nov. 1, 1985.  

§74152.5.  Disposition of monies  Reports  Oil and Gas Theft Recovery Revolving Fund.

A.  All monies received from fines and forfeitures for violations of the provisions of this act on behalf of the Bureau, when collected by the court clerk, shall be deposited by such clerk as follows:

1.  Fifty percent (50%) thereof with the county treasurer to be credited to the general fund of the county and so reported; and

2.  Fifty percent (50%) shall be transmitted to the Oil and Gas Theft Recovery Fund by cash voucher and so reported.

B.  All transmittals of monies under this section shall be accompanied by a report showing the name of the court, the number of the case, the style of the case and the amount of fine and forfeiture in each separate instance.

C.  There is hereby created in the State Treasury a revolving fund for the Bureau, to be designated the "Oil and Gas Theft Recovery Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Bureau, from fines and forfeitures received pursuant to this act.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Bureau for the purpose of effectuating the provisions of this act. Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1985, c. 187, § 4, eff. Nov. 1, 1985.  

§74152.6.  Certain peace officers authorized to stop certain vehicles  Taking samples and inspecting load tickets  Presumption of unlawful cargo.

A.  Each agent of the Oklahoma State Bureau of Investigation, each agent of the Federal Bureau of Investigation, each highway patrolman and each sheriff in this state is authorized to stop any vehicle transporting or appearing to transport oil or gas or salt water, for the purpose of inspecting, measuring, and taking samples of the cargo and inspecting the load ticket of such vehicle to ensure that the cargo conforms to such load ticket.  Except as authorized in subsection B of this section, upon stopping any vehicle pursuant to this section, such patrolmen, agents, or sheriffs are not authorized to take any samples of the cargo of such vehicle until the vehicle arrives at its destination as indicated on its load ticket.

B.  Such patrolmen, agents, or sheriffs may take samples of the cargo of such vehicle if the vehicle has an outofstate destination as indicated on its load ticket or if no destination is indicated on the load ticket.

C.  A rebuttable presumption that the cargo is unlawful oil or unlawful gas and probable cause for the arrest of any person transporting oil or gas or salt water and the seizure of the vehicle and the oil or gas transported in the vehicle pursuant to Section 7 of this act shall be established if:

1.  The person transporting oil or gas or salt water fails to produce the load ticket upon proper request therefor;

2.  The load ticket does not contain such information so as to describe or otherwise evidence the cargo as required by state or federal laws; or

3.  The inspection, measuring, or taking samples of said oil or gas or salt water reveals that the contents of the vehicle are not the same as those described in the load ticket.

Added by Laws 1985, c. 187, § 5, eff. Nov. 1, 1985.  

§74152.7.  Failure to stop vehicle or permit inspection  Penalties  Disposition of monies.

A.  Each person transporting oil or gas or salt water who:

1.  Willfully and knowingly fails to stop his vehicle when commanded to do so by any person authorized to stop and inspect a vehicle pursuant to Section 5 of this act; or

2.  Willfully fails to permit inspection by such authorized person of the contents of the vehicle or the load ticket in the possession of such person or accompanying such vehicle, upon conviction, shall be punished by a fine of not less than One Thousand Dollars ($1,000.00) nor more than Ten Thousand Dollars ($10,000.00), or by imprisonment in the county jail for not more than six (6) months or by both such fine and imprisonment.

B.  Any monies received from fines pursuant to this section shall be deposited pursuant to Section 4 of this act.

Added by Laws 1985, c. 187, § 6, eff. Nov. 1, 1985.  

§74152.8.  Transportation of unlawful oil or gas as public nuisance  Seizure and forfeiture of certain property  Recovery procedure.

A.  The transportation of all unlawful oil or unlawful gas is hereby declared to be a public nuisance and such unlawful gas or unlawful oil shall be forfeited to the state.  Except as provided by this section and Section 8 of this act all vehicles being used to transport said unlawful oil or unlawful gas shall also be forfeited to the state.

B.  Except as authorized by subsection C of this section, all property taken or detained under this section by any authorized person shall not be repleviable, and shall be deemed to be in the custody of the office of the district attorney of the county in which such property was seized, subject only to the decree of a court of competent jurisdiction.  If sufficient evidence exists, as determined by the district attorney, that any oil or gas seized is unlawful oil or unlawful gas or that any vehicle seized was used to transport such unlawful oil or unlawful gas, said district attorney shall follow the procedures provided in Section 8 of this act dealing with notification of seizure, intent and forfeiture, final disposition procedures, and release to innocent claimants with regard to all property seized by such authorized persons.  If sufficient evidence does not exist, as determined by the district attorney, that any oil or gas seized is unlawful oil or unlawful gas or that any vehicle seized was used to transport such unlawful oil or unlawful gas, the district attorney may release such oil or gas or vehicle but shall notify any appropriate state or federal agency of any possible permit or license violations.

C.  1.  The owner of a vehicle, upon submission of a written statement, under oath, to the office of the district attorney of the county in which said property was seized that such owner had no knowledge of the unlawfulness of the oil or gas or that the oil or gas became unlawful without his knowledge after the creation of his interest or that the vehicle was being used for the purpose charged without his knowledge, and upon execution of a lien pursuant to this subsection and entry of the lien on the certificate of title, shall be entitled to recover the possession of the vehicle prior to the commencement of the action.

2.  The office of the district attorney of the county in which property was seized shall have a lien upon any vehicle seized pursuant to this section.  If the title to the vehicle is not with the person from whom such vehicle was seized, the person having title shall be given notice within five (5) days of such seizure and of the opportunity to recover the vehicle pursuant to this subsection. The lien on such vehicle shall be preferred to all other liens or encumbrances which may attach to or upon such vehicle.

3.  The office of the district attorney claiming the lien within ten (10) days of seizure of the vehicle shall file in the office of the county clerk of the county in which such property was seized a statement verified by affidavit setting forth:

a. the registration number of the seized vehicle;

b. the name of the person having title to said vehicle; and

c. a description of the vehicle including its value.

In addition, the office of the district attorney claiming the lien shall provide for the entry of the lien on the certificate of title pursuant to the Motor Vehicle Title Act.  Such statement shall be filed and the lien recorded on the certificate of title prior to the recovery of the vehicle by the owner pursuant to this subsection.

4.  Any person having title to the seized vehicle on which a lien is claimed pursuant to this subsection may at any time discharge the lien by depositing with the county clerk of the county in which property was seized a corporate surety bond made payable to the state in an amount not less than the value of the vehicle seized.  Within three (3) business days after the deposit of bond is made, the county clerk shall serve upon the office of the district attorney claiming the lien, written notice setting forth:

a. the number of the lien claim;

b. the name of the vehicle owner;

c. the property description shown on the lien claim;

d. the names of the principal and surety; and

e. the bond penalty.

The party seeking to discharge the lien shall prepare and deliver the notice to the county clerk of the county in which the property was seized and pay a fee of Five Dollars ($5.00) to cover the cost of filing and mailing.  An abbreviated notice may be used if the same refers to and encloses a copy of the lien claim and a copy of the bond with the clerk's filing stamp thereon.  The notice shall be mailed by registered or certified mail at the option of the county clerk.

If a bond is deposited, the district attorney shall have five (5) days after the notice is mailed within which to file a written objection with the county clerk of said county.  If a written objection is not timely made, the county clerk shall immediately show the lien released of record.  If an objection is timely made, the county clerk shall set a hearing within five (5) days thereafter and notify by ordinary mail both the office of the district attorney and the party making the deposit of the date and time thereof.  The only grounds for objection shall be that:  The surety is not authorized to transact business in this state; the bond is not properly signed; the amount is less than the value of the vehicle seized; the power of attorney of the surety's attorneyinfact does not authorize the execution; there is no power of attorney attached if the bond is executed by anyone other than the surety's president and attested by its secretary; or a cease and desist order has been issued against the surety either by the Insurance Commissioner or a court of competent jurisdiction.  Within two (2) business days following the hearing the county clerk shall either sustain or overrule the objections and notify the parties of his ruling by ordinary mail.  If the objections are sustained, the ruling of the county clerk shall be conclusive for lien release purposes unless appealed within ten (10) days to the district court. If the objections are overruled, the county clerk shall immediately show the lien released of record.

The bond shall:  Name the office of the district attorney in which the property was seized as obligee and the party seeking the release as principal; be executed by both the principal and the surety; have a proper power of attorney attached if executed by an attorneyinfact; be executed by a corporate surety authorized to transact business in this state; and be conditioned that the principal and surety will pay the full amount of the claim as established in any appropriate court proceeding, plus any court costs, but in no event shall the liability of the principal or surety under the bond exceed the bond penalty.  The conditions of any bond filed pursuant to this section shall be deemed to comply with the requirements hereof, regardless of the language or limitations set forth therein, if both the principal and surety intend that the bond be filed to secure a lien release under this section.

The bond shall stand in lieu of the released lien.  The bond shall stand liable for such principal, interest, and court costs. The bond principal and surety are necessary parties to an action against the substituted security, and by filing a bond the parties subject themselves to personal jurisdiction in the court where the action is properly filed and may be served with process as in other cases.

5.  If the district attorney fails to file a forfeiture proceeding pursuant to Section 8 of this act, upon application of the party filing the bond and the payment of a fee of Ten Dollars ($10.00), the county clerk shall appropriately note on the bond that the same has been released.  The clerk shall not incur liability to any lien claimant for the release of a bond in good faith.

6.  Upon conviction of the owner of the vehicle for violating the provisions of this act, the vehicle so seized upon which a lien has been filed pursuant to this subsection or any bond posted for the discharge of the lien on such vehicle shall be forfeited to the state pursuant to forfeiture proceedings provided by Section 8 of this act.

7.  Upon the acquittal of such person charged with violating the provisions of this section or upon the dismissal with prejudice of said charge against such person or it is shown that the owner of such vehicle was not knowledgable concerning the illegal use of his vehicle, the lien on the vehicle shall be immediately discharged in accordance with procedures for the discharge of liens, or the bond posted shall be returned to the person posting such bond.

Added by Laws 1985, c. 187, § 7, eff. Nov. 1, 1985.  

§74152.9.  Seizure and forfeiture proceedings.

A.  Any person authorized to stop and inspect a vehicle pursuant to Section 5 of this act shall seize any unlawful oil or unlawful gas and shall seize any vehicle which is being used to transport such unlawful oil or unlawful gas.  Except as authorized by Section 7 of this act, such property shall be held as evidence until a forfeiture has been declared or a release ordered.

B.  Notice of seizure and intended forfeiture proceeding shall be filed in the office of the clerk of the district court for the county in which such unlawful oil or unlawful gas and vehicle is seized and shall be given all owners and parties in interest.

C.  Notice shall be given to:

1.  The Oklahoma Tax Commission Gross Production Division;

2.  Each owner or party in interest whose rights, title, or interest is of record in the Oklahoma Tax Commission, by mailing a copy of the notice by certified mail to the address as given upon the records of the Oklahoma Tax Commission;

3.  Each owner or party in interest whose name and address is known, by mailing a copy of the notice by registered mail to the lastknown address; and

4.  All other owners, whose addresses are unknown, but who are believed to have an interest in the unlawful oil or unlawful gas or vehicle, by one publication in a newspaper of general circulation in the county where the seizure was made.

D.  Within sixty (60) days after the mailing or publication of the notice, the owner of the unlawful oil or unlawful gas or vehicle and any other party in interest or claimant may file a verified answer and claim to the unlawful oil or unlawful gas or vehicle described in the notice of seizure and of the intended forfeiture proceeding.

E.  If at the end of sixty (60) days after the notice has been mailed or published there is no verified answer on file, the court shall hear evidence upon the fact of the unlawful use and shall order the unlawful oil or unlawful gas or vehicle forfeited to the state, if such fact is proved.

F.  If a verified answer is filed, the forfeiture proceeding shall be set for hearing.

G.  At the hearing the state shall prove beyond a reasonable doubt by competent evidence that the oil or gas seized is unlawful oil or unlawful gas and that any vehicle seized was being used to transport said unlawful oil or unlawful gas.

H.  The claimant of any right, title, or interest in the unlawful oil, unlawful gas or vehicle may prove his lien mortgage or conditional sales contract to be bona fide and that his right, title, or interest was created without any knowledge of the unlawfulness of the oil or gas or that said oil or gas became unlawful without his knowledge after the creation of his interest, or that the vehicle was being used for the purpose charged without his knowledge.

I.  In the event of such proof, the court shall order the unlawful oil or unlawful gas or vehicle released to the bona fide or innocent owner, lien holder, mortgagee, or vendor if the amount due him is equal to, or in excess of, the value of the unlawful oil or unlawful gas or vehicle as of the date of the seizure.

J.  If the amount due to such person is less than the value of the unlawful oil or unlawful gas or vehicle or if no bona fide claim is established, the unlawful oil or unlawful gas and vehicle or bond shall be forfeited to the state and the unlawful oil or unlawful gas and vehicle shall be sold under judgment of the court, as on sale upon execution.

K.  The proceeds of the sale of any unlawful oil or unlawful gas or vehicle or bond shall be distributed as follows, in the order indicated:

1.  All gross production and petroleum excise taxes due to the Oklahoma Tax Commission;

2.  To the bona fide innocent purchaser, conditional sales vendor, or mortgagee of the unlawful gas or unlawful oil or vehicle, if any, up to the amount of his interest in the unlawful gas or unlawful oil or vehicle, when the court declaring the forfeiture orders a distribution to such person;

3.  To the payment of the actual expenses of preserving the property;

4.  The remainder of such proceeds shall be remitted forthwith as follows:

a. fifty percent (50%) thereof with the county treasurer to be credited to the general fund of the county and so reported, and

b. fifty percent (50%) shall be transmitted to the State Treasurer and shall be placed to the credit of the agency bringing the action or on whose behalf the action is brought; and

5.  The sheriff executing said sale shall issue a bill of sale or certificate to the purchaser of said oil or gas and the Tax Commission, upon the presentation of said certificate of clearance, shall issue a license, if a license is required, permitting the purchaser of said oil or gas to move the same into commerce.

L.  If the court finds that oil or gas seized is not unlawful, the court shall order the said oil or gas released to the owner and shall order any vehicle used to transport said oil and gas released to the owner as his right, title, or interest appears on the record of the Oklahoma Tax Commission as of the date of the seizure.

Added by Laws 1985, c. 187, § 8, eff. Nov. 1, 1985.  

§74-152.10.  Additional employees for investigation of oil field theft and fraud.

The Oklahoma State Bureau of Investigation, subject to the availability of funds, shall be granted an additional two full-time-equivalent employees to be employed for the exclusive purpose of conducting oil field theft and fraud investigations except in cases of emergency.

Added by Laws 2002, c. 339, § 1, eff. July 1, 2002.

NOTE:  This section was editorially renumbered from § 150.36 of this title to avoid duplication in numbering.

§74-166.1.  Creation - Director - Contracts.

A.  There is hereby created the State Department of Rehabilitation Services, to be governed by the Commission for Rehabilitation Services.

B.  The Director of the Department of Rehabilitation Services shall be the chief executive officer of the Department.  The Director shall have the training and experience necessary for the administration of the Department, as determined by the Commission for Rehabilitation Services.  The Director may employ such staff as may be necessary to perform the duties of the Department.

C.  The Department may make and enter into all contracts necessary or incidental to the performance of its duties and may purchase or lease equipment, furniture, materials and supplies, and incur such other expenses as may be necessary to maintain and operate the Department.

Added by Laws 1993, c. 364, § 1, emerg. eff. June 11, 1993.  Amended by Laws 2004, c. 543, § 1, eff. July 1, 2004.

§74-166.2.  Commission for Rehabilitation Services - Powers and duties.

A.  Effective July 1, 1993, there is hereby created the Commission for Rehabilitation Services, an agency of the State of Oklahoma, a body corporate and politic, with powers of government and with the authority to exercise the rights, privileges and functions as herein specified, with its lawful operations deemed to be an essential governmental function of the State of Oklahoma with all the attributes thereof.

B.  The Commission shall appoint and remove the Director of the Department of Rehabilitation Services, approve programs, policy and budget, and perform the necessary functions of a governing board for the State Department of Rehabilitation Services.

C.  l.  The Commission shall consist of three (3) members, to be appointed by June 15, 1993, as follows:

a. one member shall be appointed by the President Pro Tempore of the Oklahoma State Senate for a three-year term,

b. one member shall be appointed by the Speaker of the Oklahoma House of Representatives for a three-year term, and

c. one member shall be appointed by the Governor for a three-year term.

2.  Thereafter, beginning with the expiration of the terms of the three members initially appointed, the Commission shall consist of three (3) members, appointed as follows:

a. one member shall be appointed by the President Pro Tempore of the Oklahoma State Senate and shall serve a term of one (1) year,

b. one member shall be appointed by the Speaker of the Oklahoma House of Representatives and shall serve a term of two (2) years, and

c. one member shall be appointed by the Governor and shall serve a term of three (3) years.

3.  Thereafter, at the expiration of the term, or termination of the member's service for any reason, the original appointing authority shall appoint a successor for a term of three (3) years, or for the remainder of an unexpired term.

D.  Members of the Commission shall be knowledgeable of and have concern for rehabilitation issues and disability issues; provided, that such requirement shall not exclude participation of lay persons as Commission members.  All members shall be residents of the state and qualified electors at the time of their appointment.  Before entering upon the duties of their office, members of the Commission shall take the Constitutional oath of office and the same shall be filed with the Secretary of State.  A member of the Commission may be reappointed to succeed himself or herself.  Commission members shall be reimbursed for travel expenses incurred in the performance of their duties as provided in the State Travel Reimbursement Act.

E.  The original appointing authority may remove any commissioner for misconduct, incompetency or neglect of duty, after giving such commissioner a written statement of charges, and opportunity for a hearing.

Added by Laws 1993, c. 364, § 2, emerg. eff. June 11, 1993.  Amended by Laws 2004, c. 543, § 2, eff. July 1, 2004.

§74-166.3.  Meetings - Secretary - Employees - Office.

A.  The Commission for Rehabilitation Services shall meet a minimum of ten (10) times per calendar year and shall hold a regular annual meeting at which it shall elect from among its membership a chairperson and a vice-chairperson.  Special meetings may be held at such times as may be deemed necessary or advisable by a majority of the Commission members.

B.  1.  All meetings of the Commission shall be open and public and shall be held in accordance with the provisions of the Oklahoma Open Meeting Act, Section 301 et seq. of Title 25 of the Oklahoma Statutes, and the Oklahoma Open Records Act, Section 24A.1 et seq. of Title 51 of the Oklahoma Statutes.

2.  A secretary of the Commission shall be appointed by the Commission, and shall hold office at the pleasure of the Commission.  The secretary may or may not be a member of the Commission.  The Commission may employ such other persons and may rent or purchase such equipment as it deems necessary or desirable to carry out the provisions of this act.

3.  The Commission may establish an office which shall be acquired pursuant to the provisions of Section 63 of this title.

Added by Laws 1993, c. 364, § 3, emerg. eff. June 11, 1993.  Amended by Laws 1994, c. 280, § 6, eff. July 1, 1994.

§74-166.4.  Transfer of Rehabilitation Services Division of Department of Human Services.

A.  Effective July 1, 1993, the Rehabilitation Services Division of the Department of Human Services is hereby transferred from the Department of Human Services and the Oklahoma Public Welfare Commission to the State Department of Rehabilitation Services, created pursuant to Section 1 of this act.

B.  The transfer shall include:

1.  All powers, duties, responsibilities, properties, assets, fund balances, encumbrances, obligations, records, personnel and liabilities including, but not limited to, liability for all Rehabilitation Services Division employees' sick leave, annual leave, holidays, unemployment benefits and workers' compensation benefits accruing to employees prior to July 1, 1993, which are attributable to the Rehabilitation Services Division;

2.  All programs funded by the federal Rehabilitation Act as amended;

3.  All related programs and facilities presently operated by the Rehabilitation Services Division of the Department of Human Services as follows:

a. vocational and related rehabilitation services,

b. the Oklahoma Library for the Blind and Physically Handicapped,

c. the Vending Facility Program,

d. the Transitional Living Center for the Deaf,

e. telecommunications devices for the deaf,

f. interpreter services,

g. telephone relay service,

h. the Disability Determination Unit,

i. the Oklahoma School for the Blind, and

j. the Oklahoma School for the Deaf; and

4.  All real property as follows:

a. the Oklahoma City Evaluation Center located at 5813 South Robinson in Oklahoma City, Oklahoma,

b. the Library for the Blind and Physically Handicapped located at 300 N.E. 18th Street in Oklahoma City, Oklahoma,

c. the Transitional Living Center located at 5903 N.W. 52nd Street in Warr Acres, Oklahoma,

d. the Oklahoma School for the Blind located at 3300 Gibson in Muskogee, Oklahoma, and

e. the Oklahoma School for the Deaf located at East 10th and Tahlequah Streets in Sulphur, Oklahoma.

C.  Any unresolved transfer issues or items shall be resolved contractually by the Commission for Rehabilitation Services and the Commission for Human Services, with the approval of the Governor.

Added by Laws 1993, c. 364, § 4, emerg. eff. June 11, 1993.

§74-166.5.  Commission for Rehabilitation Services - Powers and duties - Trust for the School for the Blind and School for the Deaf.

A.  The Commission for Rehabilitation Services shall have the powers and duties to:

1.  Adopt bylaws and promulgate rules for the regulation of its affairs and the conduct of its business;

2.  Formulate policies and adopt rules for the effective administration of the duties of the State Department of Rehabilitation Services;

3.  Adopt an official seal;

4.  Establish an office;

5.  Sue and to be sued, subject to the provisions of the Governmental Tort Claims Act;

6.  Make and enter into all contracts necessary or incidental to the performance of its duties and the execution of its powers;

7.  Purchase or lease equipment, furniture, materials and supplies, and incur such other expenses as may be necessary to maintain and operate the Commission and the State Department of Rehabilitation Services, or to discharge its duties and responsibilities or to make any of its powers effective;

8.  Acquire by purchase, lease, gift, solicitation of gift or by any other manner, and to maintain, use and operate or to contract for the maintenance, use and operation of or lease of any and all property of any kind, real, personal or mixed or any interest therein unless otherwise provided by this act; provided that, all contracts for real property shall be subject to the provisions of Section 63 of this title;

9.  Appoint such officers, agents and employees as it deems necessary to operate and maintain the Commission and to prescribe their duties and to fix their compensation;

10.  Perform such other acts as shall be necessary for the accomplishment of the purposes of Chapter 5A of this title; and

11.  Serve as trustee for the trust created in subsection B of this section for the benefit of the Oklahoma School for the Blind and the Oklahoma School for the Deaf.

B.  1.  The Commission for Rehabilitation Services is hereby authorized and directed to create a trust into which all real property held by the Commission for the benefit of the Oklahoma School for the Blind and the Oklahoma School for the Deaf shall be transferred.

2.  The property placed in trust:

a. shall be held for the sole benefit of the Oklahoma School for the Blind and the Oklahoma School for the Deaf,

b. if not needed for use by the schools, may be leased or rented to others and all income received from such leases or rentals shall be payable to the Commission and deposited in the Rehabilitation Services Disbursing Fund for use by the Commission to fulfill the purposes of the Oklahoma School for the Blind and the Oklahoma School for the Deaf, and

c. may be sold if the commissioners, acting as trustees, determine that the sale is in the best interest of the Oklahoma School for the Blind or the Oklahoma School for the Deaf.  The proceeds from the sale of the property shall be held in the trust corpus and shall be invested by the State Treasurer.  Income derived from the corpus shall be used by the Commission for the purposes of the Oklahoma School for the Blind and the Oklahoma School for the Deaf.

3.  The corpus of the trust may be disbursed only upon legislative approval.

4.  The trust may be dissolved only upon legislative approval.

C.  Upon the creation of the trust authorized in subsection B of this section, the Department of Central Services shall provide all necessary assistance to the Department of Rehabilitation Services to identify and transfer all real property held by or for the benefit of the Oklahoma School for the Blind and the Oklahoma School for the Deaf to the trust.

Added by Laws 1993, c. 364, § 5, emerg. eff. June 11, 1993.  Amended by Laws 2001, c. 95, § 1, eff. Nov. 1, 2001; Laws 2001, c. 329, § 10, emerg. eff. June 1, 2001; Laws 2004, c. 543, § 3, eff. July 1, 2004.

§74-166.6.  Repealed by Laws 1998, c. 418, § 76, eff. July 1, 1998.

§74-166.7.  Rehabilitation Services Disbursing Fund.

There is hereby created in the State Treasury a revolving fund for the Commission on Rehabilitation Services, to be designated the "Rehabilitation Services Disbursing Fund" provided that the fund may be designated by fiscal year designations as the Commission may determine.  The fund shall be a continuing fund, not subject to fiscal year limitations.  The fund shall consist of receipts from the federal government, monies appropriated to the Department of Rehabilitation Services by the State Legislature, and other receipts of the Department of Rehabilitation Services as shall be directed by the Commission for Rehabilitation Services.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Commission for Rehabilitation Services as may be necessary in order to carry out the duties imposed upon the said Commission by law.  Expenditures from the Rehabilitation Services Disbursing Fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1996, c. 239, § 9, eff. Sept. 1, 1996.

§74-166.8.  Commission for Rehabilitation Services - Employee performance recognition program.

A.  The Commission for Rehabilitation Services is hereby authorized to:

1.  Establish an employee performance recognition program that recognizes outstanding job performance and productivity within the State Department of Rehabilitation Services; and

2.  Expend monies available from the Department's operating funds to purchase recognition awards for presentation to employees with exceptional job performance records, or who make other significant contributions to the operation of the Department.   

B.  Awards to recognize employee achievement may consist of wearing apparel, service pins, plaques, writing pens, or other items valued at not more than One Hundred Dollars ($100.00) per award.

Added by Laws 2001, c. 103, § 1, eff. Nov. 1, 2001.

§74-166.9.  Donations of tax refunds to School for the Blind/School for the Deaf - Revolving fund.

A.  Each state individual income tax return form and each corporate income tax return form for tax years commencing after December 31, 2001, shall contain a designation for donations of tax refunds to the Oklahoma School for the Blind/Oklahoma School for the Deaf.

B.  The monies generated pursuant to subsection A of this section shall be paid to the State Treasurer by the Oklahoma Tax Commission and placed to the credit of the Oklahoma School for the Deaf/Oklahoma School for the Blind Revolving Fund.

C.  There is hereby created in the State Treasury a revolving fund for the State Department of Rehabilitation Services to be designated the "Oklahoma School for the Deaf/Oklahoma School for the Blind Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies apportioned to the fund pursuant to the provisions of this section.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the State Department of Rehabilitation Services for the purpose of funding programs at the Oklahoma School for the Deaf and the Oklahoma School for the Blind.  Such monies shall be equally divided between the two designated schools.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

D.  If a taxpayer makes a donation pursuant to subsection A of this section in error, such taxpayer may file a claim for refund at any time within three (3) years from the due date of the tax return pursuant to Section 2373 of Title 68 of the Oklahoma Statutes.  Prior to the apportionment set forth in this section, an amount equal to the total amount of refunds made pursuant to this subsection during any one (1) year shall be deducted from the total donations received pursuant to this section during the following year and such amount deducted shall be paid to the State Treasurer and placed to the credit of the Income Tax Withholding Refund Account.

Added by Laws 2001, c. 329, § 11, emerg. eff. June 1, 2001.

NOTE:  Editorially renumbered from § 166.8 of this title to avoid duplication in numbering.

§74-166.10.  Short title - Purpose.

A.  Sections 1 through 3 of this act shall be known and may be cited as the "Oklahoma Ticket to Work and Work Incentives Improvement Act", as authorized by Section 1305 et seq., 42 U.S.C., the federal Ticket to Work and Work Incentives Improvement Act of 1999, Public Law 106-170.

B.  The purposes of the Oklahoma Ticket to Work and Work Incentives Improvement Act are to:

1.  Provide employment and training preparation, placement services and health care coverage to working individuals with disabilities by enabling them to reduce their dependency on Social Security Disability Insurance or Supplemental Security Income cash benefit programs;

2.  Provide individuals with disabilities who receive Supplemental Security Income cash benefits the ability to purchase Medicaid coverage enabling them to maintain health care coverage while working; and

3.  Ensure that programs and services provided to persons with disabilities produce productive outcomes.

C.  The Oklahoma Legislature recognizes the following findings:

1.  It is important to support programs that provide training and employment services to individuals with disabilities in order to help them lead productive work lives;

2.  Health care coverage is important to all individuals and is particularly important to individuals with disabilities who often cannot afford the insurance available to them through the private market;

3.  Many individuals with disabilities fear losing health care coverage, including necessary support services, which ultimately hinders the individuals from maximizing their employment, earning potential, and independence;

4.  Many Social Security Disability Insurance and Supplemental Security Income beneficiaries risk losing Medicare or Medicaid coverage that is linked to their existing cash benefits, a risk that is an equal, or greater, work disincentive than the loss of cash benefits associated with obtaining work;

5.  Many individuals with disabilities have greater opportunities for employment than ever before, aided by important public policy initiatives such as the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.), advancements in public understanding of disability, and innovations in assistive technology, medical treatment, and rehabilitation; and

6.  Creating financial incentive work programs, providing better choices in obtaining training and placement services, maintaining health care coverage while working, and redesigning existing service-related programs may eliminate barriers to work for persons with disabilities and may greatly improve their short- and long-term financial and personal well-being.

D.  As used in the Oklahoma Ticket to Work and Work Incentives Improvement Act, "Medicaid" means the medical assistance program established in Title XIX of the Social Security Act, 42 U.S.C.A., Section 1396 et seq., and administered in this state by the Oklahoma Health Care Authority.

Added by Laws 2001, c. 365, § 1, emerg. eff. June 4, 2001.

NOTE:  Editorially renumbered from § 166.8 of this title to avoid duplication in numbering.

§74-166.11.  Ticket to Work and Self-Sufficiency Program.

A.  The State Department of Rehabilitation Services, pursuant to rules promulgated by the Commission for Rehabilitation Services, shall establish a "Ticket to Work and Self-Sufficiency Program".  The purpose of the Ticket to Work and Self-Sufficiency Program is to enhance the range of choices and options available to Social Security Disability Insurance and Supplemental Security Income disability beneficiaries who are seeking vocational rehabilitation services to obtain and maintain employment opportunities.

B.  Components of the Ticket to Work and Self-Sufficiency Program pursuant to federal Ticket to Work and Work Incentives Improvement Act of 1999 shall include, but not be limited to:

1.  Program participation guidelines, eligibility requirements, and program performance standards;

2.  Requirements for periodic quality assurance reviews and customer service satisfaction surveys; and

3.  Requirements for a dispute resolution process.

C.  The Commission for Rehabilitation Services shall promulgate any rules necessary to implement provisions of the Oklahoma Ticket to Work and Work Incentives Improvement Act regarding the Ticket to Work and Self-Sufficiency Program.

D.  On or before January 15, 2002, the Department of Rehabilitation Services shall prepare a summary report of the Ticket to Work and Self-Sufficiency Program's findings and results to be submitted to the Speaker of the House of Representatives, the President Pro Tempore of the Senate and the Governor.

Added by Laws 2001, c. 365, § 2, emerg. eff. June 4, 2001.

NOTE:  Editorially renumbered from § 166.9 of this title to avoid duplication in numbering.

§74168.  Library for the Blind and Physically Handicapped  Transfer of land  Indebtedness and bonds.

A.  The Department of Central Services is hereby authorized to transfer to the Oklahoma Capitol Improvement Authority, for the purpose of erecting, operating and maintaining a building for the Library for the Blind and Physically Handicapped, the land described as a part of the Northwest Quarter of Section 27, Township 12 North, Range 3 West of the Indian Meridian, Oklahoma County, Oklahoma, more particularly described as follows:  Beginning at the Southeast corner of the said NW 1/4 of the said Section 27; thence S 89 degrees 59' 33" W, a distance of 152.77 feet to a point; thence S 89 degrees 59' 29" W, a distance of 479.34 feet to a point; thence N 0 degrees 46' 09" E, a distance of 341.21 feet to the point and place of beginning; thence S 89 degrees 59' 29" W, a distance of 121.90 feet to a point; thence N 0 degrees 03' 26" W, a distance of 138.82 feet to a point; thence S 89 degrees 59' 29" W, a distance of 290.00 feet to a point; thence W 0 degrees 07' 52" W, a distance of 334.28 feet to a point; thence N 89 degrees 59' 29" E, a distance of 320.00 feet to a point; thence N 89 degrees 58' 51" E, a distance of 99.15 feet to a point; thence S 0 degrees 46' 09" W, a distance of 473.17 feet to the point and place of beginning, retaining an easement for vehicular access over and across a forty (40) feet wide strip of land, said strip being the Westerly forty (40) feet of the above described property, containing three and fiftynine onehundredths (3.59) acres.

B.  For the purpose of paying the costs of the project authorized in subsection A of this section, the Oklahoma Capitol Improvement Authority is hereby authorized to borrow money on the credit of rental payments made by the Department of Human Services and, in anticipation of the collection of such rental payments, to issue negotiable bonds not to exceed the sum of Two Million Five Hundred Thousand Dollars ($2,500,000.00) as may be necessary for such purpose as determined by the Authority.  The Authority may retain such legal counsel as it deems necessary for this purpose subject to all requirements of the Competitive Bidding Act.

In order to prevent any defaults or threatened defaults in the payment of said bonds, the Authority is hereby authorized to require the State Department of Rehabilitation Services to be housed in said building and to pay rent for the use and occupancy of said building.  Rents paid by the State Department of Rehabilitation Services shall be placed in the Oklahoma Capitol Improvement Authority Fund for the purpose of maintenance of the building, retiring said bonds, and related expenses.  When all bonds issued for the construction of this building have been paid in full, the building shall become the property of the State Department of Rehabilitation Services and shall thereafter be under the full and exclusive supervision of the State Department of Rehabilitation Services.

C.  The State Treasurer is hereby authorized to purchase said negotiable bonds.

D.  The interest rate on the bonds issued pursuant to this section shall not exceed ten percent (10%) per annum.

E.  Insofar as they are not in conflict with the provisions of this section, the provisions of Section 151 et seq. of Title 73 of the Oklahoma Statutes shall apply to this section.

Added by Laws 1987, p. 1726, S.J.R. No. 5, § 1.  Amended by Laws 1987, c. 236, § 141, emerg. eff. July 20, 1987; Laws 1993, c. 364, § 22, emerg. eff. June 11, 1993.

§74168.1.  Travis Leon Harris Building  Designation.

The Oklahoma Library for the Blind and Physically Handicapped Building shall be named the "Travis Leon Harris Building".

§74168.2.  Travis Leon Harris Building  Marker.

The Oklahoma Capitol Improvement Authority shall cause a suitable marker to be placed on the Oklahoma Library for the Blind and Physically Handicapped Building designating it as the "Travis Leon Harris Building".

§74-169.1.  Repealed by Laws 2000, c. 251, § 4, eff. July 1, 2000.

§74-169.2.  Repealed by Laws 2003, c. 8, § 8, eff. July 1, 2003.

§74-169.2a.  Repealed by Laws 2003, c. 8, § 8, eff. July 1, 2003.

§74-169.2b.  Repealed by Laws 2003, c. 8, § 8, eff. July 1, 2003.

§74174.  Investigation of state eleemosynary institutions.

Section 174. At the request of the Governor, or with his sanction, the State Department of Public Welfare shall investigate any state eleemosynary institution against which complaint is made, and the Department of Public Welfare shall have the power to summon any person to appear and produce such books and papers as shall be designated in the summons and to take testimony under oath concerning the matter and institution under investigation.  The Department shall have the power to administer oaths to such persons as may be summoned and to enforce such powers as are given to notaries public when they are taking depositions.  Evidence of persons restrained in prisons or any other places of detention, if deemed necessary or requested by the witness, shall be taken out of the hearing of persons in authority about such institutions and be preserved and kept secret, and be used only by the Department so far as may be by him deemed necessary to correct or remedy any wrong that is or may be disclosed.

R.L.1910, § 8904; Laws 1978, c. 244, § 30, eff. July 1, 1978.  

§74175.  Report to Governor of investigation.

Section 175. When a special investigation of any institution is made at the request of the Governor, it shall be the duty of the Department of Public Welfare to make a report in writing to the Governor within a reasonable time after its termination.

R.L.1910, § 8095; Laws 1978, c. 244, § 31, eff. July 1, 1978.  

§74177.  Investigation of complaints against hospitals and homes.

Section 177. It shall be the duty of the State Department of Public Welfare to investigate all complaints made in the form of a sworn affidavit against such institutions as are named in the preceding section, and all orphanages of whatever name or character, which are conducted by individuals for their own personal gain or profit, or which either charge for their services or subsist wholly or in part by money collected by subscription from the public as a charity.  In event the complaints are found to be true, the Department shall have the power to order such institutions closed, and upon failure or refusal of the proprietors or operators of such institutions to obey the order shall file a complaint in a court of competent jurisdiction and ask that they be legally restrained from operating said institutions, and if guilty of malpractice, mistreatment or any illegal act, that they be punished according to law.

R.L.1910, § 8097; Laws 1978, c. 244, § 32, eff. July 1, 1978.  

§74-18 l.  Collection of fees for legal services from certain agencies.

The Office of the Attorney General may levy and collect a reasonable fee from the Department of Consumer Credit, the Office of Personnel Management, the Teachers' Retirement System of Oklahoma, the Oklahoma Public Employees Retirement System, the Oklahoma Development Finance Authority, the Oklahoma Industrial Finance Authority, the Oklahoma Student Loan Authority, the Department of Mental Health and Substance Abuse Services, the Oklahoma Health Care Authority, the Board of Regents of Oklahoma Colleges, the Oklahoma State Regents for Higher Education, the Oklahoma Department of Career and Technology Education, the Oklahoma Department of Veterans Affairs, the State Fire Marshal Commission, the Commission on Children and Youth, the State Department of Agriculture, the Oklahoma Human Rights Commission, the Oklahoma Law Enforcement Retirement System, the Oklahoma Police Pension and Retirement System, the Oklahoma Tourism and Recreation Department, and the Department of Rehabilitation Services for the purpose of providing legal services requested by such entities.  All fees collected in accordance with the provisions of this section shall be deposited in the Attorney General's Revolving Fund created pursuant to Section 20 of this title.

Added by Laws 1987, c. 203, § 8, operative July 1, 1987.  Amended by Laws 1989, c. 228, § 9, operative July 1, 1989; Laws 1990, c. 270, § 2, eff. Sept. 1, 1990; Laws 1991, c. 335, § 29, emerg. eff. June 15, 1991; Laws 1993, c. 10, § 13, emerg. eff. March 21, 1993; Laws 1994, c. 282, § 6, eff. July 1, 1994; Laws 1995, c. 1, § 30, emerg. eff. March 2, 1995; Laws 2001, c. 33, § 168, eff. July 1, 2001.

NOTE:  Laws 1990, c. 264, § 7 repealed by Laws 1991, c. 282, § 13, eff. July 1, 1991 and Laws 1991, c. 335, § 36, emerg. eff. June 15, 1991.  Laws 1991, c. 282, § 8 repealed by Laws 1993, c. 10, § 16, emerg. eff. March 21, 1993.  Laws 1994, c. 280, § 7 repealed by Laws 1995, c. 1, § 40, emerg. eff. March 2, 1995.

§74180.  Authority to obtain evidence  Administration of oaths.

Section 180. When conducting investigations of complaints as provided in this article, the Department of Public Welfare shall have the power to summon any person to appear and produce such books and papers as shall be designated in the summons, and to give testimony under oath concerning the matter and institution under investigation.  The Department shall have the power to administer oaths to such persons as may be summoned and to enforce all such powers as are given to notaries public when they are taking depositions.

R.L.1910, § 8100; Laws 1978, c. 244, § 35, eff. July 1, 1978.  

§74188.  Inspection of domiciliary facilities.

(a) It shall be the duty of the State Commissioner of Health to visit and inspect, and examine into the conditions and management of, each domiciliary facility receiving payment from the Department of Public Welfare for services on behalf of a person or persons living in the facility, or receiving payment for services from any such person who is a recipient of public assistance and whose Schedule of Maximum Money Payments for Assistance Plans in Accordance With Living Arrangements, as approved by the Oklahoma Public Welfare Commission, includes an item for maintenance or nursing care; and to make report of his findings to the Director of Public Welfare, and any other state agency that might have an official interest in the findings.  For the purposes of this section, a domiciliary facility shall mean any home, establishment, institution, or other facility providing living accommodations, or special living arrangements, or nursing or medical care, for three or more persons living therein.

(b) Whenever the Director of Public Welfare requests him to do so, the State Commissioner of Health shall cause a special inspection to be made to ascertain whether patients or residents of any such domiciliary facility are receiving proper care or treatment, or whether the facility is being operated in accordance with applicable law, and rules and regulations of the Oklahoma Public Welfare Commission; and, whenever the Director of Public Welfare requests him to do so, the State Commissioner of Health shall cause a special investigation to be made to determine whether a patient or resident of any such domiciliary facility has been abused or mistreated, or has not received proper care.  After making any such special inspection or investigation, the State Commissioner of Health shall make a written report of his findings to the Director of Public Welfare.

(c) If, as a result of any inspection, investigation or examination, the State Commissioner of Health determines that a criminal law has been or might have been violated, he shall inform the district attorney of his findings, for appropriate action.

(d) The duties and responsibilities vested in the State Commissioner of Health by this section shall be in addition to those vested in the State Commissioner of Health by other laws.

Laws 1967, c. 357, § 1, emerg. eff. May 18, 1967; Laws 1971, c. 337, § 7, operative July 1, 1971.  

§74190.  Transfer of employees to State Commissioner of Health  Status.

All persons serving as employees of the Commissioner of Charities and Corrections under the provisions of Section 2, Chapter 357, O.S.L. 1967, as amended by Section 1, Chapter 409, O.S.L. 1968 (74 O.S. Supp. 1970, Section 189), when Sections 7 and 8 of this act become effective shall be in the classified service under the State Merit System of Personnel Administration and be entitled to continue to serve as employees of the State Commissioner of Health under Section 8 of this act, provided that such employees shall not receive less salaries and benefits than they were receiving on the effective date of this act.  Laws 1971, c. 337, Section 9. Operative July 1, 1971.

Laws 1971, c. 337, § 9, operative July 1, 1971.  

§74191.  Transfer of employees from other state agencies  Status.

If any employee of the State Department of Health who heretofore or hereafter has been transferred from another state agency, or terminated his employment by such other state agency to be  immediately reemployed by the State Department of Health, he shall  retain the same status, rights and privileges and retention points  that shall have accrued to him while employed by the other state  agency in the classified service under the Merit System for Personnel  Administration.  Laws 1971, c. 337, Section 10. Operative July 1, 1971.

Laws 1971, c. 337, § 10, operative July 1, 1971.  

§74-192.  Inspection of city and county jails - Standards.

A.  The State Department of Health shall inspect at least once each year all city and county jails to ensure compliance with the standards promulgated pursuant to the provisions of this section.  The standards shall provide provision for:

1.  Uniform admission and release procedures;

2.  Uniform, safe, and sensible security measures;

3.  Proper, fit, and sanitary conditions;

4.  Inmates to be fed a wholesome and adequate diet;

5.  Inmates to have adequate clothing and a living area of no less than forty (40) square feet of floor space per inmate plus twenty (20) square feet of floor space in such living area per each additional inmate in existing facilities, and no less than sixty (60) square feet of floor space per cell for two prisoners in facilities constructed after November 1, 1985.  Nothing in this section shall be construed to prohibit double-celling of prisoners, provided there exists no less than forty (40) square feet per initial inmate plus twenty (20) square feet for each additional prisoner.  In every barrack-style housing area the square footage shall meet the minimum requirements provided in Section 192 of this title.  Such facility shall have showers with hot and cold running water, toilets, and water basins provided in the ratio of not less than one to every twenty prisoners.  Counties may build barracks-style jails, single or double cell, to meet the security needs of the county for minimum security prisoners.  These jails shall meet all the minimum requirements set forth in this section or any other provision of law.  Except as otherwise provided in this section, all facilities under this section shall have showers with hot and cold running water, toilets and water basins provided in the ratio of not less than one to every twenty prisoners.  Counties may also build tent jails, which shall be temporary in nature, to meet the security needs of the county for minimum security prisoners.  The temporary tent jails shall not be required to meet the minimum requirements set forth in this section or any other provision of law.  The State Board of Health shall promulgate minimum standards for temporary tent jails which standards shall be designed to specifically address and take into consideration the temporary status of the inmate housing needs of the county;

6.  Inmates to be properly advised of rules of the facility in which they are detained;

7.  Staff members to receive training in order to assist them to better perform their assigned tasks, such training to be provided by the Jail Inspection Division of the State Department of Health.  All employees who work in direct contact with inmates after the first year of employment shall receive, at a minimum, four (4) hours' review of material as required by the Jail Inspection Division and at a maximum, eight (8) hours of jailer training per year after the first year of employment;

8.  Proper steps to be taken to ensure the safety and segregation of women, the infirm, and minors;

9.  Adequate medical care, provided such medical care shall be limited to illnesses or injuries incurred during the time beginning with the arrest and throughout the time of incarceration.  This shall not prevent an inmate from applying for assistance and receiving assistance provided the inmate meets or exceeds established requirements;

10.  No person to be confined without twenty-four-hour supervision; and

11.  At least one designated exit in the facility that will permit prompt evacuation of inmates and staff in an emergency.  A facility in existence on November 1, 1985, shall not be required to construct additional exits if it has one exit which is deemed adequate by the State Fire Marshal.

In the event such inspection shall reveal to the State Department of Health the commission of a crime or crimes incidental to the operations of a city or county jail facility, it shall be the duty of the Department to initiate a complaint with the appropriate district attorney, and to cooperate in the prosecution of the alleged offender in the event an information is filed pursuant to such complaint.

B.  Any county, city, or town may operate a holding facility for the incarceration of persons under arrest who are to be charged with a crime, which holding facility shall not be required to meet the standards established in this section for jails, as long as no person is held therein for a period longer than twelve (12) hours and as long as an employee of the county, city, or town is available to render aid to or to release any person so confined in the event aid or release is required because of a health or life endangering emergency.

C.  Notwithstanding any other provision of law or rule, any county or municipality that operates a jail facility which houses twenty or fewer prisoners at all times which:

1.  Provides twenty-four-hour supervision of prisoner activity that is conducted either by direct observation or electronically by closed circuit television; and

2.  Provides an intercommunication system that terminates in a location that is staffed twenty-four (24) hours a day and is capable of providing an emergency response,

shall not be required to have more than one jailer or dispatcher on-site to provide for the security, custody, and supervision of prisoners.

D.  Any county or municipality that operates a jail facility which houses more than twenty and less than seventy-five prisoners at all times which:

1.  Provides twenty-four-hour supervision of prisoner activity that is conducted either by direct observation or electronically by closed circuit television; and

2.  Provides an intercommunication system that terminates in a location that is staffed twenty-four (24) hours a day and is capable of providing an emergency response,

shall be required to have more than one jailer or one jailer and at least one other basic CLEET-certified person on the same premises as the jail facility to provide for the security, custody, and supervision of prisoners.

Within ninety (90) days after June 9, 1994, the State Board of Health shall promulgate new rules governing square footage requirements, double-celling of prisoners and the ratio of showers, toilets, and water basins to prisoners.  The rules so promulgated shall be governed by the guidelines enumerated in this section, and shall be designed to carry out the intent and purpose of the guidelines.  Each city or county jail facility in this state shall be in compliance with the rules so promulgated on or before January 1, 1995.

E.  The State Department of Health shall employ inspectors and other personnel as necessary and specifically authorized by the Legislature in order to carry out the provisions of this section and may rent or purchase premises or equipment in order to assist inspectors in the performance of their functions.

Added by Laws 1977, c. 137, § 1, eff. Oct. 1, 1977.  Amended by Laws 1978, c. 244, § 38, eff. July 1, 1978; Laws 1983, c. 116, § 1, operative July 1, 1983; Laws 1985, c. 62, § 1, eff. Nov. 1, 1985; Laws 1986, c. 77, § 1, emerg. eff. April 2, 1986; Laws 1994, c. 367, § 8, emerg. eff. June 9, 1994; Laws 1995, c. 1, § 32, emerg. eff. March 2, 1995; Laws 2004, c. 154, § 1, eff. Nov. 1, 2004; Laws 2005, c. 180, § 1, eff. July 1, 2005.

NOTE:  Laws 1994, c. 368, § 2 repealed by Laws 1995, c. 1, § 40, emerg. eff. March 2, 1995.

§74193.  Right of entry  Report of inspection.

Section 193.  A.  Inspectors employed by the State Department of Health shall be permitted to enter all jail premises and administrative offices for the purpose of performing their assigned duties.

B.  The results of these inspections shall be presented in the form of a written report to the Commissioner of Health and to the person immediately responsible for the administration of the facility inspected.  The report shall contain:

1.  A list of deficiencies in the condition or operation of the facility and specific proposals for their solution; and

2.  A statement as to whether or not the facility inspected is in substantial compliance with the jail standards established pursuant to Section 192 of this title.

Laws 1977, c. 137, § 2, eff. Oct. 1, 1977; Laws 1978, c. 244, § 39, eff. July 1, 1978.  

§74194.  Deficient facility  Closing.

If the deficiencies listed in the report have not been corrected, within sixty (60) days after delivery of the report, the Commissioner of Health shall be authorized to file a complaint with the Attorney General or the district attorney to close the deficient facility.  Provided, that upon demonstration of a good faith effort by the governmental entity involved to correct said deficiencies and achieve compliance with the established standards, the Commissioner of Health shall extend the time for compliance a reasonable period before filing the complaint requesting the closing of the facility. An action to close such facility shall be brought in the district court having jurisdiction in the county in which the facility is located.  Upon the issuance of an order by the district court to close the facility, the facility shall be closed and prisoners shall be removed to a suitable facility at the expense of the governmental entity responsible for the facility ordered closed.  Provided, that upon demonstration of a good faith effort by the governmental entity involved to correct said deficiencies and achieve compliance with the established standards, the district court shall extend the time for compliance a reasonable period before ordering the facility closed.

Amended by Laws 1985, c. 62, § 2, eff. Nov. 1, 1985.  

§74195.  Contracts for incarceration of prisoners.

Any county, city or town is hereby authorized to contract, in accordance with the Interlocal Cooperation Act, with any other county, city or town for incarceration of prisoners awaiting trial or serving a sentence, so long as the jail facility where said prisoners are to be held is in compliance with the standards established by this act.

Laws 1977, c. 137, § 4, eff. Oct. 1, 1977.  

§74197.  Administrative Procedures Act  Application.

All rules and regulations promulgated pursuant to the powers contained in this act shall be subject to the Administrative Procedures Act.

Laws 1977, c. 137, § 8, eff. Oct. 1, 1977.  

§74-212.  Duties and powers - Deputies - Audit of books of subdivisions of state - Cost of examination.

A.  STATE TREASURER

The State Auditor and Inspector shall examine without notice all books and accounts of the State Treasurer twice each year.

B.  STATE OFFICERS

The State Auditor and Inspector shall examine at least once each year the books and accounts of all state officers whose duty it is to collect, disburse or manage funds of the state.

C.  GUBERNATORIAL REQUEST

Whenever called upon to do so by the Governor, it shall be the duty of the State Auditor and Inspector to examine the books and accounts of any officer of the state or any of the officer's predecessors.  The cost of the audit shall be borne by the entity to be audited.

D.  COUNTY TREASURER

The State Auditor and Inspector shall examine without notice all books and accounts of each county treasurer of the state twice each year.

E.  DISTRICT ATTORNEYS

The State Auditor and Inspector shall make continuous examination and audit of the books and accounts of the several offices of the district attorneys of this state and the District Attorneys Council.  The audits shall be reported in separate reports for each entity.  The audit may include, but shall not be limited to, the audit of the financial records, performance measures, and compliance with state or federal statutes and rules, and compliance with any regulations of state or federal programs.  The expense of the audits shall be paid by the entity audited.

F.  DEPARTMENT OF CORRECTIONS

The State Auditor and Inspector shall make continuous examination and audit of the books and accounts of the several divisions of the Department of Corrections.  The scope of the audit shall be determined by the State Auditor and Inspector using a risk-based approach.  The audits shall be reported in separate reports for each division.  The audit may include, but shall not be limited to, the audit of the financial records, performance measures, and compliance with any state or federal statutes and rules, and compliance with any regulations of state or federal programs.  The expense of the audits shall be paid by the entity audited.

G.  OKLAHOMA STATE AND EDUCATION EMPLOYEES GROUP INSURANCE BOARD

The State Auditor and Inspector shall cause to be audited the books and accounts of the office of the Oklahoma State and Education Employees Group Insurance Board (OSEEGIB).  The audit may include, but shall not be limited to, the audit of the financial records, performance measures, compliance with any state or federal statutes and rules, and compliance with any regulations of state programs.  The audit shall be contracted out to private audit firms.  The cost of the audit shall be borne by the Oklahoma State and Education Employees Group Insurance Board.

H.  DISTRICT ATTORNEY REQUEST

Whenever called upon to do so by any of the several district attorneys of the state, it shall be the duty of the State Auditor and Inspector to examine the books and accounts of any officer of any public entity.  The cost of the audit shall be borne by the entity audited.

I.  COUNTY OFFICERS BY REQUEST

Upon request of the county commissioners of any county or the Governor, the State Auditor and Inspector shall examine the books and accounts of all or any of the officers or custodians of the various funds of the county; and payment for such examination shall be made by the county so examined.

J.  AUDITORS

The State Auditor and Inspector shall have power to employ auditors.  No auditor shall examine the books or records of the county of the auditor's residence in counties of under two hundred thousand (200,000) population according to the most recent Federal Decennial Census.  The State Auditor and Inspector may employ on an as-needed basis only, legal counsel to carry out the statutory duties of the Office of the State Auditor and Inspector.

K.  EXAMINATION OF LEVIES

It shall be the duty of the State Auditor and Inspector to examine all levies to raise public revenue to see that they are made according to law and constitutional provisions.  The State Auditor and Inspector shall have the power to order all excessive or erroneous lines (levies) to be corrected by the proper officers, and shall report any irregularities to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate.

L.  PETITION AUDITS

1.  The State Auditor and Inspector shall audit the books and records of any subdivision of the State of Oklahoma upon petition signed by the requisite number of voters registered in the subdivision and meeting the requirements set out in this subsection.

2.  The petition must contain the number of signatures equivalent to ten percent (10%) of the registered voters of the subdivision as determined by the county election board or, if the county election board determines that the number of registered voters in the subdivision cannot be determined due to boundary lines not conforming to precinct lines, the required number of petitioners shall be twenty-five percent (25%) of the total number of persons voting in the last subdivision-wide general election held in the subdivision.  If the subdivision is a public trust, the required number of petitioners shall be the same as those required for an audit of its beneficiary.  The appropriate county election board shall provide the number of signatures so required upon request.

3.  The petition shall be in the form of an affidavit wherein the signatory shall declare upon oath or affirmation that the information given is true and correct and that he or she is a citizen of the entity to be audited.  The petition shall clearly state that falsely signing shall constitute perjury.  It shall include the signature of the individual, the name of the signatory in printed form, the individual's residential address, the date of signing, the public entity to be audited and the anticipated range of the cost of the audit provided by the State Auditor and Inspector.

4.  Any person desiring to petition for an audit shall list the areas, items or concerns they want to be audited, and request from the State Auditor and Inspector the anticipated range of cost of the audit.  Within thirty (30) days from the receipt of the request, the State Auditor and Inspector shall mail a petition form to the person requesting the information which shall state the anticipated range of the cost and the items or concerns to be audited.  The circulators of the petition shall have thirty (30) days from the date the petition is mailed by the State Auditor and Inspector to obtain the requisite number of signatures and return it to the State Auditor and Inspector.

5.  Upon collection of the required number of signatures, the person desiring the audit shall present the signed petitions to the State Auditor and Inspector.  Within thirty (30) days of receipt of the petitions, the State Auditor and Inspector shall present the petitions to the county election board located in the county in which the subdivision is located.

6.  The county election board shall determine whether the signers of the petition are registered voters of the county in which the subdivision to be audited is located and whether the petition has the requisite number of signatures of such registered voters.  The county election board shall certify the petition as having the required number of signatures or as failing to have the required number of signatures and return it to the State Auditor and Inspector.

7.  The cost of the audit shall be borne by the public entity audited.  Upon notification by the State Auditor and Inspector of receipt of the petition, certified by the county election board as having the required number of signatures, the public entity shall encumber funds in an amount specified by the State Auditor and Inspector, which shall be within the range of anticipated cost stated on the petition from any funds not otherwise specifically appropriated or allocated.  Payment for the audit from such encumbered funds shall be made as work progresses, and final payment shall be made on or before its publication.

8.  The names of the signers of any petition shall be confidential and neither the State Auditor and Inspector, the county election board nor the county treasurer may release them to any other person or entity except upon an order from a court of competent jurisdiction.

M.  PENALTIES FOR NONPAYMENT

The cost of any services provided by the State Auditor and Inspector shall be due and payable upon the publication of the audit.  Any such costs not paid within ninety (90) days of the date of publication shall incur a penalty of Ten Dollars ($10.00) per day for each day from the date of publication.

R.L. 1910, § 8119.  Amended by Laws 1939, p. 63, § 1, emerg. eff. May 9, 1939; Laws 1979, c. 30, § 138, emerg. eff. April 6, 1979; Laws 1988, c. 276, § 8, operative July 1, 1988; Laws 1991, c. 319, § 2, emerg. eff. June 12, 1991; Laws 1994, c. 92, § 1, emerg. eff. April 21, 1994; Laws 1997, c. 136, § 3, eff. July 1, 1997; Laws 1999, c. 192, § 1, emerg. eff. May 21, 1999; Laws 2001, c. 321, § 1.

NOTE:  Laws 1979, c. 33, § 1 repealed by Laws 1988, c. 276, § 10, operative July 1, 1988.

§74212.1.  Advising county officers on procedural and technical accounting and budget procedures  Duty of county officers.

The State Auditor and Inspector, or his designee, shall advise county officers on procedural and technical matters relating to accounting and budget procedures.  It shall be the duty of the county officers with notice of such advice to follow the instructions or advice of the State Auditor and Inspector until relieved of such duty by a court of competent jurisdiction or until the Supreme Court shall hold otherwise.

Laws 1979, c. 33, § 2.  

§74212.2.  Contracting with counties for development of uniform computer systems.

The Office of the State Auditor and Inspector is authorized to enter into a contract with each board of county commissioners of this state for the purpose of providing uniform computer systems development, including computer software, for county government in accordance with the provisions of Sections 178.4 and 693 of Title 19 of the Oklahoma Statutes.

Added by Laws 1987, c. 203, § 19, operative July 1, 1987.  

§74-212.3.  Form for joint school district millage certifications.

The State Auditor and Inspector shall prescribe and require the statewide use of a form for joint school district millage certifications.

Added by Laws 2001, c. 358, § 23, eff. July 1, 2001.

§74-212A.  Audits of government entities.

A.  1.  Except as otherwise provided by law, all government entities, as defined by the Governmental Accounting Standards Board, shall have an audit conducted in accordance with auditing standards generally accepted in the United States of America and Government Auditing Standards.  Copies of any audit, performance audit, agreed-upon-procedures report, or other attestation engagement report produced by a person other than the State Auditor shall be filed with the State Auditor and Inspector by that person.  The expense of the audit shall be paid by the government entity.  For fiscal years ending after December 31, 1995, all government entities receiving public funds that are included in the reporting entity of the State of Oklahoma shall file a copy of the audit required by this paragraph with the Director of State Finance no later than four (4) months after the end of the fiscal year of the government entity.  For purposes of this paragraph, the reporting entity of the State of Oklahoma includes all government entities included in the State of Oklahoma Comprehensive Annual Financial Report.  The government entities included in the State of Oklahoma reporting entity shall be determined by the Director of State Finance using criteria set by the Governmental Accounting Standards Board.

2.  Any public accountant or certified public accountant filing an audit, performance audit, agreed-upon-procedures report or other attestation engagement report with the State Auditor and Inspector pursuant to this section shall be required to pay a filing fee of Forty Dollars ($40.00) for the purposes of processing such reports and ensuring compliance with the provisions of this section.  Such payments shall be deposited in the State Auditor and Inspector Revolving Fund, created pursuant to Section 227.9 of this title.

B.  All registrants, as defined in the Oklahoma Accountancy Act, before entering into audit contracts required under this section, shall satisfy the Oklahoma Accountancy Board and the State Auditor and Inspector that such registrant meets Government Auditing Standards and has a current permit to practice issued by the Oklahoma Accountancy Board.

The State Auditor and Inspector shall receive annual reports from the Oklahoma Accountancy Board of all registrants meeting the requirements of this subsection.  The Oklahoma Accountancy Board shall provide changes and updates to the annual report to the State Auditor and Inspector upon request.

C.  Schedules of federal awards expended will be in a form consistent with the guidance in the most recent audit guide for state and local governments prepared by "The American Institute of Certified Public Accountants".  State agencies or other pass-through grantors of federal awards expended will not place reporting requirements on a grantee or subrecipients in addition to the required federal compliance reports and schedules of federal awards expended, without approval of the State Auditor and Inspector.

D.  All governmental entities shall report grant funds received, administered or used by the entity and all grant funds under the direct or indirect control of the governmental entity or any of its employees in their employment capacity.  A copy of the report shall be filed with the State Auditor and Inspector and the Director of the Office of State Finance within four (4) months after the end of the fiscal year of the governmental entity.  The State Auditor and Inspector may audit any funds reported.  The cost of the audit shall be paid by the governmental entity unless the grant provides for the cost of audits from grant funds.

Added by Laws 1991, c. 319, § 3, emerg. eff. June 12, 1991.  Amended by Laws 1993, c. 260, § 8, operative July 1, 1993; Laws 1994, c. 299, § 1, eff. July 1, 1994; Laws 1996, c. 290, § 14, eff. July 1, 1996; Laws 1999, c. 192, § 2, emerg. eff. May 21, 1999; Laws 2005, c. 459, § 9, eff. July 1, 2005.

§74-213.  Examination of public institutions - Quality control reviews - Special audits.

A.  It shall be the duty of the State Auditor and Inspector to examine and report upon the books and financial accounts of the public, educational, charitable, penal and reformatory institutions belonging to the state; to prescribe and enforce correct methods of keeping financial accounts of the state institutions and instruct the proper officers thereof in the performance of their duties concerning the same; to examine the books and accounts of all public institutions under the control of the state at least once each year.  Any officer of such public, educational, charitable, penal and reformatory institutions who shall refuse or willfully neglect to comply with such direction of the State Auditor and Inspector within a reasonable time shall be guilty of a misdemeanor.

B.  Each board of regents of institutions in The Oklahoma State System of Higher Education shall require a quality control review of the internal audit function required pursuant to subsection D of Section 3909 of Title 70 of the Oklahoma Statutes for each institution under its governance at least once every three (3) years.  This review shall be in accordance with the "Quality Assurance Review Manual for Internal Auditing" developed by the Institute of Internal Auditors or any successor organization thereto.  A copy of the report on the quality control review shall be filed with the State Auditor and Inspector.

C.  The State Auditor and Inspector shall perform a special audit on common school districts and technology center districts upon receiving a written request to do so by any of the following:  the Governor, Attorney General, President Pro Tempore of the Senate, Speaker of the House of Representatives, State Board of Education, or the technology center school district board.  The State Auditor and Inspector shall perform a special audit on any institution of higher education within The Oklahoma State System of Higher Education whenever the State Auditor and Inspector deems it appropriate or upon receiving a written request to do so by any of the following:  the Governor, the Attorney General, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the governing board of the institution of higher education, or the president of the institution of higher education.  The special audit shall include, but not necessarily be limited to, a compliance audit.  The special audit shall be conducted according to the American Institute of Certified Public Accountants' "Statements on Auditing Standards".  Such audits shall be designed to review items for management's compliance with statutes, rules, policies and internal control procedures or other items applicable to each entity.  The costs of any such audit shall be borne by the audited entity and may be defrayed, in whole or in part, by any federal funds available for that purpose.

D.  The State Auditor and Inspector shall perform a special audit without notice on the office of any district attorney or on any division of the Department of Corrections upon receiving a written request to do so by any of the following:  the Governor, the Attorney General, or joint request of the President Pro Tempore of the Senate and the Speaker of the House of Representatives.  The State Auditor and Inspector shall perform a special audit without notice on any penal institution, corrections program, contract for service or prison bed space provided to the Department of Corrections, or any program administered by a district attorney's office or staff of such office whenever the State Auditor and Inspector deems it appropriate or upon receiving a written request to do so by any of the following:  the Governor, the Attorney General, or joint request of the President Pro Tempore of the Senate and the Speaker of the House of Representatives.  The special audit shall include, but not necessarily be limited to, a compliance audit.  Such audits shall be designed to review items for compliance with statutes, rules, policies and internal control procedures or other items applicable to each entity.  The costs of any such audit shall be paid by the state agency and may be defrayed, in whole or in part, by any federal funds available for that purpose through any audited program.

R.L. 1910, § 8120.  Amended by Laws 1979, c. 30, § 139, emerg. eff. April 6, 1979; Laws 1987, c. 203, § 22, operative July 1, 1987; Laws 1988, c. 276, § 9, operative July 1, 1988; Laws 1989, c. 335, § 22, eff. July 1, 1989; Laws 1991, c. 319, § 4, emerg. eff. June 12, 1991; Laws 1993, c. 287, § 3; Laws 1994, c. 317, § 4, eff. July 1, 1994; Laws 1995, c. 1, § 33, emerg. eff. March 2, 1995; Laws 1997, c. 136, § 4, eff. July 1, 1997; Laws 1998, c. 13, § 1, eff. July 1, 1998; Laws 1999, c. 192, § 3, emerg. eff. May 21, 1999; Laws 1999, c. 324, § 1, emerg. eff. June 8, 1999; Laws 2001, c. 33, § 172, eff. July 1, 2001.

NOTE:  Laws 1989, c. 315, § 61 repealed by Laws 1990, c. 337, § 26.  Laws 1994, c. 92, § 2 repealed by Laws 1995, c. 1, § 40, emerg. eff. March 2, 1995.

§74-213.1.  Repealed by Laws 1990, c. 277, § 5, operative July 1, 1990.

§74-213.2.  Performance Audit Division.

A.  There is hereby created in the Office of the State Auditor and Inspector a Performance Audit Division, subject to the discretion of the State Auditor and Inspector.  An Assistant State Auditor and Inspector may be appointed to direct the operations of the Division, subject to the supervision and control of the State Auditor and Inspector at all times.

B.  The State Auditor and Inspector, deputies and agents of the Performance Audit Division may examine all books and accounts of all public officers, institutions and other governmental entities specified in Sections 212 through 227.9 of this title to instruct the proper officers thereof in the performance of their duties and to prescribe cost-effective methods of operating such governmental entities; provided, however, the State Auditor and Inspector shall perform the examinations authorized in this subsection upon receiving a written request to do so by the Governor, the chief executive officer of a governmental entity or pursuant to a joint or concurrent resolution of the Legislature.  A copy of the examination shall be given to the examined entity.  A copy of any examination conducted pursuant to this subsection shall be submitted to the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the appropriations and budget chairs of the House of Representatives and the Senate, and the Minority Leader of the House of Representatives and of the Senate.

C.  The cost of the examinations authorized pursuant to subsection B of this section shall be borne by the examined agency in an amount not to exceed the actual costs of the examination.  Prior to the start of such an examination, the State Auditor and Inspector shall prepare in writing and present to the affected state agency an estimate of the cost of the examination.  If the estimate requires revision, the State Auditor and Inspector shall notify the agency in a prompt manner.  Except as otherwise provided, the State Auditor and Inspector shall recover its costs for the examination pursuant to monthly progress billings presented by the State Auditor and Inspector to the Office of State Finance detailing current monthly costs for each examination.  In addition, the State Auditor and Inspector shall provide a copy of the billing to the affected state agency.  The Office of State Finance may deduct the amounts billed from the next subsequent allotment for the corresponding state agency and transfer the funds to the State Auditor and Inspector Revolving Fund.

D.  The salaries and traveling expenses of the Assistant State Auditor and Inspector, deputies and agents of the Performance Audit Division and the costs of material, supplies and equipment for the Division shall be paid from funds made available through appropriation by the Legislature.

E.  The State Auditor and Inspector shall submit an annual report of the Performance Audit Division to the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, appropriations and budget chairs of the House of Representatives and the Senate, and the Minority Leader of the Senate and of the House of Representatives.

Added by Laws 1992, c. 269, § 3, eff. Sept. 1, 1992.  Amended by Laws 2004, c. 165, § 1.

§74214.  Uniform systems of bookkeeping  Alternate accounting systems  Instructions to state and county officers  Detailed examinations  Reports.

The State Auditor and Inspector shall prescribe a uniform system of bookkeeping for the use of all county officials to afford a suitable check upon their mutual acts and ensure a thorough inspection, and to ensure the safety of the state and county funds. He shall have full authority to prescribe a system of bookkeeping for all county officers which shall be in accordance with generally accepted accounting principles, as applied to governmental units, except when in conflict with Oklahoma Statutes, and when necessary instruct or cause to be instructed the state and county officers in the proper mode of keeping the accounts.  Provided however, when a conflict with Oklahoma Statutes arises concerning accounting systems for those counties utilizing electronic data processing, the county may request in writing that the State Auditor and Inspector approve an alternate accounting procedure.  The State Auditor and Inspector shall have the authority to approve or disapprove such requests. Annually, the State Auditor and Inspector shall provide a report of those counties requesting alternate accounting systems to the Speaker of the House of Representatives and the President Pro Tempore of the Senate.  The State Auditor and Inspector shall not change any accounting systems or procedures during the last year of his term of office that would have an impact on the ability of any independent licensed public accountant to provide auditing services to such officers.  He shall make a thorough examination of the books, accounts and vouchers of such officers, ascertaining in detail the various items of receipts and expenditures.  He shall report to the Governor the refusal or neglect of any state or county officer to obey his instruction.  He shall make a report of the result of his examination, which shall be filed in the Office of the State Auditor and Inspector, as well as any failure of duty by any financial officers, and the Governor may cause the result of such examination to be published.  Provided, that no county officer shall be required to discard any books or supplies on hand.

R.L. 1910, § 8121; Laws 1979, c. 30, § 140, emerg. eff. April 6, 1979; Laws 1982, c. 249, § 17; Laws 1982, c. 315, § 6, emerg. eff. June 1, 1982; Laws 1988, c. 60, § 1, eff. Nov. 1, 1988; Laws 1993, c. 317, § 1, emerg. eff. June 7, 1993.

§74-215.  Facilities for investigations - Exhibits and information - Powers and duties of State Auditor and Inspector.

All officers of the state and counties of the state and all officers and employees of other institutions mentioned in this article, must afford reasonable facilities for the investigation provided for in this article, and all such officers, manager and employees must make written exhibits to the Auditor and Inspector under oath in such form and in such manner as he may prescribe, and each and every person so required who shall refuse and neglect to make such written exhibit, or to make or to give such information as may be required by said State Auditor and Inspector, shall be deemed guilty of a misdemeanor; and if any person in making such exhibit or giving such information or affording any statement required under this article, on his oath, shall knowingly swear falsely concerning the same, he shall be deemed guilty of the felony of perjury and punished accordingly.  The State Auditor and Inspector shall have full power and authority for the various purposes named to examine books, papers, accounts, bills, vouchers and any other documents, or property of any or all of the aforesaid state institutions, all state officers and custodians of any county or state funds, also to examine under oath, county or state officers and custodians of county and state funds aforesaid.  The State Auditor and Inspector is empowered to issue subpoenas and administer oath in the performance of his duty, and any persons refusing access to said examiner to any such books or papers, or any officer, clerk, employee, or other persons aforesaid, who shall obstruct access and refuse to search for any required information, or who shall in any manner hinder the examination required by this article of the records, and books of the officers of public institutions or pertaining to the county and state officers aforesaid, shall be deemed guilty of a misdemeanor and shall be liable on conviction to a fine of not more than One Thousand Dollars ($1,000.00) or imprisonment in the county jail for a period of not more than one (1) year or by both such fine and imprisonment in the discretion of the court.

R.L. 1910, § 8122.  Amended by Laws 1979, c. 30, § 141, emerg. eff. April 6, 1979; Laws 1997, c. 133, § 587, eff. July 1, 1998.

§74216.  Annual report to governor  Other reports.

The State Auditor and Inspector shall report to the Governor the result of his examinations on the first day of November of each year, and shall embody in such report statistics of the state institutions, of the county and state finances ascertained by him, which report shall be printed to the number of five hundred copies and shall be included with other officers' reports in the volume of executive documents.  He shall also make a report upon any particular need at any time when required by the Governor.

R.L.1910, § 8123; Laws 1979, c. 30, § 142, emerg. eff. April 6, 1979.  

§74217.  Performance of duties by assistant  Traveling expenses  Receipt of other compensation  False reports  Failure to perform duties.

If by reason of sickness, absence or other cause, the State Auditor and Inspector is temporarily unable to perform the duties of his office the said assistant shall perform the duties of the office of State Auditor and Inspector until such disability ceases, whenever the same will not be inconsistent with the Constitution.

The State Auditor and Inspector, and his clerical and stenographic assistants, shall be reimbursed actual and necessary travel expenses when traveling on official state business as provided by the State Travel Reimbursement Act.

If said State Auditor and Inspector, or any deputy, or employee, shall at any time, directly or indirectly receive compensation for his service, or neglect of service, other than that provided for in this article, he shall be guilty of a felony.  The making of a false report knowingly by the State Auditor and Inspector, or any assistant or deputy, authorized by this article, of the financial condition of any office or institution required or authorized to be examined by this article, shall be a felony, and any failure to perform the duties required of them to be performed by this article shall constitute a misdemeanor.

R.L. 1910, § 8124.  Amended by Laws 1917, c. 260, p. 475, § 1; Laws 1943, p. 248, § 20; Laws 1979, c. 30, § 143, emerg. eff. April 6, 1979; Laws 1997, c. 133, § 588, eff. July 1, 1998.

§74219.  Qualifications, functions, and duties of deputy State Auditor and Inspector.

Each of said head deputy State Auditor and Inspectors must have had at least three (3) years experience in municipal accounting in the State of Oklahoma, whose functions, duties and terms of office shall be regulated at the discretion of the State Auditor and Inspector.

Laws 1927, c. 32, p. 49, § 2; Laws 1979, c. 30, § 144, emerg. eff. April 6, 1979.  

§74-219A.  Education and training of staff members.

The State Auditor and Inspector shall provide adequate continuing professional education for all staff members necessary to comply fully with federal requirements to ensure the acceptability of all audits performed under Section 2 of this act.  Such training may take the form of courses presented by competent state and federal employees, the American Institute of Certified Public Accountants and other organizations recognized by the Office of Management and Budget as competent to provide such training.  Employees of other state entities who can demonstrate they are mandated to participate in continuing professional education because of their assignment may be included in relevant training sessions if, within available resources, the State Auditor and Inspector is reimbursed for the costs of their participation.

Added by Laws 1991, c. 319, § 5, emerg. eff. June 12, 1991.

§74223.  Report of irregularities and derelictions  Prosecution by Attorney General.

When any regular or special audit by the State Auditor and Inspector of the books, records and accounts of any state or county officer, board, or commission reveals irregularities or dereliction in the receipt or disbursement or management of public funds or property which are grounds for prosecution, it shall be the mandatory duty of the State Auditor and Inspector to within thirty (30) days of the completion of such audit, file a report with the Governor and the Attorney General setting forth in detail such irregularities or derelictions.  It shall be the duty of the Attorney General pursuant to Section 18b of this title to conduct an investigation to determine if prosecution is warranted and to prosecute by either civil or criminal action or both if he determines prosecution is warranted.

Amended by Laws 1982, c. 26, § 2, operative Oct. 1, 1982.  

§74225.  Reports as additional  Public Records.

The reports required by this act are in addition to all other reports required by law to be made, and shall be public records.

Laws 1959, p. 356, § 3.  

§74-226.  Annual audit of nonstate funds - Reports.

A.  The State Auditor and Inspector shall make an annual audit of all special, revolving, depository, canteen or other nonstate funds existing within any state agency, department, institution or subdivision of state government and shall file a report of such audit with the Director of the Office of State Finance and the Governor of the State of Oklahoma.

B.  1.  In addition to the filing requirements set forth in subsection A of this section, the State Auditor and Inspector shall file a report of audits of all special agency accounts established within the Department of Human Services, pursuant to subsection C of Section 7.2 of Title 62 of the Oklahoma Statutes, with the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the Commission for Human Services, the Director of the Department of Human Services and the Inspector General within the Department of Human Services.

2.  In addition to the filing requirements set forth in subsection A of this section, the State Auditor and Inspector shall file a report of audits of the accounts established within the Department of Corrections pursuant to paragraph G of Section 987.16 of Title 22 of the Oklahoma Statutes with the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the Director of the Department of Corrections, and the State Board of Corrections.

3.  In addition to the filing requirements set forth in subsection A of this section, the State Auditor and Inspector shall file a report of audits of the accounts established within the office of each district attorney for bogus check programs, drug task force programs, child support collection programs and any other programs receiving any nonstate funds with the President Pro Tempore of the Senate, the Speaker of the House of Representatives, and the Executive Coordinator of the District Attorneys Council.

4.  No later than ninety (90) days after receipt of such report of audits by the Director of the Department of Human Services, the Director of the Department of Corrections, or the Executive Coordinator of the District Attorneys Council as provided in this subsection, the state officer receiving the report shall file a report with the Governor of the State of Oklahoma, the President Pro Tempore of the Senate and the Speaker of the House of Representatives which shall list all actions taken by the state officer in response to the audit.

Added by Laws 1961, p. 592, § 1.  Amended by Laws 1979, c. 30, § 148, emerg. eff. April 6, 1979; Laws 1992, c. 31, § 1, eff. Sept, 1, 1992; Laws 1999, c. 192, § 4, emerg. eff. May 21, 1999; Laws 2003, c. 257, § 3, emerg. eff. May 23, 2003.

§74226.1.  Audit of Oklahoma Preservation Trust Fund.

The State Auditor and Inspector shall make an annual audit of the "Oklahoma Preservation Trust Fund" and shall file a report of the audit with the Director of State Finance and the Governor.

§74-226A.  Audit of expenditures of county sales tax revenue - Report of irregularities to Attorney General.

As part of the annual audit of the books and records of a county, the State Auditor and Inspector shall make an audit of the expenditures of county sales tax revenue in order to determine whether the expenditures are being made according to law and constitutional provisions.  The audit shall consist of a review of the ledgers and records of the expenditures of the sales tax proceeds.  However, the annual audit required by this section shall only apply to any county sales tax revenue which is designated for a specific purpose as set forth in the ballot as passed by the voters of the county.  The expense of the audit shall be paid by the county.  The State Auditor and Inspector shall make a report of the audit and shall retain its report of the audit.  The State Auditor and Inspector shall report any irregularities in the expenditure of sales tax proceeds to the Office of the Attorney General within thirty (30) days from the making of the report.

Added by Laws 1998, c. 196, § 3, eff. Nov. 1, 1998.

§74-227.3.  Deposit of revenue into fund.

Text becomes effective July 1, 2006:

The Oklahoma Tax Commission is by this act required to apportion monthly and place to the credit of the Circuit Engineering District Revolving Fund created pursuant to Section 1 of this act one-third of one percent (1/3 of 1%) of the total gasoline excise taxes apportioned under the provisions of paragraph 4 of subsection A of Section 500.6 of Title 68 of the Oklahoma Statutes, or under the provisions of the cited paragraph as the same may be amended or reenacted.

Text effective until July 1, 2006:

The Oklahoma Tax Commission is by this act required to apportion monthly and place to the credit of the State Auditor and Inspector Fund one-third of one percent (1/3 of 1%) of the total gasoline excise taxes apportioned under the provisions of 68 O.S. 1961, Sections 659b, subsection (d), 660(c) and 669.2; motor fuel excise taxes apportioned under the provisions of 68 O.S. 1961, Sections 732(d), 734; special fuel use tax apportioned under the provisions of 68 O.S. 1961, Sections 727.4(1)(c) and 727.4(3), 727.6; the commercial vehicle license and bus mileage tax apportioned under the provisions of 47 O.S. 1961, Sections 22.2, subsections (d) and (e); gross production tax apportioned under the provisions of 68 O.S. 1961, Section 827(c); or under the provisions of the cited statutes as the same may be amended or reenacted.

Beginning July 1, 1984, the Oklahoma Tax Commission shall make these apportionments to the State Treasurer for credit to the General Revenue Fund of the state.

Added by Laws 1963, c. 115, § 3, emerg. eff. May 31, 1963.  Amended by Laws 1965, c. 366, § 7, eff. July 1, 1965; Laws 1979, c. 30, § 149, emerg. eff. April 6, 1979; Laws 1984, c. 289, § 8, operative July 1, 1984; Laws 2005, c. 414, § 2, eff. July 1, 2006.

§74227.6.  Payments into fund  Disbursements.

All payments made by counties and county officers and other public officers to the State Auditor and Inspector for services or expenses in connection with the performance of the lawful duties of his office shall be made by warrant payable to the "State Auditor and Inspector Revolving Fund" and such warrants shall be deposited in the State Auditor and Inspector Revolving Fund.  All payments for salaries, compensation, travel expenses, and other expenses of the State Auditor and Inspector and his employees for services or expenses in connection with the performance of the lawful duties of his office with respect to the examination or audit of counties, county funds or other public funds shall be paid by state warrant from such State Auditor and Inspector Revolving Fund to the extent of available funds.  From and after the effective date of this act no county, county officer or other public officer shall make direct payment to any employee of the State Auditor and Inspector other than in accordance herewith.

Laws 1965, c. 366, § 6; Laws 1970, c. 43, § 6, emerg. eff. March 3, 1970; Laws 1979, c. 30, § 151, emerg. eff. April 6, 1979.  

§74227.8.  Payment for services by state agencies - Agreements - Deposits.

Notwithstanding the provisions of any other law, any state agency, board, commission, city or town, common school, technology center school, county, institution of higher education, public trust or political subdivision of the state may enter into agreements with the State Auditor and Inspector to perform audits, investigative or consultant services and the entity shall pay the State Auditor and Inspector for the services.  Payments made by such entity shall be deposited in the State Treasury to the credit of the State Auditor and Inspector Revolving Fund created by Section 227.9 of this title.  Expenses incurred in auditing such books and accounts, including compensation of necessary personnel, including consultants, or causing the books and accounts to be audited, shall be paid by the entity in the same manner as now provided by law for other disbursements.

Added by Laws 1968, c. 343, § 5, emerg. eff. May 9, 1968.  Amended by Laws 1979, c. 30, § 152, emerg. eff. April 6, 1979; Laws 1991, c. 319, § 6, emerg. eff. June 12, 1991; Laws 1993, c. 317, § 2, emerg. eff. June 7, 1993; Laws 2001, c. 33, § 173, eff. July 1, 2001.

§74227.9.  State Auditor and Inspector Revolving Fund.

Effective July 1, 1970, there is hereby created in the State Treasury a revolving fund for the Office of the State Auditor and Inspector to be designated the "State Auditor and Inspector Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all money paid to and received by the State Auditor and Inspector from state agencies, boards and commissions authorized by statute to pay the expense of audits and consulting services, money received for performance of audits and consulting services pursuant to contract entered into under the authority of Section 227.8 of this title, funds received from state agencies, boards and commissions receiving federal grants of funds which require periodic audits under said grants or any federal regulations, all money received from counties, cities, towns and public trusts in payment of audit expense, funds appropriated to state agencies, boards and commissions for payment of audit expense, fees collected pursuant to Section 212A of this title, and fees received by the State Auditor and Inspector pursuant to the Oklahoma Abstractors Law, Section 227.10 et seq. of this title.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Office of the State Auditor and Inspector for expenses necessary for the performance of duties imposed upon the Office of the State Auditor and Inspector by law.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.  The State Auditor and Inspector shall at the close of each fiscal year pay into the General Revenue Fund of the state any unencumbered balance remaining in said revolving fund in excess of Five Hundred Thousand Dollars ($500,000.00).

Laws 1970, c. 43, § 5, emerg. eff. March 3, 1970; Laws 1979, c. 30, § 153, emerg. eff. April 6, 1979; Laws 1985, c. 304, § 10, emerg. eff. July 24, 1985; Laws 1991, c. 319, § 7, emerg. eff. June 12, 1991; Laws 1993, c. 260, § 9, operative July 1, 1993.

§74227.10.  Short title.

Sections 1 through 20 of this act shall be known and may be cited as the "Oklahoma Abstractors Law".

Added by Laws 1984, c. 163, § 1, eff. Nov. 1, 1984.  

§74227.11.  Definitions.

As used in the Oklahoma Abstractors Law:

1.  "Abstract of title" is a compilation in orderly arrangement of the materials and facts of record, in the office of the county clerk and court clerk, affecting the title to a specific tract of land issued pursuant to a certificate certifying to the matters therein contained.

2.  "Abstract plant" shall consist of a set of records in which an entry has been made of all documents or matters which legally impart constructive notice of matters affecting title to real property, any interest therein or encumbrances thereon, which are filed or recorded in the offices of the county clerk and the court clerk in the county for which such abstract plant is maintained. Such records shall consist of:

a. an index in which notations of or references to any documents that describe the property affected are included, according to the property described or in which copies or briefs of all such documents that describe the property affected are sorted and filed according to the property described, which is compiled from the instruments of record affecting real property in the county offices and not copied or reproduced from any county index; and

b. an index or files in which all other documents, pending suits affecting real property and liens, except ad valorem taxes and special assessments, are posted, entered, or otherwise included, according to the name of the parties whose title to real property or any interest therein or encumbrances thereon is affected, which is compiled from the instruments of record affecting real property in the county offices and not copied from any county index.

3.  "Certificate of authority" is the authorization to engage in the business of abstracting in a county in this state, granted to a person, firm, corporation, or other entity, by the State Auditor and Inspector.

4.  "Permit" is the authorization to build an abstract plant in a specific county.

5.  "Abstract license" is the authorization for a person working for a holder of a certificate of authority to search and remove from county offices county records, summarize or compile copies of such records, and issue the abstract of title.

Added by Laws 1984, c. 163, § 2, eff. Nov. 1, 1984.  

§74227.12.  Administration of Abstractors Law  Hearing examiners.

A.  The State Auditor and Inspector is hereby charged with the duty of administering the Oklahoma Abstractors Law.  The State Auditor and Inspector shall be the sole governmental entity, state, county or municipal, authorized to regulate and issue certificates of authority, permits, and abstract licenses in this state.  For the purposes of exercising the powers and performing the duties imposed by the Oklahoma Abstractors Law, the State Auditor and Inspector shall be subject to the provisions of the Administrative Procedures Act, Sections 301 through 326 of Title 75 of the Oklahoma Statutes.

B.  The State Auditor and Inspector may designate and employ hearing examiners who shall have the authority to conduct hearings subject to the provisions of applicable rules, regulations, and orders of the State Auditor and Inspector.  No person shall serve as a hearing examiner in any proceeding in which any party to the proceeding is or has been a client of the hearing examiner or any partnership, firm, corporation, or other entity with which the hearing examiner is or has been associated.  In any hearing the burden of proof shall be upon the moving party.

Added by Laws 1984, c. 163, § 3, eff. Nov. 1, 1984.  

§74227.13.  State Auditor and Inspector  Powers and duties.

In performing the duties imposed pursuant to the Oklahoma Abstractors Law, the State Auditor and Inspector shall have the following powers and duties:

1.  To prescribe rules and regulations and make such orders as deemed necessary to implement the Oklahoma Abstractors Law; and

2.  To hold examinations for applicants for abstract licenses and to promulgate rules and regulations regarding such examinations as deemed proper; and

3.  To issue abstract licenses, certificates of authority, or permits in such form as deemed appropriate; and

4.  To promulgate rules and regulations governing the issuing of abstract licenses and certificates of authority to nonresidents, associations, corporations, and partnerships; and

5.  To suspend, revoke, or reinstate abstract licenses and certificates of authority previously issued, upon good cause shown; and

6.  To reprimand, place on probation, or require additional education of licensees and certificate holders upon good cause shown; and

7.  To prescribe rules and regulations governing proceedings necessary to perform the duties described in paragraphs 5 and 6 of this section; and

8.  To prescribe such penalties as deemed proper to be assessed against licensees and certificate holders for the failure to pay the renewal fees; and

9.  To cause the prosecution of any person who violates any of the provisions of the Oklahoma Abstractors Law; and

10.  To promulgate such rules and regulations governing the approval of organizations offering courses of study in real estate as are necessary for the administration of the Oklahoma Abstractors Law; and

11.  To establish minimum standards to be followed in the preparation of abstracts; and

12.  To establish a schedule of fees for applications for or renewals of certificates of authority, abstract licenses, or permits; and

13.  To establish the amount of the bond to be filed with applications for abstract licenses, certificates of authority, or permits; and

14.  To set criteria for determining what constitutes an excessive abstracting fee; and

15.  To deposit all fees collected to the credit of the State Auditor and Inspector Revolving Fund.

Added by Laws 1984, c. 163, § 4, eff. Nov. 1, 1984. Amended by Laws 1985, c. 304, § 11, emerg. eff. July 24, 1985.  

§74227.14.  Application for certificate of authority  Fee  Bond  Proof required.

A.  Any person, firm, corporation, or other entity desiring to engage in the business of abstracting in this state shall make application to the State Auditor and Inspector for a certificate of authority for each county in which the applicant desires to do business.  The application shall be on a form prepared by the State Auditor and Inspector and containing such information as may be necessary to determine whether or not the applicant has complied with the provisions of the Oklahoma Abstractors Law.  The application shall be accompanied by a fee and a bond.  The bond may be a corporate surety bond or a personal bond in the form of cash or a certificate of deposit endorsed in favor of and delivered to the State Auditor and Inspector.  The application fee shall be set by the State Auditor and Inspector in an amount determined by the number of counties in which the applicant desires to do business not to exceed the following schedule:

County Population   Fee Not to Exceed

Less than 30,000   $250.00

30,000 but less than 60,000   $500.00

60,000 but less than 100,000   $750.00

100,000 or more   $1,000.00

B.  The applicant shall furnish proof to the State Auditor and Inspector that there is an abstract plant available for use for each county for which abstracts will be prepared, or that the applicant was engaged in the business of abstracting in this state on January 1, 1984, and had a valid certificate of authority pursuant to the laws of this state on that date for each county in which the applicant wishes to do business.  Or, if it is finally determined that the applicant was entitled to a valid certificate of authority pursuant to the provisions of the previous law, said applicant shall be deemed to have been engaged in the business of abstracting on January 1, 1984, and had a valid certificate of authority pursuant to the laws of this state for each county in which the applicant wishes to do business. All periods for compliance for a certificate of authority pursuant to the provisions of the Oklahoma Abstractors Law shall be extended for like periods from the date of such determination notwithstanding other provisions of the Oklahoma Abstractors Law.

C.  The applicant also shall furnish proof of either errors and omissions insurance or a bond for each county in which the applicant wishes to do business to pay damages for possible errors in abstracts prepared subject to the provisions of the certificate as follows:

County Population Amount of Bond

  Less than 30,000 $15,000.00

  30,000 but less than 60,000 $25,000.00

  60,000 but less than 100,000 $50,000.00

  100,000 or more $100,000.00

The bond may be a corporate surety bond or a personal bond in the form of cash or a certificate of deposit endorsed in favor of and delivered to the State Auditor and Inspector.

Added by Laws 1984, c. 163, § 5, eff. Nov. 1, 1984. Amended by Laws 1988, c. 56, § 1, eff. Nov. 1, 1988.  

§74227.15.  Independent set of abstract books or other system of indexes required.

In addition to the bond required any person, firm, corporation, or other entity not engaged in the business of abstracting on January 1, 1984, desiring to enter into the business of compiling or abstracting titles to real estate in any of the counties of the State of Oklahoma from and after the passage of the Oklahoma Abstractors Law, shall have for use in such business an independent set of abstract books or other system of indexes compiled from the instruments of record affecting real estate in the office of the county clerk, and not copied from the indexes in said office, showing in a sufficiently comprehensive form all instruments affecting the title to real property on file or of record in the office of the county clerk and court clerk of the county wherein such business is conducted.

Added by Laws 1984, c. 163, § 6, eff. Nov. 1, 1984.  

§74227.16.  Persons, firms, corporations or other entities engaged in abstracting on January 1, 1984  Application for certificate of authority.

On or before March 1, 1985, the State Auditor and Inspector shall distribute an application for a certificate of authority to each person, firm, corporation, or other entity engaged in the business of abstracting in this state on January 1, 1984, who had a valid certificate of authority pursuant to the laws of this state on that date.  Any such person, firm, corporation, or other entity wishing to continue in the business of abstracting in this state shall have until May 1, 1985, to return such application to the State Auditor and Inspector for each county in which the applicant was doing business on January 1, 1984.  Any such applications received after May 1, 1985, or any application for authority to prepare abstracts in a county for which a certificate of authority was not held by the applicant on January 1, 1984, shall be treated as an application for a new certificate.

Added by Laws 1984, c. 163, § 7, eff. Nov. 1, 1984.  

§74227.17.  Persons, firms, corporations or other entities not engaged in abstracting on January 1, 1984  Application for certificate of authority.

Any person, firm, corporation, or other entity who wishes to engage in the business of abstracting in this state who was not engaged in the business of abstracting in this state on January 1, 1984, or who did not have a valid certificate of authority in this state on such date shall make application for a certificate of authority.  At the time of application, the State Auditor and Inspector shall notify all certificate holders doing business in the county of the application.

Added by Laws 1984, c. 163, § 8, eff. Nov. 1, 1984  

§74227.18.  Certificate of authority  Issuance  Renewal.

A.  The State Auditor and Inspector shall issue a certificate of authority to any applicant who has complied with the provisions of the Oklahoma Abstractors Law.  The certificate shall be in written form and shall indicate the county or counties in which the applicant may operate.  The certificate shall be prominently displayed in the office of the certificate holder.

B.  All certificates of authority issued pursuant to the provisions of the Oklahoma Abstractors Law shall expire annually on a staggered schedule established by the State Auditor and Inspector except the first certificates which may cover more than one (1) year but less than two (2) years.  Applications for renewal shall be made ninety (90) days prior to expiration and shall be accompanied by a renewal fee in an amount determined by the State Auditor and Inspector not to exceed the original application fee.  Any individual, firm, corporation, or other entity holding a certificate of authority who fails to apply for renewal and pay the renewal fee shall be notified no later than sixty (60) days prior to expiration of the certificate of authority.  The individual, firm, corporation, or other entity shall have thirty (30) days from the date of notification to file a renewal application.  The name of any individual, firm, corporation, or other entity failing to renew the certificate of authority shall be stricken from the records of the State Auditor and Inspector and said individual, firm, corporation, or other entity shall no longer engage in the business of abstracting in this state until authorized.

Added by Laws 1984, c. 163, § 9, eff. Nov. 1, 1984.  

§74227.19.  Current abstract plant required.

Beginning November 1, 1984, all individuals, firms, corporations, or other entities engaging in the business of abstracting, shall have available for use or commence compilation of an abstract plant and thereafter shall maintain in a current condition said plant.  Failure to do so shall render its certificates of authority subject to revocation.  An abstract plant shall be deemed in a current condition if it reflects all documents or other matters that are filed in said county except those filed within the preceding fifteen (15) days.  Holders of a certificate of authority issued pursuant to law who were engaged in the business of abstracting on November 1, 1984, shall not be required to construct or maintain an abstract plant of documents filed or recorded prior to November 1, 1984.  If any such holder allows said certificate of authority to lapse after November 1, 1984, he shall be required to apply for a new certificate of authority before resuming the business of abstracting.

Added by Laws 1984, c. 163, § 10, eff. Nov. 1, 1984.  

§74227.20.  Abstract or copies to be furnished without delay  Refusal to deliver.

All abstractors shall furnish abstracts or copies as desired, to the persons applying therefor, in the order of application, without unnecessary delay, and for reasonable compensation pursuant to the requirements of the Oklahoma Abstractors Law.  All persons so engaged, whose business is hereby declared to stand upon a like footing with that of common carriers, who shall refuse so to do, if tender of payment is made to them of the amount due for such abstract or copy, not exceeding the said legal fees, as soon as such amount is ascertained, or of a sum adequate to cover said amount before the ascertainment, upon conviction, shall be guilty of a misdemeanor and shall be punished by a fine of not less than One Hundred Dollars ($100.00) nor more than One Thousand Dollars ($1,000.00) in any court of competent jurisdiction, and shall also be liable in any action for damages, loss or injury which any person may suffer or incur by reason of failure to furnish such abstract or copy pursuant to the provisions of this section.  The provisions of this section shall not apply to orders for abstracts on oil, gas, and other minerals.

Added by Laws 1984, c. 163, § 11, eff. Nov. 1, 1984.  

§74227.21.  Development of abstract plant  Permit.

Any person wishing to develop an abstract plant shall make application for a permit.  The application shall be on a form prepared by the State Auditor and Inspector and shall be accompanied by the fee and the bond set by the State Auditor and Inspector subject to the limits established in Section 5 of the Oklahoma Abstractors Law.  All permits shall expire annually. A permit holder who has not completed development of an abstract plant at the time the permit expires may apply for renewal of the permit. Applications for renewal must be made thirty (30) days prior to the scheduled expiration of the original permit and shall be accompanied by the renewal fee.  The permit holder shall comply with the provisions of the Oklahoma Abstractors Law to obtain a certificate of authority after completion of the abstract plant.

Added by Laws 1984, c. 163, § 12, eff. Nov. 1, 1984.  

§74227.22.  Censure, suspension, revocation, continuance, renewal or refusal to issue certificate of authority or permit  Civil penalties.

A.  The State Auditor and Inspector shall censure, suspend, revoke, continue, renew, or refuse to issue any certificate of authority or permit issued or applied for pursuant to the provisions of the Oklahoma Abstractors Law, if, after a hearing, the State Auditor and Inspector finds any one or more of the following conditions:

1.  Any untrue statement in the application for a certificate of authority or permit; or

2.  The violation of or noncompliance with any provision of the Oklahoma Abstractors Law or rule, regulation, or order of the State Auditor and Inspector; or

3.  The obtaining of or attempt to obtain a certificate of authority or permit through fraud or misrepresentation; or

4.  Conviction of a felony in this state, another state, or a federal court or of a misdemeanor involving moral turpitude; or

5.  Conspiracy involving the certificate holder or his agents to obtain an abstract license for an employee, prospective employee, or other person through fraud or misrepresentation; or

6.  Failure to properly supervise an abstract licensee whose license is issued through the certificate holder.

B.  In addition to or in lieu of any censure, denial, suspension, or revocation of a certificate or permit, any person, firm, corporation, or other entity violating the provisions of the Oklahoma Abstractors Law, upon conviction, may be subject to a civil fine of not less than One Hundred Dollars ($100.00) nor more than Ten Thousand Dollars ($10,000.00) for each occurrence.  The fine may be enforced in the same manner in which civil judgments may be enforced.

Added by Laws 1984, c. 163, § 13, eff. Nov. 1, 1984.  

§74227.23.  Rights and responsibilities of abstractors.

A.  Any person, firm, corporation, or other entity holding a valid abstract license or permit, or any abstract licensee affiliated with such person, firm, corporation, or other entity, shall:

1.  have free access to the instruments of record affecting real property filed in any city, county, or state office;

2.  be permitted to make such memoranda, notations, or copies of such instruments of record;

3.  occupy reasonable space with equipment for that purpose during the business hours of such office;

4.  make and prepare abstracts;

5.  compile, post, copy, and maintain his books, records, and indexes.

B.  The records in any city, county, or state office shall not be taken from the office to which they belong, for any reason, except that records may be taken from the office of the district court clerk by an abstractor who is doing business within that county and has an approved bond on file with the county clerk for a period of time not to exceed twentyfour (24) hours after first giving proper receipt to the appropriate clerk or deputy.

C.  An abstractor shall have the right of access to any instrument filed of record in a county office, not later than the close of business of the first business day following the day of filing.  There shall be no fee charged for providing access to the instrument.

D.  For purposes of this section, "access" means possession of said instrument to mechanically reproduce it, either in the office or out of the office of filing, at the discretion of the county officer having custody of the instrument, which reproduction shall be completed not later than the close of business of the first business day following the day of receipt of the document. Provided if the abstractor fails to return the files within the twentyfourhour period, the county officer in his discretion may refuse to allow the abstractor to remove said files at a later date. Any county officer making such refusal shall send written notice of such action to the State Auditor and Inspector.

E.  All certificates of authority or permit holders and abstract licensees shall be subject to the same obligation to protect and preserve the public records to which they have access as do the public officers who have legal custody of such records. Holders of certificates of authority or permits and abstract licensees shall be subject to the same penalties for a violation of such duty as said officers.

F.  Reliance on the county indexes in the preparation of an abstract of title shall not be a defense of liability for an error or omission in an abstract of title.

Added by Laws 1984, c. 163, § 14, eff. Nov. 1, 1984.  

§74227.24.  Certain employees required to hold abstract license  Exemptions.

Any person in the employ of a holder of a certificate of authority or permit for the purpose of searching county records or compiling abstracts shall hold an abstract license.  The provisions of this section shall not apply to an employee whose sole function is to put the work product of others into typewritten or other readable form.

Added by Laws 1984, c. 163, § 15, eff. Nov. 1, 1984.  

§74227.25.  Qualifications for issuance of license  Term of license  License fee.

A.  An abstract license shall be issued by the State Auditor and Inspector to an applicant who:

1.  is eighteen (18) years of age or older; and

2.  is of good moral character; and

3.  has not been convicted of a felony or crime of moral turpitude in this state, another state, or a federal court; and

4.  has passed a test for abstractors required by the State Auditor and Inspector.

B.  Each abstract license shall be valid for one (1) year.  The State Auditor and Inspector shall set the fees for an abstract license and for renewal not to exceed Fifty Dollars ($50.00).

Added by Laws 1984, c. 163, § 16, eff. Nov. 1, 1984.  

§74227.26.  Supervision of licensees.

All abstract licensees shall submit to the supervision of a holder of a certificate of authority or permit and shall inform the State Auditor and Inspector in writing of the name and address of that holder of a certificate of authority or permit.  If the licensee leaves the employ of that holder of a certificate of authority or permit or changes employment to another holder of a certificate of authority or permit, he shall so inform the State Auditor and Inspector in writing within ten (10) days of the action.

Added by Laws 1984, c. 163, § 17, eff. Nov. 1, 1984.  

§74227.27.  Censure, revocation or suspension of abstract license.

Upon good cause shown and after a hearing, the State Auditor and Inspector may censure a licensee or revoke or suspend his abstract license for any of the following acts:

1.  Making of a materially fraudulent statement in an application for an abstract license; or

2.  Having been convicted and exhausted all appellate remedies in a court of competent jurisdiction in this or any other state or a federal court of the crime of forgery, embezzlement, obtaining money under false pretenses, extortion, conspiracy to defraud, fraud, or any similar offense, or pleading guilty or nolo contendere to any such offense; or

3.  Destroying or secreting public records, or failing to return said records within the designated time; or

4.  Any other conduct which constitutes untrustworthy or improper, fraudulent, or dishonest activities; or

5.  Disregarding or violating any provision of the Oklahoma Abstractors Law; or

6.  Continued violation after notice from the State Auditor and Inspector of engaging in a practice of charging excessive abstracting fees.

Added by Laws 1984, c. 163, § 18, eff. Nov. 1, 1984.  

§74227.28.  Charges for abstracts and abstracting  Certain business inducements prohibited.

It shall be unlawful for any abstractor as an inducement to obtaining any business, to pay, rebate, or deduct any portion of or to permit any deduction from a charge made for making, extending, or certifying an abstract of title, to:

1.  any owner, mortgagee, or lessee of the real property covered by the abstract of title, or of any right, title, or interest in or lien upon the same; and

2.  any principal, broker, agent, or attorney in connection with a sale or lease of real property or the making or obtaining of a loan thereon in which an abstract of title is required, used, or furnished; and

3.  any spouse, child, employee, ward, officer, director, subsidiary, affiliate, parent, relative within the fifth degree, personal representative, or partner of any person, firm, or corporation included in this section.

All charges for abstracts and abstracting shall be separately stated and shall not be combined with title insurance, closing fees or examination charges, shall be uniform for all abstracts of whatsoever kind or nature, whether the abstract is prepared for use by the abstractor or for others purchasing abstracts from the abstractor; and any other charge therefor shall be unlawful.

Added by Laws 1984, c. 163, § 19, eff. Nov. 1, 1984.  

§74227.29.  Limitation of actions.

An action for damages by reason of any imperfect or false abstract hereafter compiled must be brought within five (5) years from the date the abstract certificate was issued.

Added by Laws 1984, c. 163, § 20, eff. Nov. 1, 1984.  

§74-227.30.  Real property purchaser - Retention of abstract.

A purchaser of real property shall have the opportunity to retain possession of the abstract for the property being purchased.  The purchaser shall be notified about the option to retain possession at the scheduled closing; however, if a contractual obligation to a mortgage company requires retention of the abstract by that mortgage company, then the purchaser shall have an opportunity to take possession of the abstract upon complete performance of the contractual obligations.

Added by Laws 2002, c. 36, § 1, eff. Nov. 1, 2002.

§74-228.  Internal audits - Supervisory responsibility.

The administrative head and the governing body of any state agency, board, department or commission having internal audit functions shall have direct supervisory responsibility over all internal audits conducted by the agency, board, department or commission.  Such supervisory responsibility shall include, but not be limited to, the duty of assuring that all internal audits are conducted in accordance with the "Standards for the Professional Practice of Internal Auditing" developed by the Institute of Internal Auditors or any successor organization thereto.

Added by Laws 1992, c. 36, § 1, eff. Sept. 1, 1992.  Amended by Laws 1994, c. 317, § 5, eff. July 1, 1994.

§74-229.  Internal audit reports.

In addition to other requirements regarding audits prescribed by law, all state agencies, departments, boards and commissions that conduct internal audits shall submit internal audit reports, including initial and final reports, to the State Auditor and Inspector.  Each audit shall be identified clearly as either an initial internal audit report or as a final internal audit report.

Added by Laws 1992, c. 269, § 1, eff. Sept. 1, 1992.

§74231.  Bureau created.

There is hereby created a bureau to be known as the "Oklahoma Geological Survey," which shall be under the direction of a commission, to be known as the State Geological Commission, composed of the Governor, the President of the State University, and the State Superintendent of Public Instruction. R.L. 1910 Sec. 8125.

R.L.1910, § 8125.  

§74232.  Direction and supervision.

The Geological Survey of the State of Oklahoma located at Norman, Oklahoma, is hereby placed under the direction and supervision of the Board of Regents of the University of Oklahoma.  Laws 192324, ch. 46, P. 49, Sec. 1.

Laws 192324, c. 46, p. 49, § 1.  

§74234.  Duties of bureau.

The said bureau shall have for its object and duties the following:

First.  A study of the geological formations of the state with special reference to its mineral deposits, including coal, oil, gas, asphalt, gypsum, salt, cement, stone, clay, lead, zinc, iron, sand, road building material, water resources and all other mineral resources.

Second.  The preparation and publication of bulletins and reports, accompanied with necessary illustrations and maps, including both general and detailed descriptions of the geological structure and mineral resources of the state.

Third.  The consideration of such other scientific and economic questions as, in the judgment of the commission, shall be deemed of value to the people.

R.L.1910, § 8127.  

§74235.  Reports.

he director shall present to the Governor a biennial report, ready for printing, showing the progress and condition of said bureau, together with such other information as the commission may deem necessary:  Provided, that the commission shall have authority to print and distribute said report.

R.L.1910, § 8128.  

§74237.  Right of way.

In order to carry out the provisions of this article, it shall be lawful for all persons employed by the bureau to enter and cross all lands within the state   Provided, that in so doing no damage shall be done to private property.

R.L.1910, § 8130.  

§74238.  Located at university.

Until suitable laboratories, libraries and testing apparatus are provided by the state for prosecuting the work of the survey, said survey shall be located at the State University.  The commission shall enter into arrangements with the Board of Regents of the State University for the use, by members of the staff of the survey, or such rooms, laboratories, libraries and apparatus as may be necessary for the carrying on of such work.

R.L.1910, § 8131.  

§74241.  Survey created  Supervision  Object and duties.

(a) The Archeological Survey of the State of Oklahoma, located at Norman, Oklahoma, shall be under the direction and supervision of the Regents of the University of Oklahoma and shall be known as the Oklahoma Archeological Survey.

(b) The Oklahoma Archeological Survey shall have for its object and duties the following:

(1) Excavation of historical sites, ruins and mounds for the purpose of securing data and objects relating to early man in Oklahoma;

(2) Fundamental research in Oklahoma archeology and encouragement of public cooperation in the preservation of Oklahoma antiquities;

(3) Research in and study of anthropology and related social and physical sciences both prior to excavation and thereafter in order to plan and aid in the discovery of archeological sites and artifacts and in their proper assessment and preservation once discovered;

(4) Publication of findings in terms of their scientific and popular and cultural values;

(5) Display and custodianship of relics, artifacts, sites and other tangible results of the operations of the survey;

(6) Educational activities providing a stimulus to archeological efforts and the encouragement of archeological societies, parks and museums; and

(7) To initiate, operate and maintain a program of archeology which shall include the specific responsibilities set out above which shall not be limited to those areas of action.

Laws 1970, c. 172, § 1, emerg. eff. April 10, 1970.  

§74-245.  Survey created - Director - Object and duties - Copies - Report.

A.  The Climate Office of the State of Oklahoma located at Norman, Oklahoma, shall be under the direction and supervision of the Board of Regents of the University of Oklahoma and shall be known as the Oklahoma Climatological Survey.  The Oklahoma Climatological Survey is hereby recreated, to continue until July 1, 2006, in accordance with the provisions of the Oklahoma Sunset Law.

B.  The director of the Oklahoma Climatological Survey shall be appointed by the Board and shall either serve as the state climatologist or appoint another current employee of the Survey to serve as state climatologist.  The salary of the director shall be determined by the Board.

C.  The Oklahoma Climatological Survey shall have for its object and duties the following:

1.  To acquire, archive, process and disseminate, in the most costeffective way possible, all climate and weather information which is or could be of value to policy and decision makers in the state;

2.  To act as the representative of the state in all climatological and meteorological matters both within and outside the state when requested to do so by the legislative or executive branches of the state government;

3.  To prepare, publish and disseminate periodic regular climate summaries for those individuals, agencies and organizations whose activities are related to the welfare of the state and are affected by climate and weather;

4.  To conduct and report on studies of climate and weather phenomena of significant socioeconomic importance to the state;  

5.  To evaluate the significance of natural and manmade, deliberate and inadvertent changes or modifications in important features of the climate and weather affecting the state, and to report this information to those agencies and organizations in the state who are likely to be affected by such changes or modifications; and

6.  To maintain and operate the Oklahoma Mesonetwork, a statewide environmental monitoring network which is overseen by the Mesonet Steering Committee, comprised of representatives of the University of Oklahoma and Oklahoma State University according to its Memorandum of Agreement.  The director of the Oklahoma Climatological Survey shall be accountable for executing the policies of the Mesonet Steering Committee.

D.  The director is authorized to certify copies as being authentic reproductions of weather records held in the state.

E.  The director of the Oklahoma Climatological Survey shall present a report each year to the Board of Regents of the University of Oklahoma showing the progress, condition and all other information which the Board may deem necessary.

Added by Laws 1982, c. 63, § 1, operative Oct. 1, 1982.  Amended by Laws 1988, c. 13, § 1; Laws 1994, c. 14, § 1; Laws 2000, c. 18, § 1; Laws 2003, c. 208, § 1, emerg. eff. May 12, 2003.

§74250.4.  State officers  Salaries.

Pursuant to provisions of the Constitution of the State of Oklahoma from and after the beginning date of a term of office which commences in, or after, January, 1999, the following officers of the State of Oklahoma shall be annually compensated for their services, payable monthly, as follows:

1.  The Governor shall receive a salary equal to the salary received by the Chief Justice of the Oklahoma Supreme Court;

2.  The Lieutenant Governor shall receive a salary equal to the salary received by an associate district judge in a county with a population greater than ten thousand (10,000) and less than thirty thousand (30,000);

3.  The Attorney General shall receive a salary equal to the salary received by the Presiding Judge of the Court of Civil Appeals;

4.  The State Superintendent of Public Instruction shall receive a salary equal to the salary received by a district judge;

5.  Each member of the Corporation Commission shall receive a salary equal to the salary received by an associate district judge in a county with a population of over thirty thousand (30,000);

6.  The State Treasurer shall receive a salary equal to the salary received by an associate district judge in a county with a population of over thirty thousand (30,000);

7.  The State Auditor and Inspector shall receive a salary equal to the salary received by an associate district judge in a county with a population of over thirty thousand (30,000);

8.  The State Insurance Commissioner shall receive a salary equal to the salary received by an associate district judge in a county with a population of over thirty thousand (30,000); and

9.  The Commissioner of Labor shall receive a salary equal to the salary received by a special judge.

Added by Laws 1965, c. 502, § 2, emerg. eff. July 19, 1965.  Amended by Laws 1970, c. 85, § 1; Laws 1974, c. 311, § 1, emerg. eff. May 31, 1974; Laws 1978, c. 239, § 1, emerg. eff. April 26, 1978; Laws 1982, c. 182, § 1; Laws 1994, c. 239, § 3; Laws 1997, c. 384, § 1, emerg. eff. June 11, 1997.

§74-250.4-1.  Repealed by Laws 1997, c. 384, § 106, eff. July 1, 1997.

§74250.42.  Commissioner of Labor  Compensation.

A.  Pursuant to provisions of the Constitution of the State of Oklahoma from and after the beginning date of a term of office which commences in, or after, January, 1983, the annual compensation, payable monthly, of the Commissioner of Labor shall be Thirtyseven Thousand Five Hundred Dollars ($37,500.00).

B.  From and after the beginning date of a term of office which commences in, or after, January, 1987, the annual compensation, payable monthly, of the Commissioner of Labor shall be as follows:

1.  For the period commencing in January, 1987, and ending in December, 1988, the sum of Thirtynine Thousand Seven Hundred Fifty Dollars ($39,750.00).

2.  For the period commencing in January, 1989, and ending in December, 1990, the sum of Fortytwo Thousand One Hundred Forty Dollars ($42,140.00).

Added by Laws 1985, c. 348, § 6, emerg. eff. July 31, 1985.  

§74-250.4-3.  Repealed by Laws 1990, c. 266, § 101, operative July 1, 1990.

§74250.4a.  Legislators  Salary or emoluments.

Any member of the Legislature who may, during the time for which he was elected Senator or member of the House of Representatives, be appointed or elected to any office incident to which the salary or emoluments thereof are increased, shall receive during the term for which he was elected or appointed to such office the salary or emoluments which under the provisions of law appertain to such office at the beginning of the time for which he was elected Senator or member of the House of Representatives.

Added by Laws 1982, c. 359, § 3, emerg. eff. June 2, 1982.  

§74250.6.  Salary rates of certain educational officers  Limits and conditions on salary and expense expenditures.

(a)  It is the intent of the Legislature that the Oklahoma State Regents for Higher Education establish a maximum annual salary for the Chancellor for Higher Education and presidents of universities and colleges.  The maximum salary and expense allowance should not exceed the salary and maintenance of Governor's Mansion established for the Governor of the State of Oklahoma.

(b)  State officers and employees shall not be paid any salary, fee, wage, remuneration, expense allowance, or other compensation on warrants issued by the State Treasurer except when claim for payment is made on the prescribed payroll form of the agency for which services are performed, except:

1.  Reimbursement for travel expenses incurred on official state business shall be made as provided by statute on approved travel claims; and

2.  Reimbursement for officials and employees of the state, for miscellaneous emergency purchases or other purchases not available through their agency's normal purchasing process, shall be on approved miscellaneous claims.  Provided, such reimbursements shall be subject to the agency head's approval; must be accompanied by evidence of payments; and the purchases must not otherwise be restricted by state statutes.  Reimbursements which exceed One Hundred Dollars ($100.00) per claim shall include a written statement of justification for the purchase as support documentation for the claim.

Nothing in this section is intended to keep a state agency from being reimbursed for services performed by employees of one agency for another.

Nothing in this section shall affect the method of payment of any expense allowance to any state officer or employee specifically authorized by statute, or the payment to uniformed employees for maintenance and cleaning of uniforms where the payment is made under an accountable plan as defined by the Internal Revenue Service.

Laws 1970, c. 85, § 3; Laws 1979, c. 47, § 96, emerg. eff. April 9, 1979; Laws 1983, c. 334, § 11, emerg. eff. June 30, 1983; Laws 1993, c. 291, § 3, eff. July 1, 1993; Laws 1994, c. 2, § 29, emerg. eff. March 2, 1994.

NOTE:  Laws 1993, c. 129, § 3 repealed by Laws 1994, c. 2, § 34, emerg. eff. March 2, 1994.

§74250.7.  Corporation Commission members  Chairman.

Each Corporation Commissioner holding office after the effective date of this act shall receive as compensation the salary established by the Legislature for Corporation Commissioners. The person elected Corporation Commission Chairman by those members constituting the Corporation Commission shall receive additional annual compensation in the amount of Two Thousand Dollars ($2,000.00) payable monthly, while serving in the capacity of Chairman.

Amended by Laws 1982, c. 182, § 2; Laws 1982, c. 358, § 20, emerg. eff. June 2, 1982.  

§74-250.16.  Commissioner of Labor - Salary.

Pursuant to the provisions of the Constitution of the State of Oklahoma, from and after the beginning date of a term of office which commences in, or after, January, 1991, the annual salary of the Commissioner of Labor shall be Forty-two Thousand One Hundred Forty Dollars ($42,140.00), payable monthly.

Added by Laws 1990, c. 266, § 69, operative July 1, 1990.

§74255.  Appointments and tenure  Citizenship  Exceptions.

The heads of the departments except as otherwise herein provided are hereby authorized and empowered to appoint persons to hold positions created in their respective departments.  The persons so appointed shall hold office at the will of such state officer and in the case of all boards and commissioners, such board or commission shall, by vote thereof, except as otherwise provided, appoint persons to hold positions created under such boards or commissions by this act, and the said persons so appointed shall hold office at the will of such officer, boards or commissions making said appointment, provided that any board or commission may authorize the secretary of such board or commission to make said appointment.

Provided further, that it shall be unlawful for the heads of any department, or any departments, except institutions of higher learning and state hospitals, the State Health Department, the Highway Department in the employment of engineers and technicians, schools for mentally retarded and State Veterans Facilities as pertains to doctors, dentists, nurses and other trained technicians, to employ in any way any person who is not a citizen of the United States, and repealing all laws in conflict herewith.  The provisions of this act shall in no way be interpreted to repeal any provision of the laws heretofore enacted creating the Merit System of the State of Oklahoma.

Laws 1919, c. 211, p. 302, § 2; Laws 1967, c. 36, § 1, emerg. eff. March 24, 1967.  

§74-271.  Senate and House of Representatives - Powers as to employees.

A.  The Senate and the House of Representatives of the State of Oklahoma are hereby authorized to employ such administrative, professional, clerical, stenographic and other employees as in the judgment of each body, respectively, shall by them be deemed necessary and proper.

B.  Each week during the legislative session, the Senate and the House of Representatives are hereby authorized to employ chaplains and pages as deemed necessary by the respective bodies.

C.  Each body shall be the sole judge of the number, duties, and compensation of its employees.

Added by Laws 1915, c. 264, § 1.  Amended by Laws 1929, c. 38, p. 39, § 1, emerg. eff. March 20, 1929; Laws 1995, c. 336, § 1, emerg. eff. June 8, 1995.

§74283.  Salaries fixed by statute are maximum salaries  No claim for excess above appropriation.

he amount of salary as fixed by any statute, heretofore or hereafter enacted, creating positions or fixing salaries for positions of any officer or employee of the State of Oklahoma, except as limited by Section 10 of Article XXIII of the Constitution of the State of Oklahoma, shall be and it is intended by the Legislature to be the maximum salary which each of the respective officers or employees shall receive or be entitled to receive; and none of such salaries, nor any part of any such salary shall constitute a valid claim against the State of Oklahoma in excess of the amount or amounts specifically appropriated therefor.

Laws 1941, p. 454, § 1.  

§74-284.  Repealed by Laws 1994, c. 242, § 56.

§74-284.1.  Certain state agencies prohibited from implementing lagged payroll system prior to July 1, 1991.

Any state agency which was not utilizing a lagged payroll system on or before January 1, 1990, shall be prohibited from implementing a lagged payroll system prior to July 1, 1991.

Added by Laws 1990, c. 341, § 1, eff. July 1, 1990.

§74-284.2.  Pay increase funds - Prohibition of expenditure for contracted private employees.

No funds appropriated for the purpose of implementing the pay increase provided in Section 1 of this act shall be expended by any employing public agency, board, commission or other public employing entity in order to increase compensation for persons employed by a private business entity that has entered into contract with the public employing entity to provide personnel services to the public employing entity in order for the public employing entity to perform duties imposed upon it by law or functions the public employing entity is authorized to perform by law.  The provisions of this section shall not be construed to prohibit increases in compensation to a vendor performing other types of services pursuant to a sole source contract or contract awarded pursuant to the Oklahoma Central Purchasing Act.

Added by Laws 1998, c. 257, § 2, eff. Jan. 1, 1999.

§74-291.  Repealed by Laws 1995, c. 335, § 7, eff. Nov. 1, 1995.

§74291.1.  Legislators  Per diem.

Members of the Legislature shall be allowed a per diem in lieu of expenses in an amount authorized by the provisions of the Internal Revenue Code of 1986, as amended, for deductibility of expenses for travel while away from home without additional documentation for each night spent away from home in the performance of their official duties within the state during regular and extraordinary legislative sessions, not to exceed the number of legislative days per week.

Added by Laws 1975, c. 254, § 2, operative Jan. 1, 1976.  Amended by Laws 1979, c. 260, § 4, emerg. eff. June 5, 1979; Laws 1985, c. 7, § 2, eff. July 1, 1985; Laws 1985, c. 344, § 10, emerg. eff. July 30, 1985; Laws 1989, c. 247, § 2, emerg. eff. May 18, 1989; Laws 1997, c. 384, § 16, eff. July 1, 1997.

§74291.1a.  Legislators  Mileage and per diem.

Members of the Legislature who are authorized by the Speaker of the House of Representatives and the President Pro Tempore of the Senate, to attend official meetings and sessions concerning legislation during a legislative recess shall be entitled to receive reimbursement for mileage and per diem in the same manner as provided for in Sections 291 and 291.1 of Title 74 of the Oklahoma Statutes.

Laws 1979, c. 274, § 3, emerg. eff. June 5, 1979.  

§74-291.1b.  Legislators - Reimbursable trips.

Members of the Legislature shall receive mileage reimbursement pursuant to Section 500.4 of Title 74 of the Oklahoma Statutes for the number of miles necessarily and conveniently traveled by the most usual and feasible route to be present upon convening of the regular or extraordinary sessions of the Legislature by such member in each and every trip in going to and returning from the place of meeting of the Legislature.  Each member shall be entitled to mileage reimbursement for one (1) round trip per week in traveling to and from the meeting of the Legislature.  A member not claiming per diem reimbursement may elect to receive mileage for not to exceed as many trips as there are legislative days for a week during each week the Legislature is actually in regular or extraordinary session, provided that no single, round-trip mileage reimbursement may exceed the per diem allowance.  Members of the Legislature shall receive mileage reimbursement, for the use of privately owned vehicles pursuant to Section 500.4 of Title 74 of the Oklahoma Statutes for the number of miles necessarily and conveniently traveled by the most usual and feasible route to be present in attending meetings of committees of which they are members or to which they are invited by Committee Chairmen when the Legislature is not in session, subject to the approval of the presiding officer of each house for the members of the respective houses.

Added by Laws 1995, c. 335, § 6, eff. Nov. 1, 1995.

§74291.2.  Board on Legislative Compensation  Meetings  Changes in legislative compensation - Quorum  Terms - Officers - Lobbyists.

The Board on Legislative Compensation created by Article 5, Section 21, of the Oklahoma Constitution shall meet on the third Tuesday of October in every oddnumbered year at nine o'clock a.m. in the State Capitol Building, at which meeting the Board shall review the compensation paid to members of the State Legislature and, if necessary, change the compensation.  The Board may, at the call of its chairman or upon a majority vote of its membership, hold such additional meetings as are necessary to carry out its official duties.  Any change in legislative compensation shall be made by the Board no later than the third Tuesday of November in said oddnumbered year.  Five members of the Board shall constitute a quorum and a majority vote of such quorum shall be necessary for the Board to act.  The appointed members of said Board shall serve terms which run concurrently with the terms of the respective appointing authorities and shall serve at their pleasure.  The Director of State Finance shall serve as Secretary to the Board.  The Board shall elect such other officers as they deem needed from their membership.  No member of the Board shall be a lobbyist as required to be registered pursuant to the Oklahoma Campaign Compliance and Ethical Standards Act.

Laws 1977, c. 226, § 1, emerg. eff. June 14, 1977.  Amended by Laws 1990, c. 198, § 1, emerg. eff. May 10, 1990.

§74291.3.  Advice to Legislature  Travel expenses.

When requested by a concurrent resolution, the Board shall advise the Legislature on various items of legislative expenditures as specified in the resolution.  When meeting pursuant to this section, the members shall be reimbursed for travel expenses while on official business in accordance with the State Travel Reimbursement Act.

Amended by Laws 1985, c. 178, § 69, operative July 1, 1985.  

§74291.10.  Staff Review Committee of the Senate  Membership  Clerk.

There is hereby created a Staff Review Committee of the Senate which shall consist of the President Pro Tempore as chairman, the Majority Floor Leader as vice chairman, the Minority Floor Leader, the chairman of the Appropriations Committee and the vice chairman of the Appropriations Committee.  The Secretary of the Senate shall serve as clerk of the committee.

Laws 1981, c. 279, § 1, eff. July 1, 1981.  

§74291.11.  Meetings  Duties.

The Staff Review Committee shall meet prior to July 1 of each year, and at such other times as are required, to review the performance of members of the Senate Staff, to approve salaries, to establish schedules of work and other personnel policies and to perform such other duties as it deems necessary in reviewing the work of the Senate Staff.

Laws 1981, c. 279, § 2, eff. July 1, 1981.  

§74-291.12.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-291.13.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-291.13a.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-291.14.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-291.15.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-291.16.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-291.17.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-291.18.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74291.19.  Incentive bonuses.

The Staff Review Committee shall be empowered to award to any Senate Staff employee an incentive bonus of up to Five Hundred Dollars ($500.00), provided that no employee shall receive bonuses of more than Five Hundred Dollars ($500.00) during any fiscal year and provided that no more than ten percent (10%) of the total number of Senate Staff personnel receive such bonuses during any fiscal year.  Such incentive bonuses shall be awarded on the basis of exceptional service.

Laws 1981, c. 279, § 10, eff. July 1, 1981.  

§74292.2.  Permanent employees of House of Representatives  Salaries and emoluments.

The positions of permanent employment within the House of Representatives and the salaries attached thereto shall be prescribed by the Speaker of the House of Representatives.  The salaries of permanent employees of the House of Representatives shall be increased at the same rate as is prescribed by law for that particular fiscal year for comparable salaries of employees within the classified service of the Merit System of Personnel Administration.  All employees of the House of Representatives shall be paid out of the State Treasury from funds appropriated by the Legislature for said purposes on warrants of the State Treasurer issued on vouchers certified by the Speaker of the House of Representatives or his designee.

Added by Laws 1985, c. 318, § 3, emerg. eff. July 29, 1985.  Amended by Laws 1995, c. 336, § 2, emerg. eff. June 8, 1995.

§74-292.2a.  Temporary employees of House of Representatives - Compensation.

A.  The House of Representatives, during each regular or special session, shall provide by simple resolution for the employment of its temporary employees.

B.  The temporary employees of the House of Representatives shall receive additional compensation at the rate of Twelve Dollars and fifty cents ($12.50) per month for each year of prior legislative experience, not to exceed a total additional compensation of Two Hundred Dollars ($200.00) per month.  Such employees shall be credited with one (1) year of prior experience for each legislative session in which the employee was employed by the State House of Representatives or the State Senate.

Added by Laws 1995, c. 336, § 3, emerg. eff. June 8, 1995.

§74-292.3.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-292.4.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-292.5.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-292.6.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-292.7.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-292.8.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-292.9.  Repealed by Laws 1995, c. 336, § 5, emerg. eff. June 8, 1995.

§74-292.10.  Short title.

This act shall be known and may be cited as the "Oklahoma State Employees' Direct Deposit Act".

Added by Laws 1991, c. 229, § 1, eff. July 1, 1991.

§74-292.11.  Definitions.

As used in the Oklahoma State Employees' Direct Deposit Act:

1.  "Direct deposit system" means a method of electronically transferring a payroll claim for an employee to a financial institution;

2.  "Employee" means any person in the classified, unclassified or exempt service of any state agency, board or Commission.  "Employee" shall include any person who is an employee of the Oklahoma State Regents for Higher Education or any institution under the authority of the Oklahoma State Regents for Higher Education.  "Employee" shall not include any person who is an employee of any school district or political subdivision of this state; and

3.  "Employer" means any state agency, board, commission, department, institution, authority, officer, bureau, council, office, the Oklahoma State Regents for Higher Education or any institution under the authority of the State Regents for Higher Education, or other entity created by the Oklahoma Constitution.  "Employer" shall not include any school district or political subdivision of this state.

Added by Laws 1991, c. 229, § 2, eff. July 1, 1991.  Amended by Laws 2004, c. 308, § 2.

§74-292.12.  Implementation and administration of direct deposit system.

A.  The Administrator of the Office of Personnel Management is hereby directed to implement a direct deposit system for employees who are subject to the provisions of the Oklahoma State Employees' Direct Deposit Act.  There shall be no service charge of any type paid by the state employee at any time which shall decrease the net amount of the employee's salary deposited to the financial institution of the personal choice of the employee as a result of the implementation and administration of the Oklahoma State Employees' Direct Deposit Act.

1.  Employees hired after December 31, 2004, shall participate in the direct deposit system.  At the time the employee enters on duty, the employee shall identify a financial institution that will serve as a personal depository agent for the employee.

2.  Employees hired before December 31, 2004, shall participate in the direct deposit system.  No later than June 30, 2007, each employee hired before December 31, 2004, who is not a participant in the direct deposit system, shall identify a financial institution that will serve as a personal depository agent for the employee.

B.  The Administrator of the Office of Personnel Management shall promulgate rules as necessary for implementation and administration of the system, which shall include limited exceptions to required participation by employees.

C.  All employers shall begin offering direct deposit to any eligible employee not later than January 1, 1992.

Added by Laws 1991, c. 229, § 3, eff. July 1, 1991.  Amended by Laws 2004, c. 308, § 3.

§74308.  Filing of rules with Speaker of House and President of Senate  approval or disapproval by Legislature.

Section 308.  (a)  Copies of all rules in force and on file with the Secretary of State shall be transmitted by the Secretary of State to the Speaker of the House of Representatives and the President Pro Tempore of the State Senate within sixty (60) days after approval of this act.

(b)  Copies of rules promulgated while the Legislature is in session shall be filed by the adopting agency with the Speaker of the House of Representatives and the President Pro Tempore of the State Senate within ten (10) days after their adoption by such agency.

(c)  Copies of rules promulgated during the time the Legislature is not in session shall be filed with the Speaker of the House of Representatives and the President Pro Tempore of the State Senate by the adopting agency within ten (10) days after the convening of the next legislative session.

(d)  By the adoption of a resolution, either house of the Legislature may disapprove any rule which has been transmitted as required by other subsections of this section and the adopting agency shall not have authority to repromulgate such rule, except during the first sixty (60) calendar days of a subsequent legislative session.

(e)  Failure of the Legislature to disapprove any rule transmitted under the provisions of other subsections of this section within thirty (30) calendar days after such rule has been transmitted shall result in the approval of such rule by the Legislature.  Provided, that in the event the Legislature is not in session at the time of the transmitting of an emergency rule or adjourns before the expiration of said thirty (30) calendar days, then said rule shall be subject to consideration by the next Legislature during the first thirty (30) calendar days of said succeeding session.

(f)  Except as otherwise provided in this subsection, an agency may adopt, amend or repeal a rule only during such times when the Legislature is in session.  An agency may adopt, amend or repeal a rule while the Legislature is not in session only upon a finding that an imminent peril to the public health, safety or welfare requires the promulgation of such rule.  The reasons for a finding of an imminent peril to the public health, safety or welfare shall be stated in the rule or regulation, and the sufficiency of such reasons shall be subject to judicial review.

(g)  Any rights, privileges, or interests gained by any person by operation of an agency rule prior to its rejection or disapproval by either house of the Legislature, shall not be affected by reason of any subsequent disapproval or rejection by either house of the Legislature.

§74314.  Investigation of fires  Report to fire marshal  Record of fires.

The State Fire Marshal and the chief of the fire department of every city or village in which a fire department is established, and the mayor of every incorporated village or town in which no fire department exists, and the sheriff of the county shall investigate the cause, origin and circumstances of every fire occurring in such city, village, town or county by which property has been destroyed or damaged, and shall especially make investigation as to whether such fire was the result of carelessness or design.  Said investigation shall begin within two (2) days, not including Sundays, of the occurrence of such fire, and the said Fire Marshal shall have the right to supervise and direct such investigation whenever he deems it necessary or expedient.  The officer making the investigation of fires, shall forthwith notify said Fire Marshal and shall within a week of the occurrence of the fire furnish to the said Fire Marshal a written statement of all facts relating to the cause and origin of the fire, and such other information as may be called for by blanks provided by said Marshal.  The State Fire Marshal shall keep in his office a record of all fires occurring in the state, together with all facts, statistics and circumstances including the origin of the fires, which may be determined by the investigation provided by this act; such records shall at all times be open to the public inspection, and such portions of it as the insurance commissioner may deem necessary shall be transcribed and forwarded to him within fifteen (15) days from the 1st day of January of each year.

Laws 191011, c. 46, p. 115, § 4.  

§74315.  May take testimony  Causing arrest  Report to insurance commissioner.

The said State Fire Marshal shall, when in his opinion further investigation is necessary, take or cause to be taken the testimony on oath of all persons supposed to be cognizant of any facts or to have means of knowledge in relation to the matter as to which an examination is herein required to be made, and shall cause the same to be reduced to writing; and if he shall be of the opinion that there is evidence sufficient to charge any person with the crime of arson, or with the attempt to commit the crime of arson, or of conspiracy to defraud, or criminal conduct in connection with such fire, he shall cause such person to be arrested and charged with such offense, or either of them shall furnish to the proper prosecuting attorney all such evidence, together with the names of witnesses and all information obtained by him including a copy of all pertinent and material testimony taken in the case, and shall report to the insurance commissioner as often as such commissioner shall require, his proceedings, and the progress made in all prosecutions under this act, and the result of all cases which are finally disposed of. Laws 191011, ch. 46, P. 115, Sec. 5.

Laws 191011, c. 46, p. 115, § 5.  

§74316.  Witnesses and evidence  Administration of oath or affirmations  Punishment for contempt  Prosecutions  Right of entry.

The State Fire Marshal and the Assistant Fire Marshal shall each have power in any county in the State of Oklahoma to summons and compel the attendance of witnesses before them, or either of them, to testify in relation to any matter which by any of the provisions of this act is made a subject of inquiry and investigation and may require the production of any books, papers or documents deemed pertinent thereto by them, or either of them.  Said State Fire Marshal, Assistant Fire Marshal are each hereby authorized and empowered to administer oaths or affirmations to any person appearing as witness before them and false swearing in any matter or proceedings aforesaid shall be the felony of perjury and shall be punished as such.  Any witness who refuses to be sworn or refuses to testify or who disobeys any lawful order of the said State Fire Marshal, Assistant State Fire Marshal, or who fails or refuses, to produce any book, paper or document, touching on any matter under examination, or who is guilty of any contemptuous conduct after being summoned by them or either of them, to appear before them, or either of them, to give testimony in relation to any matter or subject under investigation as aforesaid, shall be deemed guilty of a misdemeanor and it shall be the duty of the State Fire Marshal, Assistant State Fire Marshal, or either of them to make complaint against said person or persons so refusing to comply with the summons or order of the said State Fire Marshal, or Assistant State Marshal, before any justice of the peace, police magistrate, or any court of record in the county in which said investigation is being had, and upon the filing of such complaint such court shall proceed in the same manner as other criminal cases and upon conviction of any such person guilty of violation of the provisions of this act, shall be fined in a sum of not exceeding Twentyfive Dollars ($25.00) and imprisonment until such fine is paid; provided, however, that any person so convicted shall have the right of appeal.  Said State Fire Marshal and his subordinates or either of them shall have the authority at all times of day or night in the performance of the duties imposed by the provisions of this act, to enter upon and examine any building or premises where any fire has occurred and other buildings adjoining or near the same.  All investigations held by or under the direction of the said State Fire Marshal, may, in his discretion be private, and persons other than those required to be present by the provisions of this act, may be excluded from the place where such investigation is held and witnesses may be kept separate and apart from each other and not be allowed to communicate with each other until they have been examined.

Added by Laws 191011, c. 46, p. 116, § 6.  Amended by Laws 1997, c. 133, § 589, eff. July 1, 1998.

§74-317.  Examination of buildings and premises - Correctional facilities - Reports - Orders for repair, demolition, etc. - Appeals - Execution of orders - Collection of expenses - Penalties.

The State Fire Marshal, any assistants to the State Fire Marshal, the chief of the fire department of all the cities and towns where a fire department is established, the mayor of the cities and towns where no fire department exists, the chief of a fire protection district created pursuant to Sections 901.1 et seq. of Title 19 of the Oklahoma Statutes and the sheriff of all counties, upon the complaint of any person having an interest in any building or property adjacent, and without any complaint, shall have the right at all reasonable hours for the purpose of an examination to enter into and upon all buildings and premises within their jurisdiction.  The State Fire Marshal shall, at least once each year, make a fire inspection of all correctional facilities under the jurisdiction and control of any state agency, county, city or town.  The correctional facilities shall include, but not be limited to, institutions within the Department of Corrections as defined by Section 502 of Title 57 of the Oklahoma Statutes, juvenile institutions under the jurisdiction and control of the Department of Institutions, Social and Rehabilitative Services, as listed in Section 1401 of Title 10 of the Oklahoma Statutes, and jails.  The State Fire Marshal shall issue a report containing findings of the inspection as to each facility under the jurisdiction and control of a state agency, to the director of the agency.  As to any other correctional facility, the State Fire Marshal shall issue the report to the person immediately responsible for the administration of the facility inspected.  Whenever any of the officers shall find any building or other structure which for the want of proper repair, or by reason of age and dilapidated condition, or for any cause is especially liable to fire, and which is so situated as to endanger other buildings or property, or so occupied that a fire would endanger persons and property therein, the officers shall order the building or buildings to be repaired, torn down, demolished, materials removed and all dangerous conditions remedied.  Whenever the officers determine that a threat to life is imminent, the officers are permitted to order the evacuation of the occupants of the building or buildings.  If the officer finds in a building or upon any premises any combustible or explosive material, rubbish, rags, waste, oils, gasoline or inflammable conditions of any kind, dangerous to the safety of buildings or property, the officer shall order the materials removed or conditions remedied.  The order shall be made against the owner, lessee, agent or occupant of the buildings or premises and, thereupon, the order shall be complied with by the owner, lessee, agent or occupant, and within the time fixed in the order.  If the owner, lessee, agent or occupant deems itself aggrieved by an order of any of the officers, and desires a hearing, that person may complain or appeal in writing to the State Fire Marshal within ten (10) days from the service of the order, and the State Fire Marshal shall at once investigate the complaint, and shall fix a time in the county where the property is located, when and where the complaint will be heard by the State Fire Marshal.  The State Fire Marshal may affirm, modify, revoke or vacate the order at the hearing, and unless the order is revoked or vacated by the State Fire Marshal, it shall remain in force and be complied with by the owner, lessee, agent or occupant within the time fixed in the order, or within the time as may be fixed by the State Fire Marshal at the hearing.  If a person is aggrieved by the final order of the State Fire Marshal as made at the hearing, that person may, within ten (10) days thereafter, appeal to the district court of the county in which the property is situated, notifying the State Fire Marshal in writing of the appeal within three (3) days thereafter, which notice shall be delivered personally to the State Fire Marshal or by registered mail to the office of the State Fire Marshal at Oklahoma City, Oklahoma.  The party appealing shall, within three (3) days thereafter, file with the clerk of the district court in which the appeal is made, a bond in an amount to be fixed by the court but in no case less than One Hundred Dollars ($100.00), with at least sufficient sureties to be approved by the court, conditioned to pay all costs on the appeal in case the appellant failed to sustain the same or the appeal be dismissed for any cause.  The district court shall hear and determine the appeal de novo, in the same manner as other issues of law and fact are heard and tried in the courts, and the State Fire Marshal shall be plaintiff in the action.  The district court shall hear and determine the appeal at the next regular term of district court in the county where the order was issued, and may sustain, modify or annul the order of the State Fire Marshal, and the decision of the district court shall be final.  The State Fire Marshal shall execute the final order of the district court, and if the order is adverse to the appellant, the State Fire Marshal is empowered to cause the building or premises to be repaired, torn down, demolished, materials removed and all dangerous conditions remedied, as the case may be, at the expense of the appellant.  If the appellant fails, refuses or neglects to comply with the order, or pay the expense incurred by the State Fire Marshal in executing the same within thirty (30) days thereafter, the expense shall be certified by the State Fire Marshal to the county assessor of the county in which the property is situated and the county assessor shall enter the expense on the tax list of the county as a special charge against the real estate on which the building is or was situated, and the same shall be collected as other taxes and, when collected, shall be paid to the county treasurer and credited to the general fund of the county in which the property is located.  Any person being the owner, occupant, lessee or agent of buildings or premises, who willfully fails, neglects or refuses to comply with any order of any officer named in this section shall be guilty of a misdemeanor and shall be fined not more than Fifty Dollars ($50.00) nor less than Ten Dollars ($10.00) for each day's neglect.

Added by Laws 191011, c. 46, p. 117, § 7.  Amended by Laws 1923, c. 189, p. 334, § 2; Laws 1978, c. 163, § 2, emerg. eff. April 7, 1978; Laws 1992, c. 397, § 10, eff. July 1, 1992; Laws 2004, c. 432, § 1, eff. July 1, 2004.

§74-317.1.  Bed and breakfast establishments - Exemption from State Fire Marshal Commission standards.

A.  The following bed and breakfast establishments shall be exempt from standards adopted by the State Fire Marshal Commission, including but not limited to standards published by the National Fire Protection Association, the Building Officials and Code Administrators (BOCA) National Building Code and the Life Safety Code, as it relates to sprinkler system and exit requirements only:

1.  Bed and breakfast establishments which are open for business prior to the effective date of this act; and

2.  Bed and breakfast establishments which open for business on or after the effective date of this act and which provide sleeping accommodations of four rooms or less.

B.  Municipalities may enact ordinances for bed and breakfast establishments which are the same as or different from the rules adopted by the State Fire Marshal Commission relating to sprinkler system and exit requirements only.

C.  For purposes of this section, "bed and breakfast establishment" means a private house where sleeping accommodations are available for transient guests for pay, maximum guest occupancy in general not to exceed the total of two guests per room, and where breakfast only is included in the rent.

Added by Laws 1995, c. 220, § 1, eff. July 1, 1995.

§74318.  Penalty for failure of duty.

Any officer referred to in this act, who neglects to comply with any of the requirements of this act, shall be punished by a fine of not less than Twentyfive Dollars ($25.00) nor more than Two Hundred Dollars ($200.00), to be recovered as provided in section 7 of this act.

Laws 191011, c. 46, p. 118, § 8.  

§74320.  Engagement in other duties prohibited.

The State Fire Marshal shall not engage in any other business and he and his assistant shall at all times be ready for such duties as are required by this act. Laws 191011 ch. 46, P. 119, Sec. 10.

Laws 191011, c. 46, p. 119, § 10.  

§74-324.1.  State Fire Marshal Commission - Membership - Tenure.

There is hereby re-created the State Fire Marshal Commission, which shall consist of seven (7) members appointed by the Governor.  The Governor shall appoint initially one member who shall serve for a term of five (5) years, one member from a statewide association of career and volunteer firefighters who shall serve for a term of four (4) years, one member from a statewide association of municipalities who shall serve for a term of three (3) years, one member from a statewide association of Fire Chiefs, both career and volunteer, who shall serve for a term of two (2) years, one member who shall be a Safety Engineer who shall serve for a term of one (1) year, one member representing a statewide association of electrical workers who shall serve a term of one (1) year, and one member representing a statewide organization of exclusively professional firefighters who shall serve a term of two (2) years.  The members of the Commission shall thereafter be appointed for a term of five (5) years and the appointments shall be subject to Senate confirmation; provided the associations named shall be represented by at least one member.

Added by Laws 1965, c. 257, § 1, eff. July 1, 1965.  Amended by Laws 1981, c. 36, § 1, emerg. eff. April 8, 1981; Laws 1983, c. 333, § 28, emerg. eff. June 29, 1983; Laws 2001, c. 200, § 1, eff. Nov. 1, 2001.

§74324.2.  Chairman  Rules  Quorum and meetings  Minutes  Reports.

The Commission shall select a chairman and is hereby authorized to adopt rules for conducting its proceedings.  Any four members shall constitute a quorum.  The Commission shall meet monthly on such date as it may designate and may meet at such other times as it may deem necessary, or when called by the chairman or by any four members.  Complete minutes of each meeting shall be kept and filed in the office of the State Fire Marshal and shall be available for public inspection during reasonable office hours.  The Commission shall report annually to the Governor and to the Speaker of the House of Representatives and the President Pro Tempore of the Senate of the affairs of the Commission and the office of the State Fire Marshal.

Added by Laws 1965, c. 257, § 2, eff. July 1, 1965.  Amended by Laws 1981, c. 272, § 23, eff. July 1, 1981; Laws 2005, c. 52, § 1, emerg. eff. April 18, 2005.

§74324.4.  State Fire Marshal - Assistant State Fire Marshal.

A.  The State Fire Marshal Commission shall appoint a fulltime State Fire Marshal.  The State Fire Marshal shall administer and enforce the provisions of law pertaining to the Office of the State Fire Marshal to include, but not be limited to, fire and arson investigations, code enforcement, and public education under the supervision of the State Fire Marshal Commission and in accordance with Commission policies.  The State Fire Marshal shall be a person of good moral character and a resident of Oklahoma at the time of appointment.  The State Fire Marshal must have a minimum of ten (10) years' experience in fire protection, fire prevention, investigation, or criminal justice, which may include experience with any state, county, municipal, federal, military, or industrial fire protection or criminal justice agency.  Successful completion of a degree in fire protection and prevention, criminal justice or administration from an accredited college or university, may be substituted for experience on a year-to-year basis.  The State Fire Marshal shall possess administrative ability and experience.  The State Fire Marshal may be required to obtain certification as a peace officer in the State of Oklahoma from the Council on Law Enforcement Education and Training, and shall be subject to an extensive background investigation, psychological testing, and drug testing.  The Commission may also require additional qualifications.  The State Fire Marshal must have or be able to obtain a valid Oklahoma driver license and be a citizen of the United States.

B.  The Commission shall appoint a full-time Assistant State Fire Marshal upon recommendation from the State Fire Marshal.  The Assistant State Fire Marshal must have a minimum of seven (7) years experience in fire protection, fire prevention, investigations or criminal justice, which may include experience with any state, county, municipal, federal, military, or industrial fire protection or criminal justice agency.  Successful completion of a degree in fire protection and prevention, criminal justice, or administration from an accredited college or university, may be substituted for experience on a year-to-year basis.  The Assistant State Fire Marshal shall possess administrative ability and experience.  The Assistant State Fire Marshal may be required to obtain certification as a peace officer from the Council on Law Enforcement and Education Training, and shall be subject to an extensive background investigation, psychological testing, and drug testing.  The Commission may require additional qualifications.  The Assistant State Fire Marshal must have or be able to obtain a valid Oklahoma driver license and be a citizen of the United States.

Added by Laws 1965, c. 257, § 4, eff. July 1, 1965.  Amended by Laws 1983, c. 202, § 5, operative July 1, 1983; Laws 2001, c. 381, § 17, eff. July 1, 2001.

§74324.5.  Office of State Fire Marshal agents.

Office of State Fire Marshal agents shall be appointed by and subject to the supervision and control of the State Fire Marshal or designee.  All agents are employees of the State of Oklahoma and subject to the provisions of the Oklahoma Merit System of Personnel Administration.  All agents shall be required to obtain and maintain peace officer certification from the Council on Law Enforcement Education and Training and must have or be able to obtain a valid Oklahoma driver license and be citizens of the United States.  The State Fire Marshal Commission shall have the authority to appoint such other employees as shall be necessary in discharging the duties of their office.

Added by Laws 1965, c. 257, § 5, eff. July 1, 1965.  Amended by Laws 1971, c. 266, § 1, emerg. eff. June 17, 1971; Laws 2001, c. 381, § 18, eff. July 1, 2001.

§74-324.7.  Rules, regulations and specifications - Regulation of liquefied petroleum gas and flammable liquids.

A.  Except as otherwise specified by subsection B of this section, the State Fire Marshal Commission shall have the power and duty to prescribe, adopt, and promulgate, in the manner set forth in this act, such reasonable rules, regulations, or specifications consistent with nationally recognized codes, standards, or practices on matters relating to the safeguarding of life and property from the hazards of fire and explosion arising from storage, handling, and use of flammable and combustible materials, and from conditions hazardous to life or property in the use or occupancy of buildings or premises, as are deemed just and reasonable and in accordance with nationally recognized standards, and not inconsistent with this act, and to revoke, amend, or supersede the same.  For the purpose of this act, standards published by the National Fire Protection Association shall be deemed as meeting the intent of this act.  Exceptions to these standards shall be granted to detention and correction facilities in existence on November 1, 1985, when noncompliance would not result in a lifethreatening condition to inmates incarcerated in such facilities.  All such rules, regulations, and specifications or any revisions or amendments thereto shall not become effective until promulgated in accordance with the provisions of the Administrative Procedures Act.

B.  1.  Liquefied petroleum gas defined by Section 420.1 of Title 52 of the Oklahoma Statutes shall be regulated by the Oklahoma Liquefied Petroleum Gas Board.

2.  Flammable liquids stored in tanks at service stations shall be regulated by the Corporation Commission.

C.  For the purpose of this section:

1.  "Flammable liquids" means all petroleum products used as motor fuel and all grades of gasoline, kerosene, diesel fuel and aviation fuel having a vapor pressure not exceeding forty (40) pounds per square inch absolute at one hundred (100) degrees Fahrenheit;

2.  "Service station" means any facility including but not limited to businesses serving the public, marinas and airports where flammable liquids are stored in aboveground tanks and dispensed for retail sales into the fuel tanks of airplanes, vessels or motor vehicles of the public; and

3.  "Aboveground tank" means any stationary vessel at a service station and is located above the surface of the ground or on the ground which is designed to contain an accumulation of flammable liquids and which is constructed of nonearthen materials that provide structural support.

Added by Laws 1965, c. 257, § 7, eff. July 1, 1965.  Amended by Laws 1985, c. 62, § 3, eff. Nov. 1, 1985; Laws 1990, c. 252, § 1, operative July 1, 1990; Laws 2003, c. 168, § 8, eff. July 1, 2003.

§74-324.7a.  Assistance and cooperation of State Fire Marshal.

A.  The Office of the State Fire Marshal in pursuance of its duties to protect the health, safety and welfare of the public and property from the hazards of fire and explosion arising from the storage, handling, and use of flammable and combustible materials shall assist and cooperate with the Commission in the performance of its duties under this act by making investigations, fire fighting, gathering evidence and filing reports or complaints with the Commission concerning flammable liquids stored in aboveground tanks.  The Office of the State Fire Marshal shall report any violations of the Oklahoma Aboveground Tank Regulation Act or rules promulgated thereto to the Commission.

B.  Upon the request of the Commission, the Office of the State Fire Marshal shall assist the Commission with the training of its enforcement employees or agents in the standards and practices on matters relating to the safeguarding of life and property from the hazards of fire and explosions arising from storage, handling, and use of flammable liquids located at service stations.

Added by Laws 1990, c. 252, § 12, operative July 1, 1990.  Amended by Laws 2003, c. 168, § 9, eff. July 1, 2003.

§74-324.8.  Uniform force and effect - Authority of cities, towns and counties.

The rules promulgated pursuant to Section 324.1 et seq. of this title shall have uniform force and effect throughout the state and no municipality or subdivision shall enact or enforce any ordinances, rules for construction of or major alterations to buildings with standards other than the Building Officials and Code Administrators (BOCA) National Building Code, as last adopted by the State Fire Marshal Commission, except that a municipality or subdivision which requires permits for construction of or major alterations to buildings may elect to adopt, by ordinance, a renovation code for existing buildings approved by the Office of the State Fire Marshal as an equivalent code to the existing building provisions of the state-adopted building code, or any other recognized national building code, in lieu of the Building Officials and Code Administrators (BOCA) National Building Code.  Provided, nothing in this act shall prevent or take away from any city, town or county, the authority to enact and enforce rules containing higher standards and requirements than those provided herein nor prevent or take away from any city, town or county the authority to amend such adopted codes to make changes necessary to accommodate local conditions.  And provided further, that nothing in this act shall in any way impair the power of any municipality, county or subdivision to regulate the use of land by zoning, building codes or restricted fire district regulations.  And provided further, that this act shall not apply to municipalities that have adopted a national building code recognized in Section 14-107 of Title 11 of the Oklahoma Statutes.

Added by Laws 1965, c. 257, § 8, eff. July 1, 1965.  Amended by Laws 1971, c. 236, § 1, emerg. eff. June 12, 1971; Laws 1990, c. 199, § 1, emerg. eff. May 10, 1990; Laws 1991, c. 324, § 3, emerg. eff. June 14, 1991; Laws 2001, c. 136, § 1, eff. Nov. 1, 2001; Laws 2005, c. 119, § 1, eff. July 1, 2005.

§74-324.9.  Investigations - Reports - Fees, fines and administrative penalties.

A.  The State Fire Marshal or deputies of the State Fire Marshal may make investigations to determine the origin and cause of fires, explosions, or suspected arson, and violations of other related laws and codes.  The State Fire Marshal and the agents of the State Fire Marshal shall be peace officers and have and exercise all the powers and authority of other peace officers, with responsibility for the enforcement of statutes relating to the State Fire Marshal.  This shall include the authority to enforce, issue citations for violations of city-adopted codes, and make arrests for felony offenses relevant to the duties of the State Fire Marshal.  All reports and all results of investigations relevant to the State Fire Marshal statutes shall be available and shall be freely interchanged between the Office of the State Fire Marshal and the Oklahoma State Bureau of Investigation.

B.  The State Fire Marshal Commission may establish fees, fines, and administrative penalties for inspections, plan reviews, and permits as provided in the adopted codes of the Commission, as long as the fees, fines, and administrative penalties do not conflict with any applicable state law.  All fees, fines, and administrative penalties shall be adopted in accordance with the Administrative Procedures Act.

Added by Laws 1965, c. 257, § 9, eff. July 1, 1965.  Amended by Laws 1999, c. 143, § 1, eff. July 1, 1999; Laws 2004, c. 432, § 2, eff. July 1, 2004.

§74324.10.  Additional powers of Fire Marshal.

In addition to any other authority or powers provided by law herein granted, the State Fire Marshal shall be authorized to advise, assist and coordinate with the State Emergency Management Director in the development of Emergency Management plans, and to assist any city, town or county in the enforcement of the Codes herein adopted upon the request of the officials thereof.

Added by Laws 1965, c. 257, § 10, eff. July 1, 1965.  Amended by Laws 2003, c. 329, § 59, emerg. eff. May 29, 2003.

§74-324.11.  Building permits - Application - Plans and specifications - Construction or repair of correctional facilities.

A.  No person, firm, corporation, partnership, organization, city, town, school district, county or other subdivision of government shall commence the construction or major alteration of any building or structure to be used as a school, hospital, church, asylum, theater, meeting hall, hotel, motel, apartment house, rooming house, rest home, nursing home, day nursery, convalescent home, orphanage, auditorium, or install original equipment for the operation or maintenance thereof without obtaining a permit.  Said permit, for which a charge may be made in conformity with the local ordinance, except as limited herein as to governmental agencies, shall be obtained from the city, town or county in whose jurisdiction the construction or alteration is planned.

B.  All such construction or alteration so planned shall conform to the applicable provisions of the BOCA National Building Code, as last revised, the Southern Standard Building Code Congress International (SBCCI), the Uniform Building Code (ICBO), or the International Building Code, except that in the event any city, town or county having jurisdiction to issue such permit has adopted by ordinance one of the other building codes designated in Section 324.8 of this title, then such construction or alteration shall conform to such other code so adopted.

C.  Application for such building permit shall be made to, and such building permit shall be issued by, any city, town or county in whose jurisdiction the construction or alteration is planned.  The city, town or county may require the submission of plans and specifications covering the proposed construction or alteration and may refuse to issue such permit unless the work so planned is in accordance with the applicable provisions of the city, town or county's building code.  In all geographical areas wherein no such permit is required by local authorities such permit must be obtained from the State Fire Marshal, who may require the submission of plans and specifications covering the proposed construction or alteration, and shall refuse to issue such permit unless the work so planned is in accordance with the applicable provisions of said BOCA National Building Code, as last revised, the Southern Standard Building Code Congress International (SBCCI), the Uniform Building Code (ICBO), or the International Building Code.

D.  Nothing in this act shall be construed as repealing any ordinance of any city, town or county requiring the submission to the local authorities of plans and specifications and the obtaining of permits, but the power or authority of any such city, town or county to levy or assess any charge for such permit or to make and enforce requirements prerequisite to the issuance of such permit, other than requiring compliance with such building code, shall, as to governmental agencies, be limited as hereinafter set forth.

E.  No city, town or county requested to issue any such permit to any city, town, school district, county or other subdivision of government shall charge, assess or collect any fee or other charge for such permit except the regular and customary inspection fees fixed by ordinance for inspection of the work to be done under such permit, and no other charge, fee or other conditions of any kind under the authority of this title shall be made a condition of or prerequisite to the obtaining of such permit by any such governmental agency.

F.  No bids may be let for the construction or major alteration of any correctional facility as defined by Section 317 of this title until plans and specifications for such construction or alteration have been submitted to the State Fire Marshal for approval.  The State Fire Marshal shall approve said plans and specifications if the work so planned conforms with the applicable provisions of the BOCA National Building Code, as last revised, the Southern Standard Building Code Congress International (SBCCI), the Uniform Building Code (ICBO), or the International Building Code.

Added by Laws 1965, c. 257, § 11, eff. July 1, 1965.  Amended by Laws 1971, c. 236, § 2, emerg. eff. June 12, 1971, Laws 1973, c. 190, § 1, emerg. eff. May 17, 1973; Laws 1978, c. 163, § 3, emerg. eff. April 7, 1978; Laws 1990, c. 199, § 2, emerg. eff. May 10, 1990; Laws 2001, c. 136, § 2, eff. Nov. 1, 2001.

§74-324.11a.  Smoke detectors required for certain buildings - Testing by lessees - New construction or remodeling - Penalties.

A.  Any person, partnership, corporation, organization, the state, or city, town, county, or other subdivision of this state, owning a building or structure used as a hospital, church, theater, hotel, motel, apartment house, rooming house, dormitory, rest home, nursing home, day nursery, convalescent home, auditorium, or child care institution, existing or constructed in the State of Oklahoma, shall install in such building or structure a smoke detector or detectors in accordance with the nationally recognized codes, standards, or practices adopted by the State Fire Marshal Commission to safeguard life and property from the hazards of smoke and fire.

B.  For the purpose of this section, the term smoke detector means a device which is:

1.  Designed to detect visible or invisible products of combustion;

2.  Designed with an alarm audible to the rooms it serves;

3.  Powered by either battery, alternating current, or other power source; and

4.  Tested and listed for use as a smoke detector by a recognized testing laboratory.

C.  Any person, partnership, corporation, state, municipality, county, or other subdivision of this state who is a lessor of a residential rental property shall explain to the lessee or tenant the method of testing the smoke detector to ensure that it is in working order.  The responsibility for checking a smoke detector to find out whether such detector is in working order is with the tenant or lessee leasing or renting a one- or two-family dwelling, including an apartment in each apartment house, and not with the person, partnership, corporation, state, municipality, county, or other subdivision of this state who is a lessor of the residential rental property to the lessee or tenant.

D.  Beginning November 1, 1997, all new construction or remodeling of residential dwellings which require a building permit shall include the installment of smoke detectors or the electrical wiring necessary for the installment of electrical smoke detectors.

E.  Any person who violates any provision of subsection A of this section or any person who tampers with, removes, destroys, disconnects or removes power from any installed smoke detector, except in the course of inspection, maintenance or replacement of the detector, upon conviction, is guilty of a misdemeanor and may be fined not less than Fifty Dollars ($50.00) nor more than One Hundred Dollars ($100.00).

F.  Nothing in this section shall be construed to allow any political subdivision in this state to enact laws imposing upon owners of any dwelling described in subsection A of this section a greater duty with regard to the installation, testing, repair and replacement of smoke detectors than is required by this section.

G.  The State Fire Marshal Commission shall prescribe, adopt, and promulgate the rules necessary to effectuate the provisions of this section which shall include a practical time table for compliance with the provisions of this act.

H.  Municipalities may enact ordinances in order to enforce the rules of the State Fire Marshal Commission as provided by this section.

Added by Laws 1984, c. 88, § 1, operative Nov. 1, 1984.  Amended by Laws 1988, c. 45, § 1, eff. Nov. 1, 1988; Laws 1993, c. 295, § 5, eff. Sept. 1, 1993; Laws 1997, c. 42, § 1, eff. Nov. 1, 1997.

§74-324.11b.  Hotels or motels - School or college housing - Provision of visual smoke detectors to deaf or hard-of-hearing guests.

A.  Any person, partnership, corporation, organization, state, city, town, county, or other subdivision of this state, operating a building or structure used as a hotel or motel, within the State of Oklahoma, shall provide, at no additional charge to deaf and hard-of-hearing guests and upon request of such guests, portable smoke detectors of the type suitable for providing visual warning to such guests, a room equipped with fixed visual warning smoke detectors or a ground floor guest room accessible to the out-of-doors.  Each hotel or motel shall have available at least one portable visual warning smoke detector, one room equipped with a fixed visual warning smoke detector or one ground floor guest room accessible to the out-of-doors for each fifty guest rooms of such hotel or motel.  No hotel or motel shall be required to have more than a total of six portable visual warning smoke detectors, six rooms with fixed visual warning smoke detectors or six ground floor guest rooms accessible to the out-of-doors.  Each hotel or motel shall have at least one such smoke detector, one room equipped with a fixed visual warning smoke detector or one ground floor guest room accessible to the out-of-doors.

B.  Any school or college that provides housing to deaf and hard-of-hearing individuals shall make a visual warning smoke detector available for each such individual's use and may require users to post a refundable deposit.

Added by Laws 1989, c. 146, § 1, eff. Nov. 1, 1989.  Amended by Laws 1998, c. 246, § 38, eff. Nov. 1, 1998.

§74-324.11c.  Removable coverings over emergency escape and rescue openings in residences.

Any residential occupancy built or retrofitted after November 1, 2005, that have installed bars, grills, covers, screens, or similar devices that are placed over emergency escape and rescue openings, bulkhead enclosures, windows, or window wells, shall be releasable or removable from the inside without the use of a key, tool, or force greater than that which is required for normal operation of the escape and rescue openings, bulkhead enclosures, windows, or window wells.

Added by Laws 2005, c. 54, § 1, eff. Nov. 1, 2005.

§74324.12.  Transfer of powers and duties to Fire Marshal.

Upon the effective date of this act the powers and duties conferred by the provisions of 74 O.S.1961, Sections 314 through 318 and Section 320, are hereby vested in the Office of the State Fire Marshal.

Amended by Laws 1983, c. 333, § 28, emerg. eff. June 29, 1983.  

§74-324.13.  Administrative procedures.

The Fire Marshal Commission and the State Fire Marshal shall be subject to the provisions of the Administrative Procedures Act, Section 250 et seq. of Title 75 of the Oklahoma Statutes.

Added by Laws 1965, c. 257, § 13, eff. July 1, 1965.  Amended by Laws 1997, c. 206, § 1, eff. Nov. 1, 1997.

§74324.14.  Legal advisor.

The Attorney General shall be the legal advisor for the office of the State Fire Marshal and the Fire Marshal Commission and shall appear for and represent the State Fire Marshal, the Fire Marshal Commission and any of his deputies or agents in any and all litigation that may arise in the discharge of their respective duties.

Laws 1965, c. 257, § 14, eff. July 1, 1965.  

§74324.18.  Fireresistant insulating materials  Rules and regulations  Sale  Approval.

The State Fire Marshal Commission shall adopt rules relating to the fireresistant qualities of thermal insulating materials.  The rules and regulations shall be consistent with the nationally recognized codes, standards or practices as may be available.  No person, firm or corporation shall distribute or sell at wholesale or retail, in this state, any thermal insulating material for loose fill application unless the material has been approved by the State Fire Marshal as being in accordance with the rules and regulations of the State Fire Marshal Commission.  The State Fire Marshal's approval shall be manifested in an annual certificate signed by the State Fire Marshal which he shall give to the person, firm or corporation as a sign of his approval.  Upon the request of any state or local building or fire official, the person, firm or corporation shall produce the certificate as proof of the State Fire Marshal's approval.

Laws 1980, c. 96, § 1, eff. Oct. 1, 1980.  

§74324.19.  Violations  Penalties.

Any person, firm or corporation who fails to comply with the provisions of Section 1 of this act shall be subject to payment of a fine of not more than One Thousand Dollars ($1,000.00) for each day's failure to comply with this act.

Laws 1980, c. 96, § 2, eff. Oct. 1, 1980.  

§74324.20.  Collection and disposition of funds.

All monies collected by the Office of the State Fire Marshal from contracts or other sources, for services performed, shall be deposited in the State Treasury for credit to the State Fire Marshal Revolving Fund created in Section 324.20b of this title.

Added by Laws 1984, c. 180, § 4, operative July 1, 1984.  Amended by Laws 1985, c. 308, § 3, emerg. eff. July 24, 1985; Laws 1986, c. 190, § 7, operative July 1, 1986; Laws 2001, c. 381, § 19, eff. July 1, 2001.

§74-324.20b.  State Fire Marshal Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the State Fire Marshal to be designated the "State Fire Marshal Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of monies received from the sale of surplus property, fees and receipts collected pursuant to the Oklahoma Open Records Act, fines, forfeitures, fees, charges, receipts, donations, gifts, bequests, contributions, devises, interagency reimbursements, federal funds unless otherwise provided by federal law or regulation, or any other source.  The fund shall consist of no more than Five Hundred Fifty Thousand Dollars ($550,000.00).  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the State Fire Marshal for authorized purposes.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1998, c. 169, § 1, eff. July 1, 1998.  Amended by Laws 2003, c. 265, § 4, eff. July 1, 2003; Laws 2005, c. 269, § 4, eff. July 1, 2005.

§74324.21.  Certified copy of fire investigation report  Fee.

The Office of the State Fire Marshal shall be authorized to prepare under the Seal of the Office and deliver upon request, a certified copy of fire investigation reports, as authorized in Section 314 of Title 74 of the Oklahoma Statutes, charging a fee of Two Dollars ($2.00) per page for each document so authenticated. Fees collected by the Office of the State Fire Marshal shall be deposited in the State Treasury for credit to the General Revenue Fund of the state.

Added by Laws 1984, c. 180, § 5, operative July 1, 1984.  

§74-325.1.  Council on Firefighter Training.

A.  There is hereby established the Oklahoma Council on Firefighter Training.

B.  The Council shall consist of nine (9) members, two of whom shall be ex officio and nonvoting, as follows:

1.  One member to be appointed by the Oklahoma State Firefighters Association who shall be a member of an Oklahoma fire department representing all members of paid, volunteer and combination fire departments;

2.  One member to be appointed by the Professional Fire Fighters of Oklahoma who shall be a fire union officer, chief officer, or fire service instructor from a full-time paid fire department;

3.  One member to be appointed by the Oklahoma Fire Chiefs' Association who shall be a chief officer or fire service instructor from an Oklahoma combination fire department;

4.  One member to be appointed by the State Fire Marshal Commission who shall be a representative of the Oklahoma Fire Service with commensurate skills in arson investigation or code enforcement;

5.  One member to be appointed by the Oklahoma Rural Fire Coordinators who shall be a chief officer or fire service instructor from a volunteer fire department;

6.  One member to be appointed by the Director of the State Department of Health-Emergency Medical Services Division who shall be a chief officer or fire service EMS instructor from an Oklahoma fire department;

7.  One member to be appointed by the Director of the Oklahoma Department of Homeland Security who shall be a municipal emergency management official;

8.  The Director of Fire Service Training, Oklahoma State University, ex officio and nonvoting; and

9.  The Director of Fire Service Publications, Oklahoma State University, ex officio and nonvoting.

C.  The initial term of office for the members of the Council shall be:

1.  Three (3) years for persons appointed pursuant to paragraphs 1 through 3 of subsection B of this section;

2.  Two (2) years for persons appointed pursuant to paragraphs 4 and 5 of subsection B of this section; and

3.  One (1) year for persons appointed pursuant to paragraphs 6 and 7 of subsection B of this section.

D.  After the expiration of the initial terms of office prescribed by subsection C of this section, the term of office for each member of the Council shall be for a period of three (3) years.

E.  Each member of the Council shall serve at the pleasure of the appointing authority.

F.  Appointments made to fill a vacancy in any position shall be for the period of time remaining for such appointed position and shall be made in the same manner as for the original appointment.  Any vacancy in the Council shall be filled in the same manner as provided for in the original appointment.

G.  The Council shall be responsible for:

1.  Identifying firefighter training needs and setting the firefighter training goals for the State of Oklahoma;

2.  Interacting with the Homeland Security Department's Preparedness and Awareness Division on firefighter training and grants; and

3.  Administering and maintaining the incentive and recognition programs established for Oklahoma firefighters.

H.  The Council shall advise the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the State Senate and the Oklahoma State Fire Service on fire and emergency service training needs for the state.  The Council shall submit an annual report or recommendations regarding fire and emergency service training needs to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the State Senate not later than December 31 each year.

I.  After the initial appointments to the Council have been made and at the beginning of each fiscal year thereafter, the Council shall select from among its membership a chairperson.

J.  At least four members of the Council must be present to constitute a quorum at the meetings of the Council.  A simple majority of the members in attendance and voting shall constitute passage of any vote.

K.  The chair of the Council shall recommend to the appointing authority the replacement of any Council member who misses more than two consecutive regular meetings or who attends less than fifty percent (50%) of the Council's regularly scheduled meetings in a twelve-month period without an excused absence.

L.  The staff of the Oklahoma State Firefighters Association shall provide the Council with administrative, professional and clerical services as funding permits.  Functions of the Council that may be paid for from other sources shall be paid using such other sources as may be authorized by law.

M.  The Council shall conduct four meetings annually.  Meetings of the Council shall be held at a location and time to be determined by the chair.  The chair shall have the discretion to cancel or reschedule any regular meeting by written notice within a reasonable time prior to the meeting.  Council members shall be notified of the time and place of all such meetings at least seven (7) days prior to the meeting date.

N.  Special meetings of the Council may be called at the discretion of the chair or by a written request of at least three members of the Council.  An agenda, together with a written notice of the time and place of any such meeting must be provided to the Council members at least seven (7) days in advance.  Only matters contained in the agenda shall be voted on at any special meeting.  The chair shall have the discretion to cancel any special meeting; provided, that such meetings called by the members of the Council are canceled only with their consent.

Added by Laws 2004, c. 515, § 2, eff. July 1, 2004.

§74357.4.  Transfer to United States as National Monument or National Military Park.

The Oklahoma Historical Society shall have power and authority to transfer and convey Fort Gibson Military Park, or any part thereof, to the United States of America or to any of its duly authorized agencies for the purpose of the designation, maintenance, and operation of said military park as a National Monument or a National Military Park.  Said transfer may be made without any other considerations than that the United States Government will designate and maintain said park, or any part thereof, as a National Monument or a National Military Park.

Amended by Laws 1984, c. 261, § 6, operative July 1, 1984.  

§74357.6.  Designation as Fort Arbuckle, Oklahoma.

The area near and on the site of Fort Arbuckle be and is hereby officially designated as "Fort Arbuckle, Oklahoma".

Laws 1961, p. 722, § 1.  

§74357.7.  Discontinuation of use of other name.

All state departments and agencies are hereby directed to discontinue the use of the name "Hoover, Oklahoma" for said area and to substitute in lieu thereof the designation "Fort Arbuckle, Oklahoma".

Laws 1961, p. 722, § 2.  

§74-360.11.  Repealed by Laws 1991, c. 313, § 11, eff. Sept. 1, 1991.

§74-360.12.  Repealed by Laws 1991, c. 313, § 11, eff. Sept. 1, 1991.

§74-360.13.  Repealed by Laws 1991, c. 313, § 11, eff. Sept. 1, 1991.

§74-360.14.  Repealed by Laws 1991, c. 313, § 11, eff. Sept. 1, 1991.

§74-360.15.  Short title.

This act shall be known and may be cited as the "Oklahoma Campus Security Act".

Added by Laws 1991, c. 313, § 4, eff. Sept. 1, 1991.

§74-360.16.  Definitions.

As used in the Oklahoma Campus Security Act:

1.  "Campus" means the real property, buildings and other improvements within this state owned, leased or rented by an institution of higher education or a public school district;

2.  "Campus police officer" means an individual holding a commission from and employed by an institution of higher education or a public school district pursuant to the Oklahoma Campus Security Act, who may also be known as a "campus public safety officer";

3.  "Commission" means a certificate of appointment by the governing board of an institution of higher education or a board of education of a public school district of an individual certified as a full-time police or peace officer pursuant to Section 3311 of Title 70 of the Oklahoma Statutes;

4.  "Governing board" means the board of regents or trustees which determines management policy and has responsibility for the general government of an institution of higher education or the board of education of a public school district; and

5.  "Institution of higher education" means a college, university, higher educational center, or other constituent agency of The Oklahoma State System of Higher Education or a private college or university in this state whose accreditation is recognized by the Oklahoma State Regents for Higher Education pursuant to Section 4103 of Title 70 of the Oklahoma Statutes.

Added by Laws 1991, c. 313, § 5, eff. Sept. 1, 1991.

§74-360.17.  Jurisdiction of campus police officers - Authority of campus police departments.

A.  The jurisdiction of campus police officers includes the campus and pursuant to an agreement authorized by this act, the highways, streets, roads, alleys, easements, and other public ways immediately adjacent to their campus and any other areas authorized by such agreement.  This delineation of jurisdiction, however, shall not be understood as limiting the completion of any necessary enforcement activities which began within these jurisdictions and are in compliance with the agreements made with the municipality or county sheriff pursuant to this act.  In the absence of an agreement, only those law enforcement activities which began on campus may be completed off campus and such activities must be completed in a timely manner.  Such law enforcement activities shall only be authorized if the campus police have coordinated the activities with the local law enforcement agency having jurisdiction in that off campus area.  In addition, a campus police officer shall have jurisdiction in other locations pursuant to an agreement authorized by this act.  Such agreement may authorize the chief administrative officer of the law enforcement agency to request assistance pursuant to the agreement.  Campus police officers, commissioned pursuant to this act, shall have the same powers, liabilities, and immunities as sheriffs or police officers within their jurisdiction.

B.  As limited by law, the provisions of this section, and the governing board, a CLEET certified campus police officer shall have the authority to enforce:

1.  State criminal statutes;

2.  Municipal ordinances, if authorized by an agreement with the municipality; and

3.  Rules and regulations of the school or institution of higher education employing such campus police officer.

C.  As limited by law, the provisions of this section, and the governing board, the campus police department shall have the same authority as a municipal police department.

D.  Campus police departments formed by private institutions of higher education pursuant to this act shall be deemed to be public agencies in the State of Oklahoma for the limited purposes of enforcing the criminal statutes of Oklahoma and making agreements with local law enforcement agencies or political subdivisions of the state pursuant to this act.

Added by Laws 1991, c. 313, § 6, eff. Sept. 1, 1991.

§74-360.18.  Establishment of campus police departments - Commission of campus police officers.

A.  Governing boards of institutions of higher education and boards of education of public school districts are authorized to establish campus police departments pursuant to the provisions of the Oklahoma Campus Security Act.  These boards may employ and commission campus police officers and may designate uniforms, badges and insignia to be worn by such officers and displayed on vehicles or other equipment of the department.  Campus police departments shall use the following words or phrases, alone or in any combination, in conjunction with the uniform, badges, insignia or on vehicles utilized by these departments:  university police, university public safety department, campus police department, campus police officer, campus public safety department, campus public safety officer, or any standardized title such as director, chief, major, captain, lieutenant, sergeant, or corporal.  Upon appointment, each such officer shall be given a written commission, with a photo identification, evidencing the officer's appointment and authority.  The form of this commission shall be prescribed by the governing boards specified in this act.  Persons employed by a governing board which has established a campus police department but who are not campus police officers shall not be permitted to wear uniforms, badges or insignia specified in this subsection or receive commissions or photo identification of the type provided campus police officers.

  B.  The commission of a campus police officer may be suspended or revoked by the governing board for any reason.  Such commission also may be suspended or revoked by the district attorney in whose district the officer is employed for cause related to the campus police officer's ability to exercise the powers of such commission in the interest of public security or suspended or revoked by the district attorney upon conviction of the campus police officer for larceny, theft, embezzlement, false pretense, fraud, any nonconsensual sex offense, any offense involving a minor as a victim, any offense involving the possession, use, distribution or sale of a controlled dangerous substance, or any offense involving a firearm.  The commission of a campus police officer convicted of a felony or of a crime involving moral turpitude shall be revoked by the district attorney upon conviction.  The commission of a campus police officer no longer employed by the governing board, except an officer who is retiring, shall be relinquished to the board, or its representative, at the time of cessation of said employment.  When a commission is revoked or relinquished, the campus police department shall take possession of all campus police officer insignia, badges, identification cards and weapons issued to the officer.  A person who fails to relinquish said insignia, badges, identification cards or weapons, upon conviction, shall be deemed guilty of a misdemeanor and shall be punished by the imposition of a fine of not more than One Thousand Dollars ($1,000.00) or by imprisonment in the county jail for not to exceed one (1) year, or by both such fine and imprisonment.

C.  Governing boards shall notify the Council on Law Enforcement Education and Training (CLEET) when an officer is commissioned or a commission is relinquished or revoked.  The governing boards shall provide CLEET with all information regarding commissioned officers requested by CLEET.

D.  A campus police officer employed pursuant to the Oklahoma Campus Security Act shall not be able to participate in either the Oklahoma Police Pension and Retirement System or the Oklahoma Law Enforcement Retirement System, unless otherwise entitled to by law.

Added by Laws 1991, c. 313, § 7, eff. Sept. 1, 1991.

§74-360.19.  Employment of security personnel.

Whether or not governing boards establish campus police departments pursuant to the Oklahoma Campus Security Act, nothing in this act shall be construed as prohibiting governing boards from:

1.  Employing personnel licensed pursuant to the Oklahoma Security Guard and Private Investigator Act, Section 1750.1 et seq. of Title 59 of the Oklahoma Statutes to be employed as campus security;

2.  Contracting with municipalities to authorize their local municipal police department, or with sheriffs departments, or with retired commissioned police officers to provide security services; or

3.  Providing courtesy patrols, watchmen, traffic control personnel or other persons for the performance of safety or security duties for which such personnel are trained.

Added by Laws 1991, c. 313, § 8, eff. Sept. 1, 1991.

§74-360.20.  Municipal and county sheriff departments - Jurisdictional agreements.

Municipalities and county sheriff departments having overlapping or concurrent jurisdiction with a proposed campus police department, may enter into agreements with the proposed campus police department recognizing jurisdictional boundaries and providing for mutual assistance.  Any such agreements shall be executed by the governing boards of the educational institution and the governing body of the municipality or sheriff, and shall not serve to prevent other law enforcement agencies from having concurrent or overlapping jurisdiction.  Nothing in this act or any action pursuant to this act shall be deemed to create an agent-principal relationship between any campus police officer and any municipality or county.

Added by Laws 1991, c. 313, § 9, eff. Sept. 1, 1991.

§74-360.21.  Collection of fines, penalties, etc. - Prosecution of offenses.

A.  Criminal fines, penalties, fees or penalty assessments imposed by a municipal or district court pursuant to state law or municipal ordinance as the result of an arrest or a citation issued by an officer commissioned pursuant to this act shall be collected and distributed as required by law.

B.  The district attorney of the district where the unlawful conduct is alleged to have taken place shall have authority to prosecute such offense upon complaint being signed by a campus police officer commissioned pursuant to this act.  Any municipal ordinance offense shall be prosecuted in a municipal court.

C.  A campus police department or any officer thereof enforcing state law or municipal ordinance as authorized by the Oklahoma Campus Security Act shall not be deemed to be acting under the authority of any political subdivision of the state, except the governing board establishing the department or commissioning the officer if such governing board is the governing board of an institution in The Oklahoma State System of Higher Education or is a school district.

Added by Laws 1991, c. 313, § 10, eff. Sept. 1, 1991.

§74361.  Bond.

Before entering upon the duties of his office, the State Treasurer shall execute a bond to the state, with good and sufficient sureties to be approved by the Governor, in the penal sum of Fifty Thousand Dollars ($50,000.00):  Provided, that said sum may be increased at any time by the Governor.

R.L.1910, § 8135.  

§74362.  Custody of public money.

He shall have charge of and safely keep all public monies which shall be paid into the State Treasury, and pay out the same as directed by law.

R.L.1910, § 8136.  

§74363.  Accounts.

He shall keep an accurate account of the receipts and disbursements of the Treasury, in books provided for that purpose at the expense of the state, in which he shall specify the names of persons from whom received, to whom paid, on what account the same is received or paid out, and the time of such receipt or payment.

R.L.1910, § 8137.  

§74364.  Accounts with counties.

He shall also keep an account with each organized county of the state, in which each county shall be charged with the amount of the tax levied according to the statement of assessments and levy transmitted to him by the State Auditor and Inspector and credited with the amounts received from the county treasurer.

R.L.1910, § 8138; Laws 1979, c. 30, § 55, emerg. eff. April 6, 1979.  

§74365.  Receipt of warrants as payment  Redemption and cancellation.

Redemption of Warrants.  He shall receive in payment of public dues, the warrants drawn by the State  Treasurer in conformity with the law; or redeem the same, if there be money in the Treasury appropriated for that purpose, and on redeeming such warrant, or receiving the same in payment, he shall cause the person presenting such warrant to endorse the same and the Treasurer shall perforate the date and the word "Canceled" with perforator, and shall enter in his book, in separate columns the number of such warrant, its date, amount and the name of the person to whom payable, the date of the payment and the amount of interest if any, paid thereon.

R.L.1910, § 8139; Laws 1915, c. 4, § 1; Laws 1979, c. 47, § 98, emerg. eff. April 9, 1979.  

§74366.  Interest on warrants persented and not redeemed  Termination of interest.

When any warrant shall be presented to the Treasurer for redemption, and there shall be no funds in the Treasury appropriated for that purpose, the Treasurer shall endorse thereon the date of its presentation, with his signature thereto, and thereafter such warrant shall draw interest at the rate of four percent (4%) per annum, and whenever there shall be funds in the Treasury for the redemption of warrants so presented and endorsed, the Treasurer shall give notice of the fact in some newspaper published at the seat of government, and at the expiration of thirty (30) days after the date of such notice, the interest on such warrant shall cease.

R.L.1910, § 8140; Laws 1937, p. 31, § 1.  

§74369.  Examination of monies and books.

He shall as often as required submit his books, accounts, vouchers and the funds in the Treasury to the inspection of either branch of the Legislature, or any committee appointed for that purpose by the Legislature or by the Governor; and the committee so appointed are hereby empowered to administer to the Treasurer an oath, and it shall be their duty to rigidly examine him and all his clerks, deputies and others under oath touching all matters connected with the business of his office; such committee shall require the funds of the state in the hands of the Treasurer not legally deposited in a bank to be produced in cash, and counted in their presence, and shall see that the money so counted is not borrowed, and to determine that fact, may compel any and all persons to appear before them on subpoena issued by them and served and testify fully, and if they have good reason to believe that any part of the money so offered to be counted is borrowed, the committee shall retain all the money so offered as the funds of the state, and place it in safe keeping until the matter be fully investigated, and if the Treasurer be retained in office the funds shall be returned to him, if not retained, the funds shall be paid to his successor as soon as he may be inducted into office.  If there is good reason to suspect any fraud in the Treasurer, the Governor shall appoint such committee and order an investigation.  Each member of said committee shall be allowed Three Dollars ($3.00) per day for the time necessarily employed.

R.L.1910, § 8143.  

§74370.  Warrants and accounts to be paid in full.

He shall in no case purchase or receive any warrant redeemable at the Treasury, or any audited account at a less value than expressed thereon, nor shall he receive any fee or reward, aside from his annual salary for transacting any business connected with the duties of his office.

R.L.1910, § 8144.  

§74371.  Treasurer to pay loss caused by negligence.

If in any instance the Treasurer shall neglect to call to account any delinquents, whereby the public revenue may suffer loss, he shall be held and deemed accountable for the sums due by such delinquents to all intents and purposes, the same as if the funds had actually been paid into his office.

R.L.1910, § 8145.  

§74372.  Deposits with State Treasurer by city treasurer.

The State Treasurer of the State of Oklahoma shall receive and accept any surplus funds or monies offered for deposit with him by an official voucher drawn by any city treasurer of any city of the State of Oklahoma.  Said Treasurer in accepting said funds shall act as a depository for the same.  Said funds so deposited may be withdrawn by an official transfer voucher on drafts drawn against said account by the city treasurer depositing same, said drafts to be countersigned by the city clerk of said city, and any interest earned by said deposit shall be credited to said account.  Said withdrawal voucher or draft must be made payable only to the city or town treasurer drawing same.

Laws 1941, p. 457, § 1.  

§74423.  Joint Committee on Interstate Cooperation.

There is hereby established a joint committee of the State Legislature, to be officially known as the Joint Committee on Interstate Cooperation; and to consist of seven members of the House of Representatives and five members of the Senate, to be appointed by the Speaker of the House of Representatives and the President Pro Tempore of the Senate, respectively.  The Speaker of the House of Representatives and the President Pro Tempore of the Senate shall be ex officio members of this committee.

Laws 1955, p. 464, § 1; Laws 1981, c. 272, § 24, eff. July 1, 1981.  

§74424.  Governor's Committee on Interstate Cooperation.

There is hereby established a Committee of administrative officials and employees of this state to be officially known as the Governor's Committee on Interstate Cooperation, and to consist of five (5) members.  Its members shall be:  the Budget Officer of this state, ex officio; the Lieutenant Governor; and three other administrative officials or employees to be designated by the Governor.  If there is uncertainty as to the identity of any of the ex officio members of this Committee, the Governor shall determine the question, and his determination and designation shall be conclusive.  The Governor shall appoint one of the five (5) members of this Committee as its Chairman.  In addition to the regular members, the Governor shall be ex officio an honorary nonvoting member of this Committee.

Laws 1955, p. 464, § 2; Laws 1979, c. 241, § 10, operative July 1, 1979.  

§74425.  Oklahoma Commission on Interstate Cooperation.

There is hereby established the Oklahoma Commission on Interstate Cooperation.  This Commission shall be composed of the Joint Committee on Interstate Cooperation and the Governor's Committee on Interstate Cooperation.  The President Pro Tempore of the Senate and the Speaker of the House of Representatives shall serve alternately each year as ex officio chairman and vice chairman of the Commission.

Laws 1955, p. 464, § 3; Laws 1981, c. 272, § 25, eff. July 1, 1981.  

§74427.  Functions of commission.

It shall be the function of this Commission:

(1) To carry forward the participation of this state as a member of  the Council of State Governments.

(2) To encourage and assist legislative, executive, administrative and judicial officials and employees of this state to develop and maintain friendly contact by correspondence, by conference and otherwise with officials and employees of the other states of the federal government and of local units of government.

(3) To endeavor to advance cooperation between this state and other units of government whenever it seems advisable to do so by formulating proposals for, and by facilitating:

(a) The adoption of compacts.

(b) The enactment of uniform or reciprocal statutes.

(c) The adoption of uniform or reciprocal administrative rules and regulations.

(d) The informal cooperation of governmental offices with one another.

(e) The personal cooperation of governmental officials and employees with one another, individually.

(f) The interchange and clearance of research and information.

(g) Any other suitable process.

(4) In short, to do all such acts as will, in the opinion of this Commission, enable this state to do its part  or more than its part  in forming a more perfect union among the various governments of the United States and in developing the Council of State Governments for that purpose.

Laws 1955, p. 465, § 5.  

§74428.  Reports  No compensation  Expenses.

The Commission shall report to the Governor, to the President Pro Tempore of theSenate and to the Speaker of the House of Representatives at least thirty (30) days prior to the convening of each regular legislative session, and at such other times as it deems appropriate.  The members of the Commission shall serve without compensation for such service but shall be reimbursed for all official travel and necessary expenses at rates now provided, or which may hereafter be provided by law for state officials and employees under the provisions of the State Travel Reimbursement Act.  Members of the Joint Committee on Interstate Cooperation shall be reimbursed for official travel and necessary expenses in the same manner as provided by law for members of the State Legislature. Members of the Governor's Committee on Interstate Cooperation shall be reimbursed for official travel and necessary expenses from the Governor's Contingency and Emergency Fund or such other fund or funds as are available for such purposes.

Laws 1955, p. 465, § 6; Laws 1981, c. 272, § 26, eff. July 1, 1981.  

§74429.  Joint governmental agency.

The Council of State Governments is hereby declared to be a joint governmental agency of this State and of the other states which cooperate through it.

Laws 1955, p. 465, § 7.  

§74450.  Legislative Council Abolished  Reports.

A.  The State Legislative Council, the Executive Committee, and all standing and special committees thereof are hereby abolished. Except as otherwise provided in this section, all powers, duties, responsibilities, property, assets, and liabilities administered by the State Legislative Council for the benefit of the Oklahoma Legislature shall be transferred to either the Senate or the House of Representatives as determined by the President Pro Tempore of the Senate and the Speaker of the House of Representatives acting jointly.

B.  All annual reports or other reports required by law to be submitted to the State Legislative Council, after July 1, 1981, shall be submitted to the President Pro Tempore of the Senate and the Speaker of the House of Representatives.

Amended by Laws 1983, c. 334, § 12, emerg. eff. June 30, 1983; Laws 1985, c. 319, § 5, operative Oct. 1, 1985.  

§74-450.1.  Legislative Fiscal Office and Joint Bill Processing Department abolished - Legislative Service Bureau created.

A.  The Legislative Fiscal Office and Joint Bill Processing Department are hereby abolished.

B.  There is hereby created the Legislative Service Bureau which shall serve both the House of Representatives and the Senate.  The Speaker of the House of Representatives and the President Pro Tempore of the Senate shall employ a Director of the Legislative Service Bureau, who shall employ such personnel as necessary to implement the responsibilities imposed upon the Bureau by the Legislature by concurrent resolution.

C.  1.  The Legislative Service Bureau shall be responsible for such services as directed by the Speaker of the House of Representatives and the President Pro Tempore of the Senate; and any area of production of proposed legislation as directed by the Speaker of the House of Representatives and President Pro Tempore of the Senate.

2.  The Legislative Service Bureau shall be a clearinghouse for the Legislature for all budgetary forms, research reports and information.

3.  Any reference in the Oklahoma Statutes to the Legislative Fiscal Office or the Joint Bill Processing Department shall be a reference to the Legislative Service Bureau.

Added by Laws 1985, c. 319, § 6, operative Oct. 1, 1985.  Amended by Laws 1994, c. 279, § 9, eff. July 1, 1994; Laws 1995, c. 292, § 7, eff. July 1, 1995.

§74-450.2.  Repealed by Laws 1999, 1st Ex.Sess., c. 5, § 452, eff. July 1, 1999.

§74-452.3.  Repealed by Laws 1994, c. 279, § 11, eff. July 1, 1994.

§74452.4.  Performance post audits.

The Legislative Service Bureau is authorized and directed, in addition to other duties and responsibilities which may be assigned to it, to conduct or cause to be conducted pursuant to a contract a continuing program of performance post audits of any or all state agencies, departments, commissions, offices, authorities and all other entities of the state government, or any function thereof, receiving stateappropriated funds, cash funds, federal funds or any other funds derived under the authority or by virtue of law.  For the purpose of this section, "performance post audit" means an examination of the effectiveness of administration and its efficiency and adequacy in terms of the program of a state agency, authorized by law to be performed, and the conformance of expenditures with legislative intent in the appropriation of funds. Audits conducted shall include an analysis of the operation of all agencies of state government with special regard to their activities and the duplication of efforts between agencies and the quality of service being rendered.

Amended by Laws 1985, c. 319, § 19, operative Oct. 1, 1985.  

§74452.5.  Assistance and cooperation of state entities.

The officials and employees of all entities of the state are hereby directed to aid, assist and cooperate fully with the Legislative Service Bureau in its performance of all audits and other functions.

Amended by Laws 1985, c. 319, § 20, operative Oct. 1, 1985.  

§74-452.7.  Joint Committee on Federal Funds.

A.  There is hereby created the Joint Committee on Federal Funds.  The committee will consist of twenty (20) members of the Oklahoma Legislature, ten from each house, to be appointed every two (2) years by the President Pro Tempore of the Senate and the Speaker of the House of Representatives.  The Chair of the House of Representatives Committee on Appropriations and Budget and the Senate Committee on Appropriations will constitute two of the twenty members.  The Chair and Vice Chair of the Joint Committee on Federal Funds shall be appointed by the Speaker of the House of Representatives and President Pro Tempore of the Senate and shall rotate between the House of Representatives and the Senate.

Beginning October 1, 1981, the Chair shall be from the Senate until the convening of the First Regular Session of the Legislature in January, 1983, at which time the Chair shall be assumed by the House of Representatives; thereafter, the Chair shall alternate every two (2) years between the Senate and the House of Representatives, beginning with the convening of the First Regular Session of the Legislature.  The Joint Committee on Federal Funds shall function as a joint committee of the Oklahoma Legislature when the Legislature is in session and when the Legislature is not in session.  Each appointive member of said committee shall serve until a successor is appointed.  Meetings of the committee shall be called by either the Chair or Vice Chair.  The presence of ten members of the committee shall constitute a quorum.  The committee shall not take final action upon any state plan or any application for federal financial assistance unless a quorum is present and that any action taken by the committee shall be upon a majority vote of the members from each body of the Legislature present.

B.  The Joint Committee on Federal Funds shall have the following powers and responsibilities:

1.  To review and make recommendations regarding state plans and applications for federal financial assistance; and

2.  To recommend to the Oklahoma Legislature procedures to coordinate, report and track the effects of federal financial assistance and federal policy on Oklahoma state government.

Upon the request of either the Chair or Vice Chair of the Joint Committee, the Legislative Service Bureau shall perform the duties requested by the Joint Committee.  Members of the committee shall be reimbursed for authorized travel and expenses in the same manner as members of the committees of the House of Representatives and the Senate.

Added by Laws 1981, c. 274, § 1, eff. Oct. 1, 1981.  Amended by Laws 1982, c. 325, § 1, emerg. eff. June 1, 1982; Laws 1985, c. 319, § 21, operative Oct. 1, 1985; Laws 2001, c. 94, § 1, emerg. eff. April 16, 2001.

§74-452.8.  Proposals for use of federal monies - Public hearings.

A.  The Legislature may hold public hearings on the proposals submitted by state agencies, boards and commissions including those established by statute or Constitution for use of federal monies.

B.  Prior to any public hearing on a proposal by the Joint Committee on Federal Funds, ten copies of each proposal shall be filed with the Speaker of the House of Representatives and the President Pro Tempore of the Senate.  Additional complete copies shall be provided to the Legislature and individuals by the agencies, boards and commissions at no charge.

C.  The Speaker of the House of Representatives and President Pro Tempore of the Senate may refer proposals to the Joint Committee on Federal Funds or other committees of the Legislature for public hearings.  Said committees may take facts and make findings and recommendations on the proposals regarding the use and distribution of federal monies as provided by the plans.

D.  If a proposal is referred to committees of the Legislature other than the Joint Committee on Federal Funds, such committees, by August 1, may make written reports regarding their findings and recommendations and submit such reports to the Joint Committee on Federal Funds.  Said reports shall include a summary of public comments received through written or oral testimony during public hearings if a public hearing had been conducted.  Where appropriate, the report may recommend amendments to the proposals for consideration by the Joint Committee on Federal Funds.

E.  The Joint Committee on Federal Funds may hold further public hearings on the proposals.

Added by Laws 1982, c. 325, § 2, emerg. eff. June 1, 1982.  Amended by Laws 2001, c. 94, § 2, emerg. eff. April 16, 2001.

§74452.10.  Copies of financial audits, compliance audits and program reviews to be provided to certain state agencies.

A.  Each state agency shall furnish copies of financial audits, compliance audits, and program reviews on its entity to the Office of State Finance, the State Auditor and Inspector, and the Legislative Service Bureau.

B.  Each state agency shall furnish copies of all audits performed on its entity to the Legislature as required by the Legislative Review of State Audits Act.

C.  Copies of audits furnished to the State Auditor and Inspector shall be furnished in accordance with the provisions of Section 212A of this title.

Added by Laws 1983, c. 334, § 14, emerg. eff. June 30, 1983.  Amended by Laws 1985, c. 319, § 22, operative Oct. 1, 1985; Laws 1996, c. 290, § 15, eff. July 1, 1996; Laws 2002, c. 401, § 1, eff. Nov. 1, 2002.

§74-452.11.  Short title.

Sections 2 through 5 of this act shall be known and may be cited as the "Legislative Review of State Audits Act".

Added by Laws 2002, c. 401, § 2, eff. Nov. 1, 2002.

§74-452.12.  Definitions.

For purposes of the Legislative Review of State Audits Act:

1.  "Agency" includes, but is not limited to, any constitutionally or statutorily created board, bureau, commission, office, institution, authority, university, college, and any other person or administrative division of state government expending or encumbering state funds, handling money on behalf of the state, or holding any trust funds on behalf of the state from any source derived.  The term "agency" shall not include the Governor, the Legislature or any branch, committee or officer thereof, the courts or any political subdivision of the state;

2.  "Audit" includes all types of audits as defined by Government Auditing Standards issued by the United States Comptroller General and includes, but is not limited to, an examination, an investigation or a review required by or performed as a result of state or federal law or program or rules thereof or any examination, investigation or review in which any agency, state or federal funds or both state and federal funds are expended for any agency matter relating to:

a. compliance by an agency with all applicable state and federal laws and rules,

b. internal controls,

c. the efficiency and the economy of agency financial operations.  Economy and efficiency audits include determining:

(1) whether the agency is acquiring, protecting and using its resources economically and efficiently,

(2) the causes of inefficiencies or uneconomical practices, and

(3) whether the agency has complied with laws and rules concerning economy and efficiency, or

d. the effectiveness of an agency in achieving desired program results.  Program audits include determining:

(1) the extent to which the desired results or benefits established by the Legislature or other body are being achieved,

(2) the effectiveness of organizations, programs, activities or functions, and

(3) whether the agency has complied with significant laws and rules applicable to the program.

The term "audit" shall not include position audits or payroll audits performed by the Office of Personnel Management, inmate sentence audits conducted by the Oklahoma Department of Corrections or confidential requests made by any member of the Legislature or the Governor's office;

3.  "Auditor" means any person, corporation, partnership, federal agency or state agency, or other legal public or private entity performing any service meeting the definition of "practice of public accounting" in the Oklahoma Accountancy Act on an agency;

4.  "Audit report" means the final report in a written document which contains the comments and recommendations of the auditor.  The audit report shall also include, if any, comments of the agency on which the audit was performed; and

5.  "Records" includes, but is not limited to, books, papers, maps, photographs, cards, tapes, recordings, or other documentary materials, regardless of physical form or characteristics, prepared, owned, used, or in the possession of or retained by the auditor, or the agency, or both the auditor and agency.

Added by Laws 2002, c. 401, § 3, eff. Nov. 1, 2002.

§74-452.13.  Review of audit by legislative committees.

A.  Upon the completion of the audit report, the agency shall deliver two copies of the audit report to the Speaker of the House of Representatives and two copies of the audit report to the President Pro Tempore of the Senate.

B.  1.  Upon receipt of any audit report, the Speaker of the House of Representatives shall submit one copy of the audit report to the Chairman of the House Appropriations and Budget Committee, or successor committee.  The President Pro Tempore of the Senate shall submit one copy of the audit report to the Chairman of the Senate Appropriations Committee, or successor committee.  The Speaker of the House of Representatives and the President Pro Tempore of the Senate shall each send a copy of the audit report to the appropriate standing committee of the respective body having oversight of the agency submitting the audit report.

2.  Each committee shall review the audit report.

C.  1.  The members of the legislative committee or any other member of the Legislature reviewing the audit report shall have access to all documents and working papers and any agency documents and records relating to the audit unless specifically precluded by state or federal law.

2.  Any contract or agreement with an auditor to perform an audit authorized or required by state or federal law or rule shall contain a provision informing the auditor that all documents, working papers and records relating to the audit shall be made available for inspection, upon request, to the legislative committee or to any other member of the Legislature reviewing the final audit report unless specifically precluded by state or federal law.

D.  In reviewing any audit report, or in the performance of reviewing any supporting documents and working papers relating to the audit, members of the Legislature shall be subject to the statutory provisions or other laws or rules regarding the confidentiality of records of the agency under review.

Added by Laws 2002, c. 401, § 4, eff. Nov. 1, 2002.

§74-452.14.  Agency response.

A.  Each agency body responsible, pursuant to law, for governing and administering an agency shall review each audit report submitted to the Legislature pursuant to Section 4 of this act and shall submit a written agency response regarding the audit pursuant to this section.

B.  The written agency response shall include:

1.  The name and address of the agency;

2.  Identification of the audit performed and the name of the auditor;

3.  Any changes implemented or changes proposed to an agency program, financial operation, management process or other agency operation as a result of the audit;

4.  A plan of action for achieving any recommendation of the auditor;

5.  A statement for each recommendation in the audit report explaining the reasons for not implementing such recommendation including, but not limited to, need for statutory changes to implement additional costs or a showing that the recommended change would not be a cost benefit to the agency or the state; and

6.  Any other information requested by the Speaker of the House of Representatives or by the President Pro Tempore of the Senate or by a standing committee reviewing the audit.

C.  The written response shall be submitted to the Speaker of the House of Representatives and the President Pro Tempore of the Senate within thirty (30) days after the audit report has been submitted to the Legislature pursuant to Section 4 of this act.

Added by Laws 2002, c. 401, § 5, eff. Nov. 1, 2002.

§74-456.  Meetings of committees and subcommittees - Expenses - Per diem - Travel expenses - Association or organization membership dues.

A.  Committees and subcommittees of each house of the Legislature are hereby authorized to meet when the Legislature is not in session, subject to the approval of the presiding officer of the respective house.

B.  When the Legislature is not in session, members of the Legislature shall be reimbursed their expenses in attending meetings of committees and subcommittees of which they are members or to which they are invited by committee chairs and shall be reimbursed as provided in subsection C of this section for expenses for such meetings and such other legislative business as may be authorized by the rules or by resolution of the member's respective house.

C.  In addition to reimbursement for mileage as authorized by law, per diem in lieu of expenses in the amount of Twenty-five Dollars ($25.00) is hereby authorized for not to exceed twenty (20) days when the Legislature is not in session.  The President Pro Tempore of the Senate and the Speaker of the House of Representatives may authorize per diem for meetings exceeding twenty (20) days for members of their respective houses as they deem necessary.

D.  A per diem in lieu of expenses in the amount deductible without additional documentation pursuant to the Internal Revenue Code of 1986, as amended, is hereby authorized for meetings outside the state by members, officers and employees of the Legislature.  A per diem in lieu of expenses in the amount deductible without additional documentation pursuant to the Internal Revenue Code of 1986, as amended, for the destination within the geographical area of travel is hereby authorized for official travel to high-rate geographical areas, as designated in Section 500.9 of this title, by members, officers and employees of the Legislature.  Provided, however, that members and employees of the Legislature may, in lieu of the above provisions, be reimbursed for out-of-state travel pursuant to the State Travel Reimbursement Act.

E.  In addition to reimbursement allowed under subsection D of this section, reimbursement for out-of-state transportation costs shall be made at an amount not exceeding the cost of coach airplane fare.  Provided that reimbursement for travel by commercial airplane on a first-class basis may be made if coach-class space is not available within a reasonable time and is justified by attachments to claim for reimbursement.  Claims for reimbursement for first-class transportation by commercial airline shall be accompanied by the passenger's duplicate of airline ticket, or other airline receipt which includes information as to class of accommodation for which reimbursement is claimed.

F.  Members, officers and employees of the Legislature shall be reimbursed for any membership dues or fees paid to any association or organization connected with the performance of their duties with the state, upon the approval of the Speaker of the House of Representatives or the President Pro Tempore of the Senate.

Added by Laws 1939, p. 20, § 6.  Amended by Laws 1949, p. 629, § 2; Laws 1963, c. 298, § 2; Laws 1965, c. 424, § 2; Laws 1967, c. 338, § 1, emerg. eff. May 18, 1967; Laws 1968, c. 113, § 2, emerg. eff. April 1, 1968; Laws 1969, c. 280, § 1, emerg. eff. April 25, 1969; Laws 1970, c. 284, § 4, emerg. eff. April 23, 1970; Laws 1971, c. 2, § 1, emerg. eff. Feb. 22, 1971; Laws 1975, c. 254, § 1, emerg. eff. June 5, 1975; Laws 1977, c. 97, § 1, emerg. eff. May 30, 1977; Laws 1979, c. 239, § 6, eff. July 1, 1979; Laws 1980, c. 282, § 1; Laws 1981, c. 272, § 30, eff. July 1, 1981; Laws 1995, c. 336, § 4, emerg. eff. June 8, 1995; Laws 1997, c. 384, § 17, eff. July 1, 1997.

§74456.2.  Joint committees of Legislature may be established.

In addition to those joint committees provided by law, the President Pro Tempore of the Senate and the Speaker of the House of Representatives shall be authorized to establish joint committees of the Legislature as they deem necessary.  Said joint committees shall be composed of members from the Senate to be appointed by the President Pro Tempore of the Senate, and members from the House to be appointed by the Speaker of the House of Representatives. Joint committees and subcommittees of joint committees shall be authorized to meet when the Legislature is not in session, subject to such restrictions as may be imposed by the President Pro Tempore of the Senate and the Speaker of the House of Representatives.  Members of the Legislature and the officers thereof shall be reimbursed their expenses in attending meetings of joint committees and subcommittees of joint committees of which they are members or to which they are invited by committee chairmen when the Legislature is not in session.

Laws 1981, c. 272, § 44, eff. July 1, 1981.  

§74456.3.  Per diem and mileage for legislators when Legislature not in session.

Members of the Legislature who are officers of each house of the Legislature shall receive the same per diem and mileage reimbursement when the Legislature is not in session as that provided by law for members of the Legislature for travel to and from the State Capitol in the performance of their duties.  Claims for reimbursement under this section shall be approved by the presiding officer of the appropriate house.

Laws 1981, c. 272, § 45, eff. July 1, 1981.  

§74456.7.  Stateowned real property  Alternative use study by Director of Division of Planning and Management Analysis.

A.  For purposes of this section, the term "unit of state government" shall mean the state, or any department, board, commission, institution or agency thereof.

B.  A copy of the inventory required pursuant to Section 204 of Title 61 of the Oklahoma Statutes shall be sent to the Director of the Division of Planning and Management Analysis in the Office of the Governor.

C.  Upon the determination, by any unit of state government that:

1.  Any real property owned or under its control is surplus;

2.  It is anticipated that such property will no longer be used for its current purpose; or

3.  The operation of such property is no longer necessary or economically feasible;

the unit of state government shall send written notice of such determination to the Department of Central Services.  Upon receipt of such determination, the Department of Central Services shall notify the Director of the Division of Planning and Management Analysis in the Office of the Governor of the information.  The Director of the Division of Planning and Management Analysis shall then conduct a study, in cooperation with any affected community in which the real property is located, detailing and prescribing alternate uses of such real property.  The Director of the Division of Planning and Management Analysis shall provide for the public notification of such study and shall notify other units of state government, and the county governmental officials and any officers of the municipality in which such real property is located.  The study shall also include whether the real property is especially suited to the special needs of any particular unit of state government or may be used advantageously by a particular unit of state government in carrying out its assigned duties or functions.  Upon completion of such study, the Director of the Division of Planning and Management Analysis shall submit a written report to the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Governor and the affected unit of state government detailing his findings and recommendations concerning such real property.

D.  The provisions of this section shall apply to all real property and interests in real property except railroad and highway rightofways owned by the state or by any department, board, commission, institution or agency thereof or the real property and improvements described in subsection C of Section 1 of this act.

Added by Laws 1988, c. 319, § 17, eff. Sept. 30, 1988.  Amended by Laws 1997, c. 292, § 9, eff. July 1, 1997.

§74471.  Advisory committee created  Members  Duties.

There is hereby established an advisory committee to the Legislature of Oklahoma and to the Governor of Oklahoma.  Such committee shall be composed of four (4) members of the Oklahoma Bar to be appointed by the Governor with the advice of the President of the Oklahoma Bar Association and two (2) members, at least one of whom is a member of the House of Representatives, to be appointed by the Speaker of the House of Representatives and two (2) members, at least one of whom is a member of the Senate, to be appointed by the President Pro Tempore of the Senate.  Each member shall serve for four (4) years or until his death, resignation, or failure or refusal, certified by the remaining members, to perform his duties, renders his place vacant, whereupon the vacancy shall be filled in the same manner as the original appointment.  In the event a legislative member fails to retain his seat in his respective house prior to the expiration of his term on the committee, his place on the committee shall be rendered vacant.  The members of such committee, hereafter called commissioners, shall be the official commissioners of the State of Oklahoma to the National Conference of Commissioners on Uniform State Laws.  They shall attend the annual meetings of such national conference.  They shall report annually to the Legislature and to the Governor concerning the work of said conference and all other matters relating to their duties.  They shall advise the Legislature and its committees concerning proposals for uniform and model state laws, the effect which such proposals would have on the law of this state, and such other matters as may be pertinent to desirable uniformity in legislation between this state and other states.

Laws 1947, p. 628, § 1; Laws 1975, c. 173, § 1, emerg. eff. May 21, 1975; Laws 1981, c. 272, § 31, eff. July 1, 1981; Laws 1982, c. 27, § 1, operative Oct. 1, 1982; Laws 1992, c. 364, § 16, emerg. eff. June 4, 1992.

§74472.  Participation in national conference.

The State of Oklahoma shall participate in the support of the work of the National Conference of Commissioners on Uniform State Laws by contributing the state's fair pro rata share to the support of the work of the conference, which shall be paid out of the funds provided for the expenses of the Governor.

Laws 1949, c. 628, § 2.  

§74473.  Holding other office  Honorary members  No compensation  Expenses.

Notwithstanding any other provision of law, the holding of other office or employment under the government of this state or of the United States shall not be inconsistent with service on said advisory committee.  Citizens of this state who are accredited by the National Conference on Uniform State Laws as associate members or as life members shall be honorary members of said committee, and shall be authorized to participate in the performance of its duties. Commissioners and honorary members of the committee shall receive no compensation for their services, except as other State officials and employees are reimbursed, for all necessary and proper expenses incurred in performing their duties, including attendance at meetings of the National Conference on Uniform State Laws, which reimbursement shall be made out of the funds provided for the expenses of the office of the Governor.  Laws 1949, p. 628, Sec. 3;

Laws 1949, p. 628, § 3; Laws 1957, p. 540, § 1.  

§74474.  Cumulative character  Repeals.

The provisions of this act are cumulative except that any act, or part of an act, inconsistent with Section 3 of this act is hereby repealed.

Laws 1949, p. 629, § 4.  

§74475.  Partial invalidity.

If any provision of this act or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the act which can be given effect without the invalid provision or application, and to this end the provisions of this act are declared to be severable.

Laws 1949, p. 629, § 5.  

§74476.  Recognition of Dr. Merrill as lifetime commissioner.

Dr. Maurice H. Merrill is hereby recognized for his attainment of status of a lifetime commissioner of the State of Oklahoma to the National Conference on Uniform State Laws.

Laws 1967, p. 712, S.J.R. No. 8, § 1, emerg. eff. April 17, 1967.  

§74477.  Continuation of payment of expenses  Vacancies.

Any person who attains the status of honorary or lifetime member of the National Conference on Uniform State Laws shall continue to be recognized as a commissioner of the State of Oklahoma with full power to represent the State of Oklahoma in all votes and other proceedings of the Conference in addition to the three whose appointment is otherwise provided by law and shall continue to receive reimbursement for all necessary and proper expenses incurred in the performance of his duties as such official commissioner of the State of Oklahoma of the National Conference of Commissioners on Uniform State Laws, including attendance at meetings at the National Conference of Commissioners on Uniform State Laws which reimbursement shall be paid out of the funds provided for the expenses of the Office of the Governor.  Upon such elevation to lifetime membership status of any of the official commissioners of Oklahoma in the National Conference on Uniform State Laws there shall be deemed a vacancy in the three regular memberships provided by Title 74, Oklahoma Statutes 1961, Section 471, and the Governor is hereby authorized to fill such vacancies as and in the manner provided by law.

Laws 1967, p. 712, S.J.R. No. 8, § 2, emerg. eff. April 17, 1967.  

§74-480.  Creation - Composition - Terms - Officers - Travel  reimbursement - Quorum.

A.  There is hereby created the Oklahoma Advisory Committee on Intergovernmental Relations which shall be an advisory committee to the Oklahoma Legislature.

B.  The Oklahoma Advisory Committee on Intergovernmental Relations shall be composed as follows:

1.  One elected municipal official or designee from a municipality with a population of less than fifty thousand (50,000) persons, one elected municipal official or designee from a municipality with a population of fifty thousand (50,000) persons or more and one elected county official, all of whom shall be appointed by the Speaker of the House of Representatives;

2.  One elected municipal official or designee from a municipality with a population of less than fifty thousand (50,000) persons, one elected municipal official or designee from a municipality with a population of fifty thousand (50,000) persons or more and one elected county official, all of whom shall be appointed by the President Pro Tempore of the Senate;

3.  The President of the Oklahoma County Officers Association or designee;

4.  The President of the Oklahoma Association of County Commissioners or designee;

5.  The President of the Board of Directors of the Oklahoma Municipal League or designee;

6.  The members of the Oklahoma Congressional Delegation or staff members designated by the members of the delegation;

7.  Four members of the House of Representatives who shall be appointed by the Speaker of the House of Representatives;

8.  Four members of the Senate who shall be appointed by the President Pro Tempore of the Senate;

9.  The Director of the State Department of Transportation or designee;

  10.  The Chairman of the Oklahoma Tax Commission or designee;

  11.  The Governor or designee; and

  12.  The President of the Oklahoma State School Board Association or designee.

C.  The terms of office of the members appointed by the Speaker of the House of Representatives and the members appointed by the President Pro Tempore of the Senate shall be two (2) years.  Legislative members currently serving on the Committee may serve until July 1, 1996.  Legislative members may be reappointed to successive office for one additional term.

D.  The chairman and vice-chairman of the Committee shall be designated by the Speaker of the House of Representatives and the President Pro Tempore of the Senate as provided for in this subsection.  The appointment of the chairman and vice-chairman shall be from the legislators appointed to the Committee.  The Speaker of the House of Representatives shall designate the initial chairman who shall serve until the convening of the First Regular Session of the 42nd Oklahoma Legislature.  The President Pro Tempore of the Senate shall designate the initial vice-chairman who shall serve until the convening of the First Regular Session of the 42nd Oklahoma Legislature.  Thereafter, the chairmanship shall alternate every two (2) years between the House of Representatives and the Senate, beginning with the convening of the First Regular Session of the Legislature.  In the event of the absence or disability of both the chairman and the vice-chairman, the members of the Committee shall elect a temporary chairman by a majority vote of those present and voting.

E.  The appointed members of the Committee shall serve at the pleasure of the appointing authority.

F.  Any legislative members of the Advisory Committee shall be reimbursed for their necessary travel incurred in the performance of their duties pursuant to Section 456 of Title 74 of the Oklahoma Statutes.  Nonlegislative members of the Advisory Committee shall receive necessary travel expenses incurred in the performance of their duties according to provisions of the State Travel Reimbursement Act.  All such travel reimbursement authorized by this subsection shall be paid by the Legislative Service Bureau.

G.  A majority of the membership of the Committee, excluding the congressional membership, shall constitute a quorum for the purpose of conducting Committee business.

Added by Laws 1987, c. 203, § 65, operative July 1, 1987.  Amended by Laws 1995, c. 140, § 1, emerg. eff. May 2, 1995.

§74481.  Meetings  Public hearings  Staff assistance.

A.  The Advisory Committee on Intergovernmental Relations shall hold meetings as it deems necessary.  The Committee may hold public hearings from time to time on matters within its purview.

B.  Each officer, board, commission, council, department, or agency of state government, and each political subdivision of the state, shall cooperate with the Committee in carrying out the functions and duties imposed by this act.

C.  The House of Representatives and Senate shall provide the Committee with the staff assistance necessary for the Committee to perform its functions.

Added by Laws 1987, c. 203, § 66, operative July 1, 1987.  

§74482.  Powers and duties.

The Advisory Committee on Intergovernmental Relations shall:

1.  Serve as a forum for the discussion and resolution of intergovernmental problems;

2.  Engage in such activities and make such studies and investigations as are necessary or desirable in the accomplishment of its purposes as provided for in this act;

3.  Consider, on its own initiative, ways and means of fostering better relations among local governments and between local governments and the state government;

4.  Propose legislation, constitutional amendments, and model local ordinances necessary to implement recommendations of the Committee;

5.  Encourage, and where appropriate, coordinate studies relating to intergovernmental relations conducted by universities, state, local, and federal agencies, and research and consulting organizations;

6.  Review the recommendations of national commissions studying federal, state, and local government relationships and problems and assess their possible application to Oklahoma;

7.  Review the fiscal relationships between state and local governments pursuant to federal proposals on general revenue sharing or federal programs having significant intergovernmental implications;

8.  Undertake studies to determine the most effective means by which state government and local government organizations can participate in the federal grant system.  Such studies shall make recommendations affecting the state executive and legislative branches and local government organizations, and shall develop an operational plan and recommendations for initial implementation actions;

9.  Study the laws relating to the assessment and taxation of property;

10.  Review technical and financial assistance available to counties, cities, municipalities and agencies owned and controlled by them, governmental conferences or councils, regional planning commissions, community development groups, community action agencies, and similar agencies for the purposes of aiding and encouraging an orderly, productive, and coordinated development of the state, and to strengthen local planning responsibility and capability; and

11.  Make such studies as the Legislature may request.

Added by Laws 1987, c. 203, § 67, operative July 1, 1987.  

§74483.  Compensation and expenses.

No member of the Advisory Committee on Intergovernmental Relations shall receive a salary for duties performed as a member of the Committee.  Reimbursement for necessary travel expenses incurred in the performance of their official duties as a member of the Committee shall be paid by the appointing authority in accordance with the provisions of the State Travel Reimbursement Act.

Added by Laws 1987, c. 203, § 68, operative July 1, 1987.  

§74484.  Annual report issued  Recommendations.

A.  The Advisory Committee on Intergovernmental Relations shall issue reports of its findings and recommendations from time to time and shall issue an annual report on its work.  Copies of the annual report shall be submitted to the Governor, the Speaker of the House of Representatives, and the President Pro Tempore of the Senate.

B.  The Committee shall report to the Speaker of the House of Representatives and President Pro Tempore of the Senate on or before the first day of the 1990 regular session of the Legislature regarding the work of the Committee.  The report shall also make recommendations as to the continuation of the Committee and any structural or staffing changes that the Committee deems necessary to the best interest of the state in the area of improving intergovernmental relations.

Added by Laws 1987, c. 203, § 69, operative July 1, 1987.  

§74-485.  Study of future regulatory activities - Rulemaking - Recommendations.

A.  The Oklahoma Advisory Committee on Intergovernmental Relations shall take appropriate measures to study future federal rulemaking actions, to communicate its concerns and to make recommendations to the federal government regarding future regulatory activities of federal agencies that will affect the State of Oklahoma.

B.  The cabinet secretaries appointed by the Governor pursuant to Section 10.3 of this title shall review the annual Unified Regulatory Agenda published pursuant to the federal Executive Order No. 12875 and make appropriate comments and recommendations regarding proposed regulatory actions within their cabinet responsibilities to the Oklahoma Advisory Committee on Intergovernmental Relations.  The cabinet secretaries may also make recommendations to said committee regarding federal regulatory actions that should be prepared using a negotiated rulemaking process.

C.  A copy of all reports prepared by the Oklahoma Advisory Committee on Intergovernmental Relations shall be filed with the Governor, the Speaker of the House of Representatives, and the President Pro Tempore of the Senate.

Added by Laws 1994, c. 182, § 5, eff. July 1, 1994.

§74-500.1.  Citation.

This act shall be known and may be cited as the "State Travel Reimbursement Act".

Added by Laws 1972, c. 123, § 1, operative July 1, 1972.

§74-500.2.  Reimbursable expenses of state officials, employees and certain others.

A.  Officials and employees of the state, traveling on authorized state business, may be reimbursed for expenses incurred in such travel in accordance with the provisions of the State Travel Reimbursement Act and existing statutes relating to state travel.  Persons who are not state employees, but who are performing substantial and necessary services to the state which have been directed or approved by the appropriate department official shall enjoy the protection of the sovereign immunity of the state to the same extent as a paid employee.  Such persons may be reimbursed for expenses incurred during authorized official travel under these same statutory provisions, provided it is indicated on the claim the person is not a state employee, a description of services performed is entered, and the agency head by approval of the claim certifies such services were substantial and necessary, and germane to the duties and functions of the reimbursing agency.  Travel expenses incurred by a person during the course of seeking employment with a state agency, unless such travel is performed at the request of the employing agency, shall not be considered expenses incurred in performing substantial and necessary services to the state and shall not be reimbursed under the provisions of the State Travel Reimbursement Act.

B.  The chief administrative officer of the Department of Public Safety, the Oklahoma State Bureau of Investigation, the Oklahoma State Bureau of Narcotics and Dangerous Drugs Control, the Military Department of the State of Oklahoma, the Department of Corrections, the Department of Central Services, the Alcoholic Beverage Laws Enforcement Commission, the Oklahoma Department of Agriculture, Food, and Forestry, the Oklahoma Department of Emergency Management, and the State Fire Marshal may arrange for and charge meals and lodging for a contingent of state personnel moved into an area for the purpose of preserving the public health, safety, or welfare or for the protection of life or property.  The cost for meals or lodging so charged shall not exceed the amount authorized in the State Travel Reimbursement Act.  The chief administrative officer of each agency involved in such an operation shall require the vendor furnishing meals, lodging, or both meals and lodging to submit an itemized statement for payment.  When a claim for lodging is made for a contingent of state personnel, individual members of the contingent may not submit a claim for lodging.  When a claim for meals is made for a contingent of state personnel, individual members of the contingent may not submit a claim for meals.

C.  The Oklahoma Department of Commerce, the Oklahoma Center for the Advancement of Science and Technology, and the Oklahoma Department of Agriculture, Food, and Forestry are hereby authorized to enter into contracts and agreements for the payment of food, lodging, meeting facility and beverage expenses as may be necessary for sponsoring seminars and receptions relating to economic development and science and technology issues.  Such expenses may be paid directly to the contracting agency or business establishment.  The Director of the Oklahoma Department of Commerce, the President of the Oklahoma Center for the Advancement of Science and Technology, and the Commissioner of Agriculture shall each provide a quarterly report of such expenditures to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate.

D.  The Native American Cultural and Educational Authority is hereby authorized to enter into contracts and agreements for the payment of food, lodging, and meeting facility as may be necessary to pursue the promotion of fund-raising, marketing, and development of Native American educational programs and cultural projects, or to sponsor luncheons, seminars, and receptions relating to Native American educational, cultural, museum, and economic development issues.  Such expenses may be paid directly to the contracting agency or business establishment.  The Executive Director shall provide a monthly report of expenditures to the Board.

E.  For purposes of this section:

1.  "State agency" means any constitutionally or statutorily created state board, commission, or department, including the Legislature and the Courts;

2.  State agencies are authorized to enter into contracts and agreements for the payment of food and lodging expenses as may be necessary for employees or other persons who are performing substantial and necessary services to the state by attending official conferences, meetings, seminars, workshops, or training sessions or in the performance of their duties.  Such expenses may be paid directly to the contracting agency or business establishment, provided the meeting qualifies for overnight travel for the employees and the cost for food and lodging for each employee shall not exceed the total daily rate as provided in the State Travel Reimbursement Act; and

3.  State agencies are authorized to enter into contracts and agreements for the payment of conference registration expenses as may be necessary for employees or other persons who are performing substantial and necessary services to the state by attending official conferences, meetings, seminars, workshops, or training sessions.  Such expenses may be paid directly to the contracting agency or business establishment.

F.  State agencies are authorized to make direct purchases of commercial airline tickets for use by employees in approved out-of-state travel.  Each claim or invoice submitted to the Director of State Finance for the payment of the purchase shall bear the airline identifying ticket number, the name of the airline, total cost of each ticket purchased, class of accommodation, social security number, and name of the employee for whom the ticket was purchased, and shall be filed on claim forms as prescribed by the Director of State Finance.  The employee shall sign an affidavit stating that the employee did use any direct purchase commercial airline ticket received for his or her approved out-of-state travel.

G.  1.  The Administrator of the Office of Personnel Management is hereby authorized to enter into contracts and agreements for the payment of food, lodging, and other authorized expenses as may be necessary to host, conduct, sponsor, or participate in conferences, meetings, or training sessions.  The Administrator may establish accounts as necessary for the collection and distribution of funds, including funds of sponsors and registration fees, related to such conferences, meetings, and training sessions.  Expenses incurred may be paid directly to the contracting agency or business establishment.

2.  The cost of food for persons attending any conferences, meetings, and training sessions that do not require overnight travel shall not exceed the total daily rate as provided in the State Travel Reimbursement Act.

H.  1.  The Commissioner of the Department of Mental Health and Substance Abuse Services is hereby authorized to enter into contracts and agreements for the payment of food, lodging, and other authorized expenses as may be necessary to host, conduct, sponsor, or participate in conferences, meetings, or training sessions.  The Commissioner may establish accounts as necessary for the collection and distribution of funds, including funds of sponsors and registration fees, related to such conferences, meetings, and training sessions.  Any expenses incurred may be paid directly to the contracting agency or business establishment.

2.  The cost of food for persons attending any conferences, meetings, and training sessions that do not require overnight travel shall not exceed the total daily rate as provided in the State Travel Reimbursement Act.

I.  The Oklahoma Indigent Defense System is hereby authorized to enter into contracts and agreements for the payment of lodging as necessary for employees to carry out their duties in representing any client whom the System has been properly appointed to represent.  Such expenses may be paid directly to the contracting agency or business establishment.  The cost for lodging for each employee shall not exceed the daily rate as provided in the State Travel Reimbursement Act.

J.  The Oklahoma Tourism and Recreation Department is hereby authorized to enter into contracts and agreements for the payment of food, lodging, and meeting facility and beverage expenses as may be necessary for seminars and receptions relating to familiarization tours and tourism development.  The expenses may be paid directly to the contracting agency or business establishment.  The Executive Director of Oklahoma Tourism and Recreation Department shall provide a monthly report of any such expenditures to the Oklahoma Tourism and Recreation Commission.

K.  The Oklahoma Tourism and Recreation Department is hereby authorized to enter into contracts and agreements for the payment of exhibitor fees and display space charges at expositions to promote the Department's recreational facilities and the tourism and recreation industry.  The expenses may be paid directly to the contracting agency or business establishment; provided that no payment shall be made prior to the event unless it conveys a property right to the state for future availability and use.

L.  1.  The Oklahoma Highway Safety Office of the Department of Public Safety is hereby authorized to enter into contracts and agreements for the payment of food, lodging, and other authorized expenses as may be necessary, to host, conduct, sponsor, or participate in highway-safety-related conferences, workshops, seminars, meetings, or training sessions.  The payments shall be for all persons in attendance, including, but not limited to, employees of political subdivisions or employees of the state or federal government.  For purposes specified in this paragraph, only federal highway safety funds may be used in accordance with federal guidelines and regulations, and no appropriated state funds shall be used.

2.  The cost of food for persons attending any highway safety conferences, workshops, seminars, meetings, and training sessions that do not require overnight travel shall not exceed the total daily rate as provided in the State Travel Reimbursement Act.

M.  1.  The Director of the Oklahoma State Bureau of Investigation is hereby authorized to enter into contracts and agreements for the payment of food, lodging and other authorized expenses as may be necessary to host, conduct, sponsor or participate in any conference, meeting, training session or initiative to promote the mission and purposes of the Bureau.  The payments may be for all persons in attendance, including, but not limited to, employees of political subdivisions or employees of the state or federal government.

2.  The cost of food for persons that do not require overnight travel shall not exceed the total daily rate as provided in the State Travel Reimbursement Act.

N.  The Oklahoma Homeland Security Director is hereby authorized to enter into contracts and agreements for the payment of food, lodging and other authorized expenses as may be necessary to host, conduct, sponsor, or participate in homeland security related conferences, meetings, workshops, seminars, exercises or training sessions.  The expenses may be paid directly to the contracting agency or business establishment.

Added by Laws 1972, c. 123, § 2, operative July 1, 1972.  Amended by Laws 1978, c. 177, § 5, emerg. eff. April 11, 1978; Laws 1980, c. 119, § 1, emerg. eff. April 14, 1980; Laws 1981, c. 108, § 1, operative July 1, 1981; Laws 1981, c. 340, § 24, emerg. eff. June 30, 1981; Laws 1982, c. 23, § 1, eff. July 1, 1982; Laws 1984, c. 244, § 1, emerg. eff. May 29, 1984; Laws 1985, c. 347, § 15, emerg. eff. July 31, 1985; Laws 1986, c. 207, § 65, operative July 1, 1986; Laws 1986, c. 301, § 33, operative July 1, 1986; Laws 1989, c. 351, § 2, eff. Nov. 1, 1989; Laws 1990, c. 175, § 1, emerg. eff. May 3, 1990; Laws 1991, c. 216, § 17, operative July 1, 1991; Laws 1991, c. 297, § 7, operative July 1, 1991; Laws 1993, c. 129, § 4, eff. July 1, 1993; Laws 1993, c. 360, § 14, eff. July 1, 1993; Laws 1995, c. 128, § 2, eff. July 1, 1995; Laws 1995, c. 358, § 9, eff. July 1, 1995; Laws 1996, c. 33, § 1, eff. Nov. 1, 1996; Laws 1997, c. 92, § 1, eff. July 1, 1997; Laws 1997, c. 354, § 1, eff. July 1, 1997; Laws 1998, c. 5, § 27, emerg. eff. March 4, 1998; Laws 1998, c. 233, § 2, eff. Nov. 1, 1998; Laws 1998, c. 408, § 1, eff. July 1, 1998; Laws 1999, c. 1, § 33, emerg. eff. Feb. 24, 1999; Laws 1999, c. 289, § 15, eff. July 1, 1999; Laws 2000, c. 6, § 24, emerg. eff. March 20, 2000; Laws 2001, c. 355, § 3, emerg. eff. June 1, 2001; Laws 2004, c. 130, § 11, emerg. eff. April 20, 2004; Laws 2005, c. 223, § 4, eff. Nov. 1, 2005; Laws 2006, c. 16, § 82, emerg. eff. March 29, 2006.

NOTE:  Laws 1993, c. 33, § 1 repealed by Laws 1993, c. 360, § 16, emerg. eff. June 10, 1993.  Laws 1995, c. 36, § 25 repealed by Laws 1995, c. 358, § 12, emerg. eff. June 9, 1995.  Laws 1995, c. 335, § 1 and Laws 1997, c. 286, § 1 repealed by Laws 1998, c. 5, § 29, emerg. eff. March 4, 1998.  Laws 1998, c. 201, § 7 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.  Laws 1999, c. 121, § 1 repealed by Laws 2000, c. 6, § 33, emerg. eff. March 20, 2000.  Laws 2005, c. 396, § 1 repealed by Laws 2006, c. 16, § 83, emerg. eff. March 29, 2006.

§74500.3.  Authority for travel  Claims or vouchers  Limitations.

Authority to approve travel on official state business and approval of claims or vouchers for reimbursement of travel expenses shall be in conformity with 62 O.S. 1971, Section 41.26, or as may be provided in future legislation.  Approval of a travel claim or voucher, as provided in that section, shall constitute authority for the travel set forth in such claim or voucher.  Claims or vouchers for reimbursement for expenses incurred in official travel shall not cover periods in excess of thirtyone (31) days.

However, claims may be filed for subsequent periods of not to exceed thirtyone (31) days.

Laws 1972, c. 123, § 3, operative July 1, 1972.  

§74-500.4.  Mode of travel - Approval - Rate of reimbursement.

A.  Authorized persons traveling on official state business within the State of Oklahoma may utilize railroads, airplanes, buses, whether intracity or intercity, or other public conveyance.  Reimbursement for fares paid for airplane transportation shall not exceed coach class fare except as provided herein.  Reimbursement for fares paid for airplane transportation may be at the business class fare rate for international travel.  Other public conveyance fares shall not exceed the lesser of the normal charge or coach class airplane fare.  Taxicab fares within the State of Oklahoma and communication charges may be reimbursed only upon justification as to the necessity for their use.

B.  Agency heads or their authorized designees may approve the use of motor vehicles for official travel within the State of Oklahoma.  If available, agency owned motor vehicles or motor vehicles leased from the State Motor Pool, either on a full-time basis or for individual trips, shall be utilized for such travel.  Reimbursement for use of privately owned motor vehicles may be authorized by the agency head.

C.  Reimbursement for authorized use of privately owned motor vehicles shall be made using the amount prescribed by the Internal Revenue Code of 1986, as amended, or rules, procedures or other action by the Internal Revenue Service, for use in determining the standard mileage rate allowed for a business expense deduction.  Distances for which reimbursement for use of privately owned motor vehicles is claimed shall not exceed distances set forth in the latest Transportation Commission road map.  Vicinity travel on official business shall be entered on travel claims as a separate item.

Added by Laws 1972, c. 123, § 4, operative July 1, 1972.  Amended by Laws 1974, c. 90, § 2, operative July 1, 1974; Laws 1976, c. 173, § 1, operative July 1, 1976; Laws 1979, c. 239, § 1, eff. July 1, 1979; Laws 1980, c. 332, § 2, eff. July 1, 1980; Laws 1985, c. 7, § 3, eff. July 1, 1985; Laws 1989, c. 355, § 2, eff. Nov. 1, 1989; Laws 1995, c. 335, § 2, eff. Nov. 1, 1995; Laws 1997, c. 384, § 18, eff. July 1, 1997; Laws 1998, c. 408, § 2, eff. July 1, 1998.

§74500.5.  Travel by leased or rented automobile.

e A. Reimbursement for automobiles leased or rented within this state from socalled car rental agencies or private parties, to be used in lieu of a privately owned vehicle on official business for the state, shall not exceed the rate provided for the use of a privately owned automobile.

B.  The actual cost of leasing or renting an automobile outside of this state to be used on official business for the state shall be reimbursed subject to the approval of the agency head or authorized designee.

Laws 1972, c. 123, § 5, operative July 1, 1972; Laws 1980, c. 332, § 3, eff. July 1, 1980.  

§74-500.6.  Travel by privately owned or chartered airplane.

A.  Travel by any state officer or employee on official state business on any privately owned or chartered airplane may be reimbursed in an amount which, when added to per diem and reimbursement for lodging for that trip, does not exceed the equivalent of automobile mileage plus per diem and reimbursement for lodging had a privately owned automobile been used for the trip. The provisions of Section 500.4 of this title shall apply to calculation of automobile mileage equivalent in this section.

B.  Upon completion of each trip, the pilot of any airplane owned by this state shall enter into a record book the names of all passengers on the airplane, date, destination, mileage, purpose, and expense of the trip.  The pilot shall sign each entry in the record book.  Said book may be inspected by the State Auditor and Inspector.

C.  Expenses of the trip are to be charged to the state departments or agencies of the officers or employees using the airplane.  For the purposes of this section the term expense of the trip shall include but is not limited to the cost of operating the airplane, the mileage of the trip, and the salary of the pilot.

Added by Laws 1972, c. 123, § 6, operative July 1, 1972.  Amended by Laws 1985, c. 76, § 1, emerg. eff. May 21, 1985.

§74-500.6A.  Use of state aircraft - Travel logs.

A.  No person shall travel on any aircraft owned, leased, chartered, or operated by the state to or from any place where such person:

1.  Attends an event sponsored by, or an event in support of or in opposition to, a political party, a political action committee, or a political candidate;

2.  Performs a service for which the person or any member of the immediate family of the person has or will receive compensation, including honoraria, other than the salary the person receives from the state;

3.  Attends an event at which others in attendance have been or will be charged an admission fee or at which a donation of money or other thing of value is directly or indirectly charged, requested, solicited, demanded, exacted, sought, accepted, assigned, or received, unless:

a. the admission fee or donation is charged, requested, solicited, demanded, exacted, sought, accepted, assigned, or received by a charitable or nonprofit association, or

b. the admission fee is the regular and usual fee charged for admission to such event, and such event is not in any manner associated with, sponsored by, or designed to benefit a political party, a political candidate, or is otherwise intended to further a partisan political purpose; and

4.  Attends an event at which an audience was charged an admission fee to see or hear the person, unless the admission fee is charged by a charitable or nonprofit association.

B.  The Office of State Finance shall prescribe a travel log form, to be designated the "Travel Use Log", to record information to be used by a state entity providing the aircraft when a person travels on any aircraft owned, leased, chartered, or operated by the state.  The information provided by the Travel Use Log form shall include:

1.  The date and time of the flight;

2.  The registration number of the aircraft flown;

3.  The trip itinerary, including the date and time and each location from which the aircraft takes off or at which the aircraft lands during a trip;

4.  The purpose of each landing during a trip, including but not limited to whether the landing is:

a. for the purpose of giving a speech or other presentation,

b. for attendance at a meeting, event, or other gathering, or

c. for the performance of a service;

5.  The name of the group sponsoring the speech, presentation, meeting, event, or gathering, or receiving the service specified in paragraph 4 of this subsection;

6.  The printed name of each person traveling on the aircraft, including the person, each crew member, and any other passengers traveling on the aircraft, and the location at which each such person, crew member, or passenger boarded and disembarked;

7.  The state entity on whose behalf the passenger or crew member was traveling;

8.  Total flight time;

9.  Trip charges, including fuel costs, landing or hangar fees, pilot waiting time and total trip mileage;

10.  Beginning and ending tachometer or Hobbs reading; and

11.  Flight conditions and number of day and night landings.

C.  The state entity providing an aircraft for travel shall promulgate rules establishing procedures to ensure:

1.  That those persons who travel on such aircraft provide in a legible manner all information required by the Travel Use Log form;

2.  That the Travel Use Log forms are maintained and made available upon request pursuant to the provisions of the Oklahoma Open Records Act;

3.  That summaries of the Travel Use Log on the use of the aircraft compiled by a state entity be filed with the Governor, the Office of State Finance, the Speaker of the House of Representatives and the President Pro Tempore of the Senate annually.  The summaries shall contain the following information:

a. a chronological listing of the date and time of flights,

b. a listing of each location from which the aircraft takes off or at which the aircraft lands during each trip,

c. a listing of the names of each passenger,

d. total flight time, and

e. total cost of trip based on the number of hours of flight time at a standard hourly rate which shall be approximately the cost of chartering a comparable aircraft.

D.  The signature on the Travel Use Log form of each crew member shall constitute certification that the information provided on the Travel Use Log form is true and correct to the best of the information and belief of that crew member.

E.  The state entity providing an aircraft for travel by a person shall keep a copy of the completed Travel Use Log form required by this section for the time period required by the Archives and Records Act for each such trip.

F.  The provisions of this section shall not be construed to prohibit immediate family members of the Governor or Lieutenant Governor from accompanying the Governor or Lieutenant Governor on a trip made in compliance with the provisions of this section on a state aircraft.  As used in this section, "immediate family members" means a parent, a spouse, a child, a stepchild, a foster child, and any individual claimed by the Governor or Lieutenant Governor or the spouse of the Governor or Lieutenant Governor as a dependent for tax purposes.

G.  The provisions of this section shall not be construed to prohibit a person from using an aircraft owned, leased, chartered, or operated by the state to travel to or from any place where the person is attending a function sponsored by an organization to which the State of Oklahoma pays membership dues even though the organization provides time on the agenda for functions separately sponsored by partisan political organizations.

Added by Laws 1998, c. 183, § 1, emerg. eff. April 29, 1998.

§74500.7.  Travel status for meals and lodging.

A.  Except as provided in subsection B of this section, travel status for meals and lodging purposes shall be defined as absence from the officer's or employee's home area and/or official station area while performing assigned official duties.  Provided however, employees whose duties are normally mobile and statewide or multicounty in nature shall not be deemed to have an official station.

B.  State officers or employees directed to participate in their official capacity in a disaster relief activity during a presidentially declared national disaster in Oklahoma after May 1, 1999, for a period of not more than six (6) months after the date of the presidentially declared national disaster, shall be eligible for reimbursement of meal and lodging costs established by the State Travel Reimbursement Act associated with the performance of their duties.

Added by Laws 1972, c. 123, § 7, operative July 1, 1972.  Amended by Laws 1978, c. 179, § 10, emerg. eff. April 11, 1978; Laws 1999, c. 172, § 3, emerg. eff. May 21, 1999.

§74-500.8.  Method of computing per diem.

A reimbursement in lieu of meal expenses, per day, while in official travel status, in an amount authorized by the provisions of the Internal Revenue Code of 1986, as amended, for deductibility of expenses for travel while away from home without additional documentation within the State of Oklahoma and outside the state is authorized.  In computing reimbursement for meals a day shall be a period of twenty-four (24) hours.  Reimbursement for each one-fourth (1/4) day consisting of six (6) hours or major fraction thereof, more than three (3) hours, may be made at the rate of one-fourth (1/4) of the daily allowable rate.  Provided, however, that no reimbursement for meals shall be made for periods which do not include overnight status.  If meals and lodging at a meeting, workshop, conference or other object of travel are furnished as a "package plan", reimbursement may be made, based upon a receipt, but at a daily rate of not to exceed the total daily rate provided in this act.

Added by Laws 1972, c. 123, § 8, operative July 1, 1972.  Amended by Laws 1974, c. 90, § 3, operative July 1, 1974; Laws 1976, c. 173, § 2, operative July 1, 1976; Laws 1979, c. 239, § 2, eff. July 1, 1979; Laws 1982, c. 147, § 8, emerg. eff. April 12, 1982; Laws 1984, c. 166, § 8, operative July 1, 1984; Laws 1985, c. 7, § 4, eff. July 1, 1985; Laws 1990, c. 264, § 56, operative July 1, 1990; Laws 1992, c. 219, § 2, eff. Sept. 1, 1992; Laws 1995, c. 335, § 3, eff. Nov. 1, 1995; Laws 2001, c. 232, § 1, eff. July 1, 2001.

§74-500.9.  Overnight lodging - Rate - Per diem allowance - Limitations and exceptions - Out-of-state trips.

A.  Reimbursement for overnight lodging, while in official travel status, may be made at not to exceed an amount authorized by the provisions of the Internal Revenue Code of 1986, as amended, for deductibility of expenses for travel while away from home without additional documentation or the actual cost, if lower, per night except as provided in subsections C, D and F of this section and Section 500.9A of this title.  Receipts issued by the hotel, motel or other public lodging place shall accompany claims for reimbursement.

B.  A per diem allowance in lieu of subsistence may be authorized by a travel claim issued in accordance with Section 500.3 of this title, which shall include all charges for meals and lodging.  Not to exceed an amount authorized by the provisions of the Internal Revenue Code of 1986, as amended, for deductibility of expenses for travel while away from home without additional documentation may be authorized on the travel claim for the performance of travel within the State of Oklahoma and not to exceed Thirty-six Dollars ($36.00) per diem may be authorized for the performance of travel outside the State of Oklahoma.  In computing the per diem allowance, a day shall be a period of twenty-four (24) hours.  Reimbursement for each one-fourth (1/4) day consisting of six (6) hours or major fraction thereof, more than three (3) hours, may be made at the rate of the daily allowable rate.  Provided, however, that no per diem shall be allowed pursuant to this section for periods of less than overnight in travel status.  Reimbursement for expenses other than meals and lodging may also be made in accordance with the provisions of this act.

C.  State officers or employees attending meetings, workshops, conferences or other objectives of trips which are conducted at a designated hotel, motel or other public lodging place or where lodging has been arranged for by the blocking of rooms or by rate reductions for the participants by the sponsor as evidenced by the announcement or notice of the meeting, workshop, conference or other objective shall be reimbursed the actual lodging expense not to exceed the single occupancy room rate charged by the designated hotel, motel or other public lodging place, provided that the officials or employees are in official travel status approved by the agency head or designee.  Provided further, those state officers or employees attending meetings, workshops, conferences or other objectives of trips, which are conducted at a designated hotel, motel or other public lodging place as provided by this subsection, who choose to acquire less expensive lodging at another hotel, motel or other public lodging place shall be reimbursed the actual lodging expense not to exceed the single occupancy room rate charged by the designated hotel, motel or other public lodging place.  Provided further, those state officers or employees so choosing this option shall be reimbursed for local transportation costs incurred traveling between such optional lodging and the designated hotel, motel or other public lodging place not to exceed the difference between the cost of the designated lodging and the cost of the optional lodging.  Receipts issued by the hotel, motel or other public lodging place shall accompany claims for reimbursement.

D.  State officers and employees who have been required to attend hearings or meetings of any congressional committee or subcommittee or any federal agency, board or commission shall be reimbursed for their actual and necessary travel and lodging expenses; however, the agency head must approve any claims in connection with such expenses.

E.  Reimbursement for meals and lodging on out-of-state trips shall not begin more than twenty-four (24) hours before the meeting, workshop, conference or other objective of trip begins and shall not continue more than twenty-four (24) hours after said meeting, workshop, conference or other objective of trip ends.

F.  Reimbursement for meals and lodging incurred in official travel in areas outside of the United States to implement the objectives of contracts, grants, agreements or gifts for which funds from these sources are furnished shall be reimbursed from said funds at actual cost not to exceed the amount authorized United States Government employees in its periodical publication entitled "Standard Regulations (Government Civilians, Foreign Areas), Department of State, Washington, DC".  Provided, however, travel to points outside of the United States, whether performed under authority of contract, grant, agreement or otherwise, shall not begin more than forty-eight (48) hours before or end more than forty-eight (48) hours after the objective of the trip.

G.  Claims submitted to the Director of State Finance for payment under the provisions of this section shall be certified to by the principal fiscal officer or contract and grant administrator of each agency.  Such officer shall certify that such claim complies with and is authorized under this section.

Added by Laws 1972, c. 123, § 9, operative July 1, 1972.  Amended by Laws 1974, c. 90, § 4, operative July 1, 1974; Laws 1976, c. 173, § 3, operative July 1, 1976; Laws 1979, c. 239, § 3, eff. July 1, 1979; Laws 1980, c. 332, § 4, eff. July 1, 1980; Laws 1981, c. 340, § 25, eff. July 1, 1981; Laws 1982, c. 226, § 1, operative July 1, 1982; Laws 1984, c. 166, § 9, operative July 1, 1984; Laws 1985, c. 7, § 5, eff. July 1, 1985; Laws 1985, c. 178, § 71, operative July 1, 1985; Laws 1989, c. 355, § 3, eff. Nov. 1, 1989; Laws 1990, c. 77, § 1, operative July 1, 1990; Laws 1990, c. 264, § 57, operative July 1, 1990; Laws 1992, c. 219, § 3, eff. Sept. 1, 1992; Laws 1995, c. 335, § 4, eff. Nov. 1, 1995; Laws 1997, c. 354, § 2, eff. July 1, 1997; Laws 2001, c. 232, § 2, eff. July 1, 2001.

§74500.9A.  Expenses provided for in contract or grant.

Per diem payments, travel and other actual and necessary expenses may be paid if same is provided for in any contract or grant.

Laws 1979, c. 239, § 4, eff. July 1, 1979.  Amended by Laws 1990, c. 264, § 58, operative July 1, 1990; Laws 1992, c. 219, § 4, eff. Sept. 1, 1992.

§74500.10.  Limitation on out of state travel.

No agency head nor his designee shall approve out of state travel except for personnel performing policy making, professional, technical, supervisory or administrative duties.

Laws 1972, c. 123, § 10, operative July 1, 1972.  

§74-500.11.  Reimbursement for out of state transportation costs.

A.  Authorized persons traveling on official state business outside of the State of Oklahoma may utilize appropriate forms of transportation, including but not limited to, common carriers, transit system carriers, state owned or privately owned motor vehicles or airplanes, contract rental motor vehicles, commuter airplanes, or transportation by private parties to reach their destinations.

B.  1.  Except as otherwise provided by this section, reimbursement for out of state transportation costs as authorized by this section shall not exceed the normal charge for the type of  transportation used, but in no instance shall reimbursement for transportation used in lieu of commercial airplane exceed the cost of coach class air fare.

2.  Reimbursement for travel by commercial airplane on a first-class basis may be made if coach class space is not available within a reasonable time and is justified by attachment to claim for reimbursement.

3.  Claims for reimbursement for transportation by commercial airline shall be accompanied by the passenger's duplicate of airline ticket, or other airline receipt which includes information as to class of accommodation for which reimbursement is claimed.

4.  If commuter airlines are the only airlines available to reach a destination, reimbursement for transportation used in lieu of commuter air fare shall not exceed the cost of the commuter air fare.

C.  Reimbursement for authorized use of privately owned motor vehicles or vehicles from motor vehicle rental agencies used for out-of-state travel shall be limited to the actual cost for such vehicle but in no instance shall reimbursement for such vehicle exceed the cost for commercial coach class air fare or commuter air fare, whichever is appropriate.  Distances for which reimbursement for use of privately owned motor vehicles or vehicles from vehicle rental agencies is claimed shall not exceed distances set forth in a recognized published national atlas or road map.  Vicinity travel on official business shall be entered on travel claims as a separate item.

Added by Laws 1972, c. 123, § 11, operative July 1, 1972.  Amended by Laws 1997, c. 214, § 1, emerg. eff. May 19, 1997.

§74500.12.  Miscellaneous travel expenses.

Reimbursement for miscellaneous travel expenses and local transportation costs incurred during out of state travel may be made on the basis of an itemization of such costs.

Laws 1972, c. 123, § 12, operative July 1, 1972.  

§74500.13.  Registration fees.

No reimbursement for registration fees for attendance at meetings, workshops or conferences shall be made, except upon written receipt for such expenditures.

Laws 1972, c. 123, § 13, operative July 1, 1972.  

§74500.14.  Rejection of travel claims or vouchers.

The Director of State Finance shall reject any travel claim or voucher not in conformity with the provisions of this act or existing statutes relating to reimbursement for travel expenses.

Laws 1972, c. 123, § 14, operative July 1, 1972.  

§74-500.15.  Claims - Submission.

All claims for reimbursement of travel expenses shall be submitted on the regular authorized form of travel expense claim, and shall be signed by the official or employee performing the travel, and approved by the official or employee designated in 62 O.S. 1971, Section 41.26, for the agency in which the employee works.

Added by Laws 1972, c. 123, § 15, operative July 1, 1972.

§74500.16.  Standard blank forms.

Standard blank forms of travel claims to be used to carry out the purposes of this act, shall be prescribed by the Director of State Finance.

Laws 1972, c. 123, § 16, operative July 1, 1972.  

§74-500.16A.  Payment of claims pursuant to State Travel Reimbursement Act - Procedure.

A.  The Director of State Finance shall establish a procedure to expedite payment for a proper claim of a state employee for expenses recompensable pursuant to the provisions of the State Travel Reimbursement Act.

B.  The procedure provided for in subsection A of this section shall:

1.  require payment within forty-five (45) days from the date on which a proper claim is submitted by the employee to the appropriate office of the agency for which the expenses were incurred; and

2.  provide for the payment of interest from the thirtieth day after receipt by the appropriate office of a proper claim for which payment has not been mailed, transmitted or delivered to the employee by the close of business on the forty-fifth day.  Interest shall be at an annualized rate as reported by the State Treasurer to the Director of State Finance based on an average of the interest rate for thirty-day time deposits of state funds during the last calendar quarter of the last preceding fiscal year.

C.  For purposes of this section, "proper claim" means a claim for reimbursement of incurred expenses supported by all requisite documentation and complete in all respects for processing for payment.

D.  Any employee, after the passage of the forty-five day limit provided for in subsection B of this section, who is aggrieved by the delay in payment of a proper claim with interest or who failed to receive interest as provided for in this section may file a grievance with the Office of the Governor.  The grievance shall be transmitted from the Office of the Governor to the Director of State Finance who, within fifteen (15) days after receipt of the grievance, shall:

1.  pay the claim with interest as provided for in this section; or

2.  report to the Governor and the aggrieved employee why such payment cannot be made.

Added by Laws 1986, c. 84, § 2, eff. Nov. 1, 1986.  Renumbered from § 840.14a of this title by Laws 1994, c. 242, § 53.

§74500.17.  Review of travel expenditures.

All state departments, boards, commissions and institutions shall make a review each quarter year of its travel expenditures during the previous quarter year, and the head of such agency shall be authorized to make reductions in the per diem he approves as determined necessary.

Laws 1972, c. 123, § 17, operative July 1, 1972.  Amended by Laws 1990, c. 264, § 59, operative July 1, 1990; Laws 1992, c. 219, § 5, eff. Sept. 1, 1992.

§74-500.18.  Provisions mandatory - Exemptions.

A.  Except for members of the Legislature, the Governor and the Lieutenant Governor, provisions of Sections 500.1 through 500.18 of this title shall be mandatory for all officials and employees of all departments, boards, commissions and institutions of the state, regardless of the provisions of any other act of the Legislature, except as provided by this section.  The enactment of any measure in the future providing for travel reimbursement of state officers and employees on the basis of "actual and necessary" expenses or in any other manner inconsistent with Sections 500.1 through 500.18 of this title shall be deemed to provide for reimbursement in accordance with Sections 500.1 through 500.18 of this title unless a contrary intent is explicitly expressed in this section.  Sections 500.1 through 500.18 of this title shall not apply, however, to travel reimbursements made by political subdivisions of this state, except as otherwise provided by law.

B.  The agencies listed below are authorized certain exceptions and/or exemptions to the provisions of Sections 500.1 through 500.18 of this title to the extent specified:

1.  Oklahoma Department of Agriculture, Food, and Forestry:

a. The actual and reasonable expenses of travel and subsistence in pursuing and developing markets for Oklahoma agricultural products incurred by the Commissioner, Deputy Commissioner and such employees designated by the State Board of Agriculture within the marketing development programs of the Oklahoma Department of Agriculture, Food, and Forestry shall be reimbursed to the employee incurring such expenses.  Reimbursement of such expenses shall be in accordance with rules adopted by the Board.  Expenses claimed shall, prior to reimbursement, be reviewed by the Board at a regular meeting and individually approved or disapproved.

b. The actual and necessary expenses of out-of-state travel and subsistence incurred by employees of the Forestry Division authorized to evaluate and acquire federal excess property or surplus property in other states for use in its fire protection program, shall be reimbursed to the employee incurring such expenses.

2.  Wheat Utilization, Research and Market Development Commission:

The actual and reasonable expenses of travel, lodging and subsistence in pursuing and developing markets for Oklahoma wheat and wheat products incurred by the Commission, staff and such persons authorized by the Commission shall be reimbursed to the person incurring such expenses.  Expenses of wheat trade officials on wheat trade missions from foreign countries and from other states can be reimbursed to the person previously authorized by the Commission to incur the expense.  No actual and reasonable expenses shall be paid except for time spent working with wheat trade officials on wheat trade missions.  Reimbursement of such expenses shall be made in accordance with rules adopted by the Commission.  Expenses claimed shall, prior to reimbursement, be reviewed by the Commission at each regular meeting and individually approved or disapproved.

3.  Department of Public Safety:

When traveling with the Governor or at the Governor's request, personnel assigned by the Commissioner for executive security and pilots on executive assignment shall be allowed their actual and necessary traveling expenses, upon claims approved by the Commissioner.

4.  Department of Corrections:

The Department of Corrections shall be exempt from limitations of reimbursement for rented automobiles, as set forth in Section 500.5 of this title, when the rental is by a Correctional Officer or Transportation Officer for the limited purpose of transporting inmates.  Reimbursement for the expense shall be on the basis of actual cost.

5.  Oklahoma Tourism and Recreation Department:

The Oklahoma Tourism and Recreation Commission and Department staff who promote in-state and out-of-state business for Oklahoma's state-operated or state-owned parks, lodges, and golf courses and the tourism and recreation industry, may be reimbursed for the actual and necessary expense of travel, subsistence and entertainment for this purpose.  The Director of the Oklahoma Tourism and Recreation Department may reimburse the Publisher of Oklahoma Today magazine and its staff for expenses for meals and other entertainment in order to gain advertising and promotion for Oklahoma Today magazine.  The Oklahoma Tourism and Recreation Department may reimburse the Director of the Office of the Oklahoma Film and Music Commission and staff for the actual and necessary expenses for meals and other entertainment in order to promote the film and music industries in this state.  Reimbursement of all actual and necessary expenses shall be in accordance with rules adopted by the Oklahoma Tourism and Recreation Commission.

6.  Oklahoma Department of Commerce:

a. The actual and necessary expenses incurred by the Director and other employees of the Department authorized by the Director for the purpose of business recruitment shall be reimbursed.  Reimbursement of expenses shall be in accordance with rules adopted by the Director of the Oklahoma Department of Commerce.  Expenses claimed shall, prior to reimbursement, be reviewed by the Director and individually approved or disapproved.

b. The Department, at the discretion of the Director, may charter aircraft for the purposes of carrying out its duties and responsibilities related to business recruitment and performing the duties of the Director.  The cost of such charter shall be exempt from the provisions of Section 500.6 of this title.  Claims filed with the Office of State Finance shall bear the following certification:

The best interests of the citizens of Oklahoma were better served in that conventional ground transportation was not practical or feasible for this trip, aircraft from the Department of Public Safety were not available for this trip, and no other claim has been or will be filed as a payment for the cost of transportation in connection with this trip.

7.  Department of Central Services:

The actual and necessary expenses of travel and subsistence incurred by the Director, any state employee approved by his or her appointing authority, or state officials, for travel outside the state in performance of duties related to bond financing shall be reimbursed to the employee or state official incurring such expenses.  Reimbursement for lodging expenses shall be supported by three telephone bids from hotels within a reasonable distance of the activity for which the travel was approved.

8.  Oklahoma Futures:

The actual and necessary expenses incurred by the members of Oklahoma Futures in the performance of their duties shall be reimbursed to the members incurring such expenses.  Reimbursement of all actual and necessary expenses shall be in accordance with rules adopted by Oklahoma Futures.

9.  Oklahoma Development Finance Authority:

The actual and necessary expenses incurred by the members and employees of the Oklahoma Development Finance Authority in the performance of their duties shall be reimbursed to the person incurring such expenses.  Reimbursement of all actual and necessary expenses shall be in accordance with the bylaws of the Authority.

10.  Oklahoma Center for the Advancement of Science and Technology:

The actual and necessary expenses incurred by the members and employees of the Oklahoma Center for the Advancement of Science and Technology in the performance of their duties shall be reimbursed to the person incurring such expenses.  Reimbursement of all actual and necessary expenses shall be in accordance with the bylaws of the Center.

11.  Center for International Trade Development:

The actual and necessary expenses of travel, lodging and subsistence incurred by the Director and authorized employees of the Center for International Trade Development for performance of their duties for the purpose of business recruitment and assistance shall be reimbursed to the person incurring such expenses.  Reimbursement of such expenses shall be in accordance with the rules adopted by the Director of the Center for International Trade Development.  Expenses claimed shall be reviewed and individually approved or disapproved, prior to reimbursement, first by the Director, and finally by either the Vice President, Business and Finance of Oklahoma State University or the President of Oklahoma State University.

12.  Oklahoma State Bureau of Investigation:

The actual and necessary expenses incurred by the Director and other employees of the Bureau authorized by the Director as a result of conducting investigations shall be reimbursed to each such employee incurring the expenses.  Reimbursement of the expenses shall be in accordance with rules adopted by the Director of the Oklahoma State Bureau of Investigation.  Prior to reimbursement, expenses claimed shall be reviewed by the Director and individually approved or disapproved.

13.  Department of Human Services:

a. The actual and necessary expenses of travel, lodging and subsistence incurred by employees of the Legal Division in the performance of their duties for the purpose of representing the Department of Human Services or any of its officials, employees, institutions or hospitals at any proceeding, including depositions, held before any court, administrative body or representative thereof, shall be reimbursed to the employee incurring such expenses.  Expenses claimed shall be approved by the General Counsel and the Director of Human Services prior to reimbursement.

b. The Department, at the discretion of the Director, may charter aircraft when determined by the Director such charter would be more practical or less expensive than normal modes of transportation and when aircraft of the Department of Public Safety are unavailable.  The costs of such charter shall be exempt from the provisions of Section 500.6 of this title.

14.  Oklahoma Health Care Authority:

The actual and necessary expenses of travel, lodging and subsistence incurred by employees of the Legal Division in the performance of their duties for the purpose of representing the Authority or any of its officials or employees, at any proceeding, including depositions, held before any court, administrative body or representative thereof, shall be reimbursed to the employee incurring such expenses.  Expenses claimed shall be approved by the Administrator prior to reimbursement.

15.  Oklahoma State Bureau of Narcotics and Dangerous Drugs Control:

The actual and necessary expenses incurred by the Director and other employees of the Bureau authorized by the Director as a result of conducting investigations shall be reimbursed to each employee incurring the expenses.  Reimbursement of the expenses shall be in accordance with rules adopted by the Director of the Oklahoma State Bureau of Narcotics and Dangerous Drugs Control.  Prior to reimbursement, expenses claimed shall be reviewed by the Director and individually approved or disapproved.

16.  University Hospitals:

The actual and necessary expenses of travel, lodging and subsistence incurred by employees of the Legal Office in the performance of their duties for the purpose of representing the University Hospitals or any of its officials, employees, institutions or hospitals at any proceeding, including depositions, held before any court, administrative body or representative thereof, shall be reimbursed to the employee incurring such expenses.  Expenses shall be approved by the Chief Executive Officer of the University Hospitals or by the University Hospitals Authority.

17.  Oklahoma Historical Society:

The actual and necessary expenses of travel, subsistence and entertainment incurred by the Executive Director, Deputy Director and any employees designated by the Executive Committee of the Oklahoma Historical Society Board of Directors in pursuing and developing programs and projects for the preservation and marketing of Oklahoma history shall be reimbursed to the person incurring the expenses.  Reimbursement of expenses shall be in accordance with rules adopted by the Oklahoma Historical Society Board of Directors.  Prior to reimbursement, expenses claimed shall be reviewed by the Executive Committee at a regularly scheduled meeting and each claim shall be individually approved or disapproved.

18.  The Oklahoma Department of Mines:

The actual and necessary expenses of travel, lodging and subsistence incurred by employees of the Department in the performance of their duties for the purpose of representing the Department or any of its officials or employees, at any proceeding, hearing or meeting with federal agencies, boards, commissions, congressional representatives, congressional committees or staff, shall be reimbursed to the employee incurring such expenses.  Expenses claimed shall be approved by the Executive Director prior to reimbursement.

19.  The Office of Attorney General:

The actual and necessary expenses of travel, lodging and subsistence incurred by its employees in the performance of their duties for the purpose of representing the state, the Legislature, any state board, agency or commission, or any employee or official of the state entitled to representation, at any proceeding, including depositions, held before any court, administrative body or any representative thereof, and the actual and necessary expenses incurred by employees as a result of conducting investigations shall be reimbursed to the employee incurring the expenses.  The expenses shall be approved by the Attorney General prior to reimbursement.

20.  District Attorneys Council:

The actual and necessary expenses of travel, lodging and subsistence incurred by each district attorney and other employees of the district attorney authorized by the district attorney in the performance of their duties for any district other than the district for which they are employed for the purpose of representing the state, any county, or any employee or official of the state entitled to representation at any proceeding, including depositions held before any court, administrative body or any representative of a court or administrative body, and the actual and necessary expenses incurred as a result of conducting investigations shall be reimbursed to each employee incurring the expenses.  Reimbursement of the expenses shall be in accordance with rules adopted by the District Attorneys Council.  Prior to reimbursement, expenses claimed shall be reviewed by the Council and individually approved or disapproved.

21.  The Department of Securities:

The actual and necessary expenses of travel, lodging and subsistence incurred by the Administrator and other employees of the Department of Securities in the performance of their duties for the purpose of representing the Department of Securities, at any proceeding, including depositions, held before any court, administrative body or any representative thereof, conducting on-site examinations, or conducting investigations, shall be reimbursed to each employee incurring the expenses.  The expenses shall be approved by the Administrator of the Department of Securities prior to reimbursement.

22.  Corporation Commission:

The actual and necessary travel expenses incurred by the staff of the Public Utility Division as a result of conducting audits and/or reviews of utility service providers shall be reimbursed to each such employee incurring the expense.  Reimbursement of the expenses shall be as set forth in procedures established by the appointing authority.

23.  The Department of Human Services:

Employees of the Department of Human Services shall be reimbursed for their actual and necessary expenses of travel, lodging and subsistence incurred in the performance of their duties for the purpose of escorting and transporting children or adults in the care or custody of the Department:

a. for out-of-state visitation, care, treatment and placement of a child welfare client,

b. for out-of-state treatment for or placement of an adult protective services client,

c. for out-of-state treatment for or placement of a resident of a state resource center, or

d. for out-of-state treatment for or placement of an individual with a developmental disability who is living in the community in community residential services.

Expenses claimed shall be approved by the appropriate Division Administrator or Associate Director prior to reimbursement.

24.  The Banking Department:

The actual and necessary expenses of travel and lodging incurred by the Commissioner and other employees of the Banking Department in the performance of their duties for the Banking Department shall be paid or reimbursed by the Banking Department to each employee incurring the expenses.  The expenses shall be approved by the Banking Commissioner prior to payment or reimbursement.

25.  Oklahoma Office of Homeland Security:

The actual and necessary expenses of travel, lodging, and subsistence incurred by the Oklahoma Homeland Security Director, as a result of the duties and responsibilities of the Director, shall be paid or reimbursed by the Oklahoma Office of Homeland Security.

26.  The Grand River Dam Authority:

The actual and necessary expenses of travel and lodging incurred by the Board of Directors and other employees of the district in the performance of their duties for the Grand River Dam Authority shall be paid or reimbursed by the district to each Director or employee incurring the expenses.  The expenses shall be approved by the General Manager of the Grand River Dam Authority prior to payment or reimbursement.

27.  The Native American Cultural and Educational Authority:

The actual and necessary expenses incurred by the Directors and employees of the Native American Cultural and Educational Authority in performances of duties. The expenses shall be approved by the Director prior to payment or reimbursement.

C.  The agencies listed in subsection B of this section shall be required to report annually the actual expenses excepted or exempted from Sections 500.1 through 500.18 of this title to the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives.  The report shall be submitted no later than the first day of September following the end of each fiscal year.

Added by Laws 1972, c. 123, § 18, operative July 1, 1972.  Amended by Laws 1977, c. 242, § 1, eff. July 1, 1977; Laws 1980, c. 332, § 5, eff. July 1, 1980; Laws 1985, c. 178, § 70, operative July 1, 1985; Laws 1986, c. 207, § 66, operative July 1, 1986; Laws 1986, c. 301, § 34, operative July 1, 1986; Laws 1987, c. 222, § 119, operative July 1, 1987; Laws 1989, c. 355, § 4, eff. Nov. 1, 1989; Laws 1990, c. 258, § 50, operative July 1, 1990; Laws 1992, c. 368, § 2, eff. July 1, 1992; Laws 1994, c. 283, § 8, eff. Sept. 1, 1994; Laws 1995, c. 95, § 3, emerg. eff. April 13, 1995; Laws 1995, c. 358, § 10, emerg. eff. June 9, 1995; Laws 1996, c. 3, § 20, emerg. eff. March 6, 1996; Laws 1997, c. 354, § 3, eff. July 1, 1997; Laws 1998, c. 408, § 3, eff. July 1, 1998; Laws 1999, c. 1, § 34, emerg. eff. Feb. 24, 1999; Laws 1999, c. 387, § 1, emerg. eff. June 8, 1999; Laws 2000, c. 366, § 2, emerg. eff. June 6, 2000; Laws 2001, c. 5, § 51, emerg. eff. March 21, 2001; Laws 2001, c. 165, § 1, emerg. eff. May 2, 2001; Laws 2001, c. 355, § 4, emerg. eff. June 1, 2001; Laws 2002, c. 22, § 29, emerg. eff. March 8, 2002; Laws 2002, c. 460, § 42, eff. Nov. 1, 2002; Laws 2003, c. 3, § 86, emerg. eff. March 19, 2003; Laws 2004, c. 157, § 5, emerg. eff. April 26, 2004; Laws 2004, c. 524, § 5; Laws 2005, c. 146, § 1, eff. July 1, 2005.

NOTE:  Laws 1989, c. 351, § 3 repealed by Laws 1991, c. 335, § 37, emerg. eff. June 15, 1991.  Laws 1994, c. 281, § 2 repealed by Laws 1995, c. 1, § 40, emerg. eff. March 2, 1995.  Laws 1995, c. 1, § 34 repealed by Laws 1995, c. 358, § 12, emerg. eff. June 9, 1995.  Laws 1995, c. 335, § 5 repealed by Laws 1996, c. 3, § 25, emerg. eff. March 6, 1996.  Laws 1998, c. 395, § 3 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.  Laws 2000, c. 267, § 1 repealed by Laws 2001, c. 5, § 52, emerg. eff. March 21, 2001.  Laws 2001, c. 433, § 105 repealed by Laws 2002, c. 9, § 8, emerg. eff. Feb. 15, 2002.  Laws 2001, c. 232, § 3 repealed by Laws 2002, c. 22, § 34, emerg. eff. March 8, 2002.  Laws 2002, c. 9, § 4 repealed by Laws 2003, c. 3, § 87, emerg. eff. March 19, 2003.  Laws 2002, c. 343, § 3 repealed by Laws 2003, c. 3, § 88, emerg. eff. March 19, 2003.

§74-500.20.  Governor, Lieutenant Governor and spouses - Reimbursement for travel expenses.

The Governor of the State of Oklahoma is hereby authorized reimbursement for all actual and necessary travel expenses incurred when on official business of the state.  Such actual and necessary expenses shall include the subsistence and transportation expenses of the Governor's spouse when accompanying the Governor on official business of the state, or when attending an official function at the request of the Governor.  The provisions of this section shall also apply to the Lieutenant Governor, the Lieutenant Governor's spouse, and the Governor's personal assistant.

Added by Laws 1977, c. 87, § 3, emerg. eff. May 30, 1977.  Amended by Laws 1979, c. 186, § 4, emerg. eff. May 17, 1979; Laws 1983, c. 302, § 5, emerg. eff. June 23, 1983; Laws 2003, c. 371, § 3.

§74500.36.  Per diem and other reimbursements for expenses not authorized for state boards and commissions  Certain statutory salaries excepted.

Effective July 1, 1985, no members of Oklahoma boards and commissions shall receive per diem payments or reimbursements for expenses other than those specifically authorized by Sections 500.1 through 500.54 of Title 74 of the Oklahoma Statutes or Section 1501605 of Title 82 of the Oklahoma Statutes or except as otherwise provided by law.  Provided that this section is not intended to prohibit the payment of statutory salaries to members of the Oklahoma Tax Commission, the Oklahoma Transportation Commission and the Oklahoma Pardon and Parole Board.

Added by Laws 1985, c. 178, § 80, operative July 1, 1985. Amended by Laws 1985, c. 306, § 4, emerg. eff. July 24, 1985.  

§74-500.37.  Direct deposit of travel reimbursements.

State officers and employees may receive any travel reimbursements that he or she may be entitled to through direct deposit if the officer or employee is receiving his or her payroll claims pursuant to the Oklahoma State Employees' Direct Deposit Act.

Added by Laws 1999, c. 135, § 1, eff. Nov. 1, 1999.

§74500.51.  Transferred employees  Partial payment of moving expenses.

It is the purpose of this act to provide partial payment by the State of Oklahoma to a certified carrier for the cost of moving any employee permanently transferred at the request of a state agency.

Laws 1972, c. 150, § 1, eff. July 1, 1972.  

§74500.52.  Definitions.

In this act, unless the context requires a different definition:

1.  "Carrier" means any common carrier registered and approved by the Oklahoma Corporation Commission;

2.  "Employee" means any state officer or employee with the exception of elected officials;

3.  "Permanent transfer" means a transfer in excess of twentyone (21) weeks; and

4.  "Household goods" means personal effects excluding automobiles, boats, trailers, other than a manufactured home which is the principal residence of the employee, animals or any other possession not normally considered as household goods.

Laws 1972, c. 150, § 2, eff. July 1, 1972; Laws 1974, c. 203, § 1; Laws 1981, c. 118, § 34.  

§74500.53.  Services included.

Any employee who is permanently transferred at the request of any state agency to a location in excess of twentyfive (25) miles from the location of his previous place of employment shall be entitled to payment by the State of Oklahoma to the carrier for the following services provided by the carrier:

1.  (a)  The actual linehaul cost of moving ten thousand (10,000) pounds of the employee's household goods, said cost to include the packing, loading and unloading of the goods, respectively, or

(b)  Movement of one manufactured home and its contents, regardless of the number of pieces into which it disassembles for transport, provided it is the principal residence of the employee; provided further, that said movement shall not exceed the equivalent cost of moving ten thousand (10,000) pounds of household goods the equivalent distance;

2.  Special servicing of appliances at the origin and destination of the move; and

3.  The insuring of the employee's household goods and/or manufactured home, in the amount of One Dollar ($1.00) per pound, not to exceed Ten Thousand Dollars ($10,000.00).

Any additional moving expenses incurred as a result of said transfer shall be assumed by the employee.

Laws 1972, c. 150, § 3, eff. July 1, 1972; Laws 1974, c. 203, § 2; Laws 1981, c. 118, § 35.  

§74500.54.  Requisition  Competitive bids.

Any agency transferring an employee who comes under the provisions of Sections 500.51 through 500.55 of this title shall forward to the Office of Public Affairs a requisition requesting that the household goods and manufactured home of the employee be moved at state expense.  Upon receipt of said requisition the Office of Public Affairs shall obtain bids from carriers registered and approved by the Corporation Commission.  The most responsible carrier submitting the lowest bid shall be awarded the moving contract.

Amended by Laws 1983, c. 304, § 142, eff. July 1, 1983.  

§74500.55.  Compliance with act required - Violations - Penalties.

A.  No state agency shall move the household goods or manufactured home of any employee except in compliance with the provisions of this act.

B.  Any person authorizing a violation of this section shall be guilty of a misdemeanor and upon conviction thereof shall be penalized by a fine not to exceed One Thousand Dollars ($1,000.00) or imprisonment in the county jail for not to exceed ninety (90) days or by both such fine and imprisonment and any employment of such person in any position or capacity by the State of Oklahoma shall be terminated immediately upon such conviction whether or not any fine or confinement is imposed by the court.

Laws 1972, c. 150, § 5, eff. July 1, 1972; Laws 1974, c. 203, § 4; Laws 1981, c. 118, § 37; Laws 1992, c. 219, § 1, eff. Sept. 1, 1992.

  

§74581.  Contracts by department or institution with another for work  Payment  Disposition of proceeds.

That any department of the state government or any state institution may contract with any other department of state government or institution having under its control the personal services, labor and equipment, machinery or other facilities to perform needed work for or on behalf of the state or its subdivisions, department or institutions, when such work may be performed by the use of machinery, equipment, material and/or labor of the department or institution under its control contracting to furnish such service by the use of such facilities of its own, or those of any institution of the state under its control.  The department or institution or subdivision obtaining and receiving such services shall pay or otherwise compensate the department or institution performing the work for the fair value thereof, including the cost of material used and proper compensation by payment or exchange for any personal services, labor, equipment and material employed in performing such work or services; which said funds shall be deposited in a special depository account to be kept separately from all other collections and may be expended by the departments, subdivisions or institutions performing the services by voucher issued by said department or institution and drawn on the State Treasurer; provided, however, that when such services are performed by any department or institution having a revolving fund, such payments may be credited to and become a part of such revolving fund.

Laws 1943, p. 236, § 1.  

§74-585.  Use of state property only for official business - Penalty.

A.  Any property acquired by the state shall be used only in the conduct of the official business of the state.

B.  Any person convicted of violating the provisions of subsection A of this section is guilty of a misdemeanor.

Added by Laws 1998, c. 371, § 14, eff. Nov. 1, 1998.

§74-586.  Short title.

This act shall be known and may be cited as the "Oklahoma Privatization of State Functions Act".

Added by Laws 1999, c. 281, § 1, eff. Jan. 1, 2000.

NOTE:  Editorially renumbered from § 595 of this title to avoid duplication in numbering.

§74-587.  Purpose of act.

It is hereby declared that the purpose of the Oklahoma Privatization of State Functions Act is to set guidelines for the privatization of state services in order to ensure that, if approved, the privatization of state services is cost effective and in the best interest of the citizens of this state.

Added by Laws 1999, c. 281, § 2, eff. Jan. 1, 2000.

NOTE:  Editorially renumbered from § 595.1 of this title to avoid duplication in numbering.

§74-588.  Definitions.

As used in the Oklahoma Privatization of State Functions Act:

1.  "Agency" means an agency, board, commission or other entity of state government;

2.  "Cost analysis" means a study that includes, but is not limited to:

a. all direct personnel costs, materials and supplies, equipment, capital and equipment depreciation costs, rent, maintenance and repairs, utilities, insurance, travel, operations overhead, and general administrative overhead associated with privatization of a function, program, service, unit, or division,

b. a feasibility study determining whether other state agencies could perform the function, program, service, unit, or division sought to be privatized,

c. an analysis of the cost savings and quality enhancements expected to be gained by privatizing, and

d. any other provisions that may be required by rules adopted by the Department of Central Services related to privatization.

3.  "Cost analysis report" means a written report of the cost analysis; and

4.  "Privatize" means to enter into contract for the performance of a duty or function which is currently being performed by a state employee.

Added by Laws 1999, c. 281, § 3, eff. Jan. 1, 2000.  Amended by Laws 2003, c. 355, § 1, eff. Nov. 1, 2003.

NOTE:  Editorially renumbered from § 595.2 of this title to provide consistency in numbering.

§74-588.1.  Cost analysis - Report - Finding.

A.  Before any agency contracts to privatize a function, program, service, unit, or division valued at One Hundred Thousand Dollars ($100,000.00) or more, the agency must perform a cost analysis and provide a copy of the cost analysis report to the Department of Central Services.

B.  The Department of Central Services shall review the cost analysis report and make a finding as to whether it fulfills the content requirements of the Oklahoma Privatization of State Functions Act and the rules of the Department.  If the cost analysis report is found not to meet the requirements of the Oklahoma Privatization of State Functions Act or the rules of the Department, the Department shall return the cost analysis report to the agency with instructions.

C.  The Director of the Department of Central Services shall promulgate rules necessary to implement the provisions of the Oklahoma Privatization of State Functions Act.

Added by Laws 2003, c. 355, § 2, eff. Nov. 1, 2003.

§74-589.  Employee proposals for improvement of agency prior to privatization - Notification of proposed privatization - Consideration of employee proposals - Notice of intent to solicit bids - Analysis of contract cost - Performance-linked payment.

A.  Upon a finding by the Department of Central Services pursuant to Section 2 of this act that the agency has complied with the requirements of the Oklahoma Privatization of State Functions Act, and before any agency can contract to privatize a function, program, service, unit or division, the agency must allow its employees the opportunity to submit proposals for improving the operations, efficiency or organization of the entity being considered for privatization.

B.  The privatization process shall begin with:

1.  Notification to employees impacted by the proposed privatization by the agency of its intent to privatize a function, program, service, unit, or division of the agency;

2.  A specific statement that employees have an opportunity to submit proposals to the agency; and

3.  Notification by the agency simultaneously with the notice required pursuant to paragraph 1 of this subsection, to the Director of the Office of State Finance and the Director of the Department of Central Services of the intent of the agency to privatize a state function.

C.  The agency shall provide information about the delivery of services to its employees as they develop proposals to be considered.  This information shall include revenue expenditure data, wage and salary data, an inventory of the supplies, equipment, and facilities associated with the program being privatized, and the cost analysis performed by the agency.

D.  Proposals submitted by agency employees shall remain confidential and be considered simultaneously in the bid or proposal process with nonemployee bids.

E.  After an agency has decided to privatize a function, program, service, unit or division and has met the requirements of subsection D of this section, the agency shall notify the Director of State Finance of its intent to solicit bids by interested parties.  Prior to solicitation of bids from other interested parties, the agency shall notify the Governor, President Pro Tempore of the Senate, and Speaker of the House of Representatives of the intent of the agency to solicit bids and a statement that the agency has given the opportunity to its employees to submit proposals pursuant to this section prior to the decision to privatize.

F.  The agency shall provide a comprehensive written analysis of the contract cost based upon the designated bid, specifically including the costs of transition from public to private operation, severance payments to agency employees, and monitoring and otherwise administering contract performance.

G.  The agency shall require the following information prior to entering into a contract to privatize a function, program, service, unit, or division:

1.  Financial stability of the vendor, past and present litigation, and references related to past government contract performance information; and

2.  Detail how the vendor will perform the contract, including staffing and equipment information.

H.  The agency shall establish a plan and cost analysis on how to return the privatized function, program, service, unit, or division to the state if there is a contract cancellation.

I.  Any contract with a vendor to privatize a function, program, service, unit, or division shall require that the payment to the contractor be linked to performance.  The contract shall provide that the amount agreed upon in the contract may be reduced if the agency experiences a budget shortfall.

J.  Each privatization contract shall contain provisions requiring the contractor to offer available employee positions pursuant to the contract to qualified regular employees of the agency whose state employment is terminated because of the privatization contract and who satisfy the hiring criteria of the contractor.

Added by Laws 1999, c. 281, § 4, eff. Jan. 1, 2000.  Amended by Laws 2003, c. 355, § 3, eff. Nov. 1, 2003.

NOTE:  Editorially renumbered from § 595.3 of this title to provide consistency in numbering.

§74-589.1.  Certification.

Each agency deciding to privatize an agency function shall certify in writing to the Governor, President Pro Tempore of the Senate, Speaker of the House of Representatives, and the Department of Central Services that:

1.  The provisions of the Oklahoma Privatization of State Functions Act and all other applicable laws regarding the privatization of the respective state functions have been complied with;

2.  The quality and cost of the services to be provided by the selected bidder are likely to exceed the quality and cost benefit standards for the state function as formerly delivered by agency employees; and

3.  The proposed privatization contract is in the best interest of the public.

Added by Laws 2003, c. 355, § 4, eff. Nov. 1, 2003.

§74-590.  Conflict of interest - Prohibition of employment of state officer by business organization awarded contract.

Any state officer or employee who exercises discretionary or decision-making authority in awarding a privatization contract shall be prohibited for a period of one (1) year from the date that the privatization contract is awarded from becoming an officer or employee of a business organization which is a party to any privatization contract with the state agency in which the state officer or employee exercised such discretionary or decision-making authority.

Added by Laws 1999, c. 281, § 5, eff. Jan 1, 2000.

NOTE:  Editorially renumbered from § 595.4 of this title to avoid duplication in numbering.

§74591.  Filing with Secretary of State.

Notwithstanding any other provision or provisions of law to the contrary, all bonds required or authorized by law to be executed by state officers, and their assistants, deputies and employees, conditioned for the faithful performance of duty, or containing such other conditions as may be prescribed by law, shall be filed in the office of the Secretary of State after the same have been approved by the proper officer, agency, board or commission as now provided by law.  The provisions of this act shall apply only to such of the above mentioned bonds as the premiums on which are paid out of funds appropriated by the Legislature, or are paid out of fees which are authorized to be used for said purpose.

Laws 1947, p. 618, § 1.  

§74592.  Examination of bonds  Certified copies.

Any person having an interest therein shall have the right to examine any of said bonds filed in the office of the Secretary of State at all reasonable times.  The Secretary of State, shall upon request therefor, and upon receipt of the fees therefor, make and furnish certified copies of any of said bonds to any interested person.

Laws 1947, p. 618, § 2.  

§74593.  Bonds required of appointees and employees  Conditions  Premiums.

State officers, boards and commissions, subject to the approval of the State Budget Director, shall require bonds of any persons they appoint or employ, when deemed necessary to protect the state against loss or misapplication of public funds.  Unless otherwise provided by law, each such bond shall be by a surety company licensed to do business in Oklahoma, shall be made payable to the State of Oklahoma, shall be conditioned that the person making the bond will faithfully perform the duties of his position, shall be in such amount as may be fixed by the state officer, board or commission requiring the bond, and upon a breach thereof shall be sued upon in the name of the State of Oklahoma by the Attorney General when the same is called to his attention;  and the premium thereon shall be paid from funds appropriated or available for operation of the office of the state officer, or of the board or commission, requiring the bond, or for the operation of the office of the state officer, or of the board or commission, requiring the bond, or for the operation of the institution, if any, where or for which the person making the bond is employed.

Laws 1957, p. 541, § 1.  

§74594.  Bonds for persons responsible for custody and control of special or nonstate funds.

Each person employed by any department, institution, or agency of the State of Oklahoma whose duties include custody, supervision or control and authority to expend money from any canteen, revolving, depository or special fund, whose revenue is derived from funds other than state collected or appropriated funds, shall be required to furnish a corporate surety bond in the penal sum of One Thousand Dollars ($1,000.00) to Ten Thousand Dollars ($10,000.00), as set by the person in charge of the institution, with a company qualified to do business in Oklahoma, to be approved as provided by law, to assure the faithful performance of his duties.  All premiums on such bonds shall be paid by the State of Oklahoma.

Laws 1961, p. 469, § 1.  

§74601.  Definitions.

As used in this act, and except as provided in Section 6 of this act:

(a) The words "official bond" shall mean any bond which is required to be furnished by or for any officer or employee of the State of Oklahoma or of any department, board, commission, institution, or agency thereof; by any statute or any valid rule, regulation, requirement or order of any State officer, department, board, commission, institution or agency; in connection with the qualification or official duties, or any part thereof, of any such officer or employee.

(b) The words "officer or employee" shall mean any officer or employee of the State of Oklahoma or of any department, board, commission, institution, or agency thereof.

Laws 1953, p. 423, § 1.  

§74602.  Filing in office of Secretary of State.

Every official bond in effect on the effective date of this act shall be filed in the office of the Secretary of State, within ten (10) days after the effective date of this act, and it shall be the duty of any officer, department, board, commission, institution, or agency of the state having custody of any official bond on the effective date of this act to transmit it to the office of the Secretary of State within said tenday period.  If any such bond be not filed within said time, the officer or employee for whom or on whose behalf the said bond was executed shall be deemed not to have complied with the statute, rule, regulations, requirement or order requiring said officer or employee to be bonded; provided, that nothing herein shall be construed as preventing a recovery on said bond, against the surety or sureties, in the same manner as if the said bond had been properly filed in the Office of the Secretary of State.

Laws 1953, p. 424, § 2.  

§74603.  Approval by Attorney General.

Except as to official bonds for which the Governor of the State of Oklahoma is the approving officer, no official bond executed on or after the effective date of this act may be accepted by any State officer, board, commission, institution, or agency, until the said bond has been first approved as to form by the Attorney General of the State of Oklahoma.  All official bonds executed on and after the effective date of this act shall be transmitted to the Attorney General, and if approved by him as to form shall be transmitted by him to the office of the Secretary of State, who shall file the same. The Attorney General shall notify the officer, board, commission, institution, or agency transmitting said bond that the bond has been so approved.  If the Attorney General shall disapprove any bond so transmitted to him, he shall return the bond to the transmitting officer, board, commission, institution, or agency, with a statement that the same has been disapproved.

Laws 1953, p. 424, § 3.  

§74604.  Withdrawal from office of Secretary of State.

Official bonds filed in the office of the Secretary of State shall not be withdrawn from said office, except pursuant to a valid subpoena of a court or other officer or body authored to issue subpoenas; or in connection with other legal proceedings when the withdrawal is approved by the Attorney General.

Laws 1953, p. 424, § 4.  

§74605.  Termination of obligation.

If for any lawful reason the obligation represented by an official bond be terminated sooner than is provided by the terms thereof, there may be filed in the Office of the Secretary of State, to be attached to said bond, the instrument terminating such obligation, as made or approved by the authority that accepted it.

Laws 1953, p. 424, § 5.  

§74606.  Exceptions from application of act.

The provisions of this act shall not apply to notaries public, and shall not apply to officers or employees of the following agencies or institutions:  the Grand River Dam Authority; the Oklahoma Turnpike Authority; or The Oklahoma State System of Higher Education.

Laws 1953, p. 424, § 6.  

§74621.  Registration  Violations.

A.  It is unlawful for any person to offer or dispose of any interest in subdivided land located in this state or to offer or dispose in this state of any subdivided land located without this state unless it is registered under this Code or the land or transaction is exempt under Sections 622 or 623 of this Code.

B.  It is unlawful for any subdivider or registrant of subdivided lands registered under this Code, or any person in control of, controlled by, or under common control with the subdivider or registrant, or any agent, to offer or dispose of any of the registered subdivided land if the subdivider or registrant is in violation of this Code, or any rule promulgated under this Code, or any order issued under this Code of which he has notice, or if the registration statement relating to the subdivided lands, as of the date of such offer or disposition, is incomplete in any material respect or contains any statement which is false or misleading with respect to any material fact.

§74622.  Exemptions.

The following lands, lots, interests and evidences of indebtedness are exempt from Section 621 of this Code:

1.  Subdivided land offered or disposed of by the United States, any state, political subdivision of the state or any agency or corporate or other instrumentality of one or more of the foregoing;

2.  Cemetery lots or interests;

3.  Subdivided lands in which there are fewer than twenty lots or parcels intended for sale or lease, whether immediate or future;

4.  Lots on which there is a residential, commercial or industrial building, or as to which there is a legal obligation on the part of the seller to construct such building within two (2) years of the date of disposition;

5.  Evidences of indebtedness secured by a real estate mortgage or deed of trust; and

6.  Such interests in subdivided lands as are regulated as securities under the Oklahoma Securities Act, as provided by this title, and the Administrator by rule or order exempts.

§74623.  Additional exemptions.

The following transactions are exempt from Section 621 of this Code:

1.  Offer or disposition of subdivided lands located within the State of Oklahoma;

2.  Offer or disposition by a purchaser of subdivided lands for his own account in a single or isolated transaction;

3.  Offer or disposition of subdivided lands if not more than ten lots are offered in any period of twelve (12) consecutive months;

4.  Offer or disposition of lots to persons who are engaged in the business of construction of buildings for resale, or to persons who acquire an interest in subdivided lands for the purpose of engaging, and do engage in, the business of construction of buildings for resale;

5.  Offer or disposition pursuant to an order of a court of competent jurisdiction;

6.  Offer or disposition of lots, each of which will be sold for less than One Hundred Dollars ($100.00), including closing costs, provided that the purchaser will not be required to purchase more than one lot;

7.  Such leases of lots which the Administrator by rule or order exempts which are for periods not in excess of five (5) years, provided the terms of the lease do not obligate the lessee to renew;  8.  Offer or disposition of subdivided lands if each lot within the subdivision exceeds ten (10) acres in size;

9.  Sales of securities issued by a real estate investment trust; and

10.  Any other transaction as to which the Administrator by rule or order finds that registration is not necessary or appropriate for the protection of purchasers.

§74624.  Burden of proof.

In any proceeding under this Code, the burden of proving an exemption or an exclusion from a definition is upon the person claiming it.

§74626.  Public offering statements  Contents  Violations  Uses.

A.  It shall be unlawful for a person to dispose of an interest in subdivided lands, pursuant to a registration under this Code, unless a current public offering statement is delivered to the purchaser at the expense of the subdivider or his agent at least fortyeight (48) hours prior to any sale, contract to sell or option to purchase and unless the purchaser is afforded a reasonable opportunity to examine and is permitted to retain the public offering statement.  The subdivider shall obtain and retain a receipt, signed by the purchaser, acknowledging receipt of a copy of the public offering statement prior to the execution by the purchaser of any contract or agreement for the disposition of any lot in a subdivision, which receipt shall be kept in the files of the subdivider and be subject to inspection by the Administrator for a period of three (3) years from the date the receipt is taken.

B.  A public offering statement shall disclose fully and accurately all material circumstances or features which affect the subdivided lands or which would be a material consideration in making the purchasing decision. The proposed public offering statement shall be submitted to the Administrator as required by paragraph 20 of Section 625 of this Code and shall be in such form and contain such information as the Administrator by rule requires, including:

1.  The name, principal address and telephone number of the subdivider, his offices and agents in this state;

2.  A general description of the subdivided lands including a statement of the total number of lots to be offered;

3.  A statement as to whether the subdivider holds any option to purchase adjacent properties and, if so, a description of such option and the location and zoning of the adjacent properties;

4.  The assistance, if any, that the subdivider, his agents or affiliates will provide to the purchaser in the resale of the property and the extent to which the subdivider, his agents or affiliates will be in competition in the event of resale;

5.  The material terms of any encumbrances, easements, liens and restrictions including zoning and other regulations affecting the subdivided lands and each unit or lot, the efforts to remove such liens or encumbrances, the results of the success or failure thereof, and all existing taxes and existing or proposed special taxes or assessments which affect the subdivided lands;

6.  The use for which the property is to be offered;

7.  Information concerning existing or proposed improvements including, but not limited to, streets, water supply, levees, drainage control systems, irrigation systems, sewage disposal systems and customary utilities and the estimated cost, date of completion and responsibility for construction and maintenance of existing and proposed improvements which are referred to in connection with the offering or disposition of any lot in subdivided lands;

8.  Such financial statements of the subdivider as the Administrator may require;

9.  The topographic and climatic characteristics of the subdivided lands and adjacent area;

10.  A statement of the existing provisions for access of the subdivision to community fire protection, the location of primary and secondary schools, the proximity to municipalities and the population thereof, the improvements installed or to be installed, including offsite and onsite community and recreational facilities, by whom they were or are to be installed, maintained or paid for, and an estimate of completion thereof; and

11.  Such additional information as may be required by the Administrator including any of the information contained in the application for registration.

C.  The public offering statement shall not be used for any promotional purpose before registration of the subdivided lands and afterwards it shall be used only in its entirety.  It shall be unlawful for any person to advertise or represent that the Administrator has approved or recommended the subdivided lands or a disposition thereof.  No portion of the public offering statement may be underscored, italicized or printed in larger or heavier or different colored type than the remainder of the statement unless required or approved by the Administrator.

D.  The Administrator may require the subdivider or his agent to alter or amend the proposed public offering statement in order to provide full and fair disclosure to prospective purchasers.

§74627.  Orders  Application for registration  Filing of documents and information.

A.  Within ninety (90) days from the date of filing a completed application for registration, the Administrator shall issue an order registering the subdivided lands or denying the application for registration.  If an order of denial is not issued within ninety (90) days, the land shall be deemed registered unless the applicant has consented to a delay or the application has been withdrawn.  If any amendment to the application for registration is filed prior to the time when the land shall be deemed registered, the application shall be deemed to have been filed when the amendment was filed.

B.  An application for registration may be filed by the subdivider, any other person on whose behalf the sales are to be made, or a licensed subdivided land agent, but the Administrator may require that it be executed by the subdivider.

C.  Any document filed under this Code within five (5) years preceding the filing of an application for registration may be incorporated by reference in the application for registration to the extent that the document is currently accurate.

D.  The Administrator may by rule or otherwise permit the omission of any item of information or document from any application for registration.

E.  The Administrator may, as a condition of registration and at the expense of the subdivider, investigate any subdivision required to be registered under this Code for the purpose of verifying statements contained in the application for registration and for the protection of prospective purchasers.  For the purposes of such investigation, the Administrator may:

1.  Require that a report or opinion by an independent accountant, engineer, appraiser or other expert be prepared and filed;

2.  Make an examination of the business and records of the applicant or subdivider;

3.  Use and rely on any relevant information or data concerning a subdivision obtained by him from any federal, state or local government or agency thereof;

4.  Conduct an onsite inspection of each subdivision;

5.  Conduct an annual onsite reinspection of each subdivision for each of the three (3) years after the expiration date of the registration or any renewal thereof;

6.  Require the subdivider to deposit the expenses to be incurred in any inspection or reinspection in advance, based upon the Administrator's estimate of the expenses likely to be incurred. All such deposits shall be paid into an agency special account and any unexpended portion shall be refunded therefrom, pursuant to the provisions of Sections 7.1 through 7.5a of Title 62 of the Oklahoma Statutes.  Onfield examinations may be made by the Administrator or a designated representative.  Where additional technical, expert or special services are used, the actual cost of such services may be charged; and

7.  Where an onsite inspection of any subdivision has been made under this Code, an inspection of adjacent subdivided lands for which a subsequent application for registration is filed may be waived and an inspection thereof may be made at the time of the next succeeding onsite inspection.

F.  The Administrator may require that any subdivided lands be sold by use of a specified form contract or agreement, and that a signed copy or conformed copy of such signed copy be filed with him or preserved by the subdivider for a period of up to five (5) years.  G.  The Administrator may by rule or otherwise impose other conditions under which subdivided lands registered under this Code may be sold, provided such conditions are reasonable and in the public interest.  The Administrator may require an escrow, trust or similar arrangement to reasonably assure that all improvements referred to in the application for registration will be completed and that purchasers will receive the interests in land for which they have contracted.

H.  A registration is effective for one (1) year from its effective date, or for such longer period as the Administrator may permit by rule or order.  No application for registration or effective registration may be withdrawn at any time after its filing unless permitted by rule or order of the Administrator.  No registration is effective during the time a stop order is in effect under Section 628 of this Code.

I.  During the effective period of a registration, the Administrator may by rule or order require the person who filed the application for registration to file reports, not more often than quarterly, to keep reasonably current the information contained in the application for registration and to disclose the progress of the sales.  If any of the lands registered have been sold in this state, the Administrator may by rule or order extend the period for filing the reports for an additional period not exceeding two (2) years from the date the registration became effective or the date of the registration period's latest extension.

J.  The subdivider or registrant shall immediately report to the Administrator any material changes in the information contained in the application for registration.

K.  Upon the expiration of an effective registration, the Administrator may renew the registration for an additional period of one (1) year, provided the registrant is in compliance with this Code, files such reports and applications as the Administrator may require, and pays an annual renewal fee in an amount specified by rule, which amount may not exceed the original registration fee.

§74628.  Denial of effectiveness to, suspension or revocation of effectiveness of registration.

A.  The Administrator may issue a stop order denying effectiveness to, or suspending or revoking the effectiveness of, any registration if he finds that the order is in the public interest and that:

1.  The registration statement as of its effective date or any report under subsections I or J of Section 627 of this Code is incomplete in any material respect or contains any statement which was, in light of the circumstances under which it was made, false or misleading with respect to any material fact;

2.  Any provision of this Code or any rule, order or condition lawfully imposed under this Code has been willfully violated in connection with the offer or disposition of subdivided lands by the person filing the registration statement, by the subdivider, any partner, officer or director of the subdivider, by any person occupying a similar status or performing similar functions, by any person directly or indirectly controlling or controlled by the subdivider, or by any subdivided land sales agent or other person involved directly or indirectly in the offer or disposition of subdivided lands;

3.  The subdivided lands are the subject of an administrative stop order or similar order or a permanent or temporary injunction of any court of competent jurisdiction entered under any federal or state act applicable to the offer or disposition of the subdivided lands.  Provided, that the Administrator may not institute a proceeding against an effective registration statement under this paragraph more than one (1) year from the date of the order or injunction relied on, and he may not enter an order under this paragraph on the basis of an order or injunction entered under any other state or federal act unless that order or injunction was based on facts which would currently constitute a ground for a stop order under this section;

4.  The subdivider's enterprise or method of business includes or would include activities which are illegal where performed;

5.  The offer or disposition of the subdivided lands is or would be unfair or inequitable to purchasers or has worked, tended to work or would work a fraud upon purchasers;

6.  The disposition has been made or would be made with unreasonable commissions or other unreasonable compensation;

7.  The applicant or registrant has failed to pay the proper filing fee.  Provided, that the Commissioner may enter only a denial order under this paragraph and he shall vacate any such order when the deficiency has been corrected;

8.  Advertising prohibited by Section 653 of this Code has been used in connection with the offer or disposition of the subdivided lands;

9.  The financial condition of the subdivider or of any other person connected with the offer or disposition of subdivided lands adversely affects or would adversely affect the soundness of the land purchase; or

10.  The subdivider is not in compliance with federal, state or local environmental quality standards.

B.  The Administrator may not institute a stop order proceeding against an effective registration statement on the basis of a fact or transaction known to him when the registration statement became effective unless the proceeding is instituted within sixty (60) days.

C.  In a proceeding for registration, within sixty (60) days of the effective date of such registration statement, the applicant or registrant has the burden of satisfying the requirements of subsection A of this section.

D.  The Administrator may issue a summary order denying, postponing, suspending or revoking the effectiveness of the registration statement pending final determination of any proceeding under this section.  Upon the entry of the order, the Administrator shall promptly notify each person specified in subsection E of this section that the order has been entered, the reasons for the entry of order and that each such person has a right to request a hearing under subsection A of Section 661 of this Code.  If no hearing is requested and none is ordered by the Administrator, the order will remain in effect until it is modified or vacated by the Administrator.

E.  No stop order may be entered under this section except under subsection D of this section unless there has been appropriate prior notice to the applicant or registrant, to the subdivider and to the person on whose behalf the lands are to be or have been offered, an opportunity for hearings and the making of written findings of fact and conclusions of law.

F.  The Administrator may vacate or modify a stop order if he finds that the conditions which prompted the stop order's entry have changed or that it is otherwise in the public interest to do so.

§74661.1.  Certain employees to become subject to Merit System  Exceptions  Classification of employees.

Effective July 1, 1982, all positions of the Office of the Secretary of State, except the Secretary of State, Assistant Secretary of State and one secretary who shall remain in the unclassified service, shall become subject to the Merit System of Personnel Administration.  All incumbent employees shall be classified without the need to pass examinations and shall be allocated in accordance with the recommended classifications as proposed by the Merit System.

Added by Laws 1982, c. 210, § 4, emerg. eff. April 29, 1982.  

§74662.  Display areas  Preservation of historical documents.

The Secretary of State is hereby authorized and directed to establish secured display areas for the original State Constitution, photographs and other documents and articles of historical significance.  The original State Constitution shall be displayed in a display case to be designated by the Secretary of State in the State Capitol Building.  The display area shall be under the jurisdiction and control of the Secretary of State.

Added by Laws 1965, p. 1218, S.J.R. No. 46, § 1, emerg. eff. June 30, 1965.  Amended by Laws 1976, c. 120, § 1, emerg. eff. May 14, 1976; Laws 1998, c. 316, § 1, emerg. eff. May 28, 1998.

§74663.  Microfilm system.

The Secretary of State is authorized and directed to provide a microfilm system in the offices of said Secretary of State for rapid information retrieval and copying.

Laws 1971, c. 260, § 4, emerg. eff. June 17, 1971.  

§74664.  Transmittal of Executive Order to legislative leadership.

Copies of all Executive Orders signed by the Governor after July 1, 1981, shall be transmitted by the Secretary of State when such Orders are signed by the Governor to the President Pro Tempore of the Senate and the Speaker of the House of Representatives.

Amended by Laws 1987, c. 207, § 24; Laws 1990, c. 300, § 22, eff. July 1, 1991.

§74-664.1.  Refund of erroneous collections.

The Secretary of State may refund any monies received due to an erroneous collection.  As used in this section, "erroneous collection" means:

1.  A transaction filed by the Office of the Secretary of State and later found to be improper;

2.  A transaction filed with the Office of the Secretary of State by a customer and the customer, within forty-five (45) days of the filing of the transaction, determines the transaction contains a mistake, corrects the mistake, and requests a refund;

3.  A transaction in which the customer requests a refund the same day of payment and the customer presents the receipt as evidence of payment; or

4.  An overpayment which has been accepted by the Office of the Secretary of State.

Added by Laws 1999, c. 421, § 41, eff. Nov. 1, 1999.

§74-665.  Declaration of legislative intent.

In furtherance of its obligation to advance the general welfare of the state, the Legislature is cognizant of its duty to give all citizens their opportunities to reach their full potential.  Therefore, the Legislature declares its intent that any inhibiting conditions caused by any factors which impede the ability of an individual to reach the full potential of that individual are matters of public concern.

Added by Laws 1994, c. 189, § 1.

§74-666.  Creation - Membership.

A.  There is hereby created the Oklahoma Commission on the Status of Women.  The Commission shall consist of thirty (30) members.  The members shall be appointed as follows:  ten members appointed by the Governor, ten members appointed by the President Pro Tempore of the Senate and ten members appointed by the Speaker of the House of Representatives.  All members shall be appointed by the appropriate appointing authority for a term of five (5) years commencing with the date that the previous appointee's term expired.  In making such appointments to the Commission, consideration shall be given to making the membership broadly representative of the geographic areas of the state and the several racial, religious and ethnic groups residing in the state.  Each member shall hold office until the successor of the member is appointed and has qualified.  A member of the Commission may be removed by the appropriate appointing authority for cause.  A member appointed to fill a vacancy occurring before the expiration of a term of a member separated from the Commission for any cause shall be appointed for the remainder of the term of the member whose office has been so vacated.  Members of the Commission shall receive no salary, but shall be entitled to travel reimbursement as provided by the State Travel Reimbursement Act, Section 500.1 et seq. of this title, from funds available to the appropriate appointing authority.

B.  The Office of Personnel Management shall provide staff support to the Oklahoma Commission on the Status of Women.

Added by Laws 1994, c. 189, § 2.  Amended by Laws 2003, c. 49, § 1, eff. July 1, 2003.

§74-667.  Officers - Meetings.

Initially, the President Pro Tempore of the Senate shall name the chair of the Oklahoma Commission on the Status of Women and the Speaker of the House of Representatives shall name the vice-chair.  Any other officers deemed necessary shall be elected from among the members at the first meeting of the Commission.  Thereafter, at the first meeting of each fiscal year, the Commission shall elect a chair, a vice-chair and such other officers deemed necessary to conduct the business of the Commission from among its members.  The Commission shall meet at least once every three (3) months and at such other times as called by the chair or by a majority of the Commission.

Added by Laws 1994, c. 189, § 3.

§74-668.  Repealed by Laws 2002, c. 491, § 7, eff. July 1, 2002.

§74-669.  Powers and duties.

The Oklahoma Commission on the Status of Women shall have the power and the duty to:

1.  Advise on equity issues relating to gender bias, state agencies and employees, communities, organizations and businesses of this state which desire the services of the Commission;

2.  Monitor legislation as to whether the legislation is discriminatory toward one gender or whether the gender of an individual would have an effect on the enforcement of the legislation;

3.  Act as a resource and a clearinghouse for research on issues related to women and gender bias;

4.  Conduct meetings and seminars within the state as appropriate to support the goals and duties of the Commission; and

5.  Report to the Governor, the President Pro Tempore of the Senate and the Speaker of the House of Representatives of its activities.  The report recommendations may include recommendations concerning needed legislation or regulatory changes relating to equity and gender bias.

Added by Laws 1994, c. 189, § 5.  Amended by Laws 2003, c. 216, § 1, emerg. eff. May 13, 2003.

§74-669.1.  Oklahoma Commission on the Status of Women Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Office of Personnel Management designated the "Oklahoma Commission on the Status of Women Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all gifts and donations contributed to support the work of the Oklahoma Commission on the Status of Women.  All monies accrued to the credit of the fund are hereby appropriated and may be budgeted and expended by the Administrator of the Office of Personnel Management on behalf of the Oklahoma Commission on the Status of Women for the purposes prescribed by the Legislature in creating the Commission.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 2003, c. 49, § 2, eff. July 1, 2003.

§74771.  Committee defined.

As used herein, "legislative committee" means and includes the committee of the whole and any standing or special committee of the Senate or of the House of Representatives of any session of the Oklahoma Legislature, and any joint committee of said Senate and House. Laws 1959 P. 489, Sec. 1.

Laws 1959, p. 489, § 1.  

§74772.  Administration of oaths to witnesses.

The President of the Senate, the Speaker of the House of Representatives, and the chairman or other committee member presiding over a meeting of a legislative committee shall have power to administer oaths to witnesses appearing before said committee at said meeting. Laws 1959 P. 489, Sec. 2.

Laws 1959, p. 489, § 2.  

§74773.  Attendance of witnesses and production of evidence.

A.  During any session of the Legislature, and when the Legislature is not in session, a legislative committee shall have power to issue subpoenas, compel the attendance of witnesses and the production of any papers, books, accounts, documents, testimony and evidence, and to cause the deposition of witnesses, either residing within or without the state, to be taken in the manner prescribed by law for the taking of depositions in civil actions in the district courts.

B.  Failure of any person to comply with any subpoena issued in behalf of said committee or the refusal of any witness to testify to any matters regarding which he may be lawfully interrogated, upon application of the chairman or vice chairman of said committee or of a member of said committee authorized thereby to make such application, it shall be the duty of a judge of the district court of any county to proceed with respect to such person in the same manner and with the same powers to punish for contempt, as would be the case if the refusal had been a refusal to comply with a subpoena issued in a civil action, or a refusal of said person to testify in a civil action in said court.  It shall also be the duty of the district court, when requested in the application, to issue instanter and ex parte an order requiring such person to attend at the time and place set out in said application to testify as a witness, and directing such person to bring with him any book, writing or other thing under his control, said orders to be served as provided by law for the service of a subpoena.  A judge of the district court shall have power to punish or enforce compliance, by attachment or otherwise, refusal to obey such orders as in other cases of refusal to obey the orders and processes of the court.  It shall also be the duty of the judge of the district court, when requested in the application, to issue instanter and ex parte an attachment to the sheriff, any constable of the county, or the sergeant at arms or assistant sergeant at arms of either house, commanding him to arrest and bring such person before said committee at the time and place set out in said application.  If the attachment is not for immediately bringing the witness before the committee, the court may fix a sum in which such person may give an undertaking with surety, for his appearance at the time and place specified in said attachment; such sum shall be endorsed on the back of the attachment.  If no sum is fixed and endorsed, it shall be One Hundred Dollars ($100.00).  If the said undertaking is not given, the person shall be held in the county jail until taken by the sheriff or other authorized person to the place at said time.

Laws 1959, p. 489, § 3; Laws 1981, c. 272, § 32, eff. July 1, 1981.  

§74774.  Fees and mileage.

Witnesses shall be paid the same fees and mileage as are paid in civil cases in district and superior courts.  Laws 1959 P.  489, Sec. 4.

Laws 1959, p. 489, § 4.  

§74775.  Powers denied by rules or resolutions.

To the extent that the powers granted hereby may be expressly denied to any legislative committee or committees by the rules or resolutions of the house of the Legislature of which same is a committee, or by joint resolution as to joint committees, Sections 2, 3, and 4 hereof shall not be applicable to said committees.

Laws 1959, p. 489, § 5.  

§74-805.2.  Renumbered as § 840-2.18 of this title by Laws 1994, c. 242, § 54.

§74805.3.  Nurse practitioners and nursemidwives  Classification.

For the purpose of classification under the Merit System of Personnel Administration, certified nurse practitioner and certified nursemidwife as defined and certified by the Oklahoma Board of Nurse Registration and Nursing Education shall each be recognized as separate and distinct categories of nursing distinguishable from current classifications.

Added by Laws 1982, c. 330, § 5, emerg. eff. June 1, 1982.  

§74-823.1.  Repealed by Laws 1994, c. 333, § 3, emerg. eff. June 8, 1994.

§74-840.1.  Renumbered as § 840-1.1 of this title by Laws 1994, c. 242, § 54.

§74-840-1.1.  Short title - Content of act.

A.  Sections 840-1.1 through 840-6.9 of this title shall be known and may be cited as the "Oklahoma Personnel Act".

B.  All statutes hereinafter enacted and codified within Sections 840-1.1 through 840-6.9 of this title shall be part of the Oklahoma Personnel Act.

Added by Laws 1982, c. 338, § 1, eff. July 1, 1982.  Amended by Laws 1990, c. 204, § 6, emerg. eff. May 10, 1990.  Renumbered from § 840.1 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1997, c. 287, § 1, eff. July 1, 1997.

§74-840-1.2.  Purpose.

It is the purpose of this act to protect the public from improper use of authority, to protect public officials and employees from unwarranted assaults on their integrity and to enforce the protections for classified employees and citizens under the Merit System of Personnel Administration.  It is further the general purpose of this act to establish for the state a system to recruit, select, develop and maintain an effective and responsive work force; to provide for administrative flexibility and adequate and reasonable protection and security for those who have entered and will enter into the service of the state; to provide for the preservation and protection of the Merit System; and to provide policies and procedures for the selection, hiring, retention, advancement, career development, job classification, salary administration, discipline, discharge and other related activities, all in accordance with principles of merit and fitness and equal employment opportunity, and to maintain a high level of morale, motivation and productivity among state employees.

Added by Laws 1982, c. 338, § 2, eff. July 1, 1982.  Renumbered from § 840.2 of this title by Laws 1994, c. 242, § 54.

§74-840-1.3.  Definitions.

As used in the Oklahoma Personnel Act, unless otherwise provided in Sections 840-1.1 through 840-6.9 of this title:

1.  "Agency" means any office, department, board, commission or institution of the executive branch of state government;

2.  "Employee" or "state employee" means an elected or appointed officer or employee of an agency unless otherwise indicated;

3.  "Appointing authority" means the chief administrative officer of an agency;

4.  "Classification" means:

a. the process of placing an employee into an appropriate job family and level within the job family, consistent with the allocation of the position to which the employee is assigned, or

b. an employee's job family and the level at which work is assigned;

5.  "Classification plan" means the orderly arrangement of positions within an agency into separate and distinct job families so that each job family will contain those positions which involve similar or comparable skills, duties and responsibilities;

6.  "Classified service" means state employees and positions under the jurisdiction of the Oklahoma Merit System of Personnel Administration;

7.  "Entrance examination" means any employment test used by the Office of Personnel Management to rank the names of applicants who possess the minimum requirements of education, experience, or licensure for a job or group of similar jobs on a register of eligibles established by the Office of Personnel Management;

8.  "Job" means a position or job family level in a job family;

9.  "Job family" means:

a. jobs which require similar core skills and involve similar work, and

b. a logical progression of roles in a specific type of occupation in which the differences between roles are related to the depth and breadth of experience at various levels within the job family and which are sufficiently similar in duties and requirements of the work to warrant similar treatment as to title, typical functions, knowledge, skills and abilities required, and education and experience requirements;

10.  "Job family level" means a role in a job family having distinguishable characteristics such as knowledge, skills, abilities, education, and experience;

11.  "Job family descriptor" means a written document that:

a. describes a job family, including, but not limited to, the basic purpose, typical functions performed, various levels within the job family, and the knowledge, skills, abilities, education, and experience required for each level, and

b. identifies the pay band assigned for each level;

12.  "Promotional examination" means any employment test designated by the Office of Personnel Management to determine further the qualifications of a permanent classified employee of a state agency for employment in a different job for which the employee possesses the minimum qualifications of education, experience, or licensure within that agency;

13.  "Interagency transfer" means an action in which an employee leaves employment with one agency and enters employment with another agency while continuously employed with the state;

14.  "Intra-agency transfer" means moving an employee from one position to another position with the same agency either with or without reclassification;

15.  "Job-related organization" means a membership association which collects annual dues, conducts annual meetings and provides job-related education for its members and which includes state employees, including any association for which payroll deductions for membership dues are authorized pursuant to paragraph 5 of subsection B of Section 7.10 of Title 62 of the Oklahoma Statutes;

16.  "Lateral transfer" means the reassignment of an employee to another state job with the same pay band assignment as the job family level in which the employee was classified prior to the lateral transfer;

17.  "Merit Rules" or "Merit Rules for Employment" or "Merit System of Personnel Administration Rules" means rules adopted by the Administrator of the Office of Personnel Management or the Oklahoma Merit Protection Commission pursuant to the Oklahoma Personnel Act;

18.  "Noncompetitive appointment" means the appointment of a person to a noncompetitive job level within a job family;

19.  "Noncompetitive job" means an unskilled or semiskilled job designated by the Office of Personnel Management as noncompetitive.  Noncompetitive jobs do not require written examinations for placement on registers of eligibles;

20.  "Permanent classified employee" means a classified service employee who has acquired permanent status in accordance with the Oklahoma Personnel Act, and rules adopted pursuant thereto, and who has the right to appeal involuntary demotion, suspension without pay, and discharge to the Commission;

21.  "Presiding official" means a person serving the Oklahoma Merit Protection Commission in the capacity of administrative hearing officer, mediator, or other alternative dispute resolution arbitrator or facilitator;

22.  "Progressive discipline" means a system designed to ensure the consistency, impartiality and predictability of discipline and the flexibility to vary penalties if justified by aggravating or mitigating conditions;

23.  "Reclassification" means the process of changing a classified employee from one job family to another job family or from one job family level to another job family level in the same job family, resulting in a change in the employee's assigned job code;

24.  "Regular and consistent" means, in connection with the work assignments of an employee, the usual and normal work assignments of the employee, excluding incidental, casual, or occasional tasks and activities the employee assumes without direction to do so.  Temporary work assignments of less than sixty (60) days in any twelve (12) consecutive months period shall not be considered regular and consistent;

25.  "Regular unclassified service employee" means an unclassified service employee who is not on a temporary or other time-limited appointment;

26.  "Supervisor" means a classified or unclassified officer or employee who has been assigned authority and responsibility for evaluating the performance of subordinates;

27.  "Unclassified service" or "exempt service" means employees and positions excluded from coverage of the Oklahoma Merit System of Personnel Administration;

28.  "Merit System" means the Oklahoma Merit System of Personnel Administration;

29.  "Administrator" means the appointing authority of the Office of Personnel Management;

30.  "Executive Director" means the appointing authority of the Oklahoma Merit Protection Commission;

31.  "Office" means the Office of Personnel Management;

32.  "Commission" means the Oklahoma Merit Protection Commission;

33.  "Veteran" means a person who has been honorably discharged from the Armed Forces of the United States and has been a resident of Oklahoma for at least one (1) year prior to the date of the examination; and

34.  "Voluntary out" means the voluntary separation of employees from the state service in exchange for benefits offered by an agency in order to reduce or eliminate the adverse impact of an imminent reduction-in-force.

Added by Laws 1982, c. 338, § 3, eff. July 1, 1982.  Amended by Laws 1986, c. 158, § 6, operative July 1, 1986; Laws 1986, c. 252, § 3, eff. Nov. 1, 1986; Laws 1994, c. 242, § 1.  Renumbered from § 840.3 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 1, emerg. eff. June 5, 1995; Laws 1996, c. 320, § 1, emerg. eff. June 12, 1996; Laws 1997, c. 287, § 2, eff. July 1, 1997; Laws 1998, c. 256, § 1, eff. July 1, 1998; Laws 1999, c. 410, § 2, eff. Nov. 1, 1999; Laws 2001, c. 381, § 1, eff. July 1, 2001; Laws 2002, c. 347, § 3, eff. Nov. 1, 2002.

§74-840-1.4.  Merit System Office and State Personnel Board abolished - Transfer of functions, powers, duties, etc.

A.  The Merit System Office and the State Personnel Board are hereby abolished, and the powers, duties and responsibilities exercised by said Merit System Office and State Personnel Board pursuant to law are hereby transferred to the Office of Personnel Management or the Oklahoma Merit Protection Commission as herein created.

B.  Upon the transfer of the functions, powers and duties of the Merit System Office and the State Personnel Board pursuant to this act, the Administrator shall make provision for the transfer to the Office of Personnel Management of the employees of the Merit System Office.  Employees so transferred shall be transferred without the need to pass further examination or meet additional qualifications and shall retain their respective Merit System classification and status.  Any employee, subject to the Merit System of Personnel Administration, who at the time of such transfer has other than a permanent appointment, shall be transferred subject to the same right of removal, examination or termination as though such transfer had not been made.

C.  The Merit System Office and the State Personnel Board shall deliver to the Office of Personnel Management all books, papers, records and property of the department and Board pertaining to the functions herein transferred to that office pursuant to this act.

The Merit System Office and the State Personnel Board shall deliver to the Oklahoma Merit Protection Commission, all books, papers, records and property of such department and Board pertaining to the functions transferred to that Commission pursuant to this act.

D.  For the purpose of succession to all functions, powers, duties and obligations transferred and assigned to, devolved upon and assumed by it pursuant to this act, the Office of Personnel Management shall be deemed and held to constitute the continuation of the State Personnel Board and the Merit System Office pertaining to the functions and powers herein transferred.

For the purpose of succession to all functions, powers, duties and obligations transferred and assigned to, devolved upon and assumed by it pursuant to this act, the Oklahoma Merit Protection Commission shall be deemed and held to constitute the continuation of the State Personnel Board and the Merit System Office pertaining to the powers and functions herein transferred.

E.  Any business, contracts or other matters undertaken or commenced by the State Personnel Board, or the Merit System Office pertaining to or connected with the functions, powers, obligations and duties hereby transferred and assigned to the Office of Personnel Management or the Oklahoma Merit Protection Commission, and pending on the effective date of this act may be conducted and completed by the Office of Personnel Management or the Oklahoma Merit Protection Commission in the same manner and under the same terms and conditions and with the same effect as if conducted and completed by the former department, commission or administrator.  Any encumbrances pertaining to said matters for which the State Personnel Board would have been responsible shall be assumed by the Office of Personnel Management.

F.  All rules, regulations, acts, orders, determinations and decisions of the State Personnel Board pertaining to the functions and powers herein transferred and assigned to the Office of Personnel Management or the Oklahoma Merit Protection Commission, in force at the time of such transfer, assignment, assumption or devolution shall continue in force and effect as rules, regulations, acts, orders, determination and decisions of the State Personnel Board until duly modified or abrogated by the appropriate body.

G.  No existing right or remedy of any character shall be lost, impaired or affected by reason of this act.

H.  No action or proceeding pending at the time when this act shall take effect, brought by or against the State Personnel Board relating to the function, power or duty transferred to or devolved upon the Office of Personnel Management shall be affected by this act, but the same may be prosecuted or defended, and upon application to the court, the appropriate body shall be substituted as a party.

Added by Laws 1982, c. 338, § 4, eff. July 1, 1982.  Amended by Laws 1986, c. 158, § 7, operative July 1, 1986.  Renumbered from § 840.4 of this title by Laws 1994, c. 242, § 54.

§74-840-1.5.  Office of Personnel Management - Liability.

The Office of Personnel Management may purchase or provide, from funds available for the operation of the Office, liability insurance in an amount not to exceed One Million Dollars ($1,000,000.00) to indemnify the Administrator and such other employees of the Office as may be designated by the Administrator in the performance of their official duties.

Added by Laws 1984, c. 168, § 3, operative July 1, 1984.  Renumbered from § 840.5a of this title by Laws 1994, c. 242, § 54.

§74-840-1.6.  Office of Personnel Management - Organization - Personnel.

A.  The internal administrative organization of the Office of Personnel Management shall be determined by the Administrator in such a manner as to promote the efficient and effective enforcement of the Oklahoma Personnel Act.

B.  The Administrator may employ attorneys, accountants and other personnel as he deems necessary to carry out the duties imposed upon the Office.

C.  Employees of the Office shall be subject to the Merit System of Personnel Administration, unless otherwise exempted by Section  840-5.5 of this title.

Added by Laws 1982, c. 338, § 6, eff. July 1, 1982.  Renumbered from § 840.6 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 2005, c. 453, § 1, eff. July 1, 2005.

§74-840-1.6A.  Office of Personnel Management.

There is hereby created the Office of Personnel Management.  The chief administrative officer of said Office of Personnel Management shall be the Administrator who shall be experienced in the field, theory, and application of personnel administration.  The Administrator shall be appointed by the Governor with the confirmation of the Senate, and serve at the Governor's pleasure.  In addition to the other duties imposed by law, the Administrator shall:

1.  Be responsible for the development of an efficient and effective system of personnel administration that meets the management needs of the various agencies;

2.  Effective July 1, 1995, organize the Office to provide both service and regulatory functions that are effective and efficient in meeting the management needs of various state agencies.  The Administrator is directed to establish an agency service function to assist agencies with human resource needs based upon the administrative capacity and resources of the various agencies;

3.  Prepare, maintain, and revise a classified system of employment designed to assure the impartial consideration of applicants for employment and to protect state employees from arbitrary dismissal or unfair treatment;

4.  Develop and maintain a classification and compensation system for all classified positions in the executive branch of state government including those established by the Oklahoma Constitution;

5.  Conduct an analysis of the rates of pay prevailing in the state in the public and private sectors for comparable jobs and report the findings to the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives no later than December 1 of each year.  Such analysis shall include all forms of compensation including fringe benefits.  Information solicited by the Office of Personnel Management from public and private sector employers for such analysis, including but not limited to salaries, benefits, and compensation policies and procedures, shall be confidential and shall not be subject to disclosure under the Oklahoma Open Records Act;

6.  Develop a program for the recruitment of qualified persons, including the administration of valid job-related nondiscriminatory selection procedures providing for competitive examinations when practical and for reasonable selection criteria when competitive examinations are not practical.  As part of the recruitment program established by this section, the Administrator may identify positions or job family levels for expedited recruitment.  Such expedited recruitment jobs may include only those jobs where education, experience or certification requirements substantially limit the pool of available applicants.  Applicants who have been certified by the Office of Personnel Management as meeting the minimum qualifications for such jobs may be referred to agencies with vacancies in such jobs without examination or ranking, and may be eligible for appointment upon referral.  However, a referral may not occur until the register for the job has been publicly announced for at least fourteen (14) calendar days.  The Administrator may remove positions or job family levels from expedited recruitment at any time.  The Administrator shall adopt rules to implement expedited recruitment;

7.  Implement state affirmative action policies, and assure equal employment opportunity;

8.  Develop and implement a reasonable and expeditious method for referral of capable candidates for vacancies, probationary periods of employment, and the employment of individuals on other types of appointments as necessary;

9.  Assist state agencies in implementing their duties and obligations pursuant to the Oklahoma Personnel Act, Section 840-1.1 et seq. of this title, and provide standard forms to the agencies if necessary;

10.  Develop, in cooperation with appointing authorities, employee training programs, management training programs, a certified public manager program, a recruiting program, and a system of performance appraisals, and assist appointing authorities in the setting of productivity goals.  The Administrator may establish and collect fees for participation in training programs.  The Administrator is authorized to purchase awards for presentation to state employees as part of employee recognition activities sponsored by the Office of Personnel Management;

11.  Establish rules for leave and pay including, but not limited to, rules for leave, furloughs, performance pay increases, rates for pay differentials, on-call pay, and other types of pay incentives and salary adjustments consistent with the Oklahoma Personnel Act;

12.  Prepare and submit an annual budget covering the costs of administering the personnel program;

13.  Make an annual report regarding the work of the Office of Personnel Management;

14.  Adopt and implement rules necessary to perform the duties imposed by law on the Office of Personnel Management in accordance with the provisions of the Administrative Procedures Act.  All rules adopted by the Oklahoma Merit Protection Commission shall remain in full force and effect until modified by the appropriate authority;

15.  Assist the Oklahoma Merit Protection Commission and the Executive Director in effectuating their duties, enforcement of the rules of the Merit System of Personnel Administration, and implementation of corrective action issued by the Commission;

16.  Be responsible for the development and maintenance of a uniform occupation code system, grouped by job titles or duties, for all classified and unclassified state positions.  Said responsibility shall include the establishment of rules governing the identification, tracking, and reporting of all state positions as provided in Section 840-2.13 of this title;

17.  Be responsible for advising state agencies on personnel policy and administration;

18.  Establish standards for continuing training, including affirmative action, and certification of personnel professionals in the executive branch of state government, excluding institutions within The Oklahoma State System of Higher Education.  Employees appointed to professional personnel positions shall complete an initial training program within six (6) months after assuming the professional personnel position.  Thereafter, they shall complete annual training requirements.  Each appointing authority shall ensure that all professional personnel employees are notified of, and scheduled to attend, required training programs and shall make time available for employees to complete the programs.  The Administrator shall be authorized to bill agencies for the training of personnel professionals pursuant to this paragraph to recover reasonable costs associated with the training.  Monies received for such training shall be deposited in the Office of Personnel Management Revolving Fund.  Expenditure of such funds collected for the training shall be exempt from any expenditure limit on the Office of Personnel Management established by law;

19.  Conduct a study identifying the following, by job family descriptor(s):

a. selected job family levels with a turnover rate in excess of ten percent (10%),

b. selected job family levels identified by the Administrator of the Office of Personnel Management with salaries and benefits that are ten percent (10%) or more below the market for such position(s), and

c. selected job family levels identified by the Administrator of the Office of Personnel Management in which recruitment efforts have yielded a low number of qualified applicants.

The initial study shall be conducted by December 1, 2001, and every two (2) years thereafter;

20.  Issue orders directing agencies to:

a. conform and comply with the provisions of the Oklahoma Personnel Act, the Merit Rules of Personnel Administration, and all memoranda or other written communications issued to agencies explaining the Oklahoma Personnel Act, the Rules, and any other matter relating to the Merit System of Personnel Administration or under the jurisdiction of the Administrator of the Office of Personnel Management, and

b. take action pursuant to Section 840-6.9 of this title for failure to implement those orders;

21.  Establish a workforce planning function within the Office of Personnel Management to assist state agencies in analyzing the current workforce, determining future workforce needs, and implementing solutions so that agencies may accomplish their missions; and

22.  Establish a quality management function within the Office of Personnel Management to assist state agencies in fully integrating quality management concepts and models into their business practices for the purpose of improving the overall efficiency and effectiveness of state government.

Added by Laws 1982, c. 338, § 5, eff. July 1, 1982.  Amended by Laws 1983, c. 274, § 1, operative July 1, 1983; Laws 1985, c. 46, § 1, emerg. eff. April 23, 1985; Laws 1986, c. 84, § 1, eff. Nov. 1, 1986; Laws 1986, c. 158, § 8, operative July 1, 1986; Laws 1986, c. 244, § 1, emerg. eff. June 12, 1986; Laws 1994, c. 242, § 3.  Renumbered from § 840.5 of this title by Laws 1994, c. 242, § 54.  Renumbered from § 840-2.12 of this title by Laws 1995, c. 310, § 24, emerg. eff. June 5, 1995.  Amended by Laws 1996, c. 320, § 2, emerg. eff. June 12, 1996; Laws 1999, c. 410, § 3, eff. Nov. 1, 1999; Laws 2000, c. 336, § 1, eff. July 1, 2000; Laws 2001, c. 213, § 1, eff. July 1, 2001; Laws 2001, c. 381, § 2, eff. July 1, 2001; Laws 2002, c. 22, § 30, emerg. eff. March 8, 2002; Laws 2002, c. 347, § 4, eff. Nov. 1, 2002; Laws 2003, c. 212, § 6, eff. July 1, 2003; Laws 2004, c. 312, § 1, eff. Nov. 1, 2004.

NOTE:  Laws 2001, c. 348, § 2 repealed by Laws 2002, c. 22, § 34, emerg. eff. March 8, 2002.

§74-840-1.7.  Oklahoma Merit Protection Commission - Creation - Membership - Terms - Expenses - Officers - Meetings.

A.  There is hereby created the Oklahoma Merit Protection Commission.  Whenever the terms "Ethics and Merit Commission" or "Special Counsel of the Ethics and Merit Commission" appear in the Oklahoma Statutes, they shall mean the Oklahoma Merit Protection Commission or the Executive Director of the Oklahoma Merit Protection Commission as may be appropriate to the context in which they appear.  The Oklahoma Merit Protection Commission shall consist of nine (9) members who shall be appointed for a term of three (3) years.  The members shall be removable only for cause, as provided by law for the removal of officers not subject to impeachment.  Two members of the Commission shall be appointed by the President Pro Tempore of the Senate.  Two members of the Commission shall be appointed by the Speaker of the House of Representatives.  Five members of the Commission shall be appointed by the Governor.  No more than four of the appointments made by the Governor shall be from the same political party.  Of the initial appointments made to the Commission, one member appointed by the President Pro Tempore, one member appointed by the Speaker and one member appointed by the Governor shall be for a term of three (3) years; and one member appointed by the President Pro Tempore, one member appointed by the Speaker and one member appointed by the Governor shall be for a term of two (2) years.  The remaining three initial appointments by the Governor shall be designated to serve a term of one (1) year.  At the expiration of the initial term, each new appointee shall serve a three-year term.  All initial appointments shall be made prior to July 1, 1982.

B.  Members of the Commission shall be entitled to reimbursement for expenses incurred in the performance of their duties as provided in the State Travel Reimbursement Act.

C.  The Commission shall elect a chairman, to serve a two-year term and such other officers as deemed necessary for the performance of their duties.  The Commission shall hold regular meetings not less than once a month and such additional meetings as called by the chairman as may be required for the proper discharge of its duties.

Added by Laws 1982, c. 338, § 22, emerg. eff. June 2, 1982.  Amended by Laws 1985, c. 178, § 72, operative July 1, 1985; Laws 1986, c. 158, § 10, operative July 1, 1986.  Renumbered from § 841.1 of this title by Laws 1994, c. 242, § 54.

§74-840-1.8.  Executive Director - Appointing authority - Status of employees.

The appointing authority of the Oklahoma Merit Protection Commission shall be the Executive Director.  The Executive Director shall be appointed by the Commission to serve at its pleasure.  The Executive Director, with the approval of the Commission, may employ and compensate an attorney and shall select, compensate and employ such administrative hearing officers and other personnel as deemed necessary for the proper administration of the duties and functions of the Commission.  Effective September 1, 1994, employees of the Commission shall become classified employees, except those employees with less than six (6) months of service from their enter-on-duty date will remain in probationary status until obtaining permanent status in accordance with applicable rules of the Administrator of the Office of Personnel Management or as provided in Section 8 of this act.

Added by Laws 1982, c. 338, § 23, emerg. eff. June 2, 1982.  Amended by Laws 1985, c. 17, § 1, emerg. eff. April 15, 1985; Laws 1986, c. 158, § 11, operative July 1, 1986; Laws 1994, c. 242, § 29.  Renumbered from § 841.2 of this title by Laws 1994, c. 242, § 54.

§74-840-1.9.  Powers and duties of Commission.

In addition to any other duties expressly set forth by law, the Oklahoma Merit Protection Commission shall:

1.  Receive and act on complaints, counsel persons and groups on their rights and duties and take action designed to obtain voluntary compliance with the provisions of the Oklahoma Personnel Act;

2.  Investigate allegations of violations of the provisions of the Oklahoma Personnel Act within its jurisdiction;

3.  Investigate allegations of abuses in the employment practices of the Administrator of the Office of Personnel Management or of any state agency;

4.  Investigate allegations of violations of the rules of the Merit System of Personnel Administration and prohibited activities in the classified service;

5.  Establish and maintain a statewide Alternative Dispute Resolution Program to provide dispute resolution services for state agencies and employees;

6.  Establish rules, pursuant to the Administrative Procedures Act as may be necessary to perform the duties and functions of the Commission including, but not limited to, rules to monitor state agency grievance processes to ensure full compliance with the law.  The Commission may also recommend any changes it deems necessary to improve such grievance processes to the appropriate state agency;

7.  Establish guidelines for the qualifications, duties, responsibilities, authority, power, and continued employment of the Executive Director, Administrative Hearing Officers, mediators, and other resolution arbitrators or facilitators;

8.  Prepare and preserve an audio tape of all proceedings of all hearings conducted by the Commission and furnish transcripts of such tapes upon payment of the costs of such transcripts by the party requesting the transcripts;

9.  Submit quarterly, fiscal year reports on workload statistics to the Governor, the Speaker of the House of Representatives, and the President Pro Tempore of the Senate containing the following information:

a. the number of cases, complaints, and requests for hearing filed, disposed of and pending with the Commission for each month of the quarter,

b. a numerical breakdown of the methods of disposition of such cases, complaints, and requests for hearing,

c. a numerical breakdown of mediations, prehearing conferences, and appellate hearings, conducted, and

d. the date of the oldest pending case, complaint, and request for hearing.

Quarterly reports shall be submitted within thirty (30) days following the last day of the month of the appropriate quarter; and

10.  Make all records of the Commission, except those made confidential by law, available for public inspection, copying and mechanical reproduction, or either of them, in accordance with the Oklahoma Open Records Act and charge a fee not to exceed twenty-five cents ($0.25) per page as the direct costs of document copying or mechanical reproduction.  All fees collected pursuant to the provisions of this paragraph shall be deposited in the Oklahoma Merit Protection Commission Revolving Fund.

Added by Laws 1982, c. 338, § 24, eff. July 1, 1982.  Amended by Laws 1983, c. 274, § 5, operative July 1, 1983; Laws 1984, c. 242, § 1, operative July 1, 1984; Laws 1986, c. 158, § 12, operative July 1, 1986; Laws 1988, c. 229, § 3, operative July 1, 1988; Laws 1992, c. 367, § 5, eff. July 1, 1992; Laws 1994, c. 242, § 30.  Renumbered from § 841.3 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 2005, c. 389, § 1, eff. Nov. 1, 2005.

§74-840-1.10.  Oaths, subpoena and production of books and papers - Reimbursement of employees.

A.  A member of the Oklahoma Merit Protection Commission and the Executive Director shall have power to subpoena witnesses and compel the production of books and papers pertinent to any investigation, dispute resolution or hearing authorized by this act.  Members of the Oklahoma Merit Protection Commission, the Executive Director, and their designees shall have the power to administer oaths.  Any person who fails to appear in response to a subpoena or to answer any question or produce any books or papers pertinent to any such investigation, dispute resolution or hearing or who shall knowingly give false testimony therein upon conviction shall be subject to penalties pursuant to Section 40 of this act.

B.  Any state employee subpoenaed by the Executive Director or Commission to appear shall be reimbursed by the employing agency for expenses as provided in the State Travel Reimbursement Act and shall be paid his or her regular salary for each day that the employee is subpoenaed to appear.  Said reimbursement and payment shall be in lieu of any witness fees to which the employee might otherwise be entitled by law and a request by a state employee for such fees shall not remove the obligation which the state employee has to honor the subpoena.

Added by Laws 1982, c. 338, § 39, eff. July 1, 1982.  Amended by Laws 1986, c. 158, § 22, operative July 1, 1986; Laws 1994, c. 242, § 37.  Renumbered from § 841.18 of this title by Laws 1994, c. 242, § 54.

§74-840-1.12.  Summaries and recordings of appeal hearings.

The Oklahoma Merit Protection Commission is directed to publish summaries of Merit Protection Commission appeal hearings.

The Oklahoma Merit Protection Commission shall charge state agencies, associations and other interested parties for the cost of such summaries and recordings.  All monies accruing from the sale of hearing summaries and recordings are to be deposited to the Oklahoma Merit Protection Commission Revolving Fund.

Added by Laws 1994, c. 242, § 31.

§74-840-1.13.  Training and certification program.

The Oklahoma Merit Protection Commission shall establish a training and certification program for all hearing officers employed by the Oklahoma Merit Protection Commission and grievance managers appointed by state agencies.  The Commission may also provide training for other agency personnel employees.  The Executive Director shall be authorized to bill agencies for the training pursuant to this section to recover reasonable costs associated with the training.  Monies received for such training shall be deposited in the Oklahoma Merit Protection Commission Revolving Fund.  Expenditure of such funds collected for the training shall be exempt from any expenditure limit on the Oklahoma Merit Protection Commission established by law.

Added by Laws 1994, c. 242, § 32.

§74-840-1.14.  Attorney General as legal counsel - Opinions to officers or employees - Representation of Commission - Conflict of interest - Appointment of alternate counsel.

When any officer or employee of the state is in doubt as to the application of the Oklahoma Personnel Act as to himself or to any employee under his supervision, he may submit to the Attorney General a full written statement of the facts and questions he may have.  The Attorney General shall then render an opinion to such person and may publish these opinions, or abstracts thereof, with the use of the name of the person advised unless such person requests otherwise in writing.  The Attorney General shall be the legal counsel for the Oklahoma Merit Protection Commission and represent it when its decisions are appealed to higher courts.  The Office of the Attorney General shall be legal counsel for and represent the Merit Protection Commission notwithstanding its representation of any other state department, agency, board or commission in the same or related matters pending before the Merit Protection Commission or before any court.  The Attorney General shall establish internal administrative procedures to ensure that both such agencies are provided independent legal representation, and such simultaneous representation shall not, of itself, be deemed to constitute a conflict of interest.  In the event the Attorney General determines an irreconcilable conflict of interest exists, to the extent that he is unable to provide simultaneous representation to both the Merit Protection Commission and another state department, agency, board or commission the provision of Section 18c-2 of this title shall apply.

Added by Laws 1982, c. 338, § 32, eff. July 1, 1982.  Amended by Laws 1986, c. 158, § 17, operative July 1, 1986; Laws 1990, c. 264, § 69, operative July 1, 1990.  Renumbered from § 841.11 of this title by Laws 1994, c. 242, § 54.

§74-840-1.15.  Delegation of personnel authority - Model human resource projects - Human Resource Management Plan and Self - Evaluation Report system.

A.  The Administrator shall establish standards and procedures for delegating to appointing authorities the authority to administer human resources functions normally conducted by the Office of Personnel Management.  The Administrator shall have the authority to approve delegation applications which shall constitute authority for the agency to implement approved delegations of personnel authority.

B.  The Administrator shall create a program to allow agencies to design model human resource projects to test and evaluate the effect of innovative policies, standards, and procedures.

The number and scope of model projects shall be limited only by the capacity of the agency to implement the model projects, the quality of model project applications, and the ability of the Office of Personnel Management to monitor the projects.  The Administrator shall have the authority to approve model project applications which shall constitute authority for the agency to implement approved model projects.

C.  The Administrator shall create a Human Resource Management Plan and Self-Evaluation Report system for agencies including but not be limited to provisions related to affirmative action; staffing, recruitment, and promotion; classification and compensation; training and staff development expenditures; the reporting of internal agency grievances and discrimination complaints filed, discharges, suspensions without pay and demotions, and number of investigations directed by the Oklahoma Merit Protection Commission and the outcome of all such actions; and strategies for assuring employee participation in the development of agency personnel activities.  The self-evaluation should include comparisons with the previous year or years' personnel actions.

Added by Laws 1994, c. 242, § 5.  Amended by Laws 1995, c. 310, § 2, emerg. eff. June 5, 1995; Laws 1996, c. 320, § 3, emerg. eff. June 12, 1996; Laws 2003, c. 212, § 7, eff. July 1, 2003.

§74-840-1.16.  Conflicts with federal requirements.

A.  If any part of this act is found to be in conflict with federal requirements which are a condition precedent to the allocation of federal funds to the state, the conflicting part of this act shall be inoperative solely to the extent of the conflict and with respect to the agencies directly affected, and such findings shall not affect the operation of the remainder of this act in its application to the agencies concerned.

B.  Notwithstanding any provisions in this act to the contrary, no regulation shall be adopted which would deprive the state of federal grants or other forms of financial assistance, and the rules and regulations promulgated hereunder shall include standards, provisions, terms and conditions for personnel engaged in the administration of federally aided programs, which shall, in all respects, comply with the necessary requirements for a qualified personnel system under the standards applicable to personnel engaged in the administration of federally aided programs.

Added by Laws 1982, c. 338, § 11, eff. July 1, 1982.  Renumbered from § 840.11 of this title by Laws 1994, c. 242, § 54.

§74-840-1.17.  Agreements with municipalities to furnish services and facilities.

The Office may enter into agreement with any municipality or political subdivision of the state to furnish services and facilities of the Office to the municipality or political subdivision in the administration of its personnel on merit principles.  Any such agreement shall provide for the reimbursement to the state of the cost of the services and facilities furnished.  All municipalities and political subdivisions of the state may enter into such agreements.

Added by Laws 1982, c. 338, § 12, eff. July 1, 1982.  Renumbered from § 840.12 of this title by Laws 1994, c. 242, § 54.

§74-840-1.18.  Payment of administrative costs and expenses.

A.  The administrative expenses and costs of operating the Merit System shall be paid by the various divisions of the state government included within the Merit System, and each such agency shall be authorized to include in its budget estimates its pro rata share of such costs, and shall remit such shares quarterly from departmental or agency funds to the Office of Personnel Management who shall deposit such shares to the credit of the General Revenue Fund of the State Treasury.

B.  The Administrator shall maintain accurate records reflecting the costs of administering its provisions, and at the close of each quarter-year period shall summarize said costs, and shall bill each department or agency included within the terms of the Oklahoma Personnel Act with a pro rata share of the administrative costs based on the relationship between the quarterly average number of employees in the classified service of such department or agency, and the quarterly average number of employees in the classified service of the state.

C.  The Administrator shall separately categorize and estimate expenditures and budget needs for other services performed which are not appropriately charged to state agencies on a pro rata basis.

D.  Any state agency for which the Administrator provides payroll services shall pay for such services at a rate established by the Administrator, which shall be based upon the cost to the Administrator of providing such services.  Each agency shall remit payment for such services quarterly from departmental or agency funds to the Administrator who shall deposit such payments into the Office of Personnel Management Revolving Fund created in Section 840-1.20 of this title.

E.  No state disbursing or auditing officer shall make or approve or take any part in making or approving any payment for personal service to any person holding a position in the state classified service, brought under the Oklahoma Personnel Act unless the payroll voucher or account of such pay bears the certification of the appointing authority or designee, that the persons named therein have been appointed and employed in accordance with the provisions of the Oklahoma Personnel Act and the rules promulgated hereunder.  The appointing authority or designee may for proper cause withhold certification from an entire payroll or from any specific item or items thereon.

Any citizen may maintain a suit to restrain a disbursing officer from making any payment in contravention of any provision of the Oklahoma Personnel Act or rules promulgated hereunder.  Any sum paid contrary to any provision of the Oklahoma Personnel Act or any rule promulgated hereunder may be recovered in an action maintained by any citizen, from any officer who made, approved or authorized such payment or who signed or countersigned a voucher, payroll, check or warrant for such payment, or from the sureties on the official bond of any such officer.  All monies recovered in any such action shall be paid into the State Treasury.

Any person appointed or employed in contravention of any provision of the Oklahoma Personnel Act or any rules or orders promulgated hereunder, whose employment is brought within the terms of the Oklahoma Personnel Act, who performs service for which he or she is not paid, may maintain an action against the officer or officers who purported to appoint or employ the person to recover the agreed pay for such services, or the reasonable value thereof if no pay was agreed upon.  No officer shall be reimbursed by the state at any time for any sum paid to such person on account of such services.

If the appointing authority or designee wrongfully withholds certification of the payroll voucher or account of any employee, such employee may maintain an action or proceeding in the courts to compel the appointing authority or designee to certify such payroll voucher or account.

Added by Laws 1982, c. 338, § 14, eff. July 1, 1982.  Amended by Laws 1983, c. 288, § 1, operative July 1, 1983.  Renumbered from Title 74, § 840.14 by Laws 1994, c. 242, § 54.  Amended by Laws 2003, c. 212, § 8, eff. July 1, 2003; Laws 2004, c. 312, § 2, eff. Nov. 1, 2004; Laws 2005, c. 176, § 1, eff. July 1, 2005.

§74-840-1.19.  Merit System of Personnel Administration Rules - Distribution.

It shall be the responsibility of each appointing authority to distribute copies of the Merit System of Personnel Administration Rules promulgated and published by the Administrator of the Office of Personnel Management or the Merit Protection Commission, respectively, to all classified employees at the request of the Administrator or the Executive Director.

Added by Laws 1982, c. 338, § 33, eff. July 1, 1982.  Amended by Laws 1986, c. 158, § 18, operative July 1, 1986; Laws 1994, c. 242, § 35.  Renumbered from § 841.12 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 3, emerg. eff. June 5, 1995.

§74-840-1.20.  Office of Personnel Management Revolving Fund.

A.  There is hereby created in the State Treasury a revolving fund for the Office of Personnel Management to be designated the "Office of Personnel Management Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of fees received by the Office of Personnel Management for providing training for a certified public managers program and all other monies received by the Office of Personnel Management, except for appropriated monies, monies received as payment for administrative expenses under Section 840.14 of Title 74 of the Oklahoma Statutes, monies placed in the Employee Benefits Revolving Fund, monies placed in the Benefits Council Administration Revolving Fund, and any monies in revolving funds established by the Office of State Finance to support the operation of the Oklahoma Employees Benefits Council or to reimburse the Office of Personnel Management for services the Office provides to the Council.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Office of Personnel Management for defraying the costs incurred in performing the duties and functions of the Office.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

B.  Any monies in or obligations against the Certified Public Managers Revolving Fund upon the effective date of this act shall be transferred to the Office of Personnel Management Revolving Fund.

Added by Laws 1988, c. 248, § 7, operative July 1, 1988.  Amended by Laws 1994, c. 242, § 28.  Renumbered from § 840.5b of this title by Laws 1994, c. 242, § 54.

§74-840-1.21.  Oklahoma Merit Protection Commission Revolving Fund - Transcriptions for indigent respondents.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Merit Protection Commission, to be designated the "Oklahoma Merit Protection Commission Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies except appropriated monies received by the Oklahoma Merit Protection Commission.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Oklahoma Merit Protection Commission for the purpose of paying the costs incurred in performing the duties and functions imposed upon the Oklahoma Merit Protection Commission by law.

The Commission is hereby directed to pay from the Fund the costs of transcribing the record of any proceeding before the Commission, which record may be designated by an indigent respondent, if such respondent first establishes indigent condition through execution of an in forma pauperis affidavit upon a form approved by the Commission, provided that if the indigent respondent has a financial recovery, the fund shall be reimbursed from said proceeds.

Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1983, c. 274, § 7, operative July 1, 1983.  Amended by Laws 1986, c. 158, § 4, operative July 1, 1986; Laws 1990, c. 160, § 1, emerg. eff. May 1, 1990.  Renumbered from § 841.24 of this title by Laws 1994, c. 242, § 54.

§74-840.2.  Renumbered as § 840-1.2 of this title by Laws 1994, c. 242, § 54.

§74-840-2.1.  Affirmative action.

A.  All agencies, boards, commissions, departments, and offices of each branch of state government, except institutions within The Oklahoma State System of Higher Education, shall submit an affirmative action plan to the Office of Personnel Management annually by September 1 following the end of the fiscal year ending June 30.  Institutions within The Oklahoma State System of Higher Education shall submit an affirmative action plan to the Oklahoma State Regents for Higher Education in accordance with standards established by the Oklahoma State Regents for Higher Education.

B.  Said plan for agencies of the executive branch, except institutions within The Oklahoma State System of Higher Education, is subject to the approval of the Administrator of the Office of Personnel Management.

C.  The Administrator of the Office of Personnel Management shall analyze the affirmative action plans of executive branch agencies and Equal Employment Opportunity Commission reports prepared by such agencies, except institutions within The Oklahoma State System of Higher Education, and, on or before March 1 of each year, shall submit a report to the Speaker of the House of Representatives, the President Pro Tempore of the Senate, and the Governor.  Said report shall state the efforts and progress made by governmental entities in the area of affirmative action, including the status of recruitment, hiring, and promotion of women, men and minorities within job categories.

D.  The provisions of this section shall not require an agency, board, commission, department, or office of state government to grant preferential treatment to an individual or group because of race, color, religion, sex, national origin, age, or handicap because of an imbalance which may exist in comparison with the employment statistics of the area involved.

E.  It is not a discriminatory practice for the appointing authority of an entity subject to the provisions of this title to adopt and implement an affirmative action plan to eliminate or reduce imbalances with respect to women and minorities if the plan has been approved by the Office of Personnel Management in accordance with rules and guidelines adopted by the Office of Personnel Management.  For affirmative action purposes, any person who lists American Indian as his race or national origin shall, within thirty (30) days of his appointment, verify his tribal affiliation by providing a certificate of Degree of Indian Blood from the U.S. Department of Interior, Bureau of Indian Affairs, or by providing the name and address of tribal officials who can verify his tribal affiliation.

F.  1.  The Administrator of the Office of Personnel Management shall establish qualification requirements for personnel serving as agency civil rights or affirmative action administrators, officers, coordinators and other personnel responsible for civil rights compliance or affirmative action for executive branch agencies.  Such qualification requirements shall include, but not be limited to, knowledge of federal and state civil rights, affirmative action, and equal employment laws and regulations.  Such personnel shall be subject to the training requirements specified by the Office of Personnel Management.  The Administrator shall be authorized to bill agencies for the training of personnel professionals pursuant to this paragraph to recover reasonable costs associated with the training.  Monies received for such training shall be deposited in the Office of Personnel Management Revolving Fund.  Expenditure of such funds collected for the training shall be exempt from any expenditure limit for the Office of Personnel Management established by law.  Effective December 1, 1995, complaints of alleged illegal discrimination shall be investigated only by personnel trained pursuant to the requirements of the Administrator, unless otherwise provided by federal or state law.  This paragraph shall not apply to such personnel of the Oklahoma Merit Protection Commission or the Oklahoma Human Rights Commission.

2.  If, after notice, administrative hearing and determination, pursuant to Article II of the Administrative Procedures Act, Section 308a et seq. of Title 75 of the Oklahoma Statutes, the Administrator finds that an appointing authority of any executive branch agency has failed to make significant progress toward affirmative action goals, or has failed to appoint a civil rights administrator without justifiable reasons, the Administrator may begin requiring remedies as allowed by subsection G of this section and rules promulgated thereto and appropriate to making progress toward affirmative action goals.  Such action shall remain in effect until the Administrator determines that significant progress toward affirmative action goals is being made.  The provisions of law pertaining to the duties and powers of any agency shall not be construed to deny the Administrator the authority provided for in this paragraph, unless the agency is specifically excluded by law from the provisions of this paragraph.

G.  1.  The Administrator of the Office of Personnel Management shall develop rules for the imposition of appropriate remedies for agencies in the executive branch of state government, excluding The Oklahoma State System of Higher Education, when an agency has failed to make significant progress toward affirmative action goals or has been found to have a pattern of noncompliance with affirmative action goals.  If, pursuant to Article II of the Administrative Procedures Act, the Administrator finds that an agency has failed to make significant progress toward affirmative action goals or is found to have a pattern of noncompliance with affirmative action goals, remedies that the Administrator may impose shall include:

a. requiring noncomplying appointing authorities to participate in programs for special recruiting efforts,

b. development of training programs to enhance promotability of minorities within agencies and supervisory training in equal opportunity employment, affirmative action, managing workplace diversity, and

c. mandatory review and approval of all hiring and promotion decisions by an appointing authority by the Administrator if the Administrator can document a pattern of noncompliance in previous remedial actions pursuant to this subsection or appointment of a full-time affirmative action officer to any agency in noncompliance with affirmative action remedies.

2.  Effective July 1, 1995, if the Administrator determines that a pattern of noncompliance with affirmative action goals exists at an agency and that none of the remedies provided by paragraph 1 of this subsection are appropriate and the Administrator determines the Office of Personnel Management has sufficient resources, the Administrator shall be empowered to remove personnel function(s) relating to recruitment, hiring or promotion from the appointing authority and to place that function with the Administrator of the Office of Personnel Management as provided by this paragraph.  Removal of personnel function(s) shall occur only when a pattern of noncompliance with the affirmative action plan can be documented and a vote by two-thirds (2/3) of the Affirmative Action Council recommends to the Administrator to remove personnel function(s).  Removal of personnel function(s) shall terminate one (1) calendar year after the Administrator removes such function(s) unless the Administrator is able to demonstrate that the restoration of personnel function(s) to the appointing authority will result in further noncompliance with this section.  A vote of two-thirds (2/3) of the Council shall be necessary to continue the removal of personnel function(s) by the Administrator for each additional year.  The Administrator must receive approval from the Director of the Office of State Finance to develop recruitment, hiring and promotion actions within budgetary constraints for the affected agencies.  The Administrator shall consult with the appointing authority about personnel plans and actions, but the Administrator shall retain final authority for personnel decisions within the scope of the Administrator's authority for the period an agency is operating under removal of the personnel function(s).  Nothing in this section shall prohibit the removal of a personnel function(s) remedy at any time if the Administrator determines the appointing authority and agency have the capability of reassuming the authority that was removed.  The provisions of law pertaining to the duties and powers of any agency shall not be construed to deny the Administrator the authority provided for in this paragraph, unless the agency is specifically excluded by law from the provisions of this paragraph.  Upon removal of an agency's personnel function(s), the Administrator may employ employees at the Office of Personnel Management to assume the personnel function(s) of the agency as provided by this section.

H.  1.  There is hereby created the Affirmative Action Review Council to assist in the implementation of the state's equal employment opportunity and affirmative action efforts mandated by this section.  The Administrator of the Office of Personnel Management shall consult with and request the assistance of the Council in developing standards that executive branch agencies shall follow in adopting their affirmative action plans.  The Council shall review agency affirmative action plans and assist the Administrator in preparing the annual status report for agencies on equal employment opportunity and affirmative action required by this section.  Staff for the Council shall be provided by the Office of Personnel Management.

2.  The Affirmative Action Review Council shall consist of six (6) members.  The individuals making the appointment shall consider experience in the field, theory, and application of human resources management and affirmative action in making their appointments.  Members of the Council shall serve at the pleasure of the respective individuals making the appointments.  Two members of the Council shall be appointed by the Governor, two members shall be appointed by the Speaker of the House of Representatives, and two members shall be appointed by the President Pro Tempore of the Senate.  Nothing shall preclude the appointment of members of the Legislature.  Each individual making appointments shall give consideration to the diversity of the Council's membership when making the appointments and shall not appoint more than one individual who is an employee of the executive branch, excluding The Oklahoma State System of Higher Education.  The Governor shall appoint the initial chair from among the Council's membership to serve a two-year term.  Thereafter, the chair shall be selected by the Council from among its membership.  The Council shall select a vice-chair from among its membership.  All members shall serve two-year terms, unless removed prior to the expiration of a term by the respective individual making the appointment.  Any vacancy on the Council shall be filled by the individual who made the original appointment.

Except as provided in subparagraph b of paragraph 4 of this subsection, a majority of the members of the Council shall constitute a quorum to transact business, but no vacancy shall impair the right of the remaining members to exercise all of the powers of the Council and every act of a majority of the members present shall be deemed the act of the Council.

3.  Members of the Council shall receive no compensation for serving on the Council, but shall be reimbursed for their necessary travel expenses incurred in the performance of their duties in accordance with the State Travel Reimbursement Act.  Any member who is employed in state government shall receive the reimbursement from their employing entity.  Any member who is not an employee of state government shall receive the reimbursement from the Office of Personnel Management.

4. a. The Council shall make any recommendations to the Administrator, the Governor, the Speaker of the House of Representatives or the President Pro Tempore of the Senate the Council deems will assist in the attaining of affirmative action goals for state government.

b. The Council shall review agency affirmative action plans for compliance with the standards adopted by the Administrator.  The Council shall recommend that the Administrator reject any agency plans which it finds in noncompliance.

c. The Council shall request the Administrator to investigate any agency that the Council believes has violated equal employment opportunity or affirmative action provisions of this section and to conduct hearings to determine if such violations have occurred.  If the Administrator finds that an agency is not in compliance with such law and the Council believes that the noncompliance indicates a pattern of noncompliance, the Council, upon a two-thirds vote of its members, may recommend to the Administrator to act in accordance with this section to compel the agency to comply with equal employment opportunity and affirmative action laws.  If the Administrator decides not to act on the Council's recommendation, the Administrator shall respond in writing within thirty (30) days of the Council's recommendation setting forth the reasons why the Administrator has decided not to act in accordance with said recommendation.

d. Any member who is an employee of an agency that is subject to investigation pursuant to subparagraph b of this paragraph shall disqualify himself or herself from voting on the matter.

e. This paragraph applies to review of issues related to affirmative action.  This paragraph does not apply to prohibited discrimination that is within the jurisdiction of the Oklahoma Merit Protection Commission or the Oklahoma Human Rights Commission.

5.  The Council shall not have authority to adopt rules pursuant to the Administrative Procedures Act.

I.  Affirmative action plans for the judicial branch of government, except the Court of Criminal Appeals and the Workers' Compensation Court, shall be prepared by the Administrative Director of the Courts.  The Court of Criminal Appeals shall prepare affirmative action plans for the Court of Criminal Appeals.  The Administrator of the Workers' Compensation Court shall prepare affirmative action plans for the Workers' Compensation Court.

J.  The Administrator of the Office of Personnel Management is hereby directed to adopt rules necessary to implement the provisions of this section.  Such rules regarding affirmative action plans shall include, but not be limited to, a set of specific and result-oriented programs to which an appointing authority commits himself or herself to apply every good faith effort to achieve prompt and full utilization of women and minorities at all levels and in all segments of the work force where deficiencies exist.  Such rules shall also include separate provisions for affirmative plans for agencies with fewer than fifteen full-time-equivalent employees.

Added by Laws 1984, c. 143, § 1, eff. Nov. 1, 1984.  Amended by Laws 1987, c. 66, § 1, eff. Nov. 1, 1987; Laws 1994, c. 242, § 25.  Renumbered from § 840.25 of Title 74 by Laws 1994, c. 242, § 54.  Amended by Laws 1997, c. 286, § 2, eff. July 1, 1997; Laws 2002, c. 347, § 5, eff. Nov. 1, 2002.

§74-840-2.2.  Affirmative action officers - Supervision.

Any Affirmative Action Officer of an agency of the State of Oklahoma shall be supervised by and report directly to the agency appointing authority or, where there is an Affirmative Action Officer assigned to a subagency, then the Affirmative Action Officer shall be supervised by and report directly to the person administratively responsible for the facility.  In no case shall the position or the work performed by the Affirmative Action Officer be supervised either directly or indirectly by the personnel manager of the agency or subagency; provided, however, no Affirmative Action Officer shall have or perform the duties of a grievance manager within an agency of the State of Oklahoma.

Added by Laws 1988, c. 199, § 2, emerg. eff. June 9, 1988.  Renumbered from § 840.25a of this title by Laws 1994, c. 242, § 54.

§74-840-2.3.  Affirmative action officers - Responsibilities and qualifications.

The appointing authority in each agency of each branch of state government is responsible for affirmative action efforts and progress; provided, he or she may employ or assign a person to assist the agency in affirmative action and equal opportunity subject to the following provisions:

1.  Any state agency with two hundred or more full-time-equivalent employees shall designate an individual as an affirmative action officer.  This provision shall not require the hiring of additional employees.

2.  The affirmative action officer shall report directly to the appointing authority.  Nothing in this section shall prevent the appointment or designation of assistants to affirmative action officers in agencies as the appointing authority deems appropriate for the implementation of agency affirmative action plans and objectives; and

3.  The affirmative action officer shall be knowledgeable of federal and state civil rights and equal opportunity legislation and regulations, of current social and economic conditions and inter-relationships of majority and minority groups, of grievance investigation and interviewing techniques and of report writing.  Any person designated as an affirmative action officer shall meet the minimum qualifications and pass all examination requirements as established by the Office of Personnel Management.

Added by Laws 1988, c. 213, § 2, eff. Nov. 1, 1988.  Renumbered from § 840.25b of this title by Laws 1994, c. 242, § 54.  Amended by Laws 2004, c. 312, § 3, eff. Nov. 1, 2004.

§74-840-2.4.  Rules and standards for defining progress.

The Administrator of the Office of Personnel Management shall promulgate rules and standards for defining progress toward a balanced and representative work force for state government.

Added by Laws 1994, c. 242, § 26.

§74-840-2.5.  Whistleblower Act - Short title - Purpose -Disciplinary actions - Definitions.

A.  This section shall be known and may be cited as the "Whistleblower Act".  The purpose of the Whistleblower Act is to encourage and protect the reporting of wrongful governmental activities and to deter retaliation against state employees for reporting those activities.  No conviction of any person shall be required to afford protection for any employee under this section.

B.  For purposes of this section, "agency" means any office, department, commission or institution of the state government.  No officer or employee of any state agency shall prohibit or take disciplinary action against employees of such agency, whether subject to the provisions of the Merit System or in unclassified service, for:

1.  Disclosing public information to correct what the employee reasonably believes evidences a violation of the Oklahoma Constitution or law or a rule promulgated pursuant to law;

2.  Reporting a violation of the Oklahoma Constitution, state or federal law, rule or policy; mismanagement; a gross waste of public funds; an abuse of authority; or a substantial and specific danger to public health or safety;

3.  Discussing the operations and functions of the agency, either specifically or generally, with the Governor, members of the Legislature, the print or electronic media or other persons in a position to investigate or initiate corrective action; or

4.  Taking any of the above actions without giving prior notice to the employee's supervisor or anyone else in the employee's chain of command.

C.  Any person who has authority to take, direct others to take, recommend or approve any personnel action shall not take or fail to take any personnel action with respect to any employee for filing an appeal or testifying on behalf of any person filing an appeal with the Oklahoma Merit Protection Commission.  This section shall not be construed as prohibiting disciplinary action of an employee who discloses information which the employee:

1.  Knows to be false;

2.  Knowingly and willfully discloses with reckless disregard for its truth or falsity; or

3.  Knows to be confidential pursuant to law.

D.  Each state agency, department, institution, board and commission in all branches of state government, including all institutions in The Oklahoma State System of Higher Education, shall prominently post or publish a copy of this section of law in locations where it can reasonably be expected to come to the attention of all employees.

E.  As used in this section:

1.  "Disciplinary action" means any direct or indirect form of discipline, any dismissal, demotion, transfer, reassignment, suspension, reprimand, admonishment, warning of possible dismissal, reduction in force, reduction in rank, reduction in status, or withholding of work;

2.  "Probation" means that period of time, after an officer or employee is found to have violated the provisions of this section and corrective action is ordered, during which time that officer's or employee's performance and conduct is being monitored by the employing agency for further violations of the Oklahoma Personnel Act; and

3.  "Mismanagement" means fraudulent activity, criminal misuse of funds or abuse or violation of a well-established, articulated, clear and compelling public policy.

F.  Any employee or any former employee aggrieved pursuant to this section may file an appeal with the Oklahoma Merit Protection Commission within sixty (60) days of the alleged violation.  The Oklahoma Merit Protection Commission shall promulgate rules to establish procedures for the conduct of investigations.  If, after investigation, the Executive Director determines a violation of this section may have occurred, the Executive Director shall appoint a hearing examiner to hear the case as provided for in Section 840-6.6 of this title.

G.  If, after the hearing, it is determined that a violation has occurred, the Commission or hearing examiner shall order corrective action pursuant to Section 840-6.6 of this title.  Such corrective action shall include, but not be limited to, suspension without pay, demotion or discharge.  Any employee found to have violated this section of law, in addition to being suspended or demoted, shall be placed on probation for six (6) months.  Such probation shall commence on the date of the final decision filed by the Commission.  Any employee who is determined to have violated the Oklahoma Personnel Act, Section 840-1.1 et seq. of this title, while serving said probation shall forfeit the position of the person for one (1) year.  Any employee, supervisor or appointing authority of any state agency, whether subject to the provisions of the Merit System of Personnel Administration or in unclassified service, who knowingly and willfully violates the provisions of this section shall forfeit the position of the person and be ineligible for appointment to or employment in a position in state service for a period of at least one (1) year and no more than five (5) years.  The decision of the Commission in such cases may be appealed by any party pursuant to Article II of the Administrative Procedures Act.

Added by Laws 1982, c. 338, § 28, eff. July 1, 1982.  Amended by Laws 1986, c. 84, § 4, eff. Nov. 1, 1986; Laws 1986, c. 158, § 13, operative July 1, 1986; Laws 1992, c. 174, § 1, emerg. eff. May 6, 1992; Laws 1993, c. 84, § 1, emerg. eff. April 18, 1993.  Renumbered from § 841.7 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 4, emerg. eff. June 5, 1995; Laws 1997, c. 406, § 1, eff. July 1, 1997; Laws 2002, c. 355, § 1, eff. July 1, 2002; Laws 2003, c. 106, § 1, eff. July 1, 2003.

§74-840-2.6.  Enforcement of employee rights.

The Oklahoma Merit Protection Commission shall be responsible for enforcing the provisions of Section 840-2.5 of this title and shall be responsible for promulgating rules for the enforcement of said section.

Added by Laws 1982, c. 338, § 29, eff. July 1, 1982.  Amended by Laws 1986, c. 158, § 14, operative July 1, 1986.  Renumbered from § 841.8 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 5, emerg. eff. June 5, 1995.

§74-840-2.7.  Central payroll system - State agencies required to utilize.

Beginning July 1, 1993, all state agencies, boards, commissions, departments and offices, excluding entities within The Oklahoma State System of Higher Education, shall utilize the central payroll system administered by the state Office of Personnel Management.  This provision shall not prohibit state institutions of higher education from utilizing the central payroll system at their discretion.

Added by Laws 1992, c. 367, § 2, eff. July 1, 1992.  Renumbered from § 840.5d of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1999, c. 371, § 8, eff. July 1, 1999.

§74-840-2.8.  State and county officers and employees - Support, etc. of Constitution and laws of state.

Every state and county officer and state and county employee:

1.  Shall support, obey, and defend the Constitution and laws of the State of Oklahoma; and

2.  Shall not knowingly receive, directly or indirectly, any money or other valuable thing for the performance or nonperformance of any act or duty pertaining to his or her office, other than the compensation allowed by law.

Added by Laws 1992, H.J.R. No. 1077, § 33, eff. Jan. 1, 1993.  Renumbered from § 840.32 of this title by Laws 1994, c. 242, § 54.

§74-840-2.9.  Discrimination and other prohibited acts.

A.  No person in the state service, whether subject to the provisions of the Merit System or in unclassified service, shall be appointed to or demoted or dismissed from any position in the state service, or in any way favored or discriminated against with respect to employment in the state service because of political or religious opinions or affiliations, race, creed, gender, color or national origin or by reason of any physical handicap so long as the physical handicap does not render the employee unable to do the work for which he is employed.  The hiring of special disabled veterans pursuant to Sections 401 through 404 of Title 72 of the Oklahoma Statutes shall not constitute favoritism as herein prohibited.

B.  No person shall use or promise to use, directly or indirectly, any official authority or influence, whether possessed or anticipated, to secure or attempt to secure for any person an appointment or advantage in appointment to a position in the classified service, or an increase in pay or other advantage in employment in any such position, for the purpose of influencing the vote or political action of any person, or for any consideration. Letters of inquiry, recommendation and reference for public employees by public officials shall not be considered official authority or influence unless such letter contains a threat, intimidation, or irrelevant, derogatory or false information.

C.  No person shall make any false statement, certificate, score, rating or report with regard to any test, certification or appointment made under any provision of the Oklahoma Personnel Act or in any manner commit any fraud preventing the implementation of the provisions of the Oklahoma Personnel Act and rules made pursuant thereto.

D.  No employee, examiner or other person shall deny, deceive or obstruct any person in his or her right to examination, eligibility, certification or appointment or furnish to any person any special or secret information for the purpose of effecting the rights or prospects of any person with respect to employment in the classified service.

E.  No person shall, directly or indirectly, give, render, pay, offer, solicit or accept any money, service or other valuable consideration for or as a result of any appointment, proposed appointment, promotion or proposed promotion to or any advantage in, a position in the classified or unclassified service.

F.  Alleged violation of this section shall be reported to the Oklahoma Merit Protection Commission.

Added by Laws 1982, c. 338, § 31, eff. July 1, 1982.  Amended by Laws 1983, c. 175, § 8, emerg. eff. June 7, 1983; Laws 1986, c. 158, § 16, operative July 1, 1986.  Renumbered from § 841.10 of this title by Laws 1994, c. 242, § 54.

§74-840-2.10.  State Employee Assistance Program.

A.  There is hereby created a State Employee Assistance Program within the Office of Personnel Management.  The program may provide assistance to state agencies in their management of employees whose personal problems may have a negative impact on job performance.  The program may also provide for assessment, referral, consultation, and problem resolution assistance to state employees and their family members seeking corrective help with medical or mental health problems, including alcohol or drug abuse and emotional, marital, familial, financial or other personal problems.  Participation in the State Employee Assistance Program shall be on a voluntary basis.

B.  The Administrator of the Office of Personnel Management is hereby directed to:

1.  Promulgate rules necessary for the administration of the State Employee Assistance Program and the maintenance and release of participant records;

2.  Conduct training specific to the State Employee Assistance Program; and

3.  Establish evaluation methods to assess the effectiveness of the State Employee Assistance Program.

C.  Nothing in this act is intended to nullify any agency's existing employee assistance program or to prohibit any state agency from establishing its own employee assistance program; provided, however, such programs established by state agencies shall be subject to compliance with rules promulgated by the Administrator of the Office of Personnel Management to ensure equitable treatment of employees.

D.  Records that relate to participation by an individual in the State Employee Assistance Program or an employee assistance program established by a state agency shall be maintained separate and apart from regular personnel records and shall not become part of an employee's personnel file.  Such records relating to an individual's participation in an employee assistance program shall be confidential and neither the records nor the testimony of an Employee Assistance Program professional shall be subject to subpoena unless a participant poses a threat to deliberately harm the participant or others.  Such determination shall be made by an Employee Assistance Program Professional.  A participant in an employee assistance program shall have a right of access to his or her own employee assistance program records.

E.  No provision of this section or the rules promulgated pursuant to this section shall be construed to conflict with an appointing authority's responsibility and authority to maintain discipline or to take disciplinary measures against employees for misconduct or unacceptable performance.  Further, participation or nonparticipation in any state employee assistance program shall not excuse an employee from discipline or otherwise affect the terms and conditions of such employee's employment status or opportunities for advancement with the state.

F.  1.  There is hereby created the Employee Assistance Program Advisory Council to assist in the implementation of the state's employee assistance program.  The Council shall advise the Administrator on policy issues and provide support to expand and improve program services that are available to state employees and their families.

2.  The Employee Assistance Program Advisory Council shall consist of the current nine (9) members who shall continue to hold their current positions through June 30, 1995.  Effective July 1, 1995, three members shall be appointed by the Governor, three members shall be appointed by the Speaker of the House of Representatives, and three members shall be appointed by the President Pro Tempore of the Senate.  All members shall serve two-year terms, unless removed prior to the expiration of a term by the respective individual making the appointment.  Any vacancy in office shall be filled by the individual who made the initial appointment.  The Council shall select a chair and vice-chair from among its membership.  A majority of the members of the Council shall constitute a quorum to transact business, but no vacancy shall impair the right of the remaining members to exercise all of the powers of the Council and every act of a majority of the members present shall be deemed the act of the Council.

3.  Members of the Council shall receive no compensation for serving on the Council, but shall receive necessary travel reimbursement by the employing agency for members who are state employees or appointing authorities of agencies pursuant to the State Travel Reimbursement Act.  Any member employed in state government shall receive the reimbursement from their employing entity.  Members who are not employed in state government shall receive travel reimbursement from the Office of Personnel Management.

4.  The Council shall not have authority to adopt rules pursuant to the Administrative Procedures Act.

G.  The Legislature and the judicial branch of state government may utilize the services of the State Employee Assistance Program at their discretion.

Added by Laws 1992, c. 171, § 1, emerg. eff. May 5, 1992.  Amended by Laws 1994, c. 242, § 50.  Renumbered from Title 74, § 7101 by Laws 1994, c. 242, § 54.  Amended by Laws 2000, c. 336, § 2, eff. July 1, 2000; Laws 2003, c. 212, § 9, eff. July 1, 2003.

§74-840-2.11.  State employee personal information - Confidentiality.

The home addresses, home telephone numbers, social security numbers, and information related to personal electronic communication devices of current and former state employees shall not be open to public inspection or disclosure without written permission from the current or former state employees or without an order from a court of competent jurisdiction.

Added by Laws 1992, c. 367, § 28, emerg. eff. June 9, 1992. Renumbered from Title 74, § 841.6A by Laws 1994, c. 242, § 54; Laws 2002, c. 347, § 6, eff. Nov. 1, 2002; Laws 2003, c. 212, § 10, eff. July 1, 2003.

§74-840-2.12.  Renumbered as § 840-1.6A of this title by Laws 1995, c. 310, § 24, emerg. eff. June 5, 1995.

§74-840-2.13.  Personnel Management Information System.

A.  The Administrator of the Office of Personnel Management shall establish a Personnel Management Information System to provide various management reports to facilitate decision making within agencies, and to promote the efficient utilization of personnel resources by providing a method for tracking, monitoring and reporting positions and employee transactions.  The System shall include information on both the classified and unclassified services within the executive branch of government, but shall not require institutions within The Oklahoma State System of Higher Education to participate.

B.  The Administrator of the Office of Personnel Management shall promulgate rules regarding the Personnel Management Information System as necessary to implement the provisions of this section.  Such rules shall establish a schedule to ensure the orderly implementation of such Personnel Management Information System.

C.  The Personnel Management Information System shall be implemented for all state agencies under the Merit System by July 1, 1993, and for all other executive branch state agencies by July 1, 1994.

D.  State agencies shall assist the Office of Personnel Management as necessary to ensure the orderly completion of implementation as provided for in this section.

E.  Appointing authorities in the legislative or judicial branches of state government may participate in the Personnel Management Information System at their option.

Added by Laws 1992, c. 367, § 1, eff. July 1, 1992.  Amended by Laws 1994, c. 242, § 4.  Renumbered from § 840.5c of this title by Laws 1994, c. 242, § 54.

§74-840-2.14.  Management of costs of human resources.

A.  The intent of the Legislature is to increase individual agency skill and accountability in managing the costs associated with personnel and in applying controls that will enhance the ability of the State of Oklahoma to manage the overall costs of human resources as efficiently as possible, while continuing to maintain fairness to employees.

B.  All agencies, boards, and commissions shall report all reallocation decisions for both classified and unclassified positions and all adjustments to pay grades or salary assignments for classes in the unclassified service to the Office of Personnel Management on a semiannual basis.  The Office of Personnel Management shall submit the semiannual reports to the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives, along with an analysis of statewide reallocation decisions.

C.  All agencies, boards, and commissions shall report to the Office of Personnel Management on a semiannual basis all transactions in both the classified and unclassified service involving the establishment of new positions that have not been authorized specifically by legislative action.  Agencies shall report the transactions for the six-month period ending June 30 or December 31.  The Office of Personnel Management shall forward the semiannual reports to the Governor, President Pro Tempore of the Senate, and Speaker of the House of Representatives, accompanied by an analysis of agency decisions concerning such positions.

D.  As a further control on human resource costs, the Governor may declare a financial emergency or implement a freeze in hiring, by declaring this section to be in effect.  CompSource Oklahoma shall not be subject to the provisions of this subsection.  During such periods, no audits of classified positions or reallocation of unclassified positions shall be initiated or conducted at the request of an agency except at the direction of the Governor.  The provisions of the Oklahoma Personnel Act relating to agency-requested audits may be suspended during such periods to the extent that they are in conflict with this section.  Provided, an audit at the request of an employee who files a classification grievance shall be conducted during such periods in accordance with the provisions of Section 840-4.3 of this title.

E.  The Office of Personnel Management shall establish due dates and specify the format for reports required by this section.  Agencies that do not respond by the due dates shall be identified in a special section of the semiannual analysis reports forwarded to the Governor, President Pro Tempore of the Senate and Speaker of the House of Representatives.

F.  The provisions of this section shall not be construed to suspend the responsibility of any agency to ensure that the duties and responsibilities assigned to an employee are consistent with the current classification of the employee.

Added by Laws 1986, c. 226, § 5, operative July 1, 1986.  Amended by Laws 1992, c. 367, § 16, eff. July 1, 1992.  Renumbered from § 840.22A of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1994, c. 283, § 14, eff. Sept. 1, 1994; Laws 1996, c. 363, § 17, eff. Nov. 1, 1996; Laws 1998, c. 364, § 30, emerg. eff. June 8, 1998; Laws 2004, c. 312, § 4, eff. Nov. 1, 2004.

§74-840-2.15.  Overtime and compensatory time - Nonexempt employees.

A.  The federal Fair Labor Standards Act, 29 U.S.C., Section 201, et seq., provides for minimum standards for both wages and overtime entitlement, and spells out administrative procedures by which covered work time must be compensated.  This section is not a comprehensive listing of the provisions of the Fair Labor Standards Act and regulations promulgated thereunder, and is not intended to conflict with either the Act or the regulations.

B.  Any employee receiving compensatory time consistent with the provisions of the Fair Labor Standards Act shall exhaust such compensatory time prior to the taking of annual leave, except where the employee is subject to losing such annual leave due to the application of the accumulation limits in Section 840-2.20 of this title.

C.  An employee receiving compensatory time under the provisions of subsection A of this section shall be permitted to use accrued compensatory time within one-hundred-eighty (180) days following the pay period in which it was accrued, provided the taking of compensatory time does not unduly impact agency operations or the health, safety or welfare of the public, or endanger public property.  Agencies shall not be allowed to extend this one-hundred-eighty-day time period for employees in an institutional setting.  The balance of any unused compensatory time received but not taken during this time period shall be paid to the employee at the employee's current regular hourly rate.

D.  As used in this section, "institutional setting" shall mean any agency or part of any agency where twenty-four-hour care, monitoring or supervision is required for patients, clients or inmates to protect public health, safety or property.

Added by Laws 1990, c. 204, § 7, emerg. eff. May 10, 1990.  Renumbered from § 840.16d of this title by Laws 1994, c. 242, § 54.  Amended by Laws 2005, c. 176, § 2, eff. July 1, 2005.

§74-840-2.16.  Minimum annualized salary.

Except as otherwise provided by law, any classified, unclassified or exempt employee of the state, excluding members of boards and commissions, institutions under the administrative authority of the Oklahoma State Regents for Higher Education, employees of public school districts and elected officials, on July 1, 1991, and earning less than Twelve Thousand Sixty-three Dollars ($12,063.00) per annum shall receive the necessary grade or salary adjustment to provide for a minimum annualized salary of Twelve Thousand Four Hundred Eighty-three Dollars ($12,483.00).  Any classified, unclassified or exempt employee of the state, excluding members of boards and commissions, institutions under the administrative authority of the Oklahoma State Regents for Higher Education, employees of public school districts and elected officials, employed after July 1, 1991, shall receive a minimum annualized salary of Twelve Thousand Four Hundred Eighty-three Dollars ($12,483.00).  This section shall not apply to those persons employed pursuant to paragraph 12 of Section 840-5.5 of this title or to those persons employed pursuant to Sections 1806.1, 1825 and 1825.1 of Title 74 of the Oklahoma Statutes or those persons employed pursuant to Section 1.6a of Title 53 of the Oklahoma Statutes.

Added by Laws 1990, c. 204, § 1, emerg. eff. May 10, 1990.  Amended by Laws 1990, c. 266, § 94, operative July 1, 1990; Laws 1991, c. 239, § 2, eff. July 1, 1991; Laws 1992, c. 367, § 11, eff. July 1, 1992.  Renumbered from Title 62, § 7.12 by Laws 1994, c. 242, § 54.  Amended by Laws 1994, c. 274, § 1; Laws 1995, c. 310, § 6, emerg. eff. June 5, 1995.

NOTE:  Laws 1994, c. 242, § 46 repealed by Laws 1995, c. 310, § 23, emerg. eff. June 5, 1995.

§74-840-2.17.  Raises.

A.  Unless otherwise provided by the Oklahoma Constitution, language in law which authorizes the setting or fixing of compensation, pay or salary of state officers and employees shall not be construed to authorize any agency, board, commission, department, institution, bureau, executive officer or other entity of the executive branch of state government to award, grant, give, authorize, or promise any officer or employee of the State of Oklahoma a raise, including but not limited to, a cost-of-living raise or any other type of raise that would be given to state employees on an across-the-board basis, except as herein provided.  Such raises are prohibited unless authorized by the Legislature and by Merit System of Personnel Administration Rules promulgated by the Administrator.  This prohibition applies to all classified and unclassified officers and employees in the executive branch of state government, excluding institutions under the administrative authority of the Oklahoma State Regents for Higher Education.

B.  However, nothing in this section shall be construed to prohibit the following actions if the action is made in good faith and not for the purpose of circumventing subsection A of this section, and if the appointing authority certifies that the action can be implemented for the current fiscal year and the subsequent fiscal year without the need for additional funding to increase the personal services budget of the agency:

1.  Salary advancements on promotion or direct reclassification to a job family level or class with a higher salary band;

2.  Salary adjustments resulting from a pay band change for a job family level or class adopted by the Office of Personnel Management;

3.  Increases in longevity payments pursuant to Section 840-2.18 of this title;

4.  Payment of overtime, special entrance rates, pay differentials;

5.  Payment of wages, salaries, or rates of pay established and mandated by law;

6.  Market adjustments for job family levels tied to market competitiveness;

7.  Intra-agency lateral transfers, provided that the adjustment does not exceed five percent (5%) and the adjustment is based on the needs of the agency;

8.  Skill-based adjustments.  Such adjustments, other than lump-sum payments, shall become permanent after twenty-four (24) months from the date such salary adjustment is implemented and may not later be removed from an employee's base salary if a furlough or reduction-in-force is implemented by the appointing authority granting such salary adjustment;

9.  Equity-based adjustments;

10.  Performance-based adjustments for employees who received at least a "meets standards" rating on their most current performance rating;

11.  Career progression increases as an employee advances through job family levels; or

12.  Salary adjustments not to exceed five percent (5%) for probationary classified employees achieving permanent status following the initial probationary period and permanent classified employees successfully completing trial periods after intra-agency lateral transfer or promotion to a different job family level or following career progression to a different job family level.

C.  Provided, however, any reclassification for one of the purposes provided in subsection B of this section that would require additional funding by the Legislature shall not be implemented without approval of the Legislature.

D.  The pay movement mechanisms described in paragraphs 6 through 11 in subsection B of this section shall be implemented pursuant to rules promulgated by the Administrator of the Office of Personnel Management for the classified service.

E.  Appointing authorities may implement the pay movement mechanisms in paragraphs 6 through 12 in subsection B of this section subject to the availability of funds within the agency's budget for the current fiscal year and subsequent fiscal year without the need for additional funding to increase the personal services budget of the agency.  Failure by the appointing authority to follow the provisions of this subsection may cause the withdrawal of the use of the pay movement mechanisms provided in paragraphs 6, 7, 9, 10, and 11 of subsection B of this section within the agency during the next appropriations cycle.

F.  All agencies, boards, and commissions shall report to the Office of Personnel Management on an annual basis the pay movement mechanisms utilized in paragraphs 6 through 12 in subsection B of this section.  The report shall include the pay movement mechanisms type, frequency, amounts provided, affected classifications and job families, and other information as prescribed by the Administrator of the Office of Personnel Management.  Agencies shall report this information for the twelve-month period ending December 31 for classified and unclassified employees.  Agencies must also report projected pay movement mechanisms and costs anticipated for the balance of the fiscal year.  The Office of Personnel Management shall forward the report, which will include findings and recommendations, to the Governor, President Pro Tempore of the Senate, and Speaker of the House of Representatives no later than February 1 of each year.

Added by Laws 1989, c. 370, § 18, operative July 1, 1989.  Amended by Laws 1992, c. 367, § 15, eff. July 1, 1992.  Renumbered from Title 74, § 840.16b by Laws 1994, c. 242, § 54.  Amended by Laws 1994, c. 283, § 13, eff. Sept. 1, 1994; Laws 1996, c. 290, § 16, eff. July 1, 1996; Laws 1999, c. 410, § 4, eff. Nov. 1, 1999; Laws 2000, c. 336, § 3, eff. July 1, 2000; Laws 2001, c. 381, § 3, eff. July 1, 2001; Laws 2002, c. 347, § 7, eff. Nov. 1, 2002; Laws 2003, c. 453, § 1, eff. Nov. 1, 2003; Laws 2004, c. 312, § 5, eff. Nov. 1, 2004.

§74-840-2.18.  Longevity pay plan.

A.  A longevity pay plan is hereby adopted.  This plan applies to all state classified, unclassified, and exempt employees, excluding members of boards and commissions, institutions under the administrative authority of the State Regents for Higher Education, employees of public school districts, and elected officials.  The plan shall also apply to those employees of the Oklahoma School for the Blind and the Oklahoma School for the Deaf who qualify for longevity pay in accordance with subsection D of Section 1419 of Title 10 of the Oklahoma Statutes.

B.  The Oklahoma Conservation Commission is hereby authorized to establish a longevity pay program for employees of the conservation districts employed under Section 3-3-103 of Title 27A of the Oklahoma Statutes.  Such longevity pay program shall be consistent with the longevity pay program for state employees authorized under this title and payments shall be made in a manner consistent with procedures for reimbursement to conservation districts.

C.  To be eligible for longevity pay, employees must have been continuously employed in the classified or unclassified service of the state for a minimum of two (2) years in full-time status or in part-time status working more than one thousand (1,000) hours a year.

For purposes of this section, a break in service of thirty (30) calendar days or less shall not be considered an interruption of continuous service; a break in service of more than thirty (30) calendar days shall mark an end to continuous service.  The legislative session employees who have worked for two (2) years or more in part-time status and are eligible for state retirement benefits, but do not receive other longevity payments, shall be eligible and shall be considered to have been continuously employed for purposes of calculating longevity payments, notwithstanding the provisions of subsection E of this section.

D.  1.  Longevity pay for the first twenty (20) years of service shall be determined pursuant to the following schedule:

Years of Service Annual Longevity Payment

At least 2

years but less than 4 years $250.00

At least 4

years but less than 6 years $426.00

At least 6

years but less than 8 years $626.00

At least 8

years but less than 10 years $850.00

At least 10

years but less than 12 years $1,062.00

At least 12

years but less than 14 years $1,250.00

At least 14

years but less than 16 years $1,500.00

At least 16

years but less than 18 years $1,688.00

At least 18

years but less than 20 years $1,900.00

At least 20 years $2,000.00

2.  For each additional two (2) years of service after the first twenty (20) years an additional Two Hundred Dollars ($200.00) shall be added to the amount stated above for twenty (20) years of service.

The total amount of the annual longevity payment made to an employee by any and all state agencies in any year shall not exceed the amount shown on the table corresponding to that employee's years of service with the state, except as otherwise provided by Sections 840-2.27D and 840-2.28 of this title.  Further, no employee shall receive duplicating longevity payments for the same periods of service with any and all agencies, except as otherwise provided by Sections 840-2.27D and 840-2.28 of this title.

E.  To determine years of service, cumulative periods of full-time employment or part-time employment working more than one hundred fifty (150) hours per month with the state excluding service as specified in subsection A of this section are applicable.  Part-time employment, working one hundred fifty (150) hours per month or less for the state, excluding service as specified in subsection A of this section, shall be counted only if:

1.  The period of employment was continuous for at least five (5) months; and

2.  The person worked more than two-fifths (2/5) time.

Other employment shall not be counted as service for purposes of longevity payments.  Further, no period of employment with the state, whether with one or more than one agency, shall be counted as more than full-time service.

F.  Years of service under the administrative authority of the State Regents for Higher Education or the administrative authority of the Oklahoma Department of Career and Technology Education of any employee who is now employed in a job classification which is eligible for longevity pay shall be included in years of service for purposes of determining longevity pay.

G.  Years of service shall be certified through the current employing agency by the appointing authority on a form approved by the Office of Personnel Management.  Said form shall be completed and posted as directed by the Administrator of the Office of Personnel Management by the current employing agency when the employee initially enters on duty with the agency and thereafter whenever the employee's anniversary date is changed.

H.  Eligible employees, in full-time status or in part-time status working more than one hundred fifty (150) hours per month, shall receive one (1) lump-sum annual payment, in the amount provided on the preceding schedule, during the month following the anniversary date of the employee's most recent enter-on-duty day with the state.  Upon implementation of the statewide information systems project, the lump-sum annual payment may be paid concurrent with the final payroll of the month of the employee's anniversary date.  Eligible part-time employees who work one hundred fifty (150) hours per month or less shall receive one (1) lump-sum annual payment, based on the formula in subsection L of this section, during the month following the anniversary date of the employee's most recent enter-on-duty day with the state.  To receive longevity pay an employee must be in pay status on or after his or her anniversary date.

Eligible employees who would not otherwise receive annual longevity payments because their employment includes regular periods of leave without pay in excess of thirty (30) calendar days shall receive one (1) lump-sum annual payment, based on the formula in subsection L of this section, during:

1.  The month of August if the employee is in pay status on July 1; or

2.  During the month following the employee's first return to duty that fiscal year if the employee is not in pay status on July 1.

Except as otherwise provided by Sections 840-2.27D and 840-2.28 of this title, employees terminated as a result of a reduction-in-force or retiring from state employment shall receive upon said termination or retirement the proportionate share of any longevity payment which may have accrued as of the date of termination or retirement.  Provided further that, the proportionate share of any longevity payment which may have accrued as of the date of death of an employee shall be made to the surviving spouse of the employee or if there is no surviving spouse to the estate of the employee.

I.  Periods of leave without pay taken in accordance with Section 840-2.21 of this title shall be counted as service.  Other periods of nonpaid leave status in excess of thirty (30) calendar days shall not mark a break in service; however, they shall:

1.  Not be used in calculating total months of service for longevity pay purposes; and

2.  Extend the anniversary date for longevity pay by the total period of time on nonpaid leave status except as provided in subsection H of this section for employees whose conditions of employment include regular periods of leave without pay.

J.  Employees currently receiving longevity pay who work for the judicial branch of state government or who work for the Oklahoma Department of Career and Technology Education shall not be eligible for the longevity pay plan provided for in this section.

K.  A break in service with the state in excess of thirty (30) days but which does not exceed two (2) years which was caused by a reduction-in-force shall be treated as if it were a period of nonpaid leave status as provided for in subsection I of this section for the purpose of calculating total months of service for longevity pay.  This subsection shall only apply to state employees laid off after June 30, 1982.

L.  Eligible part-time employees working less than one hundred fifty (150) hours per month and other eligible employees with regular annual periods of leave without pay of more than thirty (30) calendar days will receive a prorated share of the "Annual Longevity Payment" authorized in subsection D of this section.  The prorated amount of payment will be based on actual hours worked in the immediately preceding twelve (12) months.

M.  An employee shall not be entitled to retroactive longevity payments as a result of amendments to this section unless specifically authorized by law.

N.  The Administrator of the Office of Personnel Management is authorized to promulgate such Longevity Pay Plan Rules as he or she finds necessary to carry out the provisions of this section.

O.  As of July 1, 1998, years of service with a city-county health department for employees who left a city-county health department for employment with the Department of Environmental Quality or the State Department of Agriculture, between July 1, 1993 and July 1, 1998, and who are now employed in a job classification that is eligible for longevity pay pursuant to this section, shall be included in years of service for purposes of determining longevity pay subsequent to July 1, 1998.

P.  As of July 1, 2003, years of service with a local conservation district shall be included in years of service for purposes of determining longevity pay for local conservation district employees transferred to the Oklahoma Conservation Commission pursuant to the provisions of Enrolled Senate Bill No. 149 of the 1st Session of the 49th Legislature.

Added by Laws 1982, c. 147, § 4, emerg. eff. April 12, 1982.  Amended by Laws 1982, c. 340, § 21, emerg. eff. June 2, 1982; Laws 1983, c. 18, § 1, emerg. eff. March 25, 1983; Laws 1983, c. 180, § 1, emerg. eff. June 9, 1983; Laws 1985, c. 203, § 4, operative July 1, 1985; Laws 1985, c. 252, § 1, emerg. eff. July 15, 1985; Laws 1989, c. 298, § 1, eff. July 1, 1989; Laws 1989, c. 370, § 16, operative July 1, 1989; Laws 1990, c. 231, § 1, emerg. eff. May 17, 1990.  Renumbered from § 805.2 of this title by Laws 1994, c. 242, § 54.  Amended by  Laws 1994, c. 283, § 10, eff. Sept. 1, 1994; Laws 1995, c. 269, § 2, eff. July 1, 1995; Laws 1997, c. 287, § 3, eff. July 1, 1997; Laws 1998, c. 314, § 3, eff. July 1, 1998; Laws 2001, c. 33, § 174, eff. July 1, 2001; Laws 2003, c. 380, § 1, eff. July 1, 2003; Laws 2004, c. 312, § 6, eff. Nov. 1, 2004; Laws 2005, c. 176, § 3, eff. July 1, 2005.

§74-840-2.19.  Payroll claims.

A.  The Director of State Finance shall not approve any payroll claim for payment for any agency unless said claim contains or is accompanied by the certification by the administrative head of said agency or an authorized employee of said agency that the persons named in said claim have been appointed and employed in accordance with the provisions of the Oklahoma Personnel Act and the rules and orders promulgated pursuant to the provisions of the Oklahoma Personnel Act.  For purposes of this section, "payroll claim" shall also include longevity payments made pursuant to Section 840-2.18 of this title.

B.  If, as a result of a payroll audit, the Office of Personnel Management finds that an agency has made payments of salaries or wages contrary to the provisions of the Oklahoma Personnel Act and the rules promulgated pursuant to the provisions of the Oklahoma Personnel Act:

1.  Audit findings shall be promptly transmitted to the appointing authority of the agency certifying the payroll claim or claims involved; and

2.  An audit conference with said agency shall be scheduled within fifteen (15) days, at which time the audit exceptions will be resolved or become a determination of error unless the parties to the conference agree to a further review; and

3.  If underpayments or overpayments made by said agency are deemed to be the result of administrative error, the agency which certified the payroll claim or claims in error shall refund to the employee the balance of the actual amounts due and owing to the payee or shall seek repayment from the payee of any amount paid in excess of the actual amount due and owing the payee; and

4.  If an agency neglects or refuses to seek repayment after a determination that an error in payroll amount or amounts has been made, or to properly adjust a then current salary or wage, the Office of Personnel Management shall notify the Director of State Finance of an unresolved audit exception stating the agency involved and the person to whom said exception refers; and

5.  Upon receipt of notification that a procedure to initiate repayment has been instituted by the certifying agency or that a protest has been filed with the Oklahoma Merit Protection Commission, said notice shall be withdrawn or waived by the Office of Personnel Management, in writing, to the Director of State Finance.  Implementation of procedures provided in this section shall not operate to deny or delay payment of proper salaries or wages to any employee of this state; and

6.  The provisions of this section regarding collections of any overpayment of salaries or wages by any agency to any state employee or officer shall not include any such overpayment made prior to July 1, 1983;

7.  Recovery of overpayments from an employee shall include all overpayments occurring within one (1) year prior to the determination of error.  Disbursement of underpayments to an employee shall include all underpayments made within a period of two (2) years prior to the determination of error; and

8.  If an agency discovers overpayment or underpayment errors through an internal audit, the agency shall recover overpayments from the employee or disburse underpayment amounts in accordance with this section.  Prior to initiation of recovery of overpayments from an employee, the agency shall provide the employee with adequate notice and an opportunity to respond.

C.  The Director of State Finance shall not approve any payroll claim for payment for any agency for which the Office of Personnel Management has filed with the Director of State Finance a notification of unresolved audit exception pursuant to this section, unless the person named in the audit exception has been removed from the payroll by the certifying agency, the overpayment has been converted by the agency, or the exception has been withdrawn or waived in writing by the Office of Personnel Management.

D.  Any sum on a payroll claim found to have been paid in excess of the actual amount due and owing may be recovered from the payee through the following procedures:

1.  Upon the determination that an error in payroll amount has been made, the agency which certified the claim or claims shall notify the payee in writing within ten (10) days from said determination.  The notice to the payee shall contain:

a. the amounts paid in error; and

b. the dates of said payments; and

c. the options available for repayment; and

d. the right of the payee to protest the findings.

Said notice shall also provide space for the payee to indicate an election of a repayment option or to protest the findings.  Said election shall be required within thirty (30) days after the notification.

2.  If the payee is, at the time of said notification, an officer or employee of the agency seeking repayment, options available for repayment shall be by:

a. lump-sum cash repayment; or

b. reduction of the corrected current salary or miscellaneous payroll deduction in a lump sum or in installments over a term not to exceed the term in which the erroneous payments were made; or

c. reduction in accrued annual leave by an amount of time at the then current correct salary level equal in value to the total of the amount or amounts to be repaid; or

d. any combination thereof.

3.  If the payee is, at the time of said notification, an officer or employee of an agency of the state other than the agency seeking repayment, the options provided by paragraph 2 of this subsection may be exercised by the payee with the approval of the then current employing agency.  Payment of amounts deducted or charged against annual leave shall be paid to the agency seeking repayment by an appropriate miscellaneous claim for interagency payment.  If a payroll deduction is elected pursuant to the provisions of this paragraph and employment is subsequently terminated, any balance remaining shall be deducted from any final payment otherwise due to the employee.

4.  If a payee who is, at the time of said notification, a permanent classified officer or employee of any agency of this state protests the determination of the error or the amount of said determination, the agency seeking repayment shall present, within five (5) days of the return of said protest, the facts in writing, the notice, and the protest of the payee, to the Oklahoma Merit Protection Commission.  The Oklahoma Merit Protection Commission shall treat any such protest as a complaint pursuant to Section 840-1.9 of this title.  The Commission and Executive Director, after investigation and hearing, shall make a determination which shall be binding on the agency.  The salary or wages of any payee exercising the right to the protest shall not be suspended or reduced until a determination has been issued by the Oklahoma Merit Protection Commission and Executive Director.

5.  If the payee is no longer an employee of the state but agrees to repay the amount or amounts paid in error, repayment may be accepted:

a. by lump-sum cash repayment; or

b. in installments over a period not to exceed twelve (12) months.

6.  If the payee is no longer an employee of the state, and does not respond or cannot be located within ten (10) days after mailing of the determination of error, or refuses repayment, the agency seeking repayment shall present the facts in writing to the Attorney General and shall send a copy to the Office of Personnel Management.  The Attorney General shall determine what action may be taken to recover said amount.

7.  Repayments other than by reduction in present salary or reduction in accrued annual leave for a payee currently employed by the agency seeking repayment shall be deposited in the General Revenue Fund unless the fund to which the amount in error was originally charged can be identified and was other than a General Revenue Fund appropriation.  Said deposits shall be treated as nonrevenue receipts.

Added by Laws 1983, c. 274, § 4, operative July 1, 1983.  Amended by Laws 1986, c. 158, § 9, operative July 1, 1986; Laws 1989, c. 344, § 2.  Renumbered from Title 74, § 840.23 by Laws 1994, c. 242, § 54.  Amended by Laws 1998, c. 364, § 31, emerg. eff. June 8, 1998; Laws 2003, c. 212, § 11, eff. July 1, 2003.

§74-840-2.20.  Leave benefits - Emergency and permanent rules.

A.  The Administrator of the Office of Personnel Management shall promulgate such emergency and permanent rules regarding leave and holiday leave as are necessary to assist the state and its agencies.

The Administrator of the Office of Personnel Management, in adopting new rules, amending rules and repealing rules, shall ensure that the following provisions are incorporated:

1.  Eligible employees who enter on duty or who are reinstated after a break in service shall receive leave benefits in accordance with the schedule outlined below.  Leave shall be accrued based upon hours worked, paid leave, and holidays, but excluding overtime, not to exceed the total possible work hours for the month.  Years of service shall be based on cumulative periods of employment calculated in the manner that cumulative service is determined for longevity purposes pursuant to Section 840-2.18 of this title.  Employees may accumulate more than the maximum annual leave accumulation limits shown in the schedule below, provided that such excess is used during the same calendar year in which it accrues or within twelve (12) months of the date on which it accrues, at the discretion of the appointing authority.

2.  From November 1, 2001, the following accrual rates and accumulation limits apply to eligible employees as follows:

ACCRUAL RATES ACCUMULATION

LIMITS

Cumulative

Years of Annual Sick Annual

Service Leave Leave Leave

Persons employed 0-5 yrs = 15 day/yr 15 days/yr 30 days

5-10 yrs = 18 day/yr 15 days/yr 60 days

10-20 yrs = 20 day/yr 15 days/yr 60 days

over 20 yrs = 25 day/yr 15 days/yr 60 days

3.  Temporary employees and other limited term employees are ineligible to accrue, use, or be paid for sick leave and annual leave.  Such employees shall be eligible for paid holiday leave at the discretion of the appointing authority.

4.  Leave earned during a month shall not be available for use until the beginning of the following month.

5.  Employees shall not be entitled to retroactive accumulation of leave as a result of amendments to this section.

6.  The Administrator of the Office of Personnel Management and the Executive Director of the Oklahoma Merit Protection Commission shall cooperate to assist agencies in developing policies to prevent violence in state government workplaces without abridging the rights of state employees.  Such policy shall include a paid administrative leave provision as a cooling-off period which the Administrator of the Office of Personnel Management is authorized to provide pursuant to the Administrative Procedures Act.  Such leave shall not be charged to annual or sick leave accumulations.

7.  State employees who terminated their employment in the state service on or after October 1, 1992, may be eligible to have sick leave accrued at the time of termination of employment restored if they return to state employment, provided that the state employees' enter-on-duty dates for reemployment occur on or before two (2) years after their termination of employment and they are eligible to accrue sick leave before the two (2) years expire.

8.  Employees who are volunteer firefighters pursuant to the Oklahoma Volunteer Firefighters Act and who are called to fight a fire shall not have to use any accrued leave or need to make up any time due to the performance of their volunteer firefighter duties.

B.  Nothing in the Oklahoma Personnel Act is intended to prevent or discourage an appointing authority from disciplining or terminating an employee due to abuse of leave benefits or absenteeism.  Appointing authorities are encouraged to consider attendance of employees in making decisions regarding promotions, pay increases, and discipline.

C.  Upon the transfer of a function in state government to an entity outside state government, employees may, with the agreement of the outside entity, waive any payment for leave accumulations to which the employee is entitled and authorize the transfer of the leave accumulations or a portion thereof to the outside entity.

Added by Laws 1985, c. 203, § 113, operative July 1, 1985.  Amended by Laws 1988, c. 85, § 1, eff. July 1, 1988; Laws 1992, c. 367, § 3, eff. July 1, 1992.  Renumbered from Title 74, § 840.7a by Laws 1994, c. 242, § 54.  Amended by Laws 1994, c. 283, § 11, eff. Sept. 1, 1994; Laws 1995, c. 358, § 11, emerg. eff. June 9, 1995; Laws 1996, c. 320, § 4, emerg. eff. June 12, 1996; Laws 1998, c. 235, § 2, eff. July 1, 1998; Laws 1998, c. 399, § 1; Laws 1999, c. 21, § 1, eff. July 1, 1999; Laws 2001, c. 348, § 3, eff. Nov. 1, 2001; Laws 2003, c. 145, § 1, eff. July 1, 2003; Laws 2004, c. 312, § 7, eff. July 1, 2004; Laws 2004, c. 401, § 1, eff. July 1, 2004; Laws 2005, c. 437, § 1, eff. July 1, 2005.

NOTE:  Laws 1994, c. 242, § 6 repealed by Laws 1995, c. 358, § 12, emerg. eff. June 9, 1995.

§74-840-2.20A.  Agency closings and reductions in services - Employee leave or relocation.

A.  When an agency of the State of Oklahoma or part of such an agency is closed because of an imminent peril threatening the public health, safety, or welfare of state employees or the public, the appointing authority shall place employees who are scheduled to work in the closed area on paid administrative leave or shall assign them to work in another location.  Employees who are on paid administrative leave shall be in standby or on-call status during their normal scheduled duty hours.  The appointing authority may call such employees to return to their normal duties and work location or respond to the demands of the situation as necessary.

B.  When the Governor or a designee of the Governor authorizes agencies or parts of agencies to maintain basic minimum services because hazardous weather conditions impede or delay the movement of employees to and from work, employees responsible for providing such basic minimum services shall report to work.  Appointing authorities of agencies shall be responsible for determining essential agency functions and ensuring that employees who staff such functions are so informed.  Leave alternatives for those employees not responsible for basic minimum services shall be established by the Administrator of the Office of Personnel Management.

C.  Appointing authorities of affected agencies shall notify the Office of Personnel Management of agency closings and reductions in services pursuant to this section.

D.  The provisions of this section are applicable to agencies and employees in the executive department of state government, including those on temporary and other limited term appointments.  The provisions of this section shall not be applicable to employees of institutions within The Oklahoma State System of Higher Education.

E.  The Administrator of the Office of Personnel Management shall adopt rules necessary to implement the provisions of this section.

Added by Laws 1996, c. 320, § 5, emerg. eff. June 12, 1996.

§74-840-2.20B.  Leaves of absence for state employees serving as donors.

A.  Any employee of this state, its departments or agencies shall be granted a leave of absence, subject to approval of the scheduling of such leave by the employee's Appointing Authority, with medical necessity being the primary determinant for such approval, for the time specified for the following purposes:

1.  Five (5) workdays to serve as a bone marrow donor if the employee provides the employer written verification that the employee is to serve as a bone marrow donor; and

2.  Thirty (30) workdays to serve as a human organ donor if the employee provides the employer written verification that the employee is to serve as a human organ donor.

B.  An employee who is granted a leave of absence pursuant to the provisions of this section shall receive the base state pay without interruption during the leave of absence.  For purposes of determining seniority, pay or pay advancement, and performance awards, and for the receipt of any benefit that may be affected by a leave of absence, the service of the employee shall be considered uninterrupted by the leave of absence.

C.  A state agency shall not penalize an employee for requesting or obtaining a leave of absence pursuant to the provisions of this section.

D.  The leave authorized by this section may be requested by the employee only if the employee is the person who is serving as the donor.

Added by Laws 2002, c. 222, § 2, eff. July 1, 2002.  Amended by Laws 2002, c. 451, § 1, eff. July 1, 2002.  Renumbered from § 2220.11 of Title 63 by Laws 2002, c. 451, § 2, eff. July 1, 2002.

§74-840-2.21.  Leave without pay.

A.  If a state employee, whether in the classified or unclassified service, is absent because of an illness or injury arising out of and sustained in the course of his or her employment with the state, and for which workers' compensation benefits have been filed, the employing agency shall place the employee on leave without pay if the employee so requests; provided, leave without pay pursuant to this section shall not for any purpose be considered a break in service.

B.  An employee who sustains an illness or injury arising out of and sustained in the course of employment with the State of Oklahoma shall not be required to use either accumulated sick or annual leave during such period prior to being placed on leave without pay pursuant to this section.

C.  An employee placed on leave without pay pursuant to the provisions of this section shall continue receiving basic plan insurance coverage as defined in Section 1363 of this title and dependent insurance benefit allowance pursuant to paragraph 2 of subsection C of Section 1370 of this title paid by the agency during the leave without pay.

D.  An employee on leave without pay pursuant to the provisions of this section shall have the right to be returned to his or her original position in accordance with rules promulgated by the Office of Personnel Management.  If it is found necessary for the good of the state to fill the position during the period the employee is on leave without pay the employee filling the position shall vacate the position upon the return of the employee on leave without pay, subject to layoff, transfer or demotion rights earned under the Oklahoma Personnel Act and rules of the Office of Personnel Management.  The right to return to the original position shall expire one (1) year from the date of the start of leave without pay.  Notwithstanding the provisions of Section 1 et seq. of Title 85 of the Oklahoma Statutes, the employee may be separated in accordance with the Oklahoma Personnel Act and Merit Rules if the employee has not returned to the original position of the employee or some other position within the agency within one (1) year from the date of the start of leave without pay.

E.  An employee on leave without pay pursuant to the provisions of this section shall provide a medical statement as to his or her ability to perform the duties of the position to the appointing authority at least every three (3) months.

F.  If the employee becomes medically able with reasonable accommodation to perform the duties of his or her original position, the employee shall be returned to such position.  If the employee is unable to perform the duties of the original position with reasonable accommodation, but is medically able with reasonable accommodation to perform the duties of any other position within the agency for which the employee is qualified, and appointment to such other position does not constitute a promotion, the employee shall have first preference for any such position which becomes vacant within the agency, notwithstanding any other preference provisions of the Oklahoma Personnel Act or of other laws of the State of Oklahoma.  An employee accepting another position pursuant to this subsection shall not forfeit his or her right to be returned to the original position within twelve (12) months after the start of leave without pay pursuant to the provisions of subsection D of this section.

G.  An ill or injured employee shall be eligible to participate in the Disability Insurance Program established pursuant to the provisions of Section 1331 et seq. of this title in accordance with rules promulgated by the State and Education Employees Group Insurance Board.

H.  All benefits, rights, and obligations contained in this section shall continue during the time the employee remains on leave without pay status, for a continuous period not to exceed twelve (12) months.  However, if a workers' compensation claim based on such illness or injury is denied during the twelve-month period, all benefits, rights and obligations conferred upon an employee pursuant to this section shall cease and be discontinued immediately.

I.  A classified employee who is separated pursuant to subsection D of this section shall be eligible for reinstatement to employment with any state agency for twelve (12) months after the date of separation whether in the classified or unclassified service in accordance with rules adopted by the Administrator of the Office of Personnel Management provided the employee is qualified for the position to which reinstated.  An unclassified employee who is separated pursuant to subsection D of this section shall be eligible for reinstatement to unclassified employment with any state agency for twelve (12) months after the date of separation in accordance with rules promulgated by the Administrator of the Office of Personnel Management provided the employee is qualified for the position to which reinstated.  Nothing in this subsection shall be construed to compel or require any agency of the state to reinstate a former employee who is separated pursuant to subsection D of this section.  Further, nothing in this subsection shall be construed as limiting or reducing a former employee's eligibility for reinstatement pursuant to other general reinstatement or reemployment provisions in rules promulgated by the Administrator.

Added by Laws 1988, c. 199, § 1, emerg. eff. June 9, 1988.  Amended by Laws 1989, c. 89, § 1, operative July 1, 1989; Laws 1991, c. 151, § 1, eff. Sept. 1, 1991.  Renumbered from § 840.7b of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1994, c. 283, § 12, eff. Sept. 1, 1994; Laws 1999, c. 172, § 1, emerg. eff. May 21, 1999; Laws 2002, c. 347, § 8, eff. Nov. 1, 2002; Laws 2004, c. 312, § 8, eff. July 1, 2004.

§74-840-2.22.  Family and medical leave.

The Administrator of the Office of Personnel Management shall promulgate emergency and permanent leave rules as necessary to implement the federal Family and Medical Leave Act of 1993 and rules thereto.  Such leave rules shall permit an employee to select any one or a combination of the following types of leave to account for authorized absences covered by the Family and Medical Leave Act of 1993:  leave without pay; annual and sick leave accumulated by the employee; and annual and sick leave donated by other state employees; and compensatory time.

Added by Laws 1989, c. 344, § 1.  Amended by Laws 1992, c. 221, § 1, eff. July 1, 1992; Laws 1994, c. 242, § 7.  Renumbered from § 840.7c of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1997, c. 286, § 3, eff. July 1, 1997; Laws 2001, c. 381, § 4, eff. July 1, 2001; Laws 2004, c. 312, § 9, eff. July 1, 2004.

§74-840-2.23.  State leave sharing program.

A.  There is hereby created the state leave sharing program.  The purpose of the state leave sharing program is to permit state employees to donate annual or sick leave to a fellow state employee who has exhausted, or will exhaust, all types of paid leave and:

1.  Who is eligible for and requires family leave or who is suffering from or has a relative or household member suffering from an extraordinary or severe illness, injury, impairment, or physical or mental condition which has caused or is likely to cause the employee to take leave without pay or terminate employment, if:

a. the receiving employee has exhausted, or will exhaust, all types of paid leave due to an extraordinary or severe illness, injury, impairment, or physical or mental condition, which involves the employee, a relative of the employee or household member, and

b. the condition has caused, or is likely to cause, the employee to go on leave without pay or terminate employment; or

2.  Immediately after the death of a relative or household member, provided that the total leave received for this purpose shall not exceed five (5) days in any calendar year; or

3.  Who is affected by a presidentially declared national disaster in Oklahoma after May 1, 1999, for a period of eighteen (18) months after the date of the presidentially declared national disaster if:

a. the employee suffered a physical injury as a result of the disaster,

b. the spouse, relative, or household member of the employee suffered a physical injury or died as a result of the disaster, or

c. the domicile of the employee or the home of a relative of the employee was damaged or destroyed as a result of the disaster.

B.  As used in this section:

1.  "Relative of the employee" shall be limited to the spouse, child, stepchild, grandchild, grandparent, stepparent, or parent of the employee;

2.  "Household members" means those persons who reside in the same home, who have reciprocal duties to and do provide financial support for one another.  This term shall include foster children and legal wards even if they do not live in the household.  The term does not include persons sharing the same general house, when the living style is primarily that of a dormitory or commune;

3.  "Severe" or "extraordinary" means extreme or life threatening;

4.  "State employee" means a permanent classified employee or a regular unclassified employee with one (1) year or more continuous service with the state.  The term "state employee" does not include classified employees in probationary status or unclassified employees on temporary or other limited term appointments, except that those employees are eligible to receive shared leave as provided in subsection A of this section and the leave with pay authorized by Section 840-2.23A of this title related to a presidentially declared national disaster; and

5.  "Terminal" means likely to result in death within two (2) calendar years.

C.  An employee may be eligible to receive shared leave pursuant to the following conditions:

1.  The chief administrative officer of the employee determines that the employee meets the criteria described in this section; and

2.  The employee has abided by state policies regarding the use of leave.

D.  An employee may not donate annual or sick leave to an eligible employee without the permission of the chief administrative officer of the donating employee's agency.

E.  An employee may donate annual or sick leave to another employee provided the donation does not cause the annual leave balance of the employee to fall below eighty (80) hours and provided the donation does not cause the sick leave balance of the employee to fall below eighty (80) hours.

F.  Except as otherwise provided for in this subsection, the chief administrative officer of the employee shall determine the amount of donated leave an employee may receive and may authorize an employee to use up to a maximum of two hundred sixty-one (261) days of donated leave during total state employment.  An employee may receive and use up to a maximum of three hundred sixty-five (365) days of donated leave during total state employment, if the employee is suffering from an illness which has been certified in writing by a licensed physician or health care practitioner as being terminal.  However, upon written request by the employee who either has reached or shall reach in the near future a maximum amount as set out in this subsection, the chief administrative officer of the employee may approve additional donated leave as requested by the employee.

G.  The chief administrative officer of the employee shall require the employee to submit, prior to approval or disapproval of shared leave pursuant to paragraph 1 of subsection A of this section, a medical certificate from a licensed physician or health care practitioner verifying the need for the leave and expected duration of the illness, injury, impairment, or physical or mental condition for which the leave is donated.

H.  Donated annual or sick leave is transferable between employees in different state entities with the agreement of both chief administrative officers of the entities.

I.  The receiving employee shall be paid his or her regular rate of pay; therefore, one hour of donated leave may cover more or less than one hour of the salary of the recipient.  The calculation of the leave value of the recipient shall be in accordance with Office of Personnel Management policies, regulations, and procedures.  The dollar value of the leave is converted from the donor to the recipient.  The leave received will be designated as donated leave and be maintained separately from all other leave balances.

J.  Any donated leave may only be used by the recipient for the purposes specified in this section.

K.  All forms of paid leave available for use by the recipient must be used prior to using donated leave.

L.  Any donated leave not used by the recipient during each occurrence as determined by the chief administrative officer of the employee shall be returned to the donor.  The donated leave remaining will be divided among the donors on a prorated basis based on the original donated value and returned at its original donor value and reinstated to the original leave balance of each donor.

M.  All donated leave must be given voluntarily.  No employee shall be coerced, threatened, intimidated, or financially induced into donating annual or sick leave for purposes of the leave sharing program.

N.  Employees may not donate excess annual or sick leave that the donor would not be able to otherwise take.

Added by Laws 1990, c. 140, § 1, operative July 1, 1990.  Amended by Laws 1992, c. 221, § 2, eff. July 1, 1992.  Renumbered from § 840.7d of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 74, § 1, eff. Nov. 1, 1995; Laws 1996, c. 320, § 6, emerg. eff. June 12, 1996; Laws 1999, c. 306, § 7, eff. July 1, 1999; Laws 2000, c. 298, § 1, emerg. eff. June 5, 2000; Laws 2001, c. 1, § 1, emerg. eff. Feb. 20, 2001; Laws 2001, c. 381, § 5, eff. July 1, 2001; Laws 2002, c. 22, § 31, emerg. eff. March 8, 2002; Laws 2002, c. 347, § 9, eff. Nov. 1, 2002; Laws 2004, c. 312, § 10, eff. July 1, 2004.

NOTE:  Laws 2001, c. 349, § 1 repealed by Laws 2002, c. 22, § 34, emerg. eff. March 8, 2002.

§74-840-2.23A.  National disaster leave.

A.  An appointing authority may grant leave with pay not to exceed fifteen (15) working days to a state employee who is affected by a presidentially declared national disaster in Oklahoma after May 1, 1999, if:

1.  The employee suffered a physical injury as a result of the disaster;

2.  A relative or household member of the employee, as defined by subsection B of Section 840-2.23 of Title 74 of the Oklahoma Statutes, suffered a physical injury or died as a result of the disaster; or

3.  The domicile of the employee or the domicile of a relative of the employee, as defined by subsection B of Section 840-2.23 of Title 74 of the Oklahoma Statutes, was damaged or destroyed as a result of the disaster.

B.  The authority to grant leave with pay pursuant to subsection A of this section shall extend for a period of not more than eighteen (18) months after the date of a presidentially declared national disaster.

C.  Annual leave, sick leave, or compensatory time which was charged to a state employee as a result of the presidentially declared national disaster resulting from the May 3, 1999, tornadoes that would have otherwise been eligible for the leave provision in subsection A of this section, may be reinstated by the appointing authority.  A state employee entitled to leave with pay pursuant to this section who was charged leave without pay shall be compensated at the base rate of pay of the employee.

Added by Laws 1999, c. 306, § 8, eff. July 1, 1999.  Amended by Laws 2000, c. 298, § 2, emerg. eff. June 5, 2000.

§74-840-2.24.  Participation in specialized disaster relief services - Leave with pay.

A.  1.  As used in this subsection, "disaster" means disasters designated at level III and above in the American Red Cross Regulations and Procedures.

2.  Any state employee in the executive branch of state government who is a certified disaster service volunteer of the American Red Cross, with the authorization of the chief executive officer of his state agency, may be granted a leave with pay not to exceed fifteen (15) working days in any twelve-month period to participate in specialized disaster relief services within the State of Oklahoma for the American Red Cross, upon the request of the American Red Cross and with the approval of the office of the Governor of this state, without the loss of pay, annual leave, sick leave, accrued overtime wages or compensatory time.  The agency shall compensate an employee granted leave time under this section at his regular rate of pay for those regular work hours during which the employee is absent from work.

3.  Notwithstanding the provision of paragraph 2 of this subsection, state employees certified as disaster volunteers shall not exceed five hundred (500) participants at any one time.  A list of such employees will be coordinated with the Department of Civil Emergency Management and the office of the Governor of this state.  Within sixty (60) days of any request made by the American Red Cross, a report shall be prepared by the American Red Cross and submitted to the Governor's office stating the reasons and needs for any request made.

B.  Any state officer or employee in the executive branch of state government authorized by the employing agency of the officer or employee to volunteer in a disaster relief activity during a presidentially declared national disaster in Oklahoma after May 1, 1999, for a period of not more than six (6) months after the date of the presidentially declared national disaster, shall not have to use accrued leave or need to make up any time due to the performance of their volunteer activities.

Added by Laws 1994, c. 136, § 1, emerg. eff. May 2, 1994.  Renumbered from § 840.7e of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1999, c. 172, § 2, emerg. eff. May 21, 1999.

§74-840-2.25.  Meetings of job-related professional organizations - Leave to attend - Activities excluded.

A.  A permanent classified employee or a regular unclassified employee shall be entitled to take leave with pay for not to exceed three (3) days a year to attend meetings of job-related professional organizations of which the employee is a member upon receiving permission from the appointing authority.  The denial by an appointing authority or organizational leave shall be in writing and state the reasons for denying said leave.

B.  The leave authorized by this section shall not be used for lobbying activities which include the lobbying of legislative or executive branch elected officials within state-owned or leased buildings.

Added by Laws 1982, c. 338, § 41, eff. July 1, 1982.  Amended by Laws 1989, c. 344, § 3; Laws 1994, c. 242, § 38.  Renumbered from § 841.20 of this title by Laws 1994, c. 242, § 54.

§74-840-2.26.  Flextime attendance policies and alternative work schedules.

A.  In order to provide increased services to the public, to assist state employees in meeting the needs of their families, improve employee morale and productivity, appointing authorities are encouraged to consider the adoption of flextime attendance policies and alternative work schedules.

B.  For purposes of this section, "flextime" means a regular, eight-hour-day work schedule that permits the use of alternative starting and ending times within limits set by the appointing authority and that includes a common work period during which all employees are expected to be present.

C.  The Administrator of the Office of Personnel Management shall provide technical assistance to agencies in developing flextime policies and alternative work schedules and shall promulgate rules pursuant to the Administrative Procedures Act as necessary for such policies.

Added by Laws 1994, c. 242, § 39.  Amended by Laws 2005, c. 176, § 4, eff. July 1, 2005.

§74-840-2.27.  Renumbered as § 840-2.27C of this title by Laws 1997, c. 287, § 20, eff. July 1, 1997.

§74-840-2.27A.  Short title.

Sections 4 through 11 of this act shall be known and may be cited as the "State Government Reduction-in-Force and Severance Benefits Act".

Added by Laws 1997, c. 287, § 4, eff. July 1, 1997.

§74-840-2.27B.  Definitions.

As used in Sections 840-2.27B through 840-2.27G of this title:

1.  "Affected job family levels" means those containing affected positions;

2.  "Affected employees" means classified employees in affected positions;

3.  "Affected positions" means positions being abolished or positions which are subject to displacement action;

4.  "Agency" means any office, department, board, commission, or institution of all branches of state government, except for institutions within The Oklahoma State System of Higher Education;

5.  "Displacement" or "displace" means the process of an employee accepting an offer of employment to an occupied or funded vacant position;

6.  "Displacement limit" means any area within an agency in which displacement may not occur.  These areas may include, but are not limited to, job families, units, and geographic areas within an agency;

7.  "Displacement opportunity" means the circumstances under which an occupied or funded vacant position is subject to displacement by an affected employee;

8.  "Displacement privilege" means the privilege an affected employee has to utilize a displacement opportunity;

9.  "Educational institution" means an institution within The Oklahoma State System of Higher Education, a facility under the management or control of the Oklahoma Department of Career and Technology Education, or a licensed private educational institution in the State of Oklahoma;

10.  "Personnel transaction" means the record of the separation as a result of a reduction-in-force of a classified affected employee from an agency, or the record of the transfer or demotion of a classified affected employee;

11.  "Reduction-in-force" means abolition of positions in an agency or part of an agency and the corresponding nondisciplinary removal of affected employees from such positions through separation from employment or through displacement to other positions.  Reduction-in-force may also include reorganizations;

12.  "Reorganization" means the planned elimination, addition or redistribution of functions or duties either wholly within an agency, any of its subdivisions, or between agencies;

13.  "Severance benefits" means employee benefits provided by the State Government Reduction-in-Force and Severance Benefits Act to affected employees separated through a reduction-in-force; and

14.  "Years of service" means current and prior service which is creditable for the Longevity Pay Plan.  An affected employee shall not be required to have been continuously employed for two (2) years to be given credit for either current or prior service pursuant to the State Government Reduction-in-Force and Severance Benefits Act.

Added by Laws 1997, c. 287, § 5, eff. July 1, 1997.  Amended by Laws 1999, c. 410, § 5, eff. Nov. 1, 1999; Laws 2001, c. 33, § 175, eff. July 1, 2001; Laws 2003, c. 212, § 12, eff. July 1, 2003; Laws 2004, c. 5, § 92, emerg. eff. March 1, 2004.

NOTE:  Laws 2003, c. 120, § 1 repealed by Laws 2004, c. 5, § 93, emerg. eff. March 1, 2004.

§74-840-2.27C.  Reduction-in-force plan.

A.  At least sixty (60) days before the scheduled beginning of reduction-in-force separations or as otherwise provided by law, the appointing authority shall post in each office of executive branch agencies affected by the proposed reduction-in-force notice that a reduction-in-force will be conducted in accordance with the Oklahoma Personnel Act and Merit rules.  The reduction-in-force implementation plan shall be provided to the Director of State Finance and any state employee association representing state employees at such time.  The notice shall not be posted unless approved by the cabinet secretary for the agency conducting the reduction-in-force.  If there is no incumbent cabinet secretary for the agency, the cabinet-secretary-notice-approval requirement shall not be applicable.  The approved notice shall be posted in each office affected by the proposed plan for five (5) days.  The appointing authority shall provide a copy of the notice to the Administrator.  A reduction-in-force shall not be used as a disciplinary action.

B.  The reduction-in-force implementation plan and subsequent personnel transactions directly related to the reduction-in-force in executive branch agencies shall be in compliance with rules adopted by the Administrator.  The reduction-in-force implementation plan, including the description of and reasons for displacement limits and protections from displacement actions, and severance benefits that will be offered pursuant to Section 840-2.27D of this title shall be posted in each office affected by the plan within five (5) business days after posting of the reduction-in-force notice.  The reduction-in-force implementation plan shall:

1.  Provide for the appointing authority to determine the specific position or positions to be abolished within specified units, divisions, facilities, agency-wide or any parts thereof;

2.  Provide for retention of affected employees based on type of appointment;

3.  Require the separation of probationary classified affected employees in affected job family levels, except those affected employees on probationary status after reinstatement from permanent classified status without a break in service, prior to the separation or displacement of any permanent classified affected employee in an affected job family level;

4.  Provide for retention of permanent classified affected employees in affected job family levels and those affected employees on probationary status after reinstatement from permanent classified status without a break in service based upon consideration of years of service;

5.  Provide for exercise of displacement opportunities by permanent classified affected employees and those affected employees on probationary status after reinstatement from permanent classified status without a break in service if any displacement opportunities exist; and

6.  Provide outplacement assistance and employment counseling from the Oklahoma Employment Security Commission and any other outplacement assistance and employment counseling made available by the agency to affected employees regarding the options available pursuant to the State Government Reduction-in-Force and Severance Benefits Act prior to the date that a reduction-in-force is implemented.

C.  If an agency implements a reduction-in-force then it shall give a veteran's preference over affected nonveterans who have equal retention points to the affected veteran.

D.  The Director of the Office of State Finance shall review the fiscal components of the reduction-in-force implementation plan and within five (5) business days of receipt reject any plan that does not:

1.  Demonstrate that funds are available to cover projected costs;

2.  Contain an estimate of the number of affected employees likely to participate in the education voucher program established in Section 840-2.27D of this title; and

3.  Contain an estimate of the cost savings or reduced expenditures likely to be achieved by the agency.

If the reduction-in-force is conducted pursuant to a reorganization, the fiscal components of the reduction-in-force implementation plan shall contain reasons for the reorganization, which may include, but not be limited to, increased efficiency, improved service delivery, or enhanced quality of service.

E.  The appointing authority may limit displacement of affected employees at the time of a reduction-in-force.  Displacement limits shall not be subject to the approval of the Administrator.  Any limitation shall be based upon reasonable, written, articulated criteria as certified by the appointing authority.  If displacement is limited, the appointing authority shall take action to avoid or minimize any adverse impact on minorities or women.

1.  The appointing authority may protect from displacement action up to twenty percent (20%) of projected post-reduction-in-force employees in affected positions within displacement limits; provided, that any fractional number resulting from the final mathematical calculation of the number of those positions shall be rounded to the next higher whole number.  The appointing authority must explain why affected employees are being protected.

2.  If the affected employee has not held within the last five (5) years a position in the job family level or predecessor class in which the affected employee is otherwise eligible for a displacement opportunity, the appointing authority may determine that the affected employee does not possess the recent relevant experience for the position and deny in writing the displacement opportunity.

3.  An affected permanent classified employee may exercise a displacement privilege, if one exists, if the affected employee has received an overall rating of at least "satisfactory", or its equivalent, on the most recent annual service rating.  If an affected employee has not been rated in accordance with the time limits established in Section 840-4.17 of this title, the employee shall be deemed to have received an overall rating of at least "satisfactory" or its equivalent on the most recent service rating.

4.  An affected employee who exercises a displacement privilege pursuant to this section shall:

a. be required, as a condition of continued employment by the agency, to sign an agreement, in a form to be prescribed by the Administrator of the Office of Personnel Management, acknowledging that the employee had an opportunity to receive severance benefits and affirmatively elected to exercise a displacement privilege and to forego such benefits.  An affected employee who signs the agreement required by this subparagraph waives any privilege which might otherwise have been available to the affected employee pursuant to the agreement for the provision of severance benefits, and

b. not have the right to exercise any subsequent right to receive severance benefits from the agency for which the affected employee performs services on the date that the employee exercises a displacement privilege.  The provisions of this section shall not prohibit any person from exercising a displacement privilege in, or accepting severance benefits from, more than one agency during employment with the State of Oklahoma or from the agency which the affected employee exercised a displacement privilege in any future reduction-in-force.

F.  An affected employee who does not agree pursuant to Section 840-2.27E of this title to accept severance benefits and who does not have a displacement opportunity or does not accept a displacement opportunity shall be separated by the reduction-in-force and shall not receive any severance benefits that would have otherwise been provided pursuant to Section 840-2.27D of this title.

G.  Permanent classified affected employees and those affected employees on probationary status after reinstatement from permanent classified status without a break in service who were removed from a job family level by taking a position in another job family level through displacement or separated after foregoing severance benefits shall be recalled by the agency to the job family level from which they were removed in inverse order of removal before the agency may appoint other persons to the job family level, from the employment register, by internal action or from Priority Reemployment Consideration Rosters as provided by this section.  Upon declination of an offer of reappointment to the job family level from which the employee was removed or eighteen (18) months after the date of removal from the job family level, whichever is first, this right to be recalled shall expire.

H.  The names of permanent classified affected employees and those affected employees on probationary status after reinstatement from permanent classified status without a break in service who have been separated pursuant to the State Government Reduction-in-Force and Severance Benefits Act, who apply and meet all requirements for state jobs in the classified service shall be placed on Priority Reemployment Consideration Rosters in accordance with their individual final earned ratings for a maximum of eighteen (18) months after the date of separation.  Before any vacant position is filled by any individual eligible for initial appointment from the employment register, individuals on the Priority Reemployment Consideration Rosters shall be given priority consideration for reemployment by any state agency within eighteen (18) months after the date of the reduction-in-force.  Upon declination of an offer of reemployment to a job family level having the same or higher pay band than the job family level from which the employee was removed, or eighteen (18) months after the date of separation, whichever is first, this priority consideration for reemployment shall expire.  If an agency has posted a reduction-in-force plan and implementation schedule, all affected employees in positions covered by the plan and any within the displacement limits established by the appointing authority of the agency who have been separated shall be eligible for priority reemployment consideration.

I.  If an agency or any part thereof is scheduled to be closed or abolished as a result of legislation or a court order, the affected employees, who would be eligible for Priority Reemployment Consideration after their separation in accordance with subsection  H of this section, may apply and, if qualified and eligible, shall be accorded Priority Reemployment Consideration not to exceed twelve (12) months before the scheduled date of separation.  If an agency has posted a reduction-in-force plan and implementation schedule, all affected employees in positions covered by the plan and any within the displacement limits established by the appointing authority of the agency shall be eligible for Priority Reemployment Consideration beginning with the date the schedule is posted, not to exceed twelve (12) months before the scheduled date of separation.

J.  When the Legislature is not in session, the Contingency Review Board may, upon the request of the Governor, direct agencies, boards and commissions to reduce the number of employees working for the agency, board or commission whenever it is deemed necessary and proper.  Such reduction shall be made pursuant to reduction-in-force plans as provided in this section.

K.  1.  When the Legislature is not in session, the Contingency Review Board may, upon the request of the Governor, direct and require mandatory furloughs for all state employees whenever it is deemed necessary and proper.  The Contingency Review Board shall specify the effective dates for furloughs and shall note any exceptions to state employees affected by same.  All classified, unclassified, exempt or nonmerit employees, including those employees of agencies or offices established by statute or the Constitution, shall be affected by such actions.

2.  Mandatory furlough means the involuntary temporary reduction of work hours or the placement of an employee on involuntary leave without pay.  Rules governing leave, longevity pay and participation in the State Employees Group Health, Dental, Disability, and Life Insurance program shall not be affected by mandatory furloughs.  Furlough, as provided for in this section or by rules adopted by the Administrator of the Office of Personnel Management, shall not be appealable under the provisions of the Oklahoma Personnel Act.

3.  Notwithstanding existing laws or provisions to the contrary, members of state boards and commissions shall not receive per diem expenses during periods of mandatory furlough.  The Contingency Review Board shall additionally call upon elected officials, members of the judiciary, and other public officers whose salary or emoluments cannot be altered during current terms of office, to voluntarily donate to the General Revenue Fund any portion of their salary which would otherwise have been affected by a mandatory furlough.

L.  All agencies directed by the Contingency Review Board to terminate or furlough employees, shall report the cumulative cost savings achieved by the reductions-in-force or furloughs to the Governor, President Pro Tempore of the Senate and Speaker of the House of Representatives on a quarterly basis for one (1) year following the effective date of the action.

M.  The appointing authority of an agency which has an approved reduction-in-force plan pursuant to the State Government Reduction-in-Force and Severance Benefits Act may request the Administrator of the Office of Personnel Management to appoint an interagency advisory task force for the purpose of assisting the agency and its employees with the implementation of the reduction-in-force.  The appointing authority of state agencies requested by the Administrator to participate on a task force shall assign appropriate administrative personnel necessary to facilitate the necessary assistance required for the efficient implementation of the approved reduction-in-force.

Added by Laws 1982, c. 338, § 35, eff. July 1, 1982.  Amended by Laws 1983, c. 329, § 1, eff. July 1, 1983; Laws 1986, c. 84, § 7, eff. Nov. 1, 1986; Laws 1986, c. 244, § 7, emerg. eff. June 12, 1986; Laws 1991, c. 22, § 1, eff. Sept. 1, 1991.  Renumbered from § 841.14 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1994, c. 283, § 15, eff. Sept. 1, 1994; Laws 1995, c. 263, § 8.  Renumbered from § 840-4.18 of this title by Laws 1995, c. 263, § 10.  Amended by Laws 1997, c. 287, § 6, eff. July 1, 1997.  Renumbered from § 840-2.27 of this title by Laws 1997, c. 287, § 20, eff. July 1, 1997.  Amended by Laws 1998, c. 256, § 2, eff. July 1, 1998; Laws 1999, c. 410, § 6, eff. Nov. 1, 1999; Laws 2001, c. 381, § 6, eff. July 1, 2001; Laws 2003, c. 212, § 13, eff. July 1, 2003; Laws 2003, c. 353, § 1, emerg. eff. June 3, 2003; Laws 2004, c. 312, § 11, eff. July 1, 2004; Laws 2005, c. 1, § 130, emerg. eff. March 15, 2005; Laws 2005, c. 453, § 2, eff. July 1, 2005.

NOTE:  Laws 2004, c. 277, § 1 repealed by Laws 2005, c. 1, § 131, emerg. eff. March 15, 2005.

§74-840-2.27D.  Severance benefits.

A.  Agencies shall provide severance benefits to affected employees who are separated from the state service as a result of a reduction-in-force due to a reorganization or any other action by an agency which results in affected positions being abolished and affected employees being severed from the state service.  Severance benefits shall be given to the following categories of affected employees:  permanent classified affected employees and affected employees on probationary status after reinstatement from permanent classified status without a break in service; provided, however, affected employees of the University Hospitals Authority must have been continuously employed in the state service since on or before January 1, 1995, to receive severance benefits.  Pursuant to this section and Section 840-5.1A of this title, state agencies may provide severance benefits provided by this subsection to regular unclassified employees with one (1) year or more continuous state service who are separated from the state service for budgetary reasons; however, state agencies shall offer regular unclassified state employees with one (1) year or more continuous state service who are separated from the state service the same severance benefit as the affected employees in a reduction-in-force if the unclassified employees' separation is as a result of the conditions causing the agency to implement a reduction-in-force.  Affected employees who qualify for severance benefits pursuant to this section, in addition to the payment of any compensable accrued leave or other benefits an affected employee is eligible to receive upon separation from the state service, shall receive severance benefits consisting of the following elements:

1.  All agency severance benefits shall provide the following:

a. payment equal to the affected employee's current health insurance premium for the affected employee only for eighteen (18) months based on the cost of the premium at the time of the reduction-in-force.  The appointing authority of the agency can ask the Director of the Office of State Finance to waive the severance benefit provision in this subparagraph or to reduce the length of coverage or subsequent severance benefit payment upon demonstration of the agency's inability to fund the full benefit,

b. a longevity payment, as prescribed by Section 840-2.18 of this title, in the amount which would otherwise be paid to the affected employee on the affected employee's next anniversary date.  For the purposes of this subparagraph, the University Hospitals Authority shall calculate longevity for affected employees who were members of the University Hospitals Authority Model Personnel System pursuant to Section 3211 of Title 63 of the Oklahoma Statutes for all state service as would otherwise be determined by Section 840-2.18 of this title, and

c. outplacement assistance and employment counseling prior to and after the reduction-in-force from the Oklahoma Employment Security Commission and other state or private entities that the entity may contract with to assist individuals who may be impacted by a reduction-in-force;

2.  In addition to the severance benefits provided by paragraph 1 of this subsection, agencies may give affected employees, except as otherwise provided by paragraph 3 of this subsection, severance benefit packages based on any combination of the following options, provided that all affected employees who receive severance benefits in the reduction-in-force shall be accorded uniform treatment pursuant to the State Government Reduction-in-Force and Severance Benefits Act:

a. up to one (1) week of pay, calculated by dividing the affected employee's current annual salary by the whole number fifty-two (52), for each year of service,

b. a maximum lump-sum payment of Five Thousand Dollars ($5,000.00), and

c. payment for accumulated sick leave or extended illness benefits at up to one-half (1/2) of the affected employee's hourly rate not otherwise used pursuant to law for conversion to credited retirement credit; and

3.  An affected employee may direct payment of all or a portion of the affected employee's severance benefits to the options authorized by this paragraph by exercising an option to receive education vouchers for use in connection with the Reduction-in-Force Education Voucher Action Fund subject to the following requirements and rules of the Administrator of the Office of Personnel Management, provided that the agency offers to match employee severance funds pursuant to this paragraph.  In such case:

a. the affected employee may purchase One Dollar ($1.00) in voucher credit for each One Dollar ($1.00) contributed by the affected employee to the fund subject to a maximum affected employee contribution of Three Thousand Dollars ($3,000.00) which may be matched by a maximum agency contribution of Three Thousand Dollars ($3,000.00); provided, that the agency contribution shall not exceed the contribution of the affected employee,

b. the affected employee may pay the cost for the voucher program directly, subject to the requirements of subparagraph a of this paragraph, or the employing agency of the affected employee may pay the cost of the voucher from funds which would otherwise have been used to make payments to the displaced affected employee pursuant to an election by the affected employee to receive severance benefits,

c. no voucher issued pursuant to the provisions of this paragraph shall:

(1) be redeemed by the affected employee for cash or anything of value other than the cost of tuition and fees at a public or private educational institution within the State of Oklahoma, or

(2) be valid longer than a period of four (4) years from the date upon which the voucher is issued to the affected employee,

d. the Administrator of the Office of Personnel Management shall pay tuition and fees directly to the educational institution and shall receive any refunds for payment of tuition and fees from the educational institution which shall be credited to the affected employee's account, and

e. the Administrator of the Office of Personnel Management shall distribute to the affected employee and the agency any monies remaining in the affected employee's account after the voucher credit has expired.  The distribution shall be based on the proportional share of contributions made by the affected employee and the agency.

B.  Each affected employee who is separated from state service as a result of a reduction-in-force after July 1, 1998, besides being eligible for the eighteen (18) months of continuation coverages provided by the Public Health Service Act, 42 U.S.C., Section 30066-1 et seq., i.e., health, dental, vision and healthcare reimbursement account options, under this severance benefit, shall also be eligible to elect additional continuation coverage for any life insurance, in twenty-thousand-dollar units, on self or five-thousand-dollar units, on dependents, and to continue participation in the dependent care reimbursement account provided that these additional coverages were in effect immediately prior to the effective date of the reduction-in-force, the date of which shall serve as the qualifying event date.  Provided, that no coverage elected for continuation through the Public Health Service Act for the full eighteen-month period is allowed to lapse, then that affected employee may elect to continue those same coverages for an additional eighteen (18) months at whatever rate is then in effect.  This additional eighteen-month continuation period of coverage shall be administered by the Oklahoma State Employees Benefits Council following the initial eighteen-month period of continuation which shall be administered by the COBRA office at the State and Education Employees Group Insurance Board.

C.  Part-time affected employees shall receive benefits pursuant to this section on a prorated basis.  Part-time employees shall have been compensated for at least one thousand (1,000) hours during the twelve (12) months immediately preceding the effective date of the reduction-in-force to be eligible for severance benefits pursuant to the State Government Reduction-in-Force and Severance Benefits Act.

D.  No appointing authority shall grant affected employees in a reduction-in-force severance benefits except as provided in this section.

Added by Laws 1997, c. 287, § 7, eff. July 1, 1997.  Amended by Laws 1998, c. 256, § 3, eff. July 1, 1998; Laws 2001, c. 381, § 7, eff. July 1, 2001; Laws 2003, c. 212, § 14, eff. July 1, 2003; Laws 2003, c. 353, § 2, eff. July 1, 2003; Laws 2004, c. 5, § 94, emerg. eff. March 1, 2004.

NOTE:  Laws 2003, c. 120, § 2 repealed by Laws 2004, c. 5, § 95, emerg. eff. March 1, 2004.

§74-840-2.27E.  Separation agreement.

Any affected employee who receives severance benefits pursuant to the State Government Reduction-in-Force and Severance Benefits Act shall execute a separation agreement with the employing agency, on forms to be prescribed by the Administrator of the Office of Personnel Management.  The forms shall comply with applicable federal laws and may include but not be limited to the following elements:

1.  Agreement by the affected employee that the receipt of the benefits is in lieu of continued employment with the agency or other severance benefits related to the current reduction-in-force;

2.  Agreement by the affected employee that, to the extent allowed by federal or state law, respectively, the affected employee releases the State of Oklahoma and the agency from all claims, liabilities, demands and causes of action known or unknown, fixed or contingent, equitable, legal or administrative, except unemployment insurance;

3.  Agreement by the affected employee that, to the extent allowed by federal or state law, respectively, the affected employee releases the State of Oklahoma and the agency from any claim or cause of action which might arise under federal or state laws governing the employment relationship; and

4.  Agreement by the affected employee that the affected employee knows and understands that the receipt of severance benefits is in exchange, to the extent allowed by federal or state law, for any rights the affected employee may have had to:

a. continued employment with any agency, and

b. future employment with the agency from which separated for a period of one (1) year from the date of the agreement, provided that nothing in this subparagraph shall prohibit an appointing authority of any agency from employing an affected employee who has received a severance benefit.  If an affected employee is reemployed by the agency from which separated as a result of a reduction-in-force within one (1) year of separation, the affected employee shall repay all severance benefits received pursuant to the State Government Reduction-in-Force and Severance Benefits Act on a proportional basis.  The repayment amount of the severance benefits received by or paid on behalf of the affected employee shall be reduced one-three-hundred-sixty-fifths (1/365) for each day after the separation of the affected employee, provided that any education voucher credit benefits shall not include agency contributions.

The provisions of this section shall not prohibit any affected employee from accepting severance benefits from more than one agency during employment with the State of Oklahoma.

Added by Laws 1997, c. 287, § 8, eff. July 1, 1997.  Amended by Laws 2002, c. 347, § 10, eff. Nov. 1, 2002; Laws 2003, c. 212, § 15, eff. July 1, 2003.

§74-840-2.27F.  Reduction-in-Force Education Voucher Action Fund.

A.  There is hereby created in the State Treasury a revolving fund for the Office of Personnel Management to be designated the "Reduction-in-Force Education Voucher Action Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Administrator of the Office of Personnel Management for the purposes authorized by subsection B of this section.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of the Office of State Finance for approval and payment.

B.  The fund shall be used for the purpose of providing education vouchers to affected employees exercising rights to severance benefits pursuant to Sections 7 and 12 of this act in order to make payment to eligible educational institutions.

C.  The Office of Personnel Management shall establish accounts within the fund for each affected employee who elects to participate in the education voucher opportunity pursuant to Sections 7 and 12 of this act, in which shall be placed the affected employee and agency contributions.

Added by Laws 1997, c. 287, § 9, eff. July 1, 1997.

§74-840-2.27G.  Reduction-in-Force Emergency Cost Fund.

A.  There is hereby created in the State Treasury a fund for the Office of State Finance to be designated as the "Reduction-in-Force Emergency Cost Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of appropriations made by the Legislature.  All monies accruing to the fund are hereby appropriated and may be budgeted and expended by the Director of the Office of State Finance for the purpose of aiding state agencies to pay severance benefits pursuant to the State Government Reduction-in-Force Severance Benefits Act.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of the Office of State Finance for approval and payment.

B.  Monies appropriated to the fund may be transferred to an agency upon application to the Director of the Office of State Finance by the appointing authority proposing to conduct a reduction-in-force and who, because of insufficient resources, is unable to provide severance benefits pursuant to the State Government Reduction-in-Force Severance Benefits Act to eligible affected employees.  The appointing authority shall have met the reduction-in-force plan submission and approval requirements of Section 6 of this act.  The Director may either:

1.  Approve the request; or

2.  Deny or reduce the request of an appointing authority if the Director determines that the agency has funds available to pay the severance benefits or if anticipated requests from agencies for funding in a fiscal year will exceed the monies in the fund.

C.  The Director shall notify the Contingency Review Board regarding any decision to authorize disbursements from the fund.  Any member of the Board may call a meeting to consider the Director's decision within five (5) business days of the notification to the Contingency Review Board.  If the Contingency Review Board does not disapprove or otherwise amend the Director's decision within ten (10) business days of notification to the Contingency Review Board, the Director's decision shall be final.  If the Director or the Contingency Review Board has authorized the use of the fund, the Director shall transfer the funds to the agency.

D.  Agencies must use any monies transferred from the fund solely for the purposes of the State Government Reduction-in-Force and Severance Benefits Act.  Any monies not used as a result of the reduction-in-force for which the money was transferred shall be returned to the fund by state agencies, except as provided by Section 11 of this act.

E.  Any monies transferred to agencies from the fund shall not be subject to any budgetary limits of an agency.

Added by Laws 1997, c. 287, § 10, eff. July 1, 1997.

§74-840-2.27H.  Repealed by Laws 1998, c. 256, § 11, eff. July 1, 1998.

§74-840-2.27I.  Election to reinstate health insurance coverage.

A.  An affected former state employee who:

1.  Had a vested or retirement benefit pursuant to the provisions of any of the state public retirement systems;

2.  Was separated from state service as a result of a reduction-in-force since July 1, 1997; and

3.  Was offered severance benefits pursuant to the State Government Reduction-in-Force and Severance Benefits Act,

may reinstate health insurance coverage any time within two (2) years following the date of the reduction-in-force from the state, and be eligible for the purchase of all other benefits available to former employees with a vested benefit of the state public retirement system of which the employee is a member.

B.  Former employees who elect to reinstate health insurance coverage pursuant to this section shall provide satisfactory evidence of insurability after a break in coverage of one hundred eighty (180) days or more.

C.  The provisions of subsection A of this section shall apply to an affected former state employee who may have elected non-state-sponsored health insurance coverage or who initially may have elected one of the available state-sponsored health insurance plans but later cancels either of those elected coverages.

D.  A former employee who reinstates health insurance coverage pursuant to this section shall pay the full cost of the insurance premium at the then available rate and pursuant to the rules and enrollment procedures established by the State and Education Employees Group Insurance Board.  The former employee will be subject to the same rate changes as those made available to all other state vested or retired employees.  The former employee may elect coverage for the employee's current dependents if the election is made within thirty (30) days of reinstatement of health insurance.

Added by Laws 1998, c. 256, § 4, eff. July 1, 1998.

§74-840-2.28.  Authorization - Benefit package options - Plan for reduction-in-force - Part-time employees - Ineligibility for future benefits.

A.  Agencies shall be authorized to provide voluntary out benefits to permanent classified employees and regular unclassified employees with one (1) year or more of continuous state service who are voluntarily separated from the state service in order to reduce or eliminate the adverse impact of an imminent reduction-in-force.  For purposes of this section, "agency" or "agencies" shall include agencies, boards, commissions, or departments of all three branches of state government.  Voluntary out benefit payments made pursuant to this section, in addition to the payment of any compensable accrued leave and other benefits an employee who voluntarily separates is eligible to receive upon separation from the state service, shall consist of the following elements:

1.  All agency voluntary out benefits shall provide the following:

a. payment equal to the employee's current health insurance premium for the employee only for eighteen (18) months based on the cost of the premium at the time of the voluntary separation, and

b. a longevity payment, as prescribed by Section 840-2.18 of this title in the amount which would otherwise be paid to the employee on the employee's next anniversary date.  For the purposes of this subparagraph, the University Hospitals Authority shall calculate longevity for employees who were members of the University Hospitals Authority Model Personnel System pursuant to Section 3211 of Title 63 of the Oklahoma Statutes for all state service as would otherwise be determined by Section 840-2.18 of this title;

2.  In addition to the voluntary out benefits provided by paragraph 1 of this subsection, agencies may give employees, except as otherwise provided by paragraph 3 of this subsection, voluntary out benefit packages based on any combination of the following options, provided that all employees who are separated as a result of the agency offer of a voluntary out benefit pursuant to this section in anticipation of the imminent reduction-in-force are accorded uniform treatment pursuant to this section:

a. up to one (1) week of pay, calculated by dividing the employee's current annual salary by the whole number fifty-two (52), for each year of service,

b. a maximum lump-sum payment of Five Thousand Dollars ($5,000.00),

c. payment for accumulated sick leave or extended illness benefits at up to one-half of the employee's hourly rate not otherwise used pursuant to law for conversion to credited retirement credit, and

d. payment of health benefit premiums as provided by the Public Health Service Act, 42 U.S.C., Section 300bb-1 et seq., for a period not to exceed eighteen (18) months.  The agency shall not be authorized to make a cash payment to the employee in lieu of the payment by the agency of the cost of continued health care coverage for the employee; and

3.  An employee may direct payment of all or a portion of the employee's voluntary out benefits to the options authorized by this paragraph by exercising an option to receive education vouchers for use in connection with the Reduction-in-Force Education Voucher Action Fund subject to the following requirements and rules of the Administrator of the Office of Personnel Management, provided that the agency offers to match employee voluntary out funds pursuant to this paragraph.  In such case:

a. the employee may purchase One Dollar ($1.00) in voucher credit for each One Dollar ($1.00) contributed by the employee to the fund subject to a maximum employee contribution of Three Thousand Dollars ($3,000.00) which may be matched by a maximum agency contribution of Three Thousand Dollars ($3,000.00); provided, that the agency contribution shall not exceed the contribution of the employee,

b. the employee may pay the cost for the voucher program directly, subject to the requirements of subparagraph a of this paragraph, or the employing agency of the employee may pay the cost of the voucher from funds which would otherwise have been used to make payments to the displaced employee pursuant to an election by the employee to receive voluntary out benefits,

c. no voucher issued pursuant to the provisions of this paragraph shall:

(1) be redeemed by the employee for cash or anything of value other than the cost of tuition and fees at a public or private educational institution within the State of Oklahoma, or

(2) be valid longer than a period of four (4) years from the date upon which the voucher is issued to the employee,

d. the Administrator of the Office of Personnel Management shall pay tuition and fees directly to the educational institution and shall receive any refunds for payment of tuition and fees from the educational institution which shall be credited to the employee's account, and

e. the Administrator of the Office of Personnel Management shall distribute to the affected employee and the agency any monies remaining in the employee's account after the voucher credit has expired.  The distribution shall be based on the proportional share of contributions made by the employee and the agency.

B.  Appointing authorities in agencies of the executive branch shall submit to the Director of the Office of State Finance, prior to offering voluntary out benefits pursuant to this section, a plan with details on why the agency has determined a reduction-in-force is imminent, the anticipated impact of the imminent reduction-in-force on the agency or part of the agency, the voluntary out benefits the agency intends to offer pursuant to this section and their cost, and how the agency intends to execute the offer of the voluntary out benefits.  The Director shall review the fiscal components of the plan and have ten (10) business days to disapprove it.

C.  Part-time employees who are eligible to receive voluntary out benefits shall receive benefits pursuant to this section on a prorated basis.  Part-time employees shall have been compensated for at least one thousand (1,000) hours during the twelve (12) months immediately preceding the separation of the employee due to the employee's acceptance of a voluntary out benefit.

D.  An employee who accepts voluntary out benefits pursuant to this section shall not be eligible to accept any future voluntary out benefits pursuant to this section.

Added by Laws 1997, c. 287, § 12, eff. July 1, 1997.  Amended by Laws 1998, c. 256, § 5, eff. July 1, 1998; Laws 2001, c. 381, § 8, eff. July 1, 2001.

§74-840-2.29.  On-call classified employees - Minimum compensation for hours worked.

A classified employee who is on-call shall be compensated for a minimum of two (2) hours of work if the employee reports to a work location while in an on-call status.  This provision shall apply anytime the employee reports and works less than two (2) hours.

Added by Laws 2001, c. 348, § 4, eff. Nov. 1, 2001.  Amended by Laws 2002, c. 292, § 1, eff. July 1, 2002; Laws 2003, c. 119, § 1, eff. July 1, 2003.

§74-840-2.30.  Payment for time not worked - Public accountability.

It is the policy of the State of Oklahoma to be accountable to state taxpayers for the expenditure of public funds.  To this end, all state employees shall be paid according to a pay system established pursuant to the principles of public accountability that prohibits payment to any state employee for time not worked unless the time not worked is covered by available paid leave.  Violation of this provision may result in disciplinary action and criminal prosecution under Oklahoma law.

Added by Laws 2005, c. 176, § 5, eff. July 1, 2005.

§74-840.3.  Renumbered as § 840-1.3 of this title by Laws 1994, c. 242, § 54.

§74-840-3.1.  Training programs for supervisory personnel.

A.  Each supervisor employed as of January 1, 1993, by a state agency, board or commission in the executive branch of state government, excluding those within The Oklahoma State System of Higher Education, shall attend, prior to December 31, 1993, a training program for supervisory personnel.  The training program shall be established pursuant to subsection C of this section.

B.  Employees appointed to supervisory positions after January 1, 1993, shall complete twenty-four (24) hours of training pursuant to subsection C of this section within twelve (12) months of assuming such supervisory position.  Thereafter, supervisors are required to complete twelve (12) hours of training pursuant to subsection C of this section each year.  The appointing authority of each agency shall ensure each supervisory employee is notified and scheduled to attend such required training and shall make time available for each such employee to complete the training.

C.  1.  The Administrator of the Office of Personnel Management shall promulgate any rules necessary to develop and implement training programs for supervisory personnel which shall include courses related to the effective performance of an agency manager or supervisor.  Rules authorized by this subsection shall require supervisors to attend such training within a reasonable period of time determined by the Administrator.

2.  Training programs for supervisors under this section may be approved by the Office of Personnel Management; provided, however, such programs shall be subject to standards developed by the Office of Personnel Management.  All state agencies, boards and commissions may participate in any such government employee training program established by an institution that is a member of The Oklahoma State System of Higher Education and approved by the Office of Personnel Management as provided for in this paragraph.

Added by Laws 1992, c. 387, § 1, eff. Sept. 1, 1992.  Renumbered from § 840.35 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1997, c. 406, § 2, eff. July 1, 1997; Laws 1998, c. 235, § 3, eff. July 1, 1998; Laws 1999, c. 410, § 7, eff. Nov. 1, 1999; Laws 2001, c. 381, § 9, eff. July 1, 2001.

§74-840-3.2.  Creation - Purpose - Administration.

There is hereby established within the Office of Personnel Management, the Carl Albert Public Internship Program.  The purposes of the program shall be to assist students at institutions of higher education in gaining experience and knowledge in state government and to encourage recruitment of such students to pursue careers in state government service.  In administering the program, the Administrator of the Office of Personnel Management shall:

1.  Consult with the chief administrative officers of the legislative, executive, and judicial branches of government in encouraging the establishment and development of intern positions within their agencies;

2.  Coordinate with the State Regents for Higher Education and the appropriate public and private institutions of higher education in Oklahoma in the development of a statewide internship program, soliciting qualified applicants, and selecting participants;

3.  Develop and coordinate a selection process for placing individuals in intern positions.  This selection process shall provide for equal employment opportunities in accordance with state and federal law;

4.  Develop and coordinate a training plan for the internship program which balances the need for training and exposure to new ideas with the intern's and agency's need for on-the-job work experience;

5.  Develop guidelines for a compensation plan for interns participating in this program; and

6.  Provide for recruitment in the regular state service of persons who have successfully completed the Executive Fellows Program provided for in Section 3 of this act.

Added by Laws 1988, c. 218, § 1, eff. Oct. 1, 1988.  Renumbered from § 840.40 of this title by Laws 1994, c. 242, § 54.

§74-840-3.3.  Repealed by Laws 1998, c. 235, § 10, eff. July 1, 1998.

§74-840-3.4.  Undergraduate Public Internship Program - Executive Fellows Program.

A.  The Carl Albert Public Internship Program shall consist of two individual internship programs:

1.  An Undergraduate Internship Program consisting of a temporary position for students enrolled in an institution of higher education and working toward an undergraduate degree; and

2.  An Executive Fellows Program consisting of six-month to two-year placements in professional or managerial level positions for students who have:

a. successfully completed a baccalaureate degree and at least six (6) semester hours of approved graduate level work with at least a three point zero (3.0) grade point average calculated on a four point zero (4.0) scale in all graduate coursework,

b. demonstrated a substantial interest in public sector management,

c. been recommended by the institution of higher education at which they are enrolled, and

d. such additional requirements as determined by the Office of Personnel Management.

B.  Employing agencies shall rate the performance of participants in the Executive Fellows Program in accordance with Section 840-4.17 of this title.

C.  State employees, who otherwise meet the qualifications of the program, shall be eligible to participate in the Carl Albert Public Internship Program upon the written recommendation of the chief administrative officer of the applicant's agency.

Added by Laws 1988, c. 218, § 3, eff. Oct. 1, 1988.  Amended by Laws 1990, c. 106, § 1, operative July 1, 1990.  Renumbered from § 840.42 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1998, c. 235, § 4, eff. July 1, 1998; Laws 2002, c. 347, § 11, eff. Nov. 1, 2002.

§74-840-3.5.  Rules and regulations.

The Office of Personnel Management shall promulgate rules to provide that:

1.  Upon successful completion of a two-year internship in the Executive Fellows Program, a participant who has met all requirements of education and experience shall be eligible for appointment to a position in the classified or unclassified service of the state and shall be deemed as meeting all other statutory requirements;

2.  Persons leaving classified or unclassified positions in state government in order to take an internship shall:

a. have the right to return to the previous position at any time during the internship or upon completion of the internship, and

b. continue to receive all fringe benefits they would have received in their previous classified or unclassified positions;

3.  Participants in the Undergraduate Internship Program who were not public employees prior to accepting a position in the program shall be employed in accordance with paragraph 8 of subsection A of Section 840-5.5 of this title;

4.  Participants in the Executive Fellows Program who were not public employees prior to accepting a position in the program shall be appointed in accordance with paragraph 10 of subsection A of Section 840-5.5 of this title, except that they shall be granted leave benefits commensurate with regular state employees;

5.  Selection of interns shall be coordinated by the Office of Personnel Management, but shall permit appropriate involvement by institutions of higher education and state agencies in order to ensure the integrity of the program, permit the appropriate match between interns and agency assignments, and to benefit the employing agency;

6.  The Administrator of the Office of Personnel Management may waive the completion of six (6) semester hours of approved graduate level work required by Section 840-3.4 of this title for participation in the Executive Fellows Program for an undergraduate intern enrolled in six (6) semester hours of approved graduate level work and currently employed by a state agency;

7.  Establish compensation plans for interns; and

8.  Empower the Office of Personnel Management to intercede in an internship when the Office determines, at the request of the intern, the agency, or the institution of higher education at which the intern is enrolled, that an internship is not functioning in accordance with guidelines established for the program and that are necessary for the efficiency and integrity of the program.

Added by Laws 1988, c. 218, § 4, eff. Oct. 1, 1988.  Renumbered from § 840.43 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 2000, c. 336, § 4, eff. July 1, 2000; Laws 2002, c. 347, § 12, eff. Nov. 1, 2002.

§74-840-3.6.  Exception to employment limitations.

Intern positions established pursuant to the provisions of this act shall not be included within any limitation on full-time-equivalent employee positions for any agency.

Added by Laws 1988, c. 218, § 5, eff. Oct. 1, 1988.  Renumbered from § 840.44 of this title by Laws 1994, c. 242, § 54.

§74-840-3.7.  Certain construction of act prohibited.

Provided that nothing in this act creating the Carl Albert Public Internship Program shall be construed to limit the authority of state agencies and institutions of higher education to continue or establish other internship programs or positions.

Added by Laws 1988, c. 218, § 6, eff. Oct. 1, 1988.  Renumbered from § 840.45 of this title by Laws 1994, c. 242, § 54.

§74-840-3.8.  Mentor program - Mentor Selection Advisory Committee.

A.  Effective July 1, 1995, the Administrator of the Office of Personnel Management shall design a mentor program for state employees with executive potential in all branches of state government.  The mentor program shall be open to all state employees but shall place a special emphasis on development of women, racial minorities and persons with disabilities as executives.  As used in this section, "agency" means any office, department, board, commission, or institution in all branches of state government.

B.  Effective July 1, 1995, there is hereby created a seven-member Mentor Selection Advisory Committee which shall be composed of the following permanent members:  The Administrator or designee, the Director of the Office of State Finance or designee, a designee of the Governor, a designee of the President Pro Tempore of the Senate and a designee of the Speaker of the House of Representatives.  Two other agency appointing authorities shall be selected every two (2) years by the Advisory Committee's permanent members.  Agency appointing authority members may be represented at committee meetings by a designee.  Appointed members not serving a specific term will serve at the pleasure of their appointing authority.  Members shall be reimbursed for necessary travel expenses incurred in the performance of their duties by the Office of Personnel Management.

Any state employee may nominate another state employee for the mentor program.  The Mentor Selection Advisory Committee shall select candidates for the mentor program and recommend those candidates to the Administrator for approval.  The Advisory Committee shall select candidates from those employees nominated for participation in the program.  The Mentor Selection Advisory Committee may recommend to the Administrator up to five candidates during a two-year period for participation in the mentor program.  Selection criteria shall include, but not be limited to:

1.  Demonstrated leadership qualities;

2.  Outstanding achievement record;

3.  Outstanding recommendations by supervisors or peers;

4.  Special knowledge of state systems; and

5.  Completion of the Certified Public Manager Program or similar achievement.

Individuals recommended by the Advisory Committee and approved by the Administrator shall be referred to as mentor executives. Each mentor executive shall be assigned to a management rotation in any state agency accepting the mentor executive and the mentor executive's sending agency, provided that each agency rotation shall not exceed six (6) months.  Each sending agency appointing authority shall participate in the design and implementation of the management rotations for the mentor executive selected from that agency.  The mentor executive shall be assigned to at least one policy level manager during the period of time the mentor executive is serving in a management rotation.

Rotation assignments in agencies other than the mentor executive's sending agency shall be accomplished through the State Personnel Interchange Program, Section 840-3.9 et seq. of this title, and shall not exceed a total of twenty-four (24) months for all rotations combined.  Each mentor executive shall be considered an employee of the sending agency for all purposes other than supervision.  The Administrator shall establish minimum compensation for mentor executives and shall adopt rules as the Administrator finds necessary for the administration of the State Mentor Program.  Such rules shall provide for the sending agency and the agency in which the mentor executive is completing his or her management rotation to share the compensation of the mentor executive or for either agency to pay the total amount.  A state employee's salary may be increased during the period of his or her participation in the State Mentor Program, but shall not be reduced during such period.  Each agency participating in the mentor program shall assign an executive-level manager to serve as the mentor for the period the mentor executive is completing the mentor executive's management rotation in that agency.

The mentor's duties are to instill in the mentor executive knowledge of the agency's purpose and functions, and a sense of professionalism and public service.  Mentors will further serve as a source of career guidance and reference after the management rotation is finished.  The employees participating in the mentor program shall be exempt from any full-time-equivalent limitations established by law.

The Administrator of the Office of Personnel Management may intercede in mentor executive rotational assignments if the Administrator determines that the assignments are not functioning in accordance with guidelines established for the state mentor program.  The result of the intercession may include, but is not limited to, reassignment or removal from the program.

Added by Laws 1994, c. 242, § 27.  Amended by Laws 1997, c. 286, § 4, eff. July 1, 1997; Laws 1998, c. 235, § 5, eff. July 1, 1998; Laws 2002, c. 347, § 13, eff. Nov. 1, 2002; Laws 2003, c. 212, § 16, eff. July 1, 2003.

§74-840-3.9.  Short title.

Sections 840-3.9 through 840-3.14 of this title shall be known and may be cited as the "State Personnel Interchange Program".

Added by Laws 1985, c. 185, § 1, eff. Nov. 1, 1985.  Renumbered from § 840.26 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 7, emerg. eff. June 5, 1995.

§74-840-3.10.  Public policy.

A.  It is the policy of this state that:

1.  State agencies in all branches of state government shall provide, whenever possible, such services as shall be required by other entities of state government; and

2.  All entities of state government shall provide required services without charge or, when it is not possible to provide such services without charge, on a contractual basis.

B.  "Agency" or "agencies" shall include agencies, boards or commissions in all branches of state government and "employee" or "employees" shall include persons employed in all branches of state government when used in Sections 840-3.10 through 840-3.14 of this title.

Added by Laws 1985, c. 185, § 2, eff. Nov. 1, 1985.  Renumbered from § 840.27 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 8, emerg. eff. June 5, 1995.

§74-840-3.11.  Establishment of interchange programs - Rules and regulations.

The Administrator of the Office of Personnel Management is hereby directed to establish programs to facilitate the interchange of employees among state governmental entities, to evaluate the efficient utilization and deployment of state personnel, and to adopt rules necessary to carry out the provisions of the State Personnel Interchange Program.  The State Personnel Interchange Program and rules promulgated hereunder shall apply to both unclassified and classified employee services.

Added by Laws 1985, c. 185, § 3, eff. Nov. 1, 1985.  Renumbered from § 840.28 of this title by Laws 1994, c. 242, § 54.

§74-840-3.12.  Eligible employees.

All employees in the classified and unclassified service are eligible for interchange.

Added by Laws 1985, c. 185, § 4, eff. Nov. 1, 1985.  Renumbered from § 840.29 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 9, emerg. eff. June 5, 1995.

§74-840-3.13.  Procedures, requirements and restrictions for personnel interchange assignments.

A.  All personnel interchange assignments are intended to be temporary in nature.  An individual's period of assignment to any receiving agency shall not exceed twelve (12) months in any thirty-six-month period; except that the period of assignment for mentor executives participating in the mentor program established by Section 840-3.8 of this title shall not exceed twenty-four (24) months in any thirty-six-month period.

B.  An individual shall be assigned as a participating employee only upon the individual's freely given written consent, without any form of coercion or duress.  Personnel interchanges shall be executed by mutual consent agreement by the appointing authority of the sending agency, the appointing authority of the receiving agency, and the participating individual.

C.  A participating employee shall be considered an employee of the sending agency for all purposes other than supervision.  The receiving agency shall be responsible for all costs and liabilities arising from the performance of work assigned to the participating employee by the receiving agency which is found to be contrary to law and public policy by a court of competent jurisdiction.

D.  A participating classified or unclassified employee may be assigned to a classified or unclassified position for the duration of the assignment without regard to the status of the employee in the sending agency.

E.  Work assigned to a participating employee by a receiving agency shall be exempt from the classification and compensation provisions of the Oklahoma Personnel Act.  Further, although all agencies are encouraged to resolve employee complaints at the lowest possible level, nothing in this section shall be construed to require a receiving agency to establish or adopt a grievance procedure pursuant to Section 840-6.2 of this title, to hear formal grievances, or to designate a grievance manager.  Whenever an interchange agreement is terminated in accordance with the Oklahoma Personnel Act and rules promulgated by the Administrator of the Office of Personnel Management, the participating employee shall be entitled to return to the previous class or job family level of the employee or its successor class or job family level, if one exists in the sending agency.  Otherwise, the reduction-in-force provision of Section 840-2.27 of this title shall apply.

F.  Except as provided in subsection E of this section, a participating employee who is assigned to a receiving agency shall neither lose, or suffer diminution of, any right, power, privilege, or benefit to which the employee would otherwise be entitled, including but not limited to salary, seniority, promotion, reinstatement, insurance, retirement, classified or unclassified status, progressive discipline, and use of grievance and appeals procedures.  An employee's class or job family level shall not be adversely affected by another employee's participation in an interchange.

G.  Any participating employee who suffers injury, occupational disease, or death, arising out of and in the course of an assignment to a receiving agency or sustained in the discharge of duties in connection with said assignment shall be considered an employee of the sending agency, and shall not be deprived by virtue of participating in said program of any right or expectancy that would otherwise accrue pursuant to the laws of this state governing labor and workers' compensation.

H.  Except as provided in this section, a participating employee shall neither receive nor accept any compensation from the receiving agency to which the employee is assigned.  Any receiving agency shall, in accordance with any applicable laws and policies, reimburse the per diem and travel expenses of any participating employee assigned thereto.

I.  Nothing in the State Personnel Interchange Program is intended to preclude the adoption of rules governing the interchange of employees of state governmental entities via other interchange provisions, such as leaves of absence without pay and career executive appointments.

Added by Laws 1985, c. 185, § 5, eff. Nov. 1, 1985.  Renumbered from § 840.30 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 10, emerg. eff. June 5, 1995; Laws 1996, c. 320, § 7, emerg. eff. June 12, 1996; Laws 1999, c. 410, § 8, eff. Nov. 1, 1999.

§74-840-3.14.  Conflict of interest.

Nothing in the State Personnel Interchange Program is intended to authorize any participating agency or employee to engage in any activity which is a conflict of interest or which would be in conflict with any provision of law, except as specifically provided herein.

Added by Laws 1985, c. 185, § 6, eff. Nov. 1, 1985.  Renumbered from § 840.31 of this title by Laws 1994, c. 242, § 54.

§74-840-3.15.  Certified Public Manager Program.

A.  There is hereby created the Certified Public Manager Program within the Office of Personnel Management.  The Program shall be administered by the Administrator of the Office of Personnel Management.  The purpose of the Program shall be to develop the management skills of those employees and persons who enter into the Program and to assist state agencies and other employers in the identification and development of future managers and leaders.  The Program, when space is available, may be available to political subdivisions and not-for-profit employers.

B.  The Administrator of the Office of Personnel Management shall adopt rules necessary to implement the Certified Public Manager Program.  These shall include:

1.  Admission and curriculum requirements for the Program; and

2.  Fees sufficient for the operation of the Program.  Fees charged to state agencies for their employees who participate in the Program may be less than fees charged to other employers for persons employed by them.  The Administrator shall also require a nominal fee to be charged individuals who participate in the Program.

Added by Laws 1995, c. 310, § 11, emerg. eff. June 5, 1995.

§74-840.4.  Renumbered as § 840-1.4 of this title by Laws 1994, c. 242, § 54.

§74-840-4.1.  Placement of agency under Merit System of Personnel Administration.

A.  The Governor of the State of Oklahoma is hereby empowered and authorized by an Executive Order to place any agency, and the employees thereof, except positions exempted from the classified service as stipulated by said Order, under the Merit System of Personnel Administration prescribed by the Oklahoma Personnel Act and the rules promulgated thereunder.  Further, the Governor may issue an Executive Order to place any position exempted from the Merit System by Executive Order and its incumbent under the Merit System.  This section shall not authorize the removal of any agency, position, or employee placed under the Merit System of Personnel Administration.

B.  The provisions of the Merit System of Personnel Administration shall not be extended to any agency except by Executive Order as provided in this section or by legislation.

C.  The placement of an agency under the Merit System of Personnel Administration covers functions, positions, and employees in an agency on the effective date of the legislation or the Executive Order and functions, positions, and employees subsequently added to the agency, unless otherwise provided by law.

D.  Upon placement of an agency under the Merit System of Personnel Administration by Executive Order or legislation, subsequent changes in the name of the agency, its organization or structure, or repeal of statutory language placing the agency under the Merit System shall not alone be construed to remove the agency from the Merit System.  An agency shall be removed from the Merit System by enacting legislation which affirmatively declares the agency is removed from the Merit System of Personnel Administration.

E.  Upon placement of an agency under the Merit System of Personnel Administration by Executive Order or legislation, the agency shall abide by the provisions of the Merit System of Personnel Administration Rules and the Oklahoma Personnel Act.  Statutory provisions not included in the Oklahoma Personnel Act that authorize agencies to effect personnel transactions, including but not limited to preparing personnel schedules, employing and appointing personnel, defining their duties and fixing their salaries or compensation shall be interpreted as authorizing agencies to effect personnel transactions within the provisions of the Oklahoma Personnel Act and the rules promulgated thereunder unless the Legislature expresses a contrary intent.

Added by Laws 1994, c. 242, § 2.  Amended by Laws 1995, c. 310, § 12, emerg. eff. June 5, 1995; Laws 1998, c. 285, § 1, emerg. eff. May 27, 1998.

§74-840-4.2.  Status of employees.

A.  Except as otherwise provided by law, effective on the date an unclassified employee is made subject to the Merit System of Personnel Administration by virtue of an Executive Order issued pursuant to Section 840-4.1 of this title or legislation, the employee shall be given status in the job family level to which the position occupied by the employee is initially allocated by the Office of Personnel Management.  The employee shall not be required to take any examination or qualify for the job family level, and the salary of the employee shall not be reduced as a result of such initial allocation.  The status of the employee shall be determined as follows:

1.  An employee who has been continuously employed by the agency for a minimum of twelve (12) months immediately preceding the date on which the employee is made subject to the provisions of the Merit System shall be given permanent status in the classified service.

2.  An employee who has been continuously employed by the agency for less than twelve (12) months on the date the employee is made subject to the provisions of the Merit System shall be given probationary status in the classified service.  Such employee may obtain permanent status in the classified service twelve (12) months after the employee's entry-on-duty date with the agency pursuant to the provisions of the Merit System.

B.  Persons appointed to the classified service of any agency under the Merit System shall achieve classified status only in accordance with the Oklahoma Merit System of Personnel Administration Rules promulgated pursuant to the Oklahoma Personnel Act.

C.  Any classified employee who is serving in a position on the effective date of the removal of the position from the classified service and placement into the unclassified service shall have the option of retaining the employee's classified status.  Any such employee who elects to change from classified to unclassified status shall so indicate in writing.  If the employee chooses to remain in the classified service, the position occupied by the employee shall remain in the classified service until the employee either vacates the position or elects unclassified status.  All future appointees to such positions shall be in the unclassified service.

Added by Laws 1982, c. 338, § 13, eff. July 1, 1982.  Amended by Laws 1994, c. 242, § 21.  Renumbered from § 840.13 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1999, c. 410, § 9, eff. Nov. 1, 1999; Laws 2002, c. 347, § 14, eff. Nov. 1, 2002.

§74-840-4.3.  Audit of classified service positions.

A.  The Office of Personnel Management shall conduct audits of positions in the classified service to determine the proper job family to which a position is allocated, and may delegate the auditing function to an agency pursuant to subsection E of Section 840-1.15 of this title.  Appointing authorities have control of positions within their agency and have the authority to organize their agencies, to create positions, to abolish positions and to prescribe or change the duties and responsibilities assigned to any position or employee at any time and shall determine the level within a job family at which duties and responsibilities are assigned.  The Administrator of the Office of Personnel Management shall adopt rules establishing policies and procedures for appointing authorities to follow when determining the job family level at which duties and responsibilities are assigned within their agencies.  Such rules shall include a process for review by the Office of Personnel Management of internal classification grievances of job family level assignments which cannot be resolved at the agency level.  Individual audits of positions shall be conducted at the request of the appointing authority based on information provided by the agency.  An incumbent employee will be given an opportunity to respond; however, the Office of Personnel Management will rely on the appointing authority for an official listing of the duties and responsibilities of the position.

B.  The appointing authority has the responsibility to ensure that employees are properly classified and that the work performed conforms to the appropriate job family descriptor describing the position.  Employees shall be classified in accordance with the work they are assigned on a regular and consistent basis as an integral part of their normal work assignment and job family descriptor.  An employee has the right and responsibility to file a classification grievance, as provided by law and rule, when duties performed on a regular and consistent basis do not conform to the job family descriptor.  An employee is entitled to the compensation assigned to the job family level for which duties were performed on a regular and consistent basis.  This provision does not entitle the employee to a higher job family level.  Agency classification and reclassification decisions shall not be subject to appeal to the Oklahoma Merit Protection Commission.  However, the involuntary removal of a permanent employee in permanent status in a job family level to a lower level in the same job family or to another job family level assigned a lower pay band shall be considered a demotion.  Such action may be appealed by the employee to the Oklahoma Merit Protection Commission.  The Administrator of the Office of Personnel Management shall adopt rules pursuant to subsection A of this section which shall include a process for review by the Office of Personnel Management of internal classification grievances of job family level assignments which cannot be resolved at the agency level.

C.  Job family descriptors shall be used for the purpose of distinguishing one job family from another as clearly and definitively as possible in order that positions may be properly allocated and employees may be properly classified in accordance with this section.  Job family descriptors shall be applied in accordance with the following:

1.  The position description questionnaire and job family descriptors shall be interpreted and applied as a composite picture of the job requirements.  An employee is not required to perform all of the work operations described in a job family descriptor in order to be eligible for classification thereunder.  An employee is not eligible or entitled to classification by reason of performing isolated or singular duties incidental to the job but which are described in another job family descriptor.  Employees are entitled to the job family level they are currently assigned.

2.  An employee normally performs some of the work of higher-rated jobs and some of the work of lower-rated jobs when required.  The normal duties of an employee may include assistance to others.

3.  An employee is required to perform the work operations and duties described or appraised as being covered by a job family descriptor pursuant to that degree or amount of guidance or instruction which is considered regular and consistent in order to qualify for the classification.

Added by Laws 1982, c. 147, § 9, emerg. eff. April 12, 1982.  Renumbered from § 7.9 of Title 62 by Laws 1982, c. 338, § 60, eff. July 1, 1982.  Amended by Laws 1983, c. 274, § 3, operative July 1, 1983; Laws 1986, c. 84, § 3, eff. Nov. 1, 1986; Laws 1994, c. 242, § 24.  Renumbered from § 840.22 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 13, emerg. eff. June 5, 1995; Laws 1997, c. 406, § 3, eff. July 1, 1997; Laws 1999, c. 410, § 10, eff. Nov. 1, 1999; Laws 2000, c. 336, § 6, eff. July 1, 2000.

§74-840-4.4.  Job specifications - Incorporation of requirements related to the deaf and hard-of-hearing.

When the appointing authority determines that certain knowledge and sign language skills are required in any position in order to effectively work with deaf or hard-of-hearing persons, such requirements shall be incorporated into the specifications of the appropriate job family descriptors.  Such requirements shall not be construed as placing additional requirements on persons who are incumbents in such positions at the time such a determination is made.

Added by Laws 1988, c. 51, § 1, emerg. eff. March 21, 1988.  Renumbered from § 840.19a of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1998, c. 246, § 39, eff. Nov. 1, 1998; Laws 1999, c. 410, § 11, eff. Nov. 1, 1999.

§74-840-4.5.  Merit System of Personnel Administration Salary Schedule.

A.  The Office of Personnel Management is directed to develop and publish a Merit System of Personnel Administration Salary Schedule, to be effective September 1, 1994.  The following schedule reflects the minimum and maximum salary in the grade indicated.

ANNUAL WAGE

  GRADE   MINIMUM   MAXIMUM

1 $ 8,791.00 $11,039.00

2   8,955.00   11,244.00

3   9,122.00   11,454.00

4   9,292.00   11,668.00

5   9,465.00   11,885.00

6   9,641.00   12,106.00

7   9,820.00   12,332.00

8 10,003.00   12,561.00

9 10,190.00   12,795.00

10 10,379.00   13,033.00

11 10,573.00   13,276.00

12 10,770.00   13,524.00

13 10,970.00   13,775.00

14 11,175.00   14,032.00

15 11,383.00   14,294.00

16 11,595.00   14,559.00

17 11,811.00   14,831.00

18 12,031.00   15,106.00

19 12,255.00   15,388.00

20 12,483.00   15,724.00

21 12,715.00   16,019.00

22 12,952.00   16,373.00

23 13,194.00   16,727.00

24 13,439.00   17,099.00

25 13,690.00   17,470.00

26 13,945.00   17,860.00

27 14,204.00   18,250.00

28 14,469.00   18,659.00

29 14,738.00   19,069.00

30 15,013.00   19,498.00

31 15,292.00   19,929.00

32 15,628.00   20,381.00

33 15,965.00   20,833.00

34 16,319.00   21,306.00

35 16,672.00   21,780.00

36 17,044.00   22,278.00

37 17,415.00   22,776.00

38 17,805.00   23,299.00

39 18,195.00   23,822.00

40 18,604.00   24,371.00

41 19,014.00   24,920.00

42 19,443.00   25,495.00

43 19,873.00   26,072.00

44 20,325.00   26,676.00

45 20,776.00   27,282.00

46 21,249.00   27,918.00

47 21,723.00   28,554.00

48 22,221.00   29,220.00

49 22,718.00   29,888.00

50 23,241.00   30,587.00

51 23,763.00   31,289.00

52 24,312.00   32,025.00

53 24,861.00   32,761.00

54 25,436.00   33,532.00

55 26,013.00   34,305.00

56 26,617.00   35,101.00

57 27,223.00   35,912.00

58 27,858.00   36,747.00

59 28,493.00   37,583.00

60 29,159.00   38,460.00

61 29,827.00   39,339.00

62 30,526.00   40,260.00

63 31,226.00   41,181.00

64 31,962.00   42,150.00

65 32,697.00   43,117.00

66 33,468.00   44,132.00

67 34,240.00   45,148.00

68 35,036.00   46,214.00

69 35,831.00   47,281.00

70 36,666.00   48,401.00

71 37,502.00   49,522.00

72 38,379.00   50,698.00

73 39,256.00   51,874.00

74 40,177.00   53,108.00

75 41,097.00   54,343.00

76 42,065.00   55,638.00

77    43,032.00   56,936.00

78 44,047.00   58,296.00

79 45,062.00   59,659.00

80 46,128.00   61,087.00

81 47,194.00   62,518.00

82 48,314.00   64,018.00

83 49,433.00   65,520.00

84 50,609.00   67,095.00

85 51,784.00   68,672.00

86 53,018.00   70,326.00

87 54,252.00   71,982.00

88 55,547.00   73,718.00

89 56,844.00   75,456.00

90 58,204.00   77,280.00

91 59,565.00   79,105.00

92 60,993.00   81,019.00

93 62,422.00   82,937.00

94 63,922.00   84,947.00

95 65,422.00   86,959.00

96 66,997.00   89,069.00

97 68,572.00   91,183.00

98 70,226.00   93,399.00

99 71,880.00   95,618.00

100 73,616.00   97,944.00

B.  If the rate of pay of an employee is higher than the maximum rate of the grade for the class, the rate will remain the same as long as the employee retains the present classification, but no further increases will be approved unless provided by law.

Added by Laws 1985, c. 203, § 3, operative July 1, 1985.  Amended by Laws 1989, c. 370, § 13, operative July 1, 1989; Laws 1990, c. 204, § 3, operative July 1, 1990; Laws 1991, c. 239, § 1, eff. July 1, 1991; Laws 1994, c. 242, § 45.  Renumbered from Title 62, § 7.11 by Laws 1994, c. 242, § 54.

§74-840-4.6.  Pay structure.

A.  The State of Oklahoma, to recruit, retain and motivate a quality workforce for the purpose of providing quality services to the citizens of Oklahoma, shall provide a pay structure based on internal equity and external competitiveness balanced by the state's fiscal conditions.  The state's goal shall be to provide a flexible and adaptable state employee pay system based on the market data found in relevant public and private sector markets.

B.  The Administrator of the Office of Personnel Management  shall develop a salary schedule for the classified service and pay lines as appropriate to meet the needs of agencies.

C.  The Administrator shall design a compensation system for all classified state employees.  The compensation system, except for performance based adjustments, developed pursuant to this subsection shall be consistent with but not limited to the recommendations contained in the Classification and Compensation Reform Report from the Administrator, dated December 1998 and submitted to the Governor, President Pro Tempore of the Senate and Speaker of the House of Representatives.

D.  All executive branch state agencies who employ personnel in the unclassified service of the state, whose salaries are not prescribed by law, shall establish salary schedules for such employees.

Added by Laws 1982, c. 338, § 16, eff. July 1, 1982.  Amended by Laws 1994, c. 242, § 22.  Renumbered from § 840.16 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1999, c. 410, § 12, eff. Nov. 1, 1999.

§74-840-4.7.  Adoption of pay grades and pay grade adjustments - Reports - Exemption from Administrative Procedures Act.

A.  Proposed initial assignment of pay bands and pay band adjustments may be adopted by the Administrator of the Office of Personnel Management after a public hearing.  Such action shall become effective the following July 1 unless the Administrator finds it essential for the provision or continuation of government services to adopt an earlier effective date.  All such actions shall be reported to the Governor, President Pro Tempore of the Senate and Speaker of the House of Representatives.  The report shall include the justification and financial impact of the action.

B.  The provisions of this section shall not be subject to the provisions of Article I of the Administrative Procedures Act.

Added by Laws 1985, c. 46, § 5, emerg. eff. April 23, 1985.  Renumbered from § 840.16a of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1999, c. 410, § 13, eff. Nov. 1, 1999.

§74-840-4.8.  Chaplains - Percentage of salary designated as housing allowance for federal tax purposes.

A.  In order to allow state-employed chaplains to take advantage of federal tax provisions, the chief administrative officer of any state entity that employs chaplains may designate not to exceed forty percent (40%) of the salary of the chaplain as a housing allowance.

B.  The Administrator of the Office of Personnel Management shall promulgate rules for the implementation of this section.

Added by Laws 1990, c. 68, § 1, eff. Jan. 1, 1991.  Renumbered from § 840.16c of this title by Laws 1994, c. 242, § 54.

§74-840-4.9.  Teachers' rights, privileges and benefits.

Certified teachers employed to serve as administrators, counselors, librarians or to teach by the state, under the Merit System of Personnel Administration, shall be entitled to all benefits granted other state employees of the agency, board, commission, department or institution by which they are employed.  Such teachers shall also be entitled to all benefits and privileges of their profession, including the right to participate in the Public Employees' Retirement System, or the Oklahoma Teachers' Retirement System at the option of the teacher and the right of membership and participation in the Oklahoma Education Association and all other professional associations and organizations of their choice.

Added by Laws 1982, c. 338, § 17, eff. July 1, 1982.  Renumbered from § 840.17 of this title by Laws 1994, c. 242, § 54.

§74-840-4.10.  Enforcement of teachers' rights, privileges and benefits.

A.  The Superintendent of Public Instruction and the Administrator of the Office of Personnel Management shall enforce and carry out the provisions of Section 17 of this act.

B.  The Administrator of the Office of Personnel Management shall act upon recommendation made by the Superintendent or his designee.

Added by Laws 1982, c. 338, § 18, eff. July 1, 1982.  Renumbered from § 840.18 of this title by Laws 1994, c. 242, § 54.

§74-840-4.11.  Noncompetitive appointments.

The Administrator may promulgate rules to provide for the establishment of noncompetitive appointments including, but not limited to, the positions of unskilled labor, attendants, aides, food service helpers, or custodial or similar types of employment when the character of the work makes it impracticable to supply the needs of the service effectively by competitive examination.  All such persons appointed shall serve a probationary period in accordance with the rules adopted by the Office of Personnel Management and the provisions of the laws of the State of Oklahoma and shall acquire permanent status and be subject to the same rules as other classified employees.

Added by Laws 1982, c. 338, § 21, eff. July 1, 1982.  Amended by Laws 1983, c. 274, § 2, operative July 1, 1983.  Renumbered from § 840.21 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1999, c. 410, § 14, eff. Nov. 1, 1999; Laws 2000, c. 336, § 5, eff. July 1, 2000.

§74-840-4.12.  Promotional and entrance examinations - Persons with severe disabilities - Special disabled veterans - Optional hiring procedure for affirmative action goals.

A.  The Administrator of the Office of Personnel Management shall be responsible for conducting promotional examinations and entrance examinations as required under the Oklahoma Personnel Act.  Such examinations shall be of such character as to determine the qualifications, fitness and ability of the persons tested to perform the duties of the job family or job family level for which such tests or examinations are given.  Provided, however, tests and examinations of persons with severe disabilities who have satisfactorily completed vocational and technical education courses in vocational training units or divisions approved by the State Department of Rehabilitation Services shall be limited in scope so as to relate to the skill and physical capability required for a particular position.  Adequate public notice shall be given of all examinations except for promotion within a department or agency.  Notwithstanding any other provision of law, the Administrator may keep confidential all promotional examinations, entrance examinations, and any other testing materials, but the Administrator shall be required to disclose them pursuant to a valid order from a court of competent jurisdiction and establishment of a protective order prohibiting public disclosure of the examinations and materials.

B.  No person shall be required to take an entrance examination for an appointment to a job family level requiring licensing by a state agency if that person has been previously tested and is currently licensed by the State of Oklahoma.

C.  Promotional examinations for promotion within an agency, unless requested by the agency, shall not be required; provided that the promotion is in accordance with a plan adopted by the Administrator and is in accordance with a plan adopted by the promoting agency.  Every employee promoted within an agency or following an intra-agency lateral transfer shall serve a six-month trial period in the job level to which the employee is promoted or transferred, unless the trial period is waived, in writing, by the appointing authority.  At any time during a trial period, the appointing authority may return the employee to the level from which the employee was promoted upon written notification by the appointing authority to the employee as to such action and the reason therefor, and the employee shall not have the right to appeal.

D.  The Administrator shall accept Certificates of Proficiency issued by accredited private or public schools, colleges or the Oklahoma Employment Security Commission in lieu of typing and shorthand tests.

E.  The Office of Personnel Management shall certify that a candidate meets the necessary job qualifications for a job family level in the classified service for the purpose of allowing that candidate to be appointed to a job.  The Administrator of the Office of Personnel Management may delegate the certification function provided by this section to an agency pursuant to subsection E of Section 840-1.15 of this title.  Any statute which creates any position or qualifications for any position in the classified service shall not be construed to limit the power of the Administrator to interpret or add to those qualifications in a reasonable manner consistent with the intent of the Legislature and the duties of that position.  Any statute which empowers any agency head or other employer to hire or nominate persons for employment within the classified service shall not be construed to empower that agency head or other employer to waive or modify any qualification or rule for employment established by the Administrator.  The Administrator shall not be construed to have the authority to limit or reduce any qualification established by statute for any position.  The constructions established herein shall apply to any statutes or positions heretofore or hereafter created unless that statute clearly and specifically states that such constructions do not apply.

F.  Subsections A through E of this section shall not apply to special disabled veterans who are considered for employment under the provisions of Sections 401 through 404 of Title 72 of the Oklahoma Statutes.  Provided, said veterans may elect instead to be considered for employment according to the procedures set out in subsections A through E of this section.

G.  Subsections A through E of this section shall not apply to persons with severe disabilities who are considered for employment under the provisions of this subsection.  Provided, said persons may elect instead to be considered for employment according to the procedures set out in subsections A through E of this section.

1.  As used in this subsection "persons with severe disabilities" means persons certified as having disabilities according to standards and procedures established by the Administrator.  Said standards and procedures shall be developed by the Administrator of the Office of Personnel Management with the assistance of the Office of Handicapped Concerns, and the State Department of Rehabilitation Services.

2.  Agencies of this state may employ persons with severe disabilities who are legal residents of the state in competitive and noncompetitive jobs.  Except for the requirement of minimum qualifications specified in applicable job specifications, such persons with disabilities shall be exempt from entrance examinations and hiring procedures administered by the Office of Personnel Management pursuant to this section and Section 840-4.13 of this title.

3.  Persons with severe disabilities hired pursuant to this subsection shall be appointed for a probationary period pursuant to Section 840-4.13 of this title.

4.  Persons with severe disabilities hired pursuant to this subsection shall be subject to the rules of the Administrator of the Office of Personnel Management.

5.  The Office of Personnel Management shall maintain records regarding the employment of persons with severe disabilities by state agencies and shall report the number of persons so employed in its annual report for the Office of Personnel Management required by Section 840-1.6A of this title.

H.  1.  This subsection shall be known and may be cited as the "Fair Employment Practices Act".

2.  Agencies of this state may use the optional hiring procedure provided in this subsection to employ females, blacks, Hispanics, Asian/Pacific Islanders and American Indians/Alaskan natives, as defined by the Equal Employment Opportunity Commission, who are legal residents of the state in competitive and noncompetitive jobs. Individuals must meet the minimum qualifications and pass any required examinations established by the Office of Personnel Management or by statute.  Except for any required examinations and minimum qualifications specified in applicable job specifications, such persons shall be exempt from the hiring procedures administered by the Office of Personnel Management.  Persons may only be employed under this subsection in a job family level, group or category which has been identified as underutilized and in which an appropriate hiring goal has been set in the state agency's affirmative action plan approved by the Office of Personnel Management pursuant to the provisions of Section 840-2.1 of this title.  In addition, the appointing authority of the employing agency must determine that a manifest imbalance exists which justifies remedial action pursuant to this subsection in order to reach the affirmative action hiring goal.  Provided further, that eligible war veterans, as defined by Section 67.13a of Title 72 of the Oklahoma Statutes, who are members of the group for which a hiring goal has been set shall be considered by the employing agency before a nonveteran is appointed pursuant to this subsection.

3.  To be eligible for appointment, the persons who are members of the group for which a hiring goal has been set must score within the top ten scores of other available members of said group based on any examination or rating of education and experience.

4.  Persons hired pursuant to this subsection shall be appointed for a probationary period pursuant to Section 840-4.13 of this title.

5.  Upon acquiring permanent status, the employee shall be subject to the rules and regulations of the Office of Personnel Management and to full rights and entitlements of state employees in the classified service.

6.  The authority for an agency to make appointments pursuant to this subsection shall be temporary and shall cease when the appointing authority of an agency can no longer justify remedial action pursuant to this subsection.

7.  The Office of Personnel Management shall maintain records regarding the employment of persons by state agencies pursuant to this subsection and shall report the number of persons so employed in its annual report for the Office of Personnel Management required by Section 840-1.6A of this title.

Added by Laws 1982, c. 338, § 19, eff. July 1, 1982.  Amended by Laws 1983, c. 175, § 6, emerg. eff. June 7, 1983; Laws 1987, c. 191, § 1, operative July 1, 1987; Laws 1988, c. 213, § 1, eff. Nov. 1, 1988.  Renumbered from § 840.19 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 73, § 1, emerg. eff. April 12, 1995; Laws 1995, c. 310, § 14, emerg. eff. June 5, 1995; Laws 1996, c. 320, § 8, emerg. eff. June 12, 1996; Laws 1998, c. 364, § 32, emerg. eff. June 8, 1998; Laws 1999, c. 1, § 35, emerg. eff. Feb. 24, 1999; Laws 1999, c. 410, § 15, eff. Nov. 1, 1999; Laws 2000, c. 336, § 7, eff. July 1, 2000; Laws 2001, c. 381, § 10, eff. July 1, 2001; Laws 2002, c. 347, § 15, eff. Nov. 1, 2002.

NOTE:  Laws 1998, c. 235, § 6 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.

§74-840-4.13.  Certification to appointing authority - Broad band certification - Statewide and local registers - Professional practice licensure and hard-to-fill positions - Probationary period.

A.  Based upon the results of competitive entrance examinations and registers, as provided by the Oklahoma Personnel Act, the Administrator of the Office of Personnel Management shall certify to the appointing authority the names of the ten persons receiving the highest grade or score in said examinations plus all eligible applicants whose grade or score is tied with the lowest ranking of those so eligible.

B.  In addition to establishing statewide registers pursuant to subsection A of this section, the Administrator is hereby authorized to promulgate rules creating a local register to fill a vacancy in a local office of an agency by providing a certificate of available names of eligible persons who are residents of the county where the local office is located or said county and adjacent counties or a group of contiguous counties comprising a service area of an agency.  Available eligible residents shall be certified ahead of other available eligible persons who reside outside the area of the local register.  In filling vacant positions, the appointing authority shall select any one of the persons whose names have been so certified and may give preference in all cases to persons who have resided in this state for at least one (1) year prior to the date of the examination.  Provided, however, that any appointing authority authorized to employ persons who are not citizens of the United States, pursuant to Section 255 of this title, may request the Office to certify only the names of persons who are citizens of the United States in carrying out the provisions of this section; and such appointing authority may select any person so certified to the Administrator to fill such vacant positions even though a noncitizen may have received a higher grade on the examination.  Provided, further, that any appointing authority may select special disabled veterans considered for employment pursuant to Sections 401 through 404 of Title 72 of the Oklahoma Statutes.  The Department of Public Safety, in filling vacancies for Highway Patrol Cadets, may disqualify any eligible whose name has been certified for Highway Patrol Cadet pursuant to subsection A of this section, if the Department of Public Safety considers the eligible in connection with the hiring of three other eligibles pursuant to subsection A of this section from that certificate.  The name of such disqualified eligible shall be omitted from further certification to, and consideration by, the Department of Public Safety for appointment as a Highway Patrol Cadet to the next immediate Highway Patrol Academy for which vacancies are being filled.  Such disqualification shall neither deprive any person of any preference pursuant to paragraph 3 of subsection A of Section 840-4.14 of this title nor deprive any person from certification to, and consideration by, the Department of Public Safety for appointment as a Highway Patrol Cadet to a Highway Patrol Academy to be held after the next immediate Highway Patrol Academy.  The Department of Public Safety shall provide written notice of the disqualification to the Office of Personnel Management.  The Department of Corrections, in filling vacancies for Correctional Officer Cadets and Probation and Parole Officers, may disqualify any eligible whose name has been certified for Correctional Officer Cadet or Probation and Parole Officer, pursuant to subsection A of this section, if the Department of Corrections considers the eligible in connection with the hiring of three other eligibles pursuant to subsection A of this section from that or any other certificate.  The name of such disqualified eligible shall be omitted from future certification to, and consideration by, the Department of Corrections for appointment as a Correctional Officer Cadet or Probation and Parole Officer for a period of six (6) months, at which time the eligible may request restoration to the register by the Office of Personnel Management.  Such disqualification shall not deprive any person of any preference pursuant to paragraph 3 of subsection A of Section 840-4.14 of this title.  The Department of Corrections shall provide written notice of the disqualification to the Office of Personnel Management.

C.  Agencies may fill positions requiring professional practice licensure and hard-to-fill positions pursuant to authorization by the Administrator without regard to subsections A and B of this section.  The Administrator shall promulgate rules to authorize agencies to fill positions directly, pursuant to this subsection.  Such rules shall include criteria for identifying professional practice licensure positions and hard-to-fill positions which shall not require establishment of an employment list of eligible persons or the application of veterans preference.  The Administrator shall monitor appointments made by agencies pursuant to this subsection and shall establish recordkeeping and reporting procedures and the conditions under which the Administrator may withdraw authorization for agencies to directly hire persons into hard-to-fill positions.  Nothing in this subsection shall be construed to waive any requirement for any job or position established by statute or the Administrator.

D.  Every person, except as provided in subsection E of this section, upon initial appointment under the classified service, shall be appointed for a probationary period of one (1) year, except that the appointing authority may waive in writing the remainder of the probationary period at any time after a probationary employee has served six (6) months; provided, however, that the employee and the Administrator of the Office of Personnel Management shall be notified in writing as to such action and the reason therefor.  The probationary appointment of any person may be terminated at any time during the probationary period without the right of appeal.  At the close of the probationary period, as herein provided, said person shall acquire a permanent status under the conditions prescribed in the Oklahoma Personnel Act.

E.  Every person initially appointed under the classified service as an agent of the Alcoholic Beverage Laws Enforcement Commission shall be appointed for a probationary period of one (1) year.

F.  In working with appointing authorities in determining minimum qualifications for a position, the Administrator of the Office of Personnel Management shall require an appointing authority to justify in writing any reasons for excluding from consideration relevant public or private sector experience applicable to the position.

Added by Laws 1982, c. 338, § 20, eff. July 1, 1982.  Amended by Laws 1983, c. 175, § 7, emerg. eff. June 7, 1983; Laws 1985, c. 46, § 7, emerg. eff. April 23, 1985; Laws 1986, c. 244, § 6, emerg. eff. June 12, 1986; Laws 1993, c. 83, §2, emerg. eff. April 18, 1993; Laws 1994, c. 242, § 23.  Renumbered from Title 74, § 840.20 by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 15, emerg. eff. June 5, 1995; Laws 1996, c. 3, § 21, emerg. eff. March 6, 1996; Laws 1996, c. 320, § 9, emerg. eff. June 12, 1996; Laws 1997, c. 286, § 5, eff. July 1, 1997; Laws 1998, c. 69, § 1, eff. Nov. 1, 1998; Laws 1998, c. 235, § 7, eff. July 1, 1998; Laws 1999, c. 1, § 36, emerg. eff. Feb. 24, 1999; Laws 1999, c. 410, § 16, eff. Nov. 1, 1999; Laws 2003, c. 453, § 2, eff. Nov. 1, 2003.

NOTE:  Laws 1985, c. 283, § 6 repealed by Laws 1986, c. 244, § 9, emerg. eff. June 12, 1986.  Laws 1995, c. 309, § 1 repealed by Laws 1996, c. 3, § 25, emerg. eff. March 6, 1996.  Laws 1998, c. 235, § 7 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.

§74-840-4.14.  Preferences.

A.  In establishing employment lists of eligible persons for competitive and noncompetitive appointment, certain preferences shall be allowed for honorably discharged veterans as defined by Section 67.13a and Section 67.13b of Title 72 of the Oklahoma Statutes.  In determination of the register rank:

1.  Five points shall be added to the final grade of any person who has passed the examination and has submitted proof of having status as a veteran or unremarried surviving spouse of a veteran;

2.  Five points shall be added to the final grade of any person who has passed the examination and has submitted proof of having status as a spouse of a veteran who is unemployable due to a service-connected disability as certified by the Veterans Administration or agency of the Defense Department within six (6) months of date of application; and

3.  Ten points shall be added to the final grade of any veteran who has passed the examination and has submitted proof of having a service-connected disability as certified by the Veterans Administration or agency of the Defense Department within six (6) months of date of application.  Such veterans' names shall be placed at the top of the register in accordance with their numerical rating if in receipt of benefits payable at the rate of thirty percent (30%) or more and such veterans shall not be denied employment and passed over for other veterans or nonveterans, without showing cause.  Acceptable cause shall include a reasonable expectation of the inability of the preferenced applicant to satisfactorily perform at the required level of the position and shall be reviewed in each instance by the Administrator of the Office of Personnel Management.  If the Administrator finds that acceptable cause for the denial of employment to the preferenced applicant does not exist, the appointing authority shall be required to hire the preferenced applicant.  The position shall not be permanently filled until the Administrator has issued his findings.

B.  War veterans, as defined by Section 67.13a of Title 72 of the Oklahoma Statutes, who have been awarded the Purple Heart or have a service-incurred disability rated by the Veterans Administration or a branch of the Armed Forces of the United States and who have been a resident of Oklahoma for at least one (1) year prior to the date of the examination, shall be authorized to open any closed register established by the Merit System of Personnel Administration.

C.  Subsection A of this section shall not apply to special disabled veterans who are considered for employment under the provisions of Sections 401 through 404 of Title 72 of the Oklahoma Statutes.  Provided, said veterans may elect instead to be considered for employment according to the procedures set out in this section.

Added by Laws 1982, c. 338, § 15, eff. July 1, 1982.  Amended by Laws 1983, c. 175, § 5, emerg. eff. June 7, 1983; Laws 1986, c. 115, § 1, eff. Nov. 1, 1986; Laws 1986, c. 252, § 4, eff. Nov. 1, 1986; Laws 1987, c. 207, § 25.  Renumbered from § 840.15 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 2004, c. 81, § 1, eff. Nov. 1, 2004.

§74-840-4.15.  Posting vacancies and promotional opportunities.

A.  The appointing authority shall post announcements of a vacancy or vacancies in accordance with a promotional plan filed by the agency with the Office of Personnel Management.  Promotional posting shall be required for initial entry into a job family at any level.  Promotional posting shall also be required for entry into any supervisory position or level.  Each agency's promotional posting plan shall describe the method by which all agency employees will be notified of vacancy announcements.  The posting shall include:

1.  Identification of the job family level of the vacancy or vacancies;

2.  A listing of job title, major work duties and minimum qualifications;

3.  The pay band and range;

4.  The anticipated number of vacancies;

5.  The specific location of work;

6.  The time limits and procedure for filing an application with the appointing authority; and

7.  Any additional factors which the appointing authority will consider in filling the vacancy.

B.  The appointing authority may elect to post general promotional opportunities in accordance with the provisions of this section in cases where there are usually continuous multiple vacant positions within a given job family; provided the appointing authority maintains a promotional applicant list for each job family which is posted on the basis of general promotional opportunities.  In such cases, the posting must include the length of time and conditions under which the promotional application of the candidate will remain available for active consideration by the appointing authority.

C.  If an employee still feels that the employee has not been treated fairly with regard to a promotional action pursuant to this section after such complaint has been reviewed in a formal grievance procedure conducted in accordance with the provisions of Section 840-6.2 of this title, the employee may seek a remedy through the procedures established in the Oklahoma Personnel Act.  If a violation of Section 840-2.9 of this title has been committed, the Oklahoma Merit Protection Commission may declare a position open.

D.  Prior to re-posting a notice of vacancy for a position that was not filled after the first notice was posted, the appointing authority must receive approval from the Administrator of the Office of Personnel Management prior to making any qualification changes to the position to be filled.

Added by Laws 1982, c. 338, § 40, eff. July 1, 1982.  Amended by Laws 1985, c. 46, § 6, emerg. eff. April 23, 1985; Laws 1986, c. 84, § 10, eff. Nov. 1, 1986; Laws 1986, c. 158, § 23, operative July 1, 1986.  Renumbered from § 841.19 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1999, c. 410, § 17, eff. Nov. 1, 1999; Laws 2000, c. 336, § 8, eff. July 1, 2000; Laws 2003, c. 453, § 3, eff. Nov. 1, 2003; Laws 2004, c. 5, § 96, emerg. eff. March 1, 2004.

NOTE:  Laws 2003, c. 212, § 17 repealed by Laws 2004, c. 5, § 97, emerg. eff. March 1, 2004.

§74-840-4.16.  Promotional preferences - Intent of Legislature.

It is the intent of the Legislature that any guidelines pertaining to promotion adopted by the Administrator give preference to:

1.  a promote-from-within policy when the merit, ability and capacity of incumbent employee applicants is relatively equal to that of outside applicants; and

2.  seniority as a factor in promotional plans when merit, ability and capacity are relatively equal among applicants.

Laws 1986, c. 84, § 11, eff. Nov. 1, 1986.  Renumbered from § 841.19a of this title by Laws 1994, c. 242, § 54.

§74-840-4.17.  Employee performance management system.

A.  The Office of Personnel Management shall make available one standard performance management system that shall be used by all agencies for completing employee performance evaluations.  The purpose of this employee performance management system is to evaluate the performance of each regular classified, unclassified and exempt employee in the executive branch of state government except those in the exempt unclassified service as specified in paragraphs 1 and 2 of subsection A of Section 840-5.5 of this title and those employees employed by the institutions under the administrative authority of The Oklahoma State System of Higher Education.

B.  The employee performance management system shall provide for the following:

1.  An objective evaluation by the immediate supervisor of the performance of the employee within the assigned duties of the job.  The evaluation shall contain the agency number, date of review, and employee identification number;

2.  The identification by the immediate supervisor of accountabilities and behaviors upon which the employee will be evaluated;

3.  A mid-term interview with the immediate supervisor for the purpose of discussing the progress of the employee in meeting the accountabilities and behaviors upon which the employee will be evaluated;

4.  Identification of performance strengths and performance areas for development;

5.  A final interview with the employee by the immediate supervisor who shall provide the employee with a copy of the performance evaluation; and

6.  The opportunity for the employee to submit written comments regarding the performance evaluation.

C.  Each employee shall be rated at least thirty (30) days prior to the end of the probationary period.  Except as may otherwise be provided by rules promulgated by the Administrator of the Office of Personnel Management, after the end of the probation period, each employee shall be evaluated at least annually on a twelve-month period.

D.  Any permanent classified employee who disagrees with the employee's performance evaluation may file a grievance pursuant to Section 840-6.2 of this title.

E.  Any employee, regardless of status, who is required to be evaluated pursuant to this section and who believes that the employing agency has not complied with the requirements of subsection B of this section may file a complaint through any dispute resolution process made available through the employing agency or, if there is no internal agency dispute resolution process, through the Oklahoma Merit Protection Commission.  The Oklahoma Merit Protection Commission shall have jurisdiction to investigate or hear appeals of the failure of an agency to comply with the provisions of subsection B of this section.

F.  The agency shall use employee evaluations of current or former state employees in decisions regarding promotions, appointments, demotions, performance pay increases and discharges.  Reductions-in-force shall not be considered discharges.

G.  The agency shall retain a copy of the performance evaluation for each employee of the agency.  A copy of the performance evaluation shall be retained in the employee's personnel file.

H.  Each appointing authority shall annually report its compliance with the provisions of this section in writing to the Administrator of the Office of Personnel Management.  The Administrator shall prescribe a form for such reporting.

I.  The Administrator of the Office of Personnel Management shall conduct an annual random audit of state agencies to determine whether they are in compliance with this section.  Any agency deemed to be out of compliance shall submit a written plan to the Administrator detailing the efforts the agency will make to come into compliance at the earliest possible date.

Added by Laws 1982, c. 338, § 37, eff. July 1, 1982.  Amended by Laws 1985, c. 46, § 4, emerg. eff. April 23, 1985; Laws 1986, c. 84, § 9, eff. Nov. 1, 1986; Laws 1986, c. 244, § 8, emerg. eff. June 12, 1986; Laws 1992, c. 367, § 18, eff. July 1, 1992.  Renumbered from § 841.16 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1998, c. 235, § 8, eff. July 1, 1998; Laws 1999, c. 1, § 37, emerg. eff. Feb. 24, 1999; Laws 1999, c. 410, § 18, eff. Nov. 1, 1999; Laws 2001, c. 381, § 11, eff. July 1, 2001; Laws 2003, c. 212, § 18, eff. July 1, 2003; Laws 2004, c. 312, § 12, eff. July 1, 2004; Laws 2005, c. 389, § 2, eff. Nov. 1, 2005.

NOTE:  Laws 1998, c. 98, § 1 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.

§74-840-4.18.  Renumbered as § 840-2.27 of this title by Laws 1995, c. 263, § 10.

§74-840-4.19.  Authority to designate place of employment - Appeals to Merit Board Protection Commission.

A state agency shall have sole and final authority to designate the place or places where its employees shall perform their duties.  The Oklahoma Merit Protection Commission shall not have jurisdiction to accept an appeal of an employee resulting from the employing agency transfer of an employee from one county or locality to another, changing the assigned duties of an employee, or relieving the employee from performance of duty at a particular place and reassigning to an employee duties to be performed at another place, unless an employee asserts that:

1.  The action resulted in a change in job classification or reduction of the base salary of the employee;

2.  A violation of the provisions of Section 840-2.5 or 840-2.9 of this title may have occurred; or

3.  The action was taken clearly for disciplinary reasons and to deny the employee the right of appeal.

Added by Laws 1995, c. 310, § 16, emerg. eff. June 5, 1995.

§74-840.5.  Renumbered as § 840-2.12 of this title by Laws 1994, c. 242, § 54.

§74-840-5.1.  Unclassified service exempt from act except leave regulations.

Unless otherwise provided, offices and positions in the unclassified service are in no way subject to any of the provisions of this act or of the rules and regulations promulgated hereunder except leave regulations.  Provided, offices and positions of the State Senate and House of Representatives shall not be subject to regulations of the Office of Personnel Management on involuntary leave without pay or furlough but shall be subject to any involuntary leave without pay or furlough plan adopted by the President Pro Tempore of the Senate or the Speaker of the House of Representatives.  No person chosen by election or appointment to fill an elective office shall be subject to any leave plan or regulation or shall such person be eligible for accrual of any leave benefits.

Added by Laws 1982, c. 338, § 7, eff. July 1, 1982.  Amended by Laws 1986, c. 244, § 2, emerg. eff. June 12, 1986.  Renumbered from § 840.7 of this title by Laws 1994, c. 242, § 54.

§74-840-5.1A.  Unclassified service - Service at pleasure of appointing authority - Severance benefits.

A.  Within state government, persons appointed to a position in the unclassified service after June 30, 1996, shall serve at the pleasure of the appointing authority.  Appointing authorities shall not convey any right or expectation of continued employment to such unclassified employees.  The appointing authority may separate such unclassified employees at any time with or without cause.  No provision of the Oklahoma Personnel Act shall be construed as granting any property interest in employment to any unclassified service employee.

B.  Nothing in this section is intended to change the status of any unclassified employee appointed to a position on or before June 30, 1996.

C.  This section shall not apply to persons in positions in institutions under the jurisdiction of the Oklahoma State Regents for Higher Education or subject to the University Hospitals Authority Model Personnel System created pursuant to Section 3211 of Title 63 of the Oklahoma Statutes.

D.  Agencies may provide severance benefits pursuant to Section 840-2.27D of this title to regular unclassified employees with one (1) year or more continuous state service who are separated from the state service for budgetary reasons.  A plan providing for such benefits shall be submitted to the Director of the Office of State Finance who shall reject any plan that does not:

1.  Demonstrate that funds are available to cover projected costs;

2.  Contain an estimate of the number of affected employees likely to participate in the education voucher program established in Section 840-2.27D of this title; and

3.  Contain an estimate of the cost savings or reduced expenditures likely to be achieved by the agency.

Added by Laws 1996, c. 320, § 10, emerg. eff. June 12, 1996.  Amended by Laws 2003, c. 212, § 19, eff. July 1, 2003.

§74-840-5.1B.  Repealed by Laws 2005, c. 453, § 5, eff. July 1, 2005.

NOTE:  Prior to repeal this section was amended by Laws 2005, c. 176, § 6 to read as follows:

A.  There is hereby created the State Classification Task Force for the purpose of reviewing unclassified positions in the executive branch of state government, excluding The Oklahoma State System of Higher Education, and making recommendations to the Legislature concerning the current unclassified service and the feasibility of proposals to add positions to or remove positions from the unclassified service.

B.  The Task Force shall consist of ten (10) members of the Oklahoma Legislature, five members of the House of Representatives appointed by the Speaker of the House of Representatives and five members of the Senate appointed by the President Pro Tempore of the Senate.  Members shall serve at the pleasure of their appointing authority.

C.  For the Forty-ninth Oklahoma Legislature, the Speaker of the House of Representatives shall select the chair of the Task Force and the President Pro Tempore of the Senate shall select the vice chair of the Task Force.  Thereafter, the chair and vice chair shall rotate between the House of Representatives and Senate with the President Pro Tempore of the Senate and the Speaker of the House of Representatives making the respective appointments.

D.  Staffing for the Task Force shall be provided by the legislative staff of the House of Representatives and the Senate, and the Administrator of the Office of Personnel Management.

E.  Members of the Task Force shall receive no compensation for serving on the Task Force but shall receive travel reimbursement for their necessary travel expenses incurred in the performance of their duties in accordance with Section 456 of Title 74 of the Oklahoma Statutes from the legislative body in which they serve.

F.  1.  State agencies subject to the provisions of the Merit System of Personnel Administration shall submit requests for authorizations for unclassified positions and employees to the Administrator of the Office of Personnel Management who shall forward such requests to the Task Force.  The Administrator shall review, analyze, and provide recommendations to the Task Force regarding such requests.

2.  The Task Force shall meet in November of each year and shall review any agency proposals to add unclassified positions to the state service.  A representative from each appointing authority of a state agency that desires to add unclassified positions shall attend the meeting and present the proposal of the agency.

3.  The Task Force shall also review positions currently in the unclassified service.  The Administrator of the Office of Personnel Management shall review and analyze such positions and provide recommendations to the Task Force.  The Task Force may request the presence of state agency representatives to provide information concerning such positions.

4.  On or before February 1 of each year, the Task Force shall present any recommendations to the Speaker of the House of Representatives and the President Pro Tempore of the Senate concerning current positions in the unclassified service and agency proposals to add unclassified positions.

5.  The Task Force may also meet during the regular session of the Legislature to consider any additional requests to add unclassified positions to the state service submitted pursuant to this subsection.

§74-840-5.2.  Option to retain classified status.

Any classified employee who is serving in an agency head position which is subject to the Merit System of Personnel Administration on the effective date of this act shall have the option of retaining such classified status.  An incumbent who chooses to remain in the classified service shall be subject to all provisions and conditions of the Merit System of Personnel Administration.  An incumbent who chooses to change status from classified to unclassified shall so indicate in writing.  All future appointees to such positions shall be in the unclassified service.

Added by Laws 1985, c. 46, § 3, emerg. eff. April 23, 1985.  Renumbered from § 840.8a of this title by Laws 1994, c. 242, § 54.

§74-840-5.2A.  Ethics Commission - Status of employees to be as shown on employment records.

All persons employed by the Ethics Commission prior to March 18, 1998, shall be in and shall have been in such status in the classified or unclassified service as shown on their individual records on file in the Office of Personnel Management.  The employment records of such persons on file in the Office of Personnel Management shall be controlling as to the status of such persons and the positions they occupy or occupied.

Added by Laws 1998, c. 285, § 5, emerg. eff. May 27, 1998.

§74-840-5.2B.  State and Education Employees Group Insurance Board - Status of employees to be as shown on employment records.

All persons employed by the State and Education Employees Group Insurance Board prior to March 27, 1998, shall be in and shall have been in such status in the classified or unclassified service as shown on their individual records on file in the Office of Personnel Management.  The employment records of such persons on file in the Office of Personnel Management shall be controlling as to the status of such persons and the positions they occupy or occupied.

Added by Laws 1998, c. 285, § 6, emerg. eff. May 27, 1998.

§74-840-5.3.  Certain persons not considered state employees.

A.  The following offices, positions and personnel shall not be considered state employees except as otherwise provided by law:

1.  Patient and inmate help in the state charitable, mental and correctional institutions;

2.  Persons engaged in public work for the state, but employed by contractors when the performance of such contract is authorized by the Legislature or other competent authority;

3.  All employees of all public school districts; and

4.  Officers and members of the Oklahoma National Guard, as such.

B.  1.  Instructional and administrative personnel, except for superintendents, of the State Department of Rehabilitation Services at the Oklahoma School for the Blind and the Oklahoma School for the Deaf pursuant to Section 1419 of Title 10 of the Oklahoma Statutes shall be considered state employees, except they shall not be considered state employees for the purposes of the Oklahoma Personnel Act, unless otherwise provided by law.  However, the Office of Personnel Management may categorize such employees as unclassified solely for the purpose of entering and maintaining employment data in the state Personnel Management Information System established pursuant to Section 840-2.13 of this title.

2.  The superintendents at the Oklahoma School for the Blind and the Oklahoma School for the Deaf shall be state employees in the unclassified service, subject to the Oklahoma Personnel Act.

Added by Laws 1982, c. 338, § 9, eff. July 1, 1982.  Amended by Laws 1986, c. 244, § 5, emerg. eff. June 12, 1986.  Renumbered from § 840.9 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 269, § 3, eff. July 1, 1995; Laws 2001, c. 381, § 12, eff. July 1, 2001; Laws 2003, c. 93, § 4, eff. July 1, 2003.

§74-840-5.4.  Placement of agencies under Merit System of Personnel Administration.

Nothing in this act is intended to automatically place any agency under the provisions of the Merit System of Personnel Administration; however, any agency may be placed under the provisions of the Merit System in accordance with Section 840.3 of Title 74 of the Oklahoma Statutes unless otherwise prohibited by law.

Added by Laws 1986, c. 244, § 4, emerg. eff. June 12, 1986.  Renumbered from § 840.8c of this title by Laws 1994, c. 242, § 54.

§74-840-5.5.  Unclassified service - Offices, positions, and personnel.

A.  The following offices, positions, and personnel shall be in the unclassified service and shall not be placed under the classified service:

1.  Persons chosen by popular vote or appointment to fill an elective office, and their employees, except the employees of the Corporation Commission, the State Department of Education and the Department of Labor;

2.  Members of boards and commissions, and heads of agencies; also one principal assistant or deputy and one executive secretary for each state agency;

3.  All judges, elected or appointed, and their employees;

4.  Persons employed with one-time, limited duration, federal or other grant funding that is not continuing or indefinitely renewable.  The length of the unclassified employment shall not exceed the period of time for which that specific federal funding is provided;

5.  All officers and employees of The Oklahoma State System of Higher Education, State Board of Education and Oklahoma Department of Career and Technology Education;

6.  Persons employed in a professional or scientific capacity to make or conduct a temporary and special inquiry, investigation, or examination on behalf of the Legislature or a committee thereof or by authority of the Governor.  These appointments and authorizations shall terminate on the first day of the regular legislative session immediately following the appointment, if not terminated earlier.  However, nothing in this paragraph shall prevent the reauthorization and reappointment of any such person.  Any such appointment shall be funded from the budget of the appointing authority;

7.  Election officials and employees;

8.  Temporary employees employed to work less than one thousand (1,000) hours in any twelve-month period and seasonal employees employed pursuant to Section 1806.1 of this title who work less than one thousand two hundred (1,200) hours in any twelve-month period.  This category of employees may include persons employed on an intermittent, provisional, seasonal, temporary or emergency basis;

9.  Department of Public Safety employees occupying the following offices or positions:

a. administrative aides to the Commissioner,

b. executive secretaries to the Commissioner,

c. the Governor's representative of the Oklahoma Highway Safety Office who shall be appointed by the Governor,

d. Highway Patrol Colonel,

e. Highway Patrol Lieutenant Colonel,

f. Highway Patrol Major,

g. Director of Finance,

h. noncommissioned pilots,

i. Information Systems Administrator,

j. Law Enforcement Telecommunications System Specialist,

k. Director of Driver License Administration,

l. Director of Transportation Division,

m. Director of the Alcohol and Drug Countermeasures Unit,

n. Director of the Oklahoma Highway Safety Office,

o. Civil Rights Administrator,

p. Budget Analyst,

q. Comptroller,

r. Chaplain,  

s. Helicopter Mechanic,  

t. Director of Safety Compliance,

u. Human Resources Director,

v. Administrator of Department Services, and

w. a maximum of seven (7) positions for the purpose of administering programs in the Oklahoma Highway Safety Office, within full-time employee limitations of the Department, employed with federal funding that is continuing or indefinitely renewable.  The authorization for such positions shall be terminated if the federal funding for positions is discontinued;

provided, any person appointed to a position prescribed in subparagraphs d, e, f or o of this paragraph shall have a right of return to the classified commissioned position without any loss of rights, privileges or benefits immediately upon completion of the duties in the unclassified commissioned position, and any person appointed to a position prescribed in subparagraph i, j, k, l, m or n of this paragraph shall have a right of return to the previously held vacant classified position within the Department of Public Safety without any loss of rights, privileges or benefits immediately upon completion of the duties in the unclassified commissioned position;

10.  Professional trainees only during the prescribed length of their course of training or extension study;

11.  Students who are employed on a part-time basis, which shall be seventy-five percent (75%) of a normal forty-hour work week or thirty (30) hours per week, or less, or on a full-time basis if the employment is pursuant to a cooperative education program such as that provided for under Title I IV-D of the Higher Education Act of 1965 (20 U.S.C. 1087a-1087c), as amended, and who are regularly enrolled in:

a. an institution of higher learning within The Oklahoma State System of Higher Education,

b. an institution of higher learning qualified to become coordinated with The Oklahoma State System of Higher Education.  For purposes of this section, a student shall be considered a regularly enrolled student if the student is enrolled in a minimum of five (5) hours of accredited graduate courses or a minimum of ten (10) hours of accredited undergraduate courses, provided, however, the student shall only be required to be enrolled in a minimum of six (6) hours of accredited undergraduate courses during the summer, or

c. high school students regularly enrolled in a high school in Oklahoma and regularly attending classes during such time of enrollment;

12.  The spouses of personnel who are employed on a part-time basis to assist or work as a relief for their spouses in the Oklahoma Tourism and Recreation Department;

13.  Service substitute attendants who are needed to replace museum and site attendants who are unavoidably absent.  Service substitutes may work as part-time or full-time relief for absentees for a period of not more than four (4) weeks per year in the Oklahoma Historical Society sites and museums; such substitutes will not count towards the agency's full-time-equivalent (FTE) employee limit;

14.  Employees of the Oklahoma House of Representatives, the State Senate, or the Legislative Service Bureau;

15.  Corporation Commission personnel occupying the following offices and positions:

a. Administrative aides, and executive secretaries to the Commissioners,

b. Directors of all the divisions, personnel managers and comptrollers,

c. General Counsel,

d. Public Utility Division Chief Engineer,

e. Public Utility Division Chief Accountant,

f. Public Utility Division Chief Economist,

g. Public Utility Division Deputy Director,

h. Secretary of the Commission,

i. Deputy Conservation Director,

j. Manager of Pollution Abatement,

k. Manager of Field Operations,

l. Manager of Technical Services,

m. Public Utility Division Chief of Telecommunications,

n. Director of Information Services, and

o. All Data Processing employees hired on or after September 1, 2005;

16.  At the option of the employing agency, the Supervisor, Director, or Educational Coordinator in any other state agency having a primary responsibility to coordinate educational programs operated for children in state institutions;

17.  Department of Mental Health and Substance Abuse Services personnel occupying the following offices and positions at each facility:

a. Director of Facility,

b. Deputy Director for Administration,

c. Clinical Services Director,

d. Executive Secretary to Director, and

e. Directors or Heads of Departments or Services;

18.  Office of State Finance personnel occupying the following offices and positions:

a. State Comptroller,

b. Administrative Officers,

c. Alternator Claims Auditor,  

d. Employees hired to fulfill state compliance agency requirements under Model Tribal Gaming Compacts,

e. Employees of the Budget Division,

f. Employees of the Fiscal and Research Division,  

g. Employees hired to work on the CORE Systems Project; and

h. The following employees of the Information Services Division:

(1) Information Services Division Manager,

(2) Network Manager,

(3) Network Technician,

(4) Security Manager,

(5) Contracts/Purchasing Manager,

(6) Operating and Applications Manager,

(7) Project Manager,

(8) Help Desk Manager,

(9) Help Desk Technician,

(10) Quality Assurance Manager,

(11) ISD Analysts,

(12) CORE Manager,

(13) Enterprise System/Database Software Manager,

(14) Data Center Operations and Production Manager,

(15) Voice Communications Manager,

(16) Applications Development Manager,

(17) Projects Manager,

(18) PC's Manager,

(19) Servers Manager,

(20) Portal Manager, and

(21) Procurement Specialist;

19.  Employees of the Oklahoma Industrial Finance Authority;

20.  Those positions so specified in the annual business plan of the Oklahoma Department of Commerce;

21.  Those positions so specified in the annual business plan of the Oklahoma Center for the Advancement of Science and Technology;

22.  The following positions and employees of the Oklahoma School of Science and Mathematics:

a. positions for which the annual salary is Twenty-four Thousand One Hundred Ninety-three Dollars ($24,193.00) or more, as determined by the Office of Personnel Management, provided no position shall become unclassified because of any change in salary or grade while it is occupied by a classified employee,

b. positions requiring certification by the State Department of Education, and

c. positions and employees authorized to be in the unclassified service of the state elsewhere in this section or in subsection B of this section;

23.  Office of Personnel Management employees occupying the following positions:

a. the Carl Albert Internship Program Coordinator,

b. one Administrative Assistant, and

c. one Workforce Planning Manager;

24.  Department of Labor personnel occupying the following offices and positions:

a. two Deputy Commissioners,

b. two Executive Secretaries to the Commissioner,

c. Chief of Staff,  

d. two Administrative Assistants,

e. Information Systems Administrator,

f. three Safety and Health Directors,

g. Research Director,

h. Employment Standards Director,

i. Asbestos Director, and

j. General Counsel;

25.  The State Bond Advisor and his or her employees;

26.  The Oklahoma Employment Security Commission employees occupying the following positions:

a. Associate Director,

b. Secretary to the Associate Director, and

c. Assistant to the Executive Director;

27.  Oklahoma Human Rights Commission personnel occupying the position of Administrative Assistant;

28.  Officers and employees of the State Banking Department;

29.  Officers and employees of the University Hospitals Authority except personnel in the state classified service pursuant to Section 3211 of Title 63 of the Oklahoma Statutes and members of the University Hospitals Authority Model Personnel System created pursuant to subsection E of Section 3211 of Title 63 of the Oklahoma Statutes or as otherwise provided for in Section 3213.2 of Title 63 of the Oklahoma Statutes;

30.  Alcoholic Beverage Laws Enforcement Commission employees occupying the following positions:

a. three Administrative Service Assistant positions, however, employees in such positions who are in the unclassified service on June 4, 2003, may make an election to be in the classified service without a loss in salary by September 1, 2003, and

b. the Deputy Director position in addition to the one authorized by paragraph 2 of this subsection;

31.  The Oklahoma State Bureau of Investigation employees occupying the following positions:

a. five assistant directors,

b. six special investigators,

c. one information representative,

d. one federally funded physical evidence technician,

e. four federally funded laboratory analysts,

f. a maximum of fourteen positions employed for the purpose of managing the automated information systems of the agency, and

g. one executive secretary in addition to the one authorized pursuant to paragraph 2 of this subsection;

32.  The Department of Transportation, the following positions:

a. Director of the Oklahoma Aeronautics Commission,

b. five Department of Transportation Assistant Director positions,

c. eight field division engineer positions, and

d. one pilot position;

33.  Commissioners of the Land Office employees occupying the following positions:

a. Director of the Investments Division,

b. Assistant Director of the Investments Division,  

c. one Administrative Assistant,

d. one Audit Tech position,

e. one Auditor I position,

f. two Accounting Tech I positions,

g. two Administrative Assistant I positions,

h. two Imaging Specialist positions, and

i. one Information Systems Specialist position;

34.  Within the Oklahoma State Bureau of Narcotics and Dangerous Drugs Control Commission, the following positions:

a. six Narcotics Agent positions and three Typist Clerk/Spanish transcriptionists, including a Typist Clerk Supervisor/Spanish transcriptionist, provided, authorization for such positions shall be terminated if the federal funding for the positions is discontinued,

b. one executive secretary in addition to the one authorized pursuant to paragraph 2 of this subsection,  

c. one fiscal officer,

d. one full-time Programmer, and

e. one full-time Network Engineer;

35.  The Military Department of the State of Oklahoma is authorized such unclassified employees within full-time employee limitations to work in any of the Department of Defense directed youth programs, the State of Oklahoma Juvenile Justice youth programs, those persons reimbursed from Armory Board or Billeting Fund accounts, and skilled trade positions;

36.  Within the Oklahoma Commission on Children and Youth the following unclassified positions:

a. one Oversight Specialist and one Community Development Planner,

b. one State Plan Grant Coordinator, provided authorization for the position shall be terminated when federal support for the position by the United States Department of Education Early Intervention Program is discontinued, and

c. one executive secretary in addition to the one authorized pursuant to paragraph 2 of this subsection;

37.  The following positions and employees of the Department of Central Services:

a. one Executive Secretary in addition to the Executive Secretary authorized by paragraph 2 of this subsection,

b. the Director of Central Purchasing,

c. one Alternate Fuels Administrator,

d. one Director of Special Projects,

e. three postauditors,

f. four high-technology contracting officers,

g. one Executive Assistant to the Purchasing Director,

h. four Contracts Managers,

i. one Associate Director,

j. one specialized HiTech/Food Contracting Officer,  

k. one State Use Contracting Officer,

l. one Property Distribution Administrator,

m. three licensed architects assigned to the Facilities and Properties Division,

n. three licensed engineers assigned to the Facilities and Properties Division,

o. four construction consultants assigned to the Facilities and Properties Division,

p. one attorney assigned to the Facilities and Properties Division,

q. three positions assigned to the Information Services Division, which shall include one Information Technology Manager, one Applications Specialist and one Data Planning Specialist, and

r. four positions assigned to Fleet Management, which shall include one Deputy Fleet Manager and three Management Analysts;

38.  Four Water Quality Specialists, and four Water Resources Division Chiefs within the Oklahoma Water Resources Board;

39.  J.D. McCarty Center for Children with Developmental Disabilities personnel occupying the following offices and positions:

a. Physical Therapists,

b. Physical Therapist Assistants,

c. Occupational Therapists,

d. Certified Occupational Therapist Aides, and

e. Speech Pathologists;

40.  The Development Officer and the Director of the State Museum of History within the Oklahoma Historical Society;

41.  Oklahoma Department of Agriculture, Food, and Forestry personnel occupying the following positions:

a. one Executive Secretary in addition to the Executive Secretary authorized by paragraph 2 of this subsection and one Executive Assistant,

b. nineteen Agricultural Marketing Coordinator III positions,

c. temporary fire suppression personnel, regardless of the number of hours worked, who are employed by the Oklahoma Department of Agriculture, Food, and Forestry during the period of October 1 through May 31 in any fiscal year; provided, however, notwithstanding the provisions of any other section of law, the hours worked by such employees shall not entitle such employees to any benefits received by full-time employees,

d. one Administrator for Human Resources,

e. one Director of Administrative Services,

f. one Water Quality Consumer Complaint Coordinator,

g. one hydrologist position,

h. Public Information Office Director,

i. Market Development Services Director,

j. Legal Services Director,

k. Animal Industry Services Director,

l. Agricultural Environmental Management Services Director,

m. Forestry Services Director,

n. Plant Industry and Consumer Services Director,  

o. one Grants Administrator position,  

p. Director of Laboratory Services,

q. Chief of Communications,

r. Public Information Manager,

s. Inventory/Supply Officer,

t. five Agriculture Field Inspector positions assigned the responsibility for conducting inspections and audits of agricultural grain storage warehouses.  All other Agriculture Field Inspector positions and employees of the Oklahoma Department of Agriculture, Food, and Forestry shall be classified and subject to the provisions of the Merit System of Personnel Administration.  On November 1, 2002, all other unclassified Agriculture Field Inspectors shall be given status in the classified service as provided in Section 840-4.2 of this title,

u. Rural Fire Coordinator,

v. one Agricultural Marketing Coordinator III,

w. Food Safety Division Director,

x. two Environmental Program Specialists,

y. two Scale Technicians, and

z. two Plant Protection Specialists;

42.  The Contracts Administrator within the Oklahoma State Employees Benefits Council;

43.  The Development Officer within the Oklahoma Department of Libraries;

44.  Oklahoma Real Estate Commission personnel occupying the following offices and positions:

a. Educational Program Director, and

b. Data Processing Manager;

45.  A Chief Consumer Credit Examiner for the Department of Consumer Credit;  

46.  All officers and employees of the Oklahoma Capitol Complex and Centennial Commemoration Commission;

47.  All officers and employees of the Oklahoma Motor Vehicle Commission;

48.  One Museum Archivist of The Will Rogers Memorial Commission;  

49.  One Fire Protection Engineer of the Office of the State Fire Marshal;

50.  Acting incumbents employed pursuant to Section 209 of Title 44 or Section 48 of Title 72 of the Oklahoma Statutes who shall not be included in any limitation on full-time equivalency imposed by law on an agency.  Permanent classified employees may request a leave of absence from classified status and accept an unclassified appointment and compensation as an acting incumbent with the same agency; provided, the leave shall expire no later than two (2) years from the date of the acting incumbent appointment.  An appointing authority may establish unclassified positions and appoint unclassified employees to perform the duties of a permanent classified employee who is on leave of absence from a classified position to serve as an acting incumbent.  All unclassified appointments created pursuant to this paragraph shall expire no later than two (2) years from the date of appointment.  Classified employees accepting unclassified appointments and compensation pursuant to this paragraph shall be entitled to participate without interruption in any benefit programs available to classified employees, including retirement and insurance programs.  Immediately upon termination of an unclassified appointment pursuant to this paragraph, an employee on assignment from the classified service shall have a right to be restored to the classified service and reinstated to the former job family level and compensation plus any adjustments and increases in salary or benefits which the employee would have received but for the leave of absence;  

51.  The Oklahoma Homeland Security Director and all other positions assigned the responsibilities of working in the Oklahoma Office of Homeland Security; and

52.  The following eighteen (18) positions in the State Department of Health:

a. one surveillance supervisor,

b. one surveillance project monitor,

c. two bilingual interviewers,

d. eight senior interviewers, and

e. six interviewers.

B.  If an agency has the authority to employ personnel in the following offices and positions, the appointing authority shall have the discretion to appoint personnel to the unclassified service:

1.  Licensed medical doctors, osteopathic physicians, dentists, psychologists, and nurses;

2.  Certified public accountants;

3.  Licensed attorneys;

4.  Licensed veterinarians; and

5.  Licensed pharmacists.

C.  Effective July 1, 1996, authorization for unclassified offices, positions, or personnel contained in a bill or joint resolution shall terminate June 30 of the ensuing fiscal year after the authorization unless the authorization is codified in the Oklahoma Statutes or the termination is otherwise provided in the legislation.

D.  The appointing authority of agencies participating in the statewide information systems project may establish unclassified positions and appoint unclassified employees to the project as needed.  Additional unclassified positions may be established, if required, to appoint an unclassified employee to perform the duties of a permanent classified employee who is temporarily absent from a classified position as a result of assignment to this project.  All unclassified appointments under this authority shall expire no later than December 31, 2007, and all unclassified positions established to support the project shall be abolished.  Both the positions and appointments resulting from this authority shall be exempt from any agency FTE limitations and any limits imposed on the number of unclassified positions authorized.  Permanent classified employees may request a leave of absence from classified status and accept an unclassified appointment and compensation with the same agency under the provisions of this subsection; provided, the leave shall expire no later than December 31, 2007.  Employees accepting the appointment and compensation shall be entitled to participate without interruption in any benefit programs available to classified employees, including retirement and insurance programs.  Immediately upon termination of an unclassified appointment pursuant to this subsection, an employee on assignment from the classified service shall have a right to be restored to the classified service and reinstated to the former job family level and compensation plus any adjustments and increases in salary or benefits which the employee would have received but for the leave of absence.

Added by Laws 1982, c. 338, § 8, eff. July 1, 1982.  Amended by Laws 1982, c. 358, § 21, emerg. eff. June 2, 1982; Laws 1983, c. 263, § 15, operative July 1, 1983; Laws 1984, c. 284, § 19, operative July 1, 1984; Laws 1985, c. 46, § 2, emerg. eff. April 23, 1985; Laws 1985, c. 325, § 15, emerg. eff. July 29, 1985; Laws 1986, c. 19, § 6, emerg. eff. March 17, 1986; Laws 1986, c. 244, § 3, emerg. eff. June 12, 1986; Laws 1986, c. 277, § 13, emerg. eff. June 24, 1986; Laws 1987, c. 222, § 120, operative July 1, 1987; Laws 1989, c. 291, § 5, eff. July 1, 1989; Laws 1989, c. 370, § 15, operative July 1, 1989; Laws 1990, c. 23, § 9, operative July 1, 1990; Laws 1990, c. 264, § 87, operative July 1, 1990; Laws 1990, c. 260, § 50, operative July 1, 1990; Laws 1991, c. 308, § 3, eff. July 1, 1991; Laws 1992, c. 373, § 21, eff. July 1, 1992; Laws 1993, c. 10, § 14, emerg. eff. March 21, 1993; Laws 1993, c. 183, § 72, eff. July 1, 1993; Laws 1993, c. 333, § 2, eff. July 1, 1993; Laws 1994, c. 2, § 30, emerg. eff. March 2, 1994.  Renumbered from § 840.8 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1994, c. 315, § 5, eff. July 1, 1994; Laws 1995, c. 64, § 1, emerg. eff. April 11, 1995; Laws 1995, c. 328, § 13, eff. July 1, 1995; Laws 1996, c. 3, § 22, emerg. eff. March 6, 1996; Laws 1996, c. 327, § 1, eff. Nov. 1, 1996; Laws 1997, c. 2, § 20, emerg. eff. Feb. 26, 1997; Laws 1998, c. 165, § 1, eff. July 1, 1998; Laws 1998, c. 412, § 5, eff. July 1, 1998; Laws 1999, c. 1, § 38, emerg. eff. Feb. 24, 1999; Laws 1999, c. 375, § 1, eff. July 1, 1999; Laws 2000, c. 6, § 25, emerg. eff. March 20, 2000; Laws 2000, c. 336, § 9, eff. July 1, 2000; Laws 2001, c. 167, § 13, emerg. eff. May 2, 2001; Laws 2001, c. 414, § 10, emerg. eff. June 4, 2001; Laws 2002, c. 22, § 32, emerg. eff. March 8, 2002; Laws 2002, c. 435, § 1, emerg. eff. June 5, 2002; Laws 2003, c. 3, § 89, emerg. eff. March 19, 2003; Laws 2003, c. 382, § 1; Laws 2004, c. 5, § 98, emerg. eff. March 1, 2004; Laws 2004, c. 157, § 7, emerg. eff. April 26, 2004; Laws 2004, c. 462, § 1, eff. July 1, 2004; Laws 2005, c. 1, § 132, emerg. eff. March 15, 2005; Laws 2005, c. 190, § 19, eff. Sept. 1, 2005; Laws 2005, c. 409, § 2, eff. Sept. 1, 2005.

NOTE:  Laws 1985, c. 281, § 6 repealed by Laws 1986, c. 19, § 7, emerg. eff. March 17, 1986.  Laws 1987, c. 203, § 113 and Laws 1987, c. 204, § 121 repealed by Laws 1989, c. 291, § 11, eff. July 1, 1989 and by Laws 1989, c. 353, § 14, emerg. eff. June 3, 1989.  Laws 1991, c. 291, § 18 repealed by Laws 1992, c. 367, § 29, eff. July 1, 1992 and by Laws 1992, c. 373, § 22, eff. July 1, 1992.  Laws 1992, c. 367, § 4 repealed by Laws 1993, c. 10, § 16, emerg. eff. March 21, 1993.  Laws 1993, c. 330, § 29 repealed by Laws 1994, c. 2, § 34, emerg. eff. March 2, 1994.  Laws 1994, c. 242, § 8 repealed by Laws 1995, c. 64, § 2, emerg. eff. April 11, 1995.  Laws 1995, c. 212, § 5 and Laws 1995, c. 181, § 12, as amended by Laws 1995, c. 309, § 2 repealed by Laws 1996, c. 3, § 25, emerg. eff. March 6, 1996.  Laws 1996, c. 321, § 8 repealed by Laws 1997, c. 2, § 26, emerg. eff. Feb. 26, 1997.  Laws 1998, c. 6, § 1 repealed by Laws 1998, c. 388, § 11, eff. July 1, 1998 and by Laws 1998, c. 412, § 6, eff. July 1, 1998.  Laws 1998, c. 180, § 5 repealed by Laws 1998, c. 388, § 11, eff. July 1, 1998 and by Laws 1998, c. 412, § 6, eff. July 1, 1998.  Laws 1998, c. 388, § 3 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.  Laws 1999, c. 372, § 6 repealed by Laws 2000, c. 6, § 33, emerg. eff. March 20, 2000.  Laws 2000, c. 299, § 1 repealed by Laws 2001, c. 5, § 54, emerg. eff. March 21, 2001.  Laws 2001, c. 5, § 53 repealed by Laws 2001, c. 414, § 13, emerg. eff. June 4, 2001.  Laws 2001, c. 33, § 176, Laws 2001, c. 211, § 3, Laws 2001, c. 304, § 1, Laws 2001, c. 327, § 1 and Laws 2001, c. 381, § 13 repealed by Laws 2002, c. 22, § 34, emerg. eff. March 8, 2002.  Laws 2002, c. 347, § 16 repealed by Laws 2003, c. 3, § 90, emerg. eff. March 19, 2003.  Laws 2002, c. 396, § 4 repealed by Laws 2003, c. 3, § 91, emerg. eff. March 19, 2003.  Laws 2002, c. 397, § 34 repealed by Laws 2003, c. 3, § 92, emerg. eff. March 19, 2003.  Laws 2003, c. 279, § 11 repealed by Laws 2004, c. 5, § 99, emerg. eff. March 1, 2004.  Laws 2003, c. 353, § 3 repealed by Laws 2004, c. 5, § 100, emerg. eff. March 1, 2004.  Laws 2004, c. 130, § 12 repealed by Laws 2004, c. 462, § 3, eff. July 1, 2004.  Laws 2004, c. 418, § 28 repealed by Laws 2005, c. 1, § 133, emerg. eff. March 15, 2005.  Laws 2005, c. 176, § 7 repealed by Laws 2006, c. 16, § 84, emerg. eff. March 29, 2006.

§74-840-5.6.  Corporation Commission employees - Inclusion in unclassified service.

The unclassified service of the state shall include personnel employed by the Corporation Commission in positions which do not require registration with the Board of Professional Engineers and Land Surveyors but which have been employed in accordance with subparagraph 8 of paragraph 22 of Section 840.8 of Title 74 of the Oklahoma Statutes, which provides for engineer positions and employees of the Corporation Commission to be unclassified.  From and after the effective date of this act, the titles of such positions and employees shall be changed to reflect the specialized nature of the positions and the intent of the Legislature that such positions be part of the unclassified service.

This provision is not intended to change the current status, whether classified or unclassified, of any employee or position of the Corporation Commission.  Furthermore, it is not intended to authorize any increase in classified or unclassified full-time-equivalent employee positions or funding limitations.

Added by Laws 1985, c. 325, § 16, emerg. eff. July 29, 1985.  Renumbered from § 840.8b of this title by Laws 1994, c. 242, § 54.

§74-840-5.7.  Grand River Dam Authority.

A.  The Grand River Dam Authority shall be under the Merit System.  Except as otherwise provided in subsection B of this section, all offices, positions and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration and rules promulgated hereunder.  This section shall supersede and repeal any and all executive orders issued pursuant to this act to place the agency or its predecessors under the Merit System.

B.  In addition to offices, positions and personnel that are unclassified pursuant to Section 8 of this act, the following offices, positions and personnel shall be in the unclassified service:

1.  The general manager, assistant general managers, secretaries to the general manager, and assistant general managers;

2.  The chief engineer and the engineers, superintendents, and assistant superintendents;

3.  The general counsel and the attorneys on the general counsel's staff;

4.  The secretary;

5.  The treasurer;

6.  Rate analysts; and

7.  Unclassified employees hired prior to May 1, 1989, who hold engineering job titles but who are not registered engineers, provided said persons are reassigned nonengineering job titles.  At such time as the positions occupied by said unclassified employees are vacated, the positions shall revert to the classified service.

Added by Laws 1994, c. 242, § 9.

§74-840-5.8.  Oklahoma Tax Commission.

A.  The Oklahoma Tax Commission shall be under the Merit System.  Except as otherwise provided in subsection B of this section, all offices, positions and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration and rules promulgated hereunder.  This section shall supersede and repeal any and all executive orders issued pursuant to the Oklahoma Personnel Act to place the agency or its predecessors under the Merit System.

B.  In addition to offices, positions and personnel that are unclassified pursuant to Section 840-5.5 of this title, the following offices, positions and personnel shall be in the unclassified service:

1.  One private secretary for each Tax Commissioner; all revenue administrators, the budget officer and the comptroller of the Tax Commission;

2.  All revenue unit managers;

3.  All Computer Programming Systems Specialist positions;

4.  All Data Processing Programmer Analyst Supervisor and Data Processing Programmer Analyst III positions;

5.  All Public Affairs Officer and Assistant Public Affairs Officer positions;

6.  The Public Information Officer; and

7.  All Tax Economist and Tax Policy Analyst positions.

Added by Laws 1994, c. 242, § 10.  Amended by Laws 1995, c. 309, § 3, eff. July 1, 1995; Laws 1998, c. 388, § 4, eff. July 1, 1998.

§74-840-5.9.  State Department of Education.

A.  The State Department of Education shall be under the Merit System.  Except as otherwise provided in subsection B of this section, all offices, positions and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration and rules promulgated hereunder.  This section shall supersede and repeal any and all executive orders issued pursuant to this act to place the agency or its predecessors under the Merit System.

B.  In addition to offices, positions and personnel that are unclassified pursuant to Section 8 of this act, the following offices, positions and personnel shall be in the unclassified service:

1.  Administrative Assistants;

2.  Informational Representatives III;

3.  Driver Educational Electronics Technician;

4.  Media Technical Assistants;

5.  Executive Secretaries;

6.  Accounting Supervisor;

7.  Supervisor of Records;

8.  Supervisor of Printing Services;

9.  Migrant Records Transfer System Representative;

10.  Financial Managers; and

11.  In addition to the State Department of Education offices and positions listed in this paragraph, any and all offices and positions within the State Department of Education for which the annual salary is Twenty-one Thousand Nine Hundred Forty-three Dollars ($21,943.00) or more shall also be in the unclassified service of this state.

Nothing in this paragraph is intended to change the status, whether classified or unclassified service, of any person employed by the Department of Education prior to May 1, 1989.  No position shall be made part of the selective service while it is occupied by an unclassified service employee because of any change in salary or grade.  Hereafter, any position paid an annual salary of Twenty-one Thousand Nine Hundred Forty-three Dollars ($21,943.00) or more shall be made part of the unclassified service upon being vacated.

Added by Laws 1994, c. 242, § 11.

§74-840-5.10.  CompSource Oklahoma.

A.  CompSource Oklahoma shall be under the Merit System.  Except as otherwise provided in subsection B of this section, all offices, positions and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration and rules promulgated hereunder.  This section shall supersede and repeal any and all executive orders issued pursuant to this act to place the agency or its predecessors under the Merit System.

B.  In addition to offices, positions and personnel that are unclassified pursuant to Section 840-5.5 of this title, the following offices, positions and personnel shall be in the unclassified service:

1.  President and Chief Executive Officer;

2.  Executive Vice President;

3.  Vice Presidents;

4.  Executive Secretaries to the President, Executive Vice President and Vice Presidents;

5.  Law Clerks and Legal Assistants;

6.  Special Counsel;

7.  General Counsel;

8.  Medical Analysts Supervisor;

9.  Medical Analysts;

10.  Field Adjusters;

11.  Investment Officer;

12.  Workers' Compensation Insurance Consultants;

13.  Workers' Compensation Insurance Technicians;

14.  Workers' Compensation Insurance Adjusters;

15.  Workers' Compensation Insurance Underwriters;

16.  Fraud Investigation Specialists; and

17.  Collections Attorneys.

C.  CompSource Oklahoma may develop a plan for a pilot program for incentive-based compensation for its employees beginning July 1, 2003, and ending no later than June 30, 2006.  The plan shall be subject to the review and approval of the Administrator of the Office of Personnel Management.  On or before January 1, 2006, the Administrator of the Office of Personnel Management shall submit a report on the pilot program to the Governor, Speaker of the House of Representatives and President Pro Tempore of the Senate.

Added by Laws 1994, c. 242, § 12.  Amended by Laws 2003, c. 353, § 4, emerg. eff. June 3, 2003.

§74-840-5.11.  Department of Corrections - Merit system - Service status.

A.  The Department of Corrections shall be under the Merit System.  Except as otherwise provided in subsection B of this section, all offices, positions and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration and rules promulgated hereunder.  This section shall supersede and repeal any and all executive orders issued pursuant to this act to place the agency or its predecessors under the Merit System.

B.  In addition to offices, positions and personnel that are unclassified pursuant to Section 840-5.5 of this title, the Director of the Department of Corrections may establish positions in the unclassified service and place employees in those positions provided the total number of unclassified positions does not exceed six percent (6%) of the total full-time-equivalent employee limit established for the Department of Corrections.  Any unclassified positions established for the Oklahoma State Industries shall be funded from the Department of Corrections Industries' Revolving Fund only.  In addition to the regular salary, any unclassified employee of the Oklahoma State Industries of the Department of Corrections who is responsible for obtaining a contract for products manufactured or services provided by prison industries may, at the discretion of the Director of the Department of Corrections, be awarded additional compensation of not more than five percent (5%) of the total amount of said contracts but not more than Ten Thousand Dollars ($10,000.00) per year.  This compensation may be in addition to the salary of the employee and may be paid in one lump sum from any funds available to the Department of Corrections.  No such compensation shall be made unless funds are available.  Funds for payment of any compensation awards shall be encumbered to the extent of the awards.

Incumbents who were classified under the Merit System of Personnel Administration on the effective date the position they occupy became part of the unclassified service shall have the option of remaining in their classified service status.  Incumbents who choose to accept unclassified service appointments shall so signify in writing.  All future appointees to these positions shall be in the unclassified service.  Incumbents who choose to remain in the classified service shall be subject to all rules and procedures of the Merit System.

Added by Laws 1994, c. 242, § 13.  Amended by Laws 1995, c. 309, § 4, eff. July 1, 1995; Laws 1996, c. 327, § 2, eff. Nov. 1, 1996; Laws 1998, c. 388, § 5, eff. July 1, 1998; Laws 2001, c. 381, § 14, eff. July 1, 2001.

§74-840-5.12.  State Department of Rehabilitation Services - Merit system - Unclassified positions.

A.  The State Department of Rehabilitation Services shall be under the Merit System.  Except as otherwise provided in this section, all offices, positions and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration and rules promulgated hereunder.  This section shall supersede and repeal any and all executive orders issued pursuant to Section 840-1.1 et seq. of this title to place the agency or its predecessors under the Merit System.

B.  In addition to offices, positions and personnel that are unclassified pursuant to Section 840-5.5 of this title, the Director of the State Department of Rehabilitation Services may establish positions in the unclassified service and place employees in the positions provided the total number of unclassified positions does not exceed fifty-two (52).  This limit does not include State Department of Rehabilitation Services employees subject to Section 840-5.3 of this title.

C.  The limit on unclassified positions provided for in subsection B of this section shall not apply to the instructional and administrative personnel at the Oklahoma School for the Blind and the Oklahoma School for the Deaf as listed in Section 1419 of Title 10 of the Oklahoma Statutes.

D.  The limit on unclassified positions provided for in subsection B of this section shall not apply to the employees of the Disability Determination Division of the State Department of Rehabilitation Services.  The Director of the State Department of Rehabilitation Services may establish positions in the unclassified service in the Disability Determination Division and may place employees in those positions provided the total number of those unclassified positions does not exceed ten.

E.  Instructional and administrative personnel of the State Department of Rehabilitation Services at the Oklahoma School for the Blind and the Oklahoma School for the Deaf pursuant to Section 1419 of Title 10 of the Oklahoma Statutes shall be considered unclassified state employees solely for the purpose of entering and maintaining employment data in the state Personnel Management Information System established pursuant to Section 840-2.13 of this title, unless otherwise provided by law.

Added by Laws 1994, c. 242, § 14.  Amended by Laws 1995, c. 106, § 1, eff. July 1, 1995; Laws 1995, c. 269, § 4, eff. July 1, 1995; Laws 1996, c. 327, § 3, eff. Nov. 1, 1996; Laws 1998, c. 388, § 6, eff. July 1, 1998; Laws 2001, c. 381, § 15, eff. July 1, 2001; Laws 2003, c. 93, § 5, eff. July 1, 2003.

§74-840-5.13.  Department of Environmental Quality.

A.  The Department of Environmental Quality shall be under the Merit System.  Except as otherwise provided in subsection B of this section, all offices, positions and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration and rules promulgated hereunder.  This section shall supersede and repeal any and all executive orders issued pursuant to this act to place the agency or its predecessors under the Merit System.

B.  In addition to offices, positions and personnel that are unclassified pursuant to Section 840-5.5 of this title, the following offices, positions and personnel shall be in the unclassified service:

1.  Division Directors;

2.  General Counsel;

3.  Attorneys;

4.  Director of Public Information and Education;

5.  Customer Service Specialists;

6.  Senior Coordinator of Rural Solid Waste Systems Development;

7.  Director of Support Services; and

8.  Director of the Office of Waste Planning and Systems Development.

Added by Laws 1994, c. 242, § 15.  Amended by Laws 1996, c. 327, § 4, eff. Nov. 1, 1996.

§74-840-5.14.  Repealed by Laws 1996, c. 327, § 5, eff. Nov. 1, 1996.

§74-840-5.15.  Office of Juvenile Affairs.

A.  The Office of Juvenile Affairs shall be under the Merit System.  Except as otherwise provided in subsection B of this section, all offices, positions and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration and rules promulgated pursuant thereto.  This section shall supersede and repeal any and all executive orders issued pursuant to the Oklahoma Personnel Act to place the agency or its predecessors under the Merit System.

B.  In addition to offices, positions and personnel that are unclassified pursuant to Section 840-5.5 of this title, the Office of Juvenile Affairs may place a maximum of thirty-eight (38) employees in the unclassified service.

Added by Laws 1995, c. 352, § 196, eff. July 1, 1995.  Amended by Laws 2005, c. 409, § 3, eff. Sept. 1, 2005.

§74-840-5.16.  State Work Incentive Program.

A.  There is hereby created the State Work Incentive Program aimed at employing participants in the Temporary Assistance for Needy Families Program in Oklahoma and vocational rehabilitation clients of the Department of Rehabilitation Services in the state service.  The program shall focus on placement of persons in entry-level positions.  The Department of Human Services and the Department of Rehabilitation Services shall notify agencies in all branches of state government of this program and shall certify to appointing authorities and the Administrator of the Office of Personnel Management that a person is a participant in the Temporary Assistance for Needy Families Program or is a vocational rehabilitation client of the Department of Rehabilitation Services before the person is eligible to be employed under the State Work Incentive Program by a state agency.  Agencies shall cooperate with the Department of Human Services and the Department of Rehabilitation Services in seeking to provide employment opportunities to persons who are participants in the Temporary Assistance for Needy Families Program or who are vocational rehabilitation clients of the Department of Rehabilitation Services.  The Department of Human Services, the Department of Rehabilitation Services and the Office of Personnel Management shall coordinate with agencies to facilitate the transition of participants in the Temporary Assistance for Needy Families Program and vocational rehabilitation clients of the Department of Rehabilitation Services into the State Work Incentive Program.

B.  Agencies employing eligible persons in the State Work Incentive Program shall employ them in unclassified status for up to two (2) years in full-time or part-time capacity.  State Work Incentive Program positions shall not be included within any limitation on full-time-equivalent employee positions for any agency.  The service of participants shall be rated pursuant to Section 840-4.17 of this title.

C.  Employees hired under the State Work Incentive Program are eligible for leave benefits and other benefits available to state employees, subject to other eligibility requirements, and may be reassigned or promoted while they are participating in the program.

D.  Employees hired under the State Work Incentive Program shall be eligible for conversion to permanent classified status after two (2) years of continuous participation in the program.  Such employee shall be exempt from probationary hiring procedures including, but not limited to, placement on hiring lists and certification from registers, provided the employee:

1.  Has had satisfactory performance as evidenced by service ratings conducted pursuant to Section 840-4.17 of this title;

2.  Possesses the minimum requirements specified for an applicable job; and

3.  Passes any entrance examination required for the applicable job by the Office of Personnel Management, or a person with severe disabilities and is eligible to be hired pursuant to Section 840-4.12 of this title.

The Administrator of the Office of Personnel Management shall promulgate such rules as are necessary for the implementation of the State Work Incentive Program.

Added by Laws 1997, c. 286, § 6, eff. July 1, 1997.  Amended by Laws 1999, c. 410, § 19, eff. Nov. 1, 1999; Laws 2000, c. 155, § 1, eff. Nov. 1, 2000.

§74-840-5.18.  Oklahoma Public Employees Retirement System.

A.  All offices, positions and personnel of the Oklahoma Public Employees Retirement System shall be classified and subject to the provisions of the Merit System of Personnel Administration as provided in the Oklahoma Personnel Act, Section 840.1 et seq. of this title.  This section shall supersede and repeal any and all executive orders issued pursuant to the Oklahoma Personnel Act to place the agency under the Merit System.

B.  In addition to offices, positions, and personnel that are unclassified pursuant to Section 840-5.5 of this title, the following positions and personnel shall be in the unclassified service:

1.  The Chief Investment Officer;

2.  One Administrative Assistant;

3.  Two positions associated with the Severance Program;

4.  One additional position; and

5.  Four professional-level data processing positions.

Added by Laws 1997, c. 412, § 1, eff. July 1, 1997.  Amended by Laws 1998, c. 388, § 8, eff. July 1, 1998.

§74-840-5.19.  Ethics Commission.

A.  The Ethics Commission shall be under the Merit System.  Except as provided in subsection B of this section, all positions and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration as provided in the Oklahoma Personnel Act.  This section shall supersede and repeal any and all executive orders issued pursuant to the Oklahoma Personnel Act to place the agency under the Merit System.

B.  In addition to positions and personnel that are unclassified pursuant to Section 840-5.5 of Title 74 of the Oklahoma Statutes, the following offices, positions, and personnel of the Ethics Commission shall be in the unclassified service:  One investigator.

Added by Laws 1998, c. 285, § 2, emerg. eff. May 27, 1998.

§74-840-5.20.  State and Education Employees Group Insurance Board.

A.  The State and Education Employees Group Insurance Board shall be under the Merit System.  Except as provided in subsection B of this section, all positions and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration as provided in the Oklahoma Personnel Act.  This section shall supersede and repeal any and all executive orders issued pursuant to the Oklahoma Personnel Act to place the agency under the Merit System.

B.  In addition to positions and personnel that are unclassified pursuant to Section 840-5.5 of Title 74 of the Oklahoma Statutes, the following offices, positions, and personnel of the State and Education Employees Group Insurance Board shall be in the unclassified service:

1.  A director of internal audit;

2.  Two deputy administrators;

3.  Seven assistant administrators;

4.  One executive secretarial position to the Board;

5.  An administrative support officer; and

6.  Three professional-level data processing positions.

Added by Laws 1998, c. 285, § 3, emerg. eff. May 27, 1998.  Amended by Laws 1999, c. 375, § 2, eff. July 1, 1999; Laws 2001, c. 195, § 1, emerg. eff. May 7, 2001.

§74-840-5.21.  Oklahoma Transportation Authority.

A.  All offices, positions, and personnel of the Oklahoma Transportation Authority shall be classified and subject to the provisions of the Merit System of Personnel Administration as provided in the Oklahoma Personnel Act.  This section shall supersede and repeal any and all Executive Orders issued pursuant to the Oklahoma Personnel Act to place the Authority under the Merit System.

B.  In addition to offices, positions, and personnel that are unclassified pursuant to Section 840-5.5 of this title, the following positions and personnel shall be in the unclassified service:

1.  Information Technology Analysts;

2.  Process Integration Specialists;

3.  Project Managers;

4.  System Integration Specialists; and

5.  One Administrative Assistant.

Added by Laws 1998, c. 388, § 9, eff. July 1, 1998.  Amended by Laws 2000, c. 336, § 10, eff. July 1, 2000.

§74840-5.22.  Certain employees to become classified and subject to Merit System  Examination.

All offices, positions, and personnel of the Oklahoma Indian Affairs Commission shall be in the unclassified service.  All future appointees to positions in the Oklahoma Indian Affairs Commission shall be in the unclassified service.

Added by Laws 1982, c. 234, § 3, emerg. eff. May 4, 1982.  Amended by Laws 1998, c. 388, § 10, eff. July 1, 1998.  Renumbered from § 1204 of this title by Laws 1998, c. 388, § 13, eff. July 1, 1998.

§74-840-5.23.  Oklahoma Motor Vehicle Commission - Unclassified service.

All offices, positions, and personnel of the Oklahoma Motor Vehicle Commission shall be in the unclassified service.  All future appointees to positions in the Oklahoma Motor Vehicle Commission shall be in the unclassified service.

Added by Laws 2001, c. 304, § 2, emerg. eff. May 31, 2001.

§74-840-5.24.  State Election Board - Merit system.

Notwithstanding any provision of law to the contrary, the State Election Board shall be under the Merit System of Personnel Administration.  Except for the Secretary of the State Election Board, all offices, positions, and personnel shall be classified and subject to the provisions of the Merit System of Personnel Administration and rules promulgated hereunder.  Salaries and job family allocations shall be determined in accordance with Section 840-4.2 of Title 74 of the Oklahoma Statutes.  This section shall supersede and repeal any and all executive orders issued pursuant to this act to place the agency or its predecessors under the Merit System.

Added by Laws 2001, c. 381, § 16, eff. July 1, 2001.

NOTE:  Editorially renumbered from § 840-5.23 of this title to avoid duplication in numbering.

§74-840.5a.  Renumbered as § 840-1.5 of this title by Laws 1994, c. 242, § 54.

§74-840.5b.  Renumbered as § 840-1.20 of this title by Laws 1994, c. 242, § 54.

§74-840.5c.  Renumbered as § 840-2.13 of this title by Laws 1994, c. 242, § 54.

§74-840.5d.  Renumbered as § 840-2.7 of this title by Laws 1994, c. 242, § 54.

§74-840.6.  Renumbered as § 840-1.6 of this title by Laws 1994, c. 242, § 54.

§74-840-6.1.  Alternative Dispute Resolution Program.

A.  The Oklahoma Merit Protection Commission shall establish and maintain a mandatory Alternative Dispute Resolution Program and shall adopt and promulgate such rules as may be necessary for the implementation and management of the program.

B.  A purpose of the Alternative Dispute Resolution Program is to provide an economical means and access to effective alternative dispute resolution services to all state agencies and employees.

C.  The Oklahoma Merit Protection Commission may require employees and agencies to utilize the Alternative Dispute Resolution Program to resolve disputes brought before the Commission pursuant to Sections 841.13 and 841.15 of Title 74 of the Oklahoma Statutes.

D.  Alternative dispute resolution programs established and utilized by the Commission are not subject to Article II of the Administrative Procedures Act.  The decision in such cases may be appealed by any party to the Oklahoma Merit Protection Commission and thereafter to district court.

Added by Laws 1992, c. 367, § 7, eff. July 1, 1992.  Amended by Laws 1994, c. 242, § 36.  Renumbered from § 841.13C of this title by Laws 1994, c. 242, § 54.

§74-840-6.2.  Grievance procedure.

A.  The Oklahoma Merit Protection Commission shall establish standard internal agency grievance resolution procedures for classified state employees.  The procedures shall encourage prompt and equitable resolution of grievances at the lowest possible level within the employing agency.  Each appointing authority shall either use the procedures established by the Commission or adopt other procedures which address the specific needs of their agencies.  All procedures shall contain the minimum requirements established pursuant to this section.

B.  The appointing authority of each agency shall furnish to each classified employee a copy of the internal agency grievance resolution procedure utilized by the agency.

C.  No employee shall be disciplined or otherwise prejudiced in his or her employment for exercising his or her rights under the internal agency grievance resolution procedure.

D.  Internal agency grievances may include, but are not limited to, any direct or indirect form of discipline, reduction-in-force, work assignments, withholding of work, classification, reclassification, promotion, leave, performance appraisal, length of service, overtime, compensatory time, transfers, or any alleged violation of the Oklahoma Personnel Act or merit rules.

E.  The internal agency grievance resolution procedures established by the Oklahoma Merit Protection Commission shall contain the following minimum requirements:

1.  Procedures encouraging resolution of disputes within the agency quickly, informally and at the lowest possible level;

2.  Procedures requiring prompt resolution of the internal agency grievance within established time periods; and

3.  Procedures guaranteeing the employee the right to be represented by a person of his own choosing at each step of the procedure, except the initial informal discussion with his immediate supervisor.

F.  The Oklahoma Merit Protection Commission shall promulgate rules as necessary to implement the provisions of subsections A through I of this section to establish internal agency grievance resolution procedures, provided that such rules previously promulgated by the Administrator of the Office of Personnel Management shall be transferred to the Oklahoma Merit Protection Commission and shall remain in effect until duly modified by the Commission.

G.  The appointing authority of each classified agency shall designate employees of the agency to receive and process internal agency grievances.  Within six (6) months after designation to serve in this capacity, these employees shall complete the training programs established by the Commission.  Upon successful completion, such employees shall be certified to perform the duties associated with receiving and processing internal agency grievances.

H.  The appointing authority of each classified agency shall ensure that employees designated to receive and process internal agency grievances are scheduled to attend and notified of the required training and shall make time available for employees to complete the training.

I.  Each agency shall maintain records of each grievance filed as well as summary information about the number, nature and outcome of all grievances filed.  Agencies shall keep records of grievances separate and apart from other individual employee personnel files.  Agencies shall annually report grievance information and related statistical data to the Oklahoma Merit Protection Commission pursuant to rules adopted by the Commission.  An employee or former employee shall have a right of access to the grievance record of grievances he or she filed after the grievance procedure has been completed.

J.  Employees may only appeal a reduction-in-force action to the Oklahoma Merit Protection Commission on the basis of procedural errors in the application of the reduction-in-force plan of the employing agency, board, or commission.

Added by Laws 1982, c. 338, § 30, eff. July 1, 1982.  Amended by Laws 1983, c. 274, § 6, operative July 1, 1983; Laws 1986, c. 158, § 15, operative July 1, 1986; Laws 1989, c. 353, § 10, emerg. eff. June 3, 1989; Laws 1992, c. 367, § 17, eff. July 1, 1992; Laws 1994, c. 242, § 33.  Renumbered from § 841.9 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1998, c. 364, § 33, emerg. eff. June 8, 1998.

NOTE:  Laws 1986, c. 84, § 5 repealed by Laws 1989, c. 353, § 14, emerg. eff. June 3, 1989.

§74-840-6.3.  Progressive discipline.

A.  Each appointing authority shall establish written policies and procedures for progressive discipline of employees according to the rules established by the Oklahoma Merit Protection Commission.

B.  Progressive discipline is a system designed to ensure not only the consistency, impartiality and predictability of discipline, but also the flexibility to vary penalties if justified by aggravating or mitigating conditions.  Typically, penalties range from verbal warning to discharge, with intermediate levels of a written warning, suspension or demotion.  Absent mitigating circumstances, repetition of an offense is accompanied by a generally automatic progression to the next higher level of discipline.

C.  Each supervisor shall be responsible for applying discipline when necessary that is progressive in nature, appropriate for the offense, and equitable.  Each supervisor shall consider aggravating or mitigating circumstances when determining the proper disciplinary action.  Each supervisor shall use prompt, positive action to avoid more serious disciplinary actions.  The Oklahoma Merit Protection Commission shall promulgate rules to establish the requirements and guidelines for discipline.

D.  The rules shall prohibit supervisors from considering incidents that occurred longer than four (4) years prior to an offense in order to move to a higher level of discipline.  The prohibition shall not apply to incidents involving the following types of conduct:

1.  Criminal activity;

2.  Sexual misconduct and/or harassment;

3.  Racially discriminatory behavior and/or harassment;

4.  Threats or acts of violence against employees in the workplace; and

5.  Drug and/or alcohol use or abuse on the job.

Added by Laws 1994, c. 242, § 34.  Amended by Laws 2003, c. 7, § 1, emerg. eff. March 31, 2003.

§74-840-6.4.  Pretermination hearing - Violation of procedures - Penalties.

A.  A pretermination hearing shall be held before the appointing authority or its designee for any permanent classified state employee, as defined in Section 840.3 of this title, before such employee shall be terminated from state service unless the termination is part of a reduction-in-force as provided in Section 841.14 of this title.

B.  The procedures for a pretermination hearing shall be:

1.  Notice of a pretermination hearing shall be served by actual delivery or by certified or registered mail service at least seven (7) calendar days prior to the scheduled pretermination hearing;

2.  Said notice of the pretermination hearing shall state all grounds for termination and shall include a general summary of evidence or physical evidence to support each of the stated grounds for termination;

3.  The appointing authority shall file in the employee's official personnel file at least seventy-two (72) hours before each pretermination hearing, a certificate to be included in the record stating what disciplinary actions have been taken to comply with progressive disciplines prior to the pretermination hearing and proposed termination and further certifying that all mandatory progressive discipline actions as required by statute or rule have been taken before pretermination hearing; provided, said certificate shall not be required where grounds for proposed termination are for commission of a criminal offense and/or acts involving moral turpitude;

4.  The employee shall be advised of his or her rights of representation by legal counsel or a representative of choice;

5.  Any pretermination hearing shall be recorded in its entirety by an audible electronic tape recording, and a copy of the tape shall be provided to the employee at no cost if the employee appeals to the Oklahoma Merit Protection Commission;

6.  The pretermination hearing need not be a full evidentiary hearing.  Formal rules of evidence shall not apply.  The hearing shall be conducted so as to provide the appointing authority with information from which it may determine whether reasonable grounds exist to believe that the charges against the employee are true, and whether the grounds support the proposed action.

7.  Following the pretermination hearing, if recommendation for termination is made, recordings of the pretermination hearing and all evidence in support thereof, shall be reviewed for legal sufficiency by the appointing agency director or his or her designee before termination is final;

8.  Following review by said director the appointing authority shall notify the terminated employee of the final decision in the manner aforesaid within ten (10) working days after the pretermination hearing;

9.  Such notice shall state all grounds for termination;

10.  In any subsequent proceedings before the Oklahoma Merit Protection Commission or district court, no grounds for termination other than those stated in the aforementioned notices shall be considered.

C.  Any individual who willfully and knowingly violates these provisions shall be guilty of a misdemeanor and will be subject to appropriate disciplinary action which may include termination from state service.

Added by Laws 1990, c. 279, § 1, emerg. eff. May 25, 1990.  Renumbered from § 841.13B of this title by Laws 1994, c. 242, § 54.

§74-840-6.5.  Demotion, suspension or discharge of classified employee - Notice - Appeal - Hearing - Findings.

A.  It is the purpose of this section to provide a system for the prompt, fair, and equitable disposition of appeals by permanent classified employees who have been demoted, suspended, or discharged.  Further, it is the intent of this section that all decisions rendered as a result of this procedure shall be confined to the issues submitted for decision and consistent with the applicable laws and rules.

B.  If an employee in the classified service is demoted as a result of a position audit or reclassification, the agency shall provide notice of such demotion to the Office of Personnel Management, which shall review the findings of the agency prior to such demotion occurring, to ensure compliance with the law.  The Office of Personnel Management shall complete the review and respond within ten (10) business days of receipt of notice.  The provisions of this subsection shall not apply to demotions that are a result of a position audit or reclassification performed by the Office of Personnel Management.

C.  Any employee in the classified service may be discharged, suspended without pay for not to exceed sixty (60) calendar days, or demoted by the agency, department, institution, or officer by whom employed, for misconduct, insubordination, inefficiency, habitual drunkenness, inability to perform the duties of the position in which employed, willful violation of the Oklahoma Personnel Act or of the rules prescribed by the Office of Personnel Management or by the Oklahoma Merit Protection Commission, conduct unbecoming a public employee, conviction of a crime involving moral turpitude, or any other just cause.  Employees in the classified service, upon final conviction of, or pleading guilty or nolo contendere to, a felony shall be discharged if the felony is job-related pursuant to Section 24.1 of Title 51 of the Oklahoma Statutes.  Before any such action is taken against a permanent classified employee, the employing agency, department, institution or officer shall provide the employee with a written statement of the specific acts or omissions that are causes or reasons for the proposed action, an explanation of the agency's evidence, and an opportunity to present reasons why the proposed action is improper.

Within ten (10) business days after such discharge, suspension, or demotion, the appointing authority shall notify the employee by certified mail or personal service of the action taken and the specific cause for which said appointing authority has so acted.  Within twenty (20) calendar days after receiving the written notification provided for in this section, the employee may file a written request for appeal with the Oklahoma Merit Protection Commission.  The Executive Director shall determine if the jurisdictional requirements provided for in this section have been met.  If the jurisdictional requirements are not met, the Executive Director shall notify both the employee and the agency within five (5) calendar days after the receipt of a written appeal request.  Such notice shall specifically describe the requirements that were not met.  If said requirements have been met, the Executive Director shall refer the appeal request to an administrative hearing officer for a hearing on said discharge, suspension, or demotion, or refer the appeal request to the Alternative Dispute Resolution Program.

If the case is not referred to the Alternative Dispute Resolution Program, then within five (5) calendar days after receipt of said properly executed appeal request, the Executive Director shall provide said employee and the appointing authority with a written notice of (1) a prehearing conference to be held at least five (5) working days, but not more than ten (10) working days, before the date of the hearing; and (2) the appeal hearing date which shall be no later than thirty-five (35) calendar days after the receipt of the appeal request, unless continued for good cause.  Any continuances shall not exceed a combined total of sixty (60) calendar days except for good cause shown.  Both the prehearing conference and the hearing shall be conducted in accordance with the provisions of Section 840-6.7 of this title.  The notice shall be in the following form:

Notice of Hearing

Oklahoma Merit Protection Commission to __________.  You are hereby notified that pursuant to your request an appeal hearing on your (discharge), (suspension), (demotion), from the position of _________ has been set for the ________ day of _________ at ________M. at ________ in __________, a copy of said cause for your (discharge), (suspension), (demotion), being hereto attached.

Dated this _______ day of ______ City of _______ By ____________ Special Counsel of the Oklahoma Merit Protection Commission.

In appeals from demotion, suspension, or discharge, the burden of proof shall rest with the appointing authority, and decisions shall be made based on the rule of preponderance of evidence.  The employee shall be sustained or not sustained.  If the employee is not sustained in the appeal, the employee shall be discharged, or suspended without pay for not to exceed sixty (60) calendar days, or demoted.  If sustained in the appeal, in whole or in part, the presiding official may either adjudge a forfeiture of pay not in excess of sixty (60) calendar days without loss of other rights and benefits or order reinstatement of appellant to the class previously held with full rights and without loss of pay or other benefits; provided that the decision will not result in an employee working out of proper classification as determined by the Office of Personnel Management.

The findings of the presiding officials shall be final and conclusive upon all questions within their jurisdiction between the parties except as provided for in Sections 317 and 318 of Title 75 of the Oklahoma Statutes.  Upon the timely filing of a petition to rehear, reopen, or reconsider, the Oklahoma Merit Protection Commission shall schedule the matter for consideration by the Commissioners on the earliest possible date.  The Commission shall rule on petitions by a majority vote of a quorum of the Commissioners.  Based on the Commission review of the petition, the Commission shall issue a Final Petition Decision within thirty (30) days after the petition is heard.  The Final Petition Decision shall address the issues which are within the jurisdiction of the Commission raised in the petition, and the Decision shall be written in clear and concise language.  Final Petition Decisions are subject to judicial review if appealed to the district court within thirty (30) calendar days.  The State of Oklahoma or any agency of the state shall not be allowed to appeal to the district court unless the employee is continued on full pay in the same status of employment existing prior to suspension or discharge.

Added by Laws 1982, c. 338, § 34, eff. July 1, 1982.  Amended by Laws 1983, c. 52, § 1, eff. Nov. 1, 1983; Laws 1984, c. 242, § 3, operative July 1, 1984; Laws 1986, c. 84, § 6, eff. Nov. 1, 1986; Laws 1986, c. 158, § 19, operative July 1, 1986; Laws 1992, c. 367, § 6, eff. July 1, 1992.  Renumbered from § 841.13 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 17, emerg. eff. June 5, 1995; Laws 1998, c. 235, § 9, eff. July 1, 1998; Laws 2003, c. 353, § 5, emerg. eff. June 3, 2003; Laws 2005, c. 453, § 3, eff. July 1, 2005.

§74-840-6.6.  Violation of employee rights - Appeals - Investigations - Reports - Hearings - Alternative Dispute Resolution - Closing of record.

A.  Any person who believes that his or her rights under the Oklahoma Personnel Act, Section 840-1.1 et seq. of this title, have been violated may appeal to the Oklahoma Merit Protection Commission for corrective action.

B.  Excluding the procedures set forth in Section 840-6.5 of this title, the Executive Director shall conduct preliminary investigations of possible violations of the Oklahoma Personnel Act.  The Executive Director shall prepare a report of each such investigation stating the issues and findings of fact.  If it is the determination of the Executive Director that a violation of the Oklahoma Personnel Act or the Merit System of Personnel Administration Rules may have occurred, the Executive Director shall, within ten (10) calendar days after the date of the report, appoint an administrative hearing officer to hear the case or refer the case to the Alternative Dispute Resolution Program, as appropriate and provided for by law.  If the appeal is to be heard by an administrative hearing officer, the Executive Director shall notify the appellant and the appointing authority of the date, time, and place of the hearing in accordance with the provisions of Section 840-6.7 of this title.  Such hearing shall be conducted within thirty-five (35) calendar days of the date of the investigative report unless continued for good cause.  Any continuances shall not exceed a combined total of sixty (60) calendar days except for good cause shown.

The prehearing conference and hearing shall be conducted in accordance with the provisions of Section 840-6.7 of this title.  If it is determined a violation has occurred, the Commission or  presiding official shall:

1.  Direct the appointing authority to take the necessary corrective action; or

2.  Report the finding to the appropriate authorities for further action.

Corrective action shall be confined to issues submitted for decision and shall be consistent with applicable laws and rules and limited to actions specifically granted to the Oklahoma Merit Protection Commission and presiding official in the Oklahoma Personnel Act and shall not alter, reduce, or modify any existing right or authority as provided by statute or rule.

C.  The following procedures shall pertain to the closing of a hearing or Alternative Dispute Resolution Program proceeding record:

1.  When a hearing or Alternative Dispute Resolution Program proceeding is convened, the record will close at the conclusion of the hearing or Alternative Dispute Resolution Program proceeding unless otherwise specified by the presiding official;

2.  When a hearing or Alternative Dispute Resolution Program proceeding is not convened, the record will close on the date set by the presiding official as the final date for the receipt of submissions of the parties; and

3.  Once the record is closed, no additional evidence or argument shall be considered except upon a showing that new and material evidence has become available which was not readily available prior to the closing of the record.

Added by Laws 1982, c. 338, § 36, eff. July 1, 1982.  Amended by Laws 1984, c. 242, § 5, operative July 1, 1984; Laws 1986, c. 84, § 8, eff. Nov. 1, 1986; Laws 1986, c. 158, § 21, operative July 1, 1986; Laws 1990, c. 279, § 2, emerg. eff. May 25, 1990; Laws 1992, c. 367, § 8, eff. July 1, 1992.  Renumbered from § 841.15 of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 18, emerg. eff. June 5, 1995.

§74-840-6.7.  Hearing procedure.

All hearings held pursuant to the Oklahoma Personnel Act shall be conducted in accordance with the following provisions:

A.  Prehearing Conferences

1.  A prehearing conference may be held on all appeals set for hearing.

2.  The prehearing conference may be conducted by the assigned administrative hearing officer, who may take an active part in the conference.  The conference shall be informal, and shall not be open to the public.  Each party may be represented by a designated individual who has knowledge of the case.

3.  All discovery shall be completed at the prehearing conference.  Thereafter, discovery may be conducted only where authorized by the administrative hearing officer where good cause is shown.

4.  Copies of all documents or exhibits submitted to the administrative hearing officer must be submitted to the adverse party.

5.  At the prehearing conference, the parties shall be required to:

a. identify which allegations are admitted and which are denied; and

b. submit a joint statement of the facts which are agreed and the issues to be decided; and

c. submit a list of their witnesses, exhibits, and documents to be offered into evidence; and

d. confer in regard to settlement; and

e. perform any other acts which will facilitate the prehearing conference or the hearing.

6.  The administrative hearing officer shall:

a. determine the facts to which the parties agree and the issues to be decided; and

b. hear all pending motions; and

c. consider any other matters which will aid in the fair and prompt disposition of the appeal, including the possibility of settlement; and

d. prepare a prehearing conference order which shall record the actions taken, the agreements reached, and the issues to be decided.  The order shall control the subsequent course of the hearing.

B.  Hearings

All hearings shall be open to the public, and shall only be conducted by an administrative hearing officer appointed by the Executive Director.  The hearing shall be conducted in accordance with the Administrative Procedures Act of the Oklahoma Statutes, except that if any party chooses to designate a representative, the representative shall not be required to be an attorney.  All administrative hearing officers shall serve at the pleasure of the Executive Director for such compensation as may be provided.

Each party shall have the right to present witnesses in his behalf and evidence to support his position.

The appointing authority concerned, or a designee, shall appear in person and shall present the position of the agency in the personnel action.  The administrative hearing officers shall rule upon the questions of admissibility of evidence, competency of witnesses, and any other question of law upon which they have jurisdiction as provided in the Oklahoma Personnel Act and the rules promulgated thereunder.

Within ten (10) calendar days after said hearing, the administrative hearing officer shall prepare findings of fact and conclusions of law.  The Executive Director shall notify the appellant and the appointing authority of the decision of the administrative hearing officer by certified mail within five (5) calendar days of the receipt of the decision of the administrative hearing officer.

The findings of the administrative hearing officer shall be final regarding all questions of law within their jurisdiction except as provided in the Administrative Procedures Act.  After exhausting all remedies under the Administrative Procedures Act, either party to an appeal of demotion, suspension, or discharge may appeal to district court within thirty (30) calendar days.

Added by Laws 1984, c. 242, § 4, operative July 1, 1984.  Amended by Laws 1986, c. 158, § 20, operative July 1, 1986.  Renumbered from § 841.13A of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 19, emerg. eff. June 5, 1995.

§74-840-6.8.  Attorney fees and costs - Motion - Supporting evidence - Review.

A.  The presiding officer of any hearing or Alternative Dispute Resolution Program proceeding before the Oklahoma Merit Protection Commission may require payment of reasonable attorney fees and costs to the prevailing party if the position of the nonprevailing party was without reasonable basis or was frivolous.

B.  Requests by prevailing parties for payment of attorney fees and costs shall be filed by motion with a copy served on other parties within ten (10) days of the date that the decision is issued.  A responsive pleading may be filed within ten (10) days of the date the motion is filed with the Oklahoma Merit Protection Commission.  The motion shall be filed at the office of the Oklahoma Merit Protection Commission to the attention of the presiding officer and the ruling on the motion shall be made in an addendum decision.

C.  The motion for fees and costs shall state why the prevailing party believes he or she is entitled to an award under this statute and shall be supported by evidence substantiating the amount of the request.  Such evidence shall include the following:

1.  Accurate and current time records;

2.  A copy of the terms of any fee agreement between the party and the attorney;

3.  The attorney's customary billing rate for similar work, provided the attorney has a billing practice to report; and

4.  Evidence of the prevailing community rate sufficient to establish a market value for the services rendered.

D.  If the Oklahoma Merit Protection Commission determines that the appeal is frivolous, any party may be assessed attorney fees and costs of the action.

E.  A petition for judicial review by the Oklahoma Merit Protection Commission of the addendum decision shall be filed in accordance with Article II of the Administrative Procedures Act, within ten (10) days of the issue date of said decision.

Added by Laws 1990, c. 279, § 3, emerg. eff. May 25, 1990.  Renumbered from § 841.15A of this title by Laws 1994, c. 242, § 54.  Amended by Laws 1995, c. 310, § 20, emerg. eff. June 5, 1995.

§74-840-6.9.  Administrative fines - Forfeiture of position.

A.  The Oklahoma Merit Protection Commission or the Administrator of the Office of Personnel Management may levy an administrative fine not to exceed Five Thousand Dollars ($5,000.00) against any person, whether subject to the provisions of the merit system or in unclassified service, who after proper notice fails or refuses, within a reasonable period of time, to implement a written order of the Oklahoma Merit Protection Commission or the Administrator of the Office of Personnel Management.  Such fine shall be assessed against the person who violates the order and shall not be paid by any monies of the employing entity in which the person is employed or serves.

B.  Any person against whom an administrative fine is levied who continues the violation for an unreasonable period of time, as determined by the Oklahoma Merit Protection Commission or Administrator of the Office of Personnel Management, shall forfeit his or her position and shall be ineligible for appointment to or employment in state government for a period of five (5) years.

C.  Any fines collected pursuant to this section shall be deposited to the revolving fund of the respective entity which levies the fine.

Added by Laws 1982, c. 338, § 44, eff. July 1, 1982.  Amended by Laws 1986, c. 84, § 12, eff. Nov. 1, 1986; Laws 1986, c. 158, § 24, operative July 1, 1986; Laws 1994, c. 242, § 40.  Renumbered from § 841.23 of this title by Laws 1994, c. 242, § 54.

§74-840.7.  Renumbered as § 840-5.1 of this title by Laws 1994, c. 242, § 54.

§74-840-7.1.  Leasing of state employees by Indian tribe or nation.

A.  A state agency may enter into a contract with any federally recognized tribe or Indian Nation for the purpose of leasing one or more of its employees as follows:

1.  The Indian Tribe or Nation has purchased real property from the state; and

2.  The employee or employees were employed by the agency at the site of the purchased real property.

B.  The Indian Tribe or Nation shall pay to the agency in a manner specified in the contract an amount equal to the salary, employer retirement contributions and flexible benefit allowance attributed to such leased employee or employees and any other expenses as agreed by the parties in the contract.

C.  Leased employees pursuant to this section shall not lose any rights or benefits of being a state employee and shall retain their classification status.

Added by Laws 2004, c. 133, § 1, emerg. eff. April 20, 2004.

§74-840.7a.  Renumbered as § 840-2.20 of this title by Laws 1994, c. 242, § 54.

§74-840.7b.  Renumbered as § 840-2.21 of this title by Laws 1994, c. 242, § 54.

§74-840.7c.  Renumbered as § 840-2.22 of this title by Laws 1994, c. 242, § 54.

§74-840.7d.  Renumbered as § 840-2.23 of this title by Laws 1994, c. 242, § 54.

§74-840.7e.  Renumbered as § 840-2.24 of this title by Laws 1994, c. 242, § 54.

§74-840.8.  Renumbered as § 840-5.5 of Title 74 by Laws 1994, c. 242, § 54.

§74-840.8a.  Renumbered as § 840-5.2 of this title by Laws 1994, c. 242, § 54.

§74-840.8b.  Renumbered as § 840-5.6 of this title by Laws 1994, c. 242, § 54.

§74-840.8c.  Renumbered as § 840-5.4 of this title by Laws 1994, c. 242, § 54.

§74-840.9.  Renumbered as § 840-5.3 of this title by Laws 1994, c. 242, § 54.

§74-840.10.  Repealed by Laws 1994, c. 242, § 56.

§74-840.11.  Renumbered as § 840-1.16 of this title by Laws 1994, c. 242, § 54.

§74-840.12.  Renumbered as § 840-1.17 of this title by Laws 1994, c. 242, § 54.

§74-840.13.  Renumbered as § 840-4.2 of this title by Laws 1994, c. 242, § 54.

§74-840.14.  Renumbered as § 840-1.18 of this title by Laws 1994, c. 242, § 54.

§74-840.14a.  Renumbered as § 500.16A of this title by Laws 1994, c. 242, § 53.

§74-840.15.  Renumbered as § 840-4.14 of this title by Laws 1994, c. 242, § 54.

§74-840.16.  Renumbered as § 840-4.6 of this title by Laws 1994, c. 242, § 54.

§74-840.16a.  Renumbered as § 840-4.7 of this title by Laws 1994, c. 242, § 54.

§74-840.16b.  Renumbered as § 840-2.17 of this title by Laws 1994, c. 242, § 54.

§74-840.16c.  Renumbered as § 840-4.8 of this title by Laws 1994, c. 242, § 54.

§74-840.16d.  Renumbered as § 840-2.15 of this title by Laws 1994, c. 242, § 54.

§74-840.17.  Renumbered as § 840-4.9 of this title by Laws 1994, c. 242, § 54.

§74-840.18.  Renumbered as § 840-4.10 of this title by Laws 1994, c. 242, § 54.

§74-840.19.  Renumbered as § 840-4.12 of this title by Laws 1994, c. 242, § 54.

§74-840.19a.  Renumbered as § 840-4.4 of this title by Laws 1994, c. 242, § 54.

§74-840.20.  Renumbered as § 840-4.13 of this title by Laws 1994, c. 242, § 54.

§74-840.21.  Renumbered as § 840-4.11 of this title by Laws 1994, c. 242, § 54.

§74-840.22.  Renumbered as § 840-4.3 of this title by Laws 1994, c. 242, § 54.

§74-840.22A.  Renumbered as § 840-2.14 of this title by Laws 1994, c. 242, § 54.

§74-840.23.  Renumbered as § 840-2.19 of this title by Laws 1994, c. 242, § 54.

§74-840.25.  Renumbered as § 840-2.1 of this title by Laws 1994, c. 242, § 54.

§74-840.25a.  Renumbered as § 840-2.2 of this title by Laws 1994, c. 242, § 54.

§74-840.25b.  Renumbered as § 840-2.3 of this title by Laws 1994, c. 242, § 54.

§74-840.26.  Renumbered as § 840-3.9 of this title by Laws 1994, c. 242, § 54.

§74-840.27.  Renumbered as § 840-3.10 of this title by Laws 1994, c. 242, § 54.

§74-840.28.  Renumbered as § 840-3.11 of this title by Laws 1994, c. 242, § 54.

§74-840.29.  Renumbered as § 840-3.12 of this title by Laws 1994, c. 242, § 54.

§74-840.30.  Renumbered as § 840-3.13 of this title by Laws 1994, c. 242, § 54.

§74-840.31.  Renumbered as § 840-3.14 of this title by Laws 1994, c. 242, § 54.

§74-840.32.  Renumbered as § 840-2.8 of this title by Laws 1994, c. 242, § 54.

§74-840.35.  Renumbered as § 840-3.1 of this title by Laws 1994, c. 242, § 54.

§74-840.40.  Renumbered as § 840-3.2 of this title by Laws 1994, c. 242, § 54.

§74-840.41.  Renumbered as § 840-3.3 of this title by Laws 1994, c. 242, § 54.

§74-840.42.  Renumbered as § 840-3.4 of this title by Laws 1994, c. 242, § 54.

§74-840.43.  Renumbered as § 840-3.5 of this title by Laws 1994, c. 242, § 54.

§74-840.44.  Renumbered as § 840-3.6 of this title by Laws 1994, c. 242, § 54.

§74-840.45.  Renumbered as § 840-3.7 of this title by Laws 1994, c. 242, § 54.

§74-841.1.  Renumbered as § 840-1.7 of this title by Laws 1994, c. 242, § 54.

§74-841.2.  Renumbered as § 840-1.8 of this title by Laws 1994, c. 242, § 54.

§74-841.3.  Renumbered as § 840-1.9 of this title by Laws 1994, c. 242, § 54.

§74-841.4.  Renumbered as § 4241 of this title by Laws 1986, c. 255, § 34, emerg. eff. June 13, 1986.

§74-841.5.  Renumbered as § 4243 of this title by Laws 1986, c. 255, § 34, emerg. eff. June 13, 1986.

§74-841.6.  Repealed by Laws 1994, c. 242, § 56.

§74-841.6A.  Renumbered as § 840-2.11 of this title by Laws 1994, c. 242, § 54.

§74-841.7.  Renumbered as § 840-2.5 of this title by Laws 1994, c. 242, § 54.

§74-841.8.  Renumbered as § 840-2.6 of this title by Laws 1994, c. 242, § 54.

§74-841.9.  Renumbered as § 840-6.2 of this title by Laws 1994, c. 242, § 54.

§74-841.10.  Renumbered as § 840-2.9 of this title by Laws 1994, c. 242, § 54.

§74-841.11.  Renumbered as § 840-1.14 of this title by Laws 1994, c. 242, § 54.

§74-841.12.  Renumbered as § 840-1.19 of this title by Laws 1994, c. 242, § 54.

§74-841.13.  Renumbered as § 840-6.5 of this title by Laws 1994, c. 242, § 54.

§74-841.13A.  Renumbered as § 840-6.7 of this title by Laws 1994, c. 242, § 54.

§74-841.13B.  Renumbered as § 840-6.4 of this title by Laws 1994, c. 242, § 54.

§74-841.13C.  Renumbered as § 840-6.1 of this title by Laws 1994, c. 242, § 54.

§74-841.14.  Renumbered as § 840-4.18 of this title by Laws 1994, c. 242, § 54.

§74-841.15.  Renumbered as § 840-6.6 of this title by Laws 1994, c. 242, § 54.

§74-841.15A.  Renumbered as § 840-6.8 of this title by Laws 1994, c. 242, § 54.

§74-841.16.  Renumbered as § 840-4.17 of this title by Laws 1994, c. 242, § 54.

§74-841.17.  Renumbered as § 4242 by Laws 1986, c. 255, § 34, emerg. eff. June 13, 1986.

§74-841.18.  Renumbered as § 840-1.10 of this title by Laws 1994, c. 242, § 54.

§74-841.19.  Renumbered as § 840-4.15 of this title by Laws 1994, c. 242, § 54.

§74-841.19a.  Renumbered as § 840-4.16 of this title by Laws 1994, c. 242, § 54.

§74-841.20.  Renumbered as § 840-2.25 of this title by Laws 1994, c. 242, § 54.

§74-841.21.  Repealed by Laws 1984, c. 242, § 7, operative July 1, 1984.

§74-841.22.  Repealed by Laws 1991, c. 239, § 6, eff. July 1, 1991.

§74-841.23.  Renumbered as § 840-6.9 of this title by Laws 1994, c. 242, § 54.

§74-841.24.  Renumbered as § 840-1.21 of this title by Laws 1994, c. 242, § 54.

§74-841.30.  Oklahoma Compensation and Unclassified Positions Review Board.

A.  There is hereby created the Oklahoma Compensation and Unclassified Positions Review Board.

B.  The Oklahoma Compensation and Unclassified Positions Review Board shall be composed of the following seven (7) members:

1.  Two members of the Oklahoma Senate appointed by the President Pro Tempore of the Senate;

2.  Two members of the Oklahoma House of Representatives appointed by the Speaker of the House of Representatives;

3.  Two members appointed by the Governor, one to be from a state agency with five hundred (500) or more employees and the other to be from a state agency with fewer than five hundred (500) employees; and

4.  The chief executive officer of the largest organization in the state that represents state employees, or a designee.

C.  After the initial appointments, the members shall serve four-year terms, and the appointing authorities may fill any vacancies as they occur.  The term of the members appointed by the President Pro Tempore of the Senate shall expire July 1, 2004.  The term of the members appointed by the Speaker of the House of Representatives shall expire July 1, 2005.  The term of the members appointed by the Governor shall expire July 1, 2006.  The term of the members appointed by the largest organization in the state that represents state employees shall expire July 1, 2007.

D.  The Board shall elect one of its members as chair.

E.  The Board shall review the study of the Office of Personnel Management, as required by paragraph 20 of Section 840-1.6A of this title, and make recommendations which may include compensation adjustments, pay band adjustments, targeted salary increases, and other recommendations related to turnover, fringe benefits and other compensation issues concerning state employees, but excluding retirement issues.  The recommendations shall be made to the President Pro Tempore of the Senate, Speaker of the House of Representatives, and Governor on or before February 1 of the year following each biennial meeting.

F.  The Board shall meet in December 2005 and in December of every odd-numbered year thereafter to consider compensation recommendations.  The Board shall meet every year to consider unclassified positions recommendations.  Any additional meetings shall be at the call of the chair.

G.  The Board shall review and make recommendations concerning the unclassified service as follows:

1.  State agencies subject to the provisions of the Merit System of Personnel Administration shall submit requests to the Administrator of the Office of Personnel Management for authorizations for unclassified positions and employees that are in addition to unclassified positions already authorized by law.  The Administrator shall forward the requests to the Board.  The Administrator shall review, analyze, and provide recommendations to the Board regarding the requests.  The Board shall meet in December of each year and shall review any agency proposals to add unclassified positions to the state service.  A representative from each appointing authority of a state agency that desires to add unclassified positions shall attend the meeting and present the proposal of the agency.  The Board shall also review positions currently in the unclassified service.  The Administrator of the Office of Personnel Management shall review and analyze such positions and provide recommendations to the Board.  The Board may request the presence of state agency representatives to provide information concerning such positions.

2.  On or before February 1 of each year, the Board shall present any recommendations to the Speaker of the Oklahoma House of Representatives and the President Pro Tempore of the State Senate concerning current positions in the unclassified service and agency proposals to add unclassified positions.

3.  The Board may also meet during the regular session of the Legislature to consider any additional requests to add unclassified positions to the state service submitted pursuant to this subsection.

H.  A majority of the members of the Board shall constitute a quorum for the transaction of business.  Each Board member shall be entitled to one vote on the Board.  Any official action of the Board must have a majority of the votes of the members present.

I.  Each member of the Board shall serve without compensation except that each legislative member of the Board shall receive reimbursement for travel expenses in accordance with Section 456 of this title and each nonlegislative member of the Board shall receive reimbursement for travel expenses in accordance with the State Travel Reimbursement Act by the Office of Personnel Management.

J.  Staffing for the Board shall be composed of the Office of Personnel Management, Oklahoma Senate staff, and Oklahoma House of Representatives staff as needed.

Added by Laws 2003, c. 453, § 4, eff. July 1, 2003.  Amended by Laws 2004, c. 110, § 1, eff. Nov. 1, 2004; Laws 2005, c. 453, § 4, eff. July 1, 2005.

§74-842.  Access of product vendors to employees.

A.  Effective July 1, 2003, state agencies shall allow product vendors that have an authorized payroll deduction for state employees pursuant to Section 7.10 of Title 62 of the Oklahoma Statutes reasonable access to state employees in order to provide information concerning their products.  In cooperation with the individual state agencies, vendors shall be allowed, at a minimum, annual access to state employees for such purpose.  This access shall only occur during scheduled breaks or during periods immediately before or after normal work hours and must not disrupt or interfere with the business of the agency.  For those state government facilities that operate twenty-four (24) hours a day, vendors shall be allowed access for each shift.  State funds shall not be utilized to accommodate this access.

B.  The Administrator of the Office of Personnel Management may promulgate rules necessary to implement this section.

Added by Laws 2002, c. 347, § 17, emerg. eff. May 30, 2002.  Amended by Laws 2003, c. 6, § 1, emerg. eff. March 31, 2003.

§74-843.  Short title.

This act shall be known and may be cited as the "State Employee Advocacy Rights Act".

Added by Laws 2004, c. 344, § 1, eff. Nov. 1, 2004.

§74-844.  Definition.

As used in the State Employee Advocacy Rights Act, "employee organization" means any organization which has payroll deduction privileges as defined in paragraph 5 of subsection B of Section 7.10 of Title 62 of the Oklahoma Statutes.

Added by Laws 2004, c. 344, § 2, eff. Nov. 1, 2004.

§74-845.  Privileges - Rules governing distribution of employee organization materials - Ethics Commission rules.

A.  State agencies shall allow employee organizations the following privileges:

1.  Holding meetings on state property in a location that does not disrupt the operations of agency business.  Employees may attend such meetings as long as meetings are conducted before or after working hours, or during employee lunch periods; and

2.  Allowing employee organizations to provide information to state agencies to be included in new employee packets.

B.  The Administrator of the Office of Personnel Management shall promulgate rules governing the annual distribution of employee organization materials by state agencies.

C.  Nothing in the State Employee Advocacy Rights Act shall be construed to conflict with the rules of the Ethics Commission regarding the use of public facilities for political purposes.

Added by Laws 2004, c. 344, § 3, eff. Nov. 1, 2004.

§74851.  Citation.

This act shall be known and may be cited as the "Oklahoma Industrial Finance Authority Act."

Laws 1959, p. 500, § 1.  

§74852.  Purpose.

It is hereby declared to be the purpose of this Act to vitalize the constitutional amendment identified as House Joint Resolution No. 513 of the Twentyseventh Oklahoma Legislature, if, as and when the same shall be approved by the people, to aid and assist with Oklahoma's industrial development and provide additional employment and payrolls within this State.  Laws 1959, P. 500, Sec. 2.

Laws 1959, p. 500, § 2.  

§74-853.  Definitions.

The following terms whenever used or referred to in the Oklahoma Industrial Finance Authority Act shall have the following meanings, except in those instances where the context clearly indicates otherwise:

(a)  The term "Authority" shall mean the public body corporate and politic, "The Oklahoma Industrial Finance Authority" created by this act.

(b)  The term "Board" shall mean the governing body of the Authority.

(c)  The term "government" shall mean the state and federal governments, or any political subdivision, agency or instrumentality, corporate or otherwise, or either of them.

(d)  The term "industrial development agency" shall mean any Oklahoma incorporated organization, foundation, association or agency, regardless of the particular name, whether organized for profit or nonprofit, which shall have as its primary function the promotion, encouragement and development of industrial, recreational, agricultural processing and manufacturing enterprises, livestock processing and conditioning enterprises and enterprises which process mined resources in Oklahoma.

(e)  The term "Industrial Development Loan Fund" shall mean the account created by Section 860 of this title.

(f)  The term "industrial development project" shall mean any site, structure, facility or undertaking comprising or being connected with or being a part of any industrial, recreational, agricultural processing or manufacturing enterprise or enterprise which processes mined resources established or to be established by an industrial development agency in Oklahoma.

(g)  The term "municipality" shall mean any city or town in Oklahoma.

(h)  The term "machinery" shall mean moveable machinery as well as machinery which is permanently affixed.

(i)  The term "purchase money security interest" shall have the same meaning it has under Section 19103 of Title 12A of the Oklahoma Statutes.

(j)  On and after May 30, 1990, the term "recreational enterprise" shall mean amusement, cultural, historical, nature, theme, water or zoological park or museum or aquarium.

(k)  The term "responsible buyer" shall mean any person, partnership, firm, company or corporation whether organized for profit or not deemed by the Authority, after proper investigation, to be financially responsible to assume all obligations prescribed by the Authority in the acquisition of an industrial development project from an industrial development agency, and in the operation of an industrial or manufacturing enterprise therein or thereon.

(l)  The term "responsible tenant" shall mean any person, partnership, firm, company or corporation whether organized for profit or not deemed by the Authority, after proper investigation, to be financially responsible to assume all rental and all other obligations prescribed by the Authority in the leasing of an industrial development project and in the operation of an industrial or manufacturing enterprise therein or thereon or in the operation of tourism facilities in the form of amusement parks, entertainment parks, theme parks, or museums.

(m)  The words "cost of establishing an industrial development project" shall embrace any or all of the following:  The cost of construction, the cost of all lands, property, rights, easements and franchises acquired, which are deemed necessary for such construction; financing charges, interest prior to and during construction, cost of engineering and legal expense, plans, specifications, surveys, estimates of costs and other expenses necessary or incident to determining the feasibility or practicability of any industrial development project, cost of such machinery and equipment essential to placing the project in operation, not limited to such machinery and equipment of the type necessarily required to be permanently affixed to and, by agreement of the parties, become a part of the realty covered by the Authority's mortgage; provided, further, that the Authority shall make no loan secured by movable machinery and equipment separate and apart from the realty, unless such loan is secured by a security interest and a real estate mortgage on the industrial development project, together with such other expenses as may be necessary or incident to the financing and construction of the industrial development project and the placing of the same in operation.  The cost of all machinery and equipment and its installation and maintenance, except as above provided, shall not be included in the "cost of establishing an industrial development project", but shall be provided by the responsible tenant or responsible buyer.

(n)  The determination of the amount of bonds "outstanding at any one time" shall be calculated by totaling the face amount of all unretired bonds issued by the Authority less any sums irrevocably on deposit in the Bond Redemption Account.

(o)  Nothing in this act shall be construed to impair or affect the right of any recreational enterprise, as was defined by the Rules and Regulations of the Oklahoma Industrial Finance Authority prior to May 30, 1990, and whose application is on  file and pending approval by the Authority prior to May 30, 1990, to otherwise qualify for and receive any loan pursuant to the Oklahoma Industrial Finance Authority Act.

Added by Laws 1959, p. 500, § 3.  Amended by Laws 1967, c. 91, § 1, emerg. eff. April 19, 1967; Laws 1980, c. 295, § 1, emerg. eff. June 13, 1980; Laws 1986, c. 133, § 1, emerg. eff. April 17, 1986; Laws 1986, c. 276, § 16, operative July 1, 1986; Laws 1987, c. 9, § 1, emerg. eff. March 31, 1987; Laws 1988, c. 88, § 1, emerg. eff. March 30, 1988; Laws 1989, c. 350, § 4, operative July 1, 1989; Laws 1990, c. 337, § 23; Laws 2000, c. 371, § 181, eff. July 1, 2001.

§74-854.  Oklahoma Industrial Finance Authority - Membership - Public meetings - Executive sessions.

A.  There is hereby created a body corporate and politic, constituting a public corporation and governmental instrumentality of this state, to be known and identified as "The Oklahoma Industrial Finance Authority".  Said Authority shall be under the control of a Board of Directors, to be composed of seven (7) members appointed by the Governor for overlapping terms, with the advice and consent of the Senate, one of whom shall be the Director of the Oklahoma Department of Commerce, representing the state at large.  One member shall be appointed from each congressional district as the districts were configured in 1960.  At least five of the members, other than the Director of the Oklahoma Department of Commerce, shall have had at least fifteen (15) years' experience in banking, mortgage loans or financial management, and the remaining member shall have demonstrated outstanding ability in business or industry.  Members initially appointed shall continue in office for terms of from one (1) to six (6) years, respectively, from the date of their appointment and until their respective successors shall be duly appointed and qualified, the term of each appointed member to be designated by the Governor at the time of  appointment; but their successors shall each be appointed for a term of six (6) years, except that any person appointed to fill a vacancy shall serve only for the unexpired term.  Any appointed member of the Authority shall be eligible for reappointment, and no member shall be removed from office except for good cause shown.

B.  The chair and other officers of the Board shall be elected annually by the Board from its own membership.  Members of the Authority shall be compensated for their travel expenses pursuant to the State Travel Reimbursement Act.

C.  The State Treasurer shall be an ex officio, nonvoting member of said Board of Directors, and shall serve without compensation.  All other Board members, excluding the Director of the Oklahoma Department of Commerce, shall receive a stipend of Three Hundred Dollars ($300.00) for each Board meeting attended not to exceed Three Thousand Six Hundred Dollars ($3,600.00) per annum.  In addition, the actual expenses, documented by receipts, incurred by employees of the Authority for necessary travel and subsistence to attend Board meetings and to carry out the powers and duties of the Authority under Section 851 et seq. of this title shall be reimbursed to such Board member or employee.  All such stipends and expenses must be approved by the Board prior to reimbursement.  No state appropriated monies shall be used for said reimbursement.

D.  The meetings of the Board of Directors of the Authority shall be subject to the Oklahoma Open Meeting Act and the Oklahoma Open Records Act.  Any information submitted to or compiled by the Authority with respect to the marketing plans, financial statements, trade secrets or any other commercially sensitive information of persons, firms, associations, partnerships, agencies, corporations or other entities shall be confidential, except to the extent that the person or entity which provided such information or which is the subject of such information consents to disclosure. Executive sessions may be held to discuss such materials if deemed necessary by the Board of Directors.

Added by Laws 1959, p. 500, § 4.  Amended by Laws 1985, c. 178, § 73, operative July 1, 1985; Laws 1986, c. 207, § 67, operative July 1, 1986; Laws 1988, c. 88, § 2, emerg. eff. March 30, 1988; Laws 1989, c. 200, § 3, emerg. eff. May 8, 1989; Laws 2002, c. 375, § 22, eff. Nov. 5, 2002; Laws 2003, c. 229, § 8, emerg. eff. May 20, 2003.

§74855.  Powers.

The Oklahoma Industrial Finance Authority, as a public corporation and governmental instrumentality exercising public powers of the State of Oklahoma, is hereby granted and shall have and may exercise all powers necessary or appropriate to carry out and effectuate the purposes of this act, including the following powers, in addition to others herein granted:

(a) To cooperate with industrial development agencies in their efforts to promote the expansion of industrial and manufacturing activity in the state;

(b) To determine, upon proper application of industrial development agencies, whether the declared public purpose of this act has been or will be accomplished by the establishment of such industrial development projects by such industrial development agencies;

(c) To conduct examinations and investigations and to hear testimony and take proof, under oath or affirmation, at public or private hearings, on any matter material for its information and necessary to the establishment of industrial development projects hereunder or other determinations related to exercise of the Authority's lawful powers;

(d) To issue subpoenas requiring the attendance of witnesses and the production of books and papers pertinent to any hearing before such Authority, or before one or more members of the Authority appointed by it to conduct such hearing;

(e) To apply to any court having jurisdiction of the offense, to have punished for contempt any witness who refuses to obey a subpoena, or who refuses to be sworn or affirmed or to testify, or who is guilty of any contempt after summons to appear;

(f) To authorize any member or members of such Authority to conduct hearings and to administer oaths, take affidavits and subpoenas;

(g) To make, upon proper application of industrial development agencies, loans to such industrial development agencies of monies held in the Industrial Development Fund for industrial development projects in Oklahoma, and to provide for the repayment and redeposit of such allocations and loans in the manner hereinafter provided;

(h) To sue and be sued, implead and be impleaded, complain and defend in all courts;

(i) To adopt, use, and alter at will a corporate seal;

(j) To adopt bylaws for the management and regulation of its affairs; and to promulgate and issue rules and regulations governing its operations;

(k) To appoint officers, agents, and employees, and to prescribe their duties and to fix their compensation, within the limitations prescribed by laws;

(l) To make contracts of every name and nature and to execute all instruments necessary or convenient for the carrying on of its business;

(m) To contract with private legal counsel when its Board of Directors determines that special circumstances merit the services of such counsel and when approved by the Attorney General; provided, in all other circumstances, the Attorney General shall advise and represent the Authority on legal matters;

(n) Without limitation of the foregoing, to accept grants from and enter into contracts or other transactions with, any federal agency; and

(o) To take title by foreclosure to any industrial development project where such acquisition is necessary to protect any loan previously made by the Authority, and to sell, transfer and convey any such industrial development project to any responsible buyer; in the event such sale, transfer and conveyance cannot be effected with reasonable promptness, the Authority may, in order to minimize financial losses and sustain employment, lease such industrial development project to a responsible tenant or tenants; the Authority shall not lease industrial development projects except under the conditions and for the purposes cited in this section.

Amended by Laws 1986, c. 276, § 17, operative July 1, 1986; Laws 1988, c. 88, § 3, emerg. eff. March 30, 1988; Laws 1991, c. 130, § 2, emerg. eff. April 29, 1991.

§74856.  Bonds.

(a) The Oklahoma Industrial Finance Authority shall be, and is hereby, authorized to issue and sell State Industrial Finance Bonds in such amounts as shall be needed from time to time for the purposes set forth in this act, provided, however, that the total volume of such bonds shall not exceed in the aggregate Ninety Million Dollars ($90,000,000.00) outstanding at any one time.  Such bonds may be issued in one or more series, may bear such date or dates, may mature at such time or times not exceeding thirty (30) years from their date, may be in such denomination or denominations, may be in such form, either coupon or registered, may carry such registration and conversion privileges, may be executed in such manner, may be payable in such medium of payment at such place or places, may be subject to such terms of redemption with or without premium, and may bear such rate or rates of interest as may be provided by resolution or resolutions to be adopted by the Authority within such limits provided by law.  Such bonds may be sold in such manner and at such price or prices, not less than par plus accrued interest to date of delivery, as may be considered by the Authority to be advisable.  Such bonds shall have all the qualities and incidents of negotiable paper, and shall not be subject to taxation by the State of Oklahoma or by any county, municipality or political subdivision therein. All such bonds issued, or to be issued, by the Authority under the powers herein granted shall be backed by the full faith and credit of the State of Oklahoma, and there is hereby pledged to the payment of principal and interest of such bonds:  (1) The net proceeds from repayment of loans and interest received thereon; (2)  any monies available from other funds of the state not otherwise obligated; and (3)  the proceeds of any tax, other than ad valorem, to be imposed for such purpose in the event funds available for use and pledge under (1) and (2) should be insufficient.  All proceeds derived from the sale of such bonds shall be placed in an "Industrial Development Loan Fund" account in the State Treasury.

(b) The Authority may issue bonds hereunder for the purpose of refunding any obligations issued under the provisions of this act. Such bonds may either be sold or delivered in exchange for outstanding obligations.  If sold, the proceeds may be either applied to the payment of the obligations refunded or deposited in escrow for the retirement thereof.  Nothing herein contained shall be construed to authorize the refunding of any outstanding obligations which are not either maturing, callable for redemption under their terms, or voluntarily surrendered by their holders for cancellations, unless the Authority covenants that sufficient funds to pay all remaining interest and principal payments of outstanding obligations when due will be placed in escrow for such purpose in the State Treasury at the time of delivery of and payment for the new bonds issued hereunder.  All bonds issued under this section shall in all respects be authorized, issued and secured in the manner provided for other bonds issued under this act, and shall have all the attributes of such bonds.  The Authority may provide that any such refunding bonds shall have the same priority of payment and be paid from the same revenues in the manner enjoyed by the obligations refunded thereby.

(c) The Authority is authorized in its discretion to file an application with the Supreme Court of Oklahoma for the approval of any series of bonds to be issued hereunder, and exclusive original jurisdiction is hereby conferred upon the Supreme Court to hear and determine each such application.  It shall be the duty of the Court to give such applications precedence over the other business of the Court and to consider and pass upon such applications and any protests which may be filed thereto as speedily as possible.  Notice of the hearing on each application shall be given by notice published in a newspaper of general circulation in the state that on a day named the Authority will ask the Court to hear its application and approve the bonds.  Such notice shall inform all persons interested that they may file protests against the issuance of the bonds and be present at the hearing and contest the legality thereof.  Such notice shall be published one time not less than ten (10) days prior to the date named for the hearing and the hearing may be adjourned from time to time in the discretion of the Court. If the Court shall be satisfied that the bonds have been properly authorized in accordance with this act and Section 33A, Article X of the Constitution of Oklahoma, and that when issued they will constitute valid obligations in accordance with their terms, the Court shall render its written opinion approving the bonds and shall fix the time within which a petition for rehearing may be filed. The decision of the Court shall be a judicial determination of the validity of the bonds, shall be conclusive as to the State of Oklahoma, its officers, agents and instrumentalities, and thereafter the bonds so approved and the revenues pledged to their payment shall be incontestable in any court in the State of Oklahoma.

(d)  It shall be the duty of the Attorney General to examine into and pass upon the validity of all bonds issued by the Authority.  When examined and approved by the Attorney General and declared by his certificate to be a lawful and valid obligation, the bonds so issued shall be incontestable in any court in the State of Oklahoma unless suit thereon shall be brought in a court having jurisdiction of the same within thirty (30) days from the date of the approval of the Attorney General.

(e)  At the option of the Authority, and in lieu of submitting an issuance of bonds to the Attorney General which will be sold in their entirety at one time, the Authority may submit to the Attorney General a proposed issuance of bonds which it intends to sell in more than one subseries. If each subseries of the bond issuance has identical terms, conditions and attributes, other than the rate of interest and final maturity date, the Authority may ask that the Attorney General review and approve the proposed issuance and make the certificate referred to in subsection (d) of this section.  All proceedings of this issuance leading up to this submission to the Attorney General, shall be incontestable in any court in the State of Oklahoma unless suit thereon shall be brought in a court having jurisdiction of the same within thirty (30) days from the date of the approval of the Attorney General.  The separate issuance of each subseries shall also be submitted to the Attorney General for his review and approval and when declared by his certificate to be valid and lawful obligations, shall be incontestable in any court in the State of Oklahoma unless suit thereon shall be brought in a court having jurisdiction of the same within five (5) days from the date of his approval.

Amended by Laws 1987, c. 9, § 2, emerg. eff. March 31, 1987; Laws 1989, c. 200, § 4, emerg. eff. May 8, 1989.  

§74857.  Loans to industrial development agencies  Conditions.

(1) When it has been determined by the Authority, upon application of an industrial development agency and hearing thereon in the manner hereinafter provided, that the establishment of a particular industrial development project referred to in such application has accomplished or will accomplish the public purposes of this act, the Authority may contract to loan such industrial development agency an amount not in excess of sixtysix and twothirds percent (66 2/3%) of the cost or the estimated cost of such industrial development project where the loan is secured by a first mortgage on the industrial development project, or not in excess of thirtythree and onethird percent (33 1/3%) of the cost or estimated cost of such industrial development project where the loan is secured by a second mortgage on the industrial development project, as established or to be established, subject however to the following conditions:

(A) In case of industrial development projects to be established:

1.  the Authority shall first have determined that the industrial development agency holds funds which together with the commitment in paragraph 2 of this subsection constitute an amount equal to, or property of a value equal to, not less than thirtythree and onethird percent (33 1/3%) of the estimated cost of establishing the industrial development project where the Authority's loan will be secured by a first mortgage on the industrial development project, or not less than sixtysix and twothirds percent (66 2/3%) of the estimated cost of establishing the industrial development project where the Authority's loan will be secured by a second mortgage on the industrial development project, which funds or property are available for and shall be applied to the establishment of such project, and

2.  the Authority shall also have determined that the industrial development agency has obtained from other independent and responsible sources, such as banks and insurance companies or otherwise, a firm commitment for all other funds, over and above the loan of the Authority and such funds or property as the industrial development agency may hold, necessary for payment of all the estimated cost of establishing the industrial development project, and that the sum of all these funds is adequate to insure completion and operation of the plant or facility, or that the sum of all these funds, together with the machinery and equipment to be provided by the responsible tenant or responsible buyer, is adequate to insure completion and operation of the plant or facility.  Provided, however, that the participation required of the industrial development agency referred to in paragraph 1 of this subsection, may in the discretion of the Authority be reduced to the extent that funds from independent and responsible sources under firm commitment shall, together with the participation of the Authority, and the participation of the industrialdevelopment agency, if any, constitute one hundred percent (100%) of the cost of establishing an industrial development project, as defined herein.

(B) In the case of industrial development projects established without initial Authority loan participation:

1.  the Authority shall first have determined that the industrial development agency has expended funds which, together with the commitment in paragraph 2 of this subsection, constitute an amount equal to, or has applied property which, together with the commitment in paragraph 2 of this subsection, constitutes a value equal to, not less than sixtysix and twothirds percent (66 2/3%) of the cost of establishing the industrial development project where the Authority's loan will be secured by a first mortgage lien on the industrial development project, or not less than thirtythree and onethird percent (33 1/3%) where the Authority's loan will be secured by a second mortgage lien on the industrial development project, and

2.  the Authority shall also have determined that the industrial development agency obtained from other independent and responsible sources, such as banks and insurance companies or otherwise, other funds necessary for payment of all the cost of establishing the industrial development project, and that the industrial development agency participation and these funds have been adequate to insure completion and operation of the plant or facility, or that these funds, together with the machinery and equipment provided by the responsible tenant or responsible buyer, have been adequate to insure completion and operation of the plant of facility.  Provided, however, that the proceeds of any loan made by the Authority to the industrial development agency pursuant to this subsection (B) shall be used only for the establishment of additional industrial development projects in furtherance of the public purposes of this act; and provided further, that the participation required of the industrial development agency referred to in paragraph 1 of this subsection, may in the discretion of the Authority be reduced to the extent that funds from independent and responsible sources under firm commitment together with the participation of the industrial development agency, constitute sufficient funds to establish the industrial development project, as defined herein.

3.  Any such loan of the Authority shall be for such period of time and shall bear interest at such rate as shall be determined by the Authority and shall be secured by mortgage on the industrial development project for which such loan was made, such mortgage to be second and subordinate only to the mortgage securing the first lien obligation issued to secure the commitment of funds from the aforesaid independent and responsible sources and used in the financing of the industrial development project.

4.  Monies so loaned by the Authority to industrial development agencies shall be withdrawn from the Industrial Development Fund and paid over to the industrial development agency in such manner as shall be provided and prescribed by the rules and regulations of the Authority.

5.  All payments of interest on said loans and the principal thereof shall be deposited by the Authority without delay in the Industrial Development Fund.

6.  Loans by the Authority to an industrial development agency for an industrial development project shall be made only in the manner and to the extent as in this section provided, except, however, in those instances wherein an agency of the federal government participates in the financing of an industrial development project by loan or grant, or otherwise, of federal funds.  When any federal agency does so participate, the Authority may adjust the required ratios of financial participation by the industrial development agency, the source of independent funds, and the Authority; in such manner as to insure the maximum benefit available to the industrial development agency, the Authority, or both, by the participation of the federal agency; provided, however, that no such adjustment of such ratios shall cause the Authority to grant a loan to the industrial development agency in excess of sixtysix and twothirds percent (66 2/3%) of the cost or estimated cost of the industrial development project where such loan is secured by a first mortgage on the industrial development project, or thirtythree and onethird percent (33 1/3%) of the cost or estimated cost of the industrial development project, where such loan is secured by a second mortgage on the industrial development project.

7.  Where any federal agency participating in the financing of any industrial development project is not permitted to take as security for such participation a mortgage the lien of which is junior to the mortgage of the Authority, the Authority shall in such instances be hereby authorized to take as security for its loan to the industrial development agency a mortgage junior in lien to that of the federal agency.

Amended by Laws 1987, c. 9, § 3, emerg. eff. March 31, 1987.  

§74858.  Loan applications  Contents.

Prior to the loaning of any funds to an industrial development agency for an industrial development project, the Authority shall receive from such industrial development agency a loan application in the form adopted by the Authority which shall contain, without being limited to, the following provisions:

(a) A general description of the industrial development project and a general description of the industrial or manufacturing enterprise for which the industrial development project has been or is to be established;

(b) A legal description of all real estate necessary for the industrial development project;

(c) Such plans and other documents as may be required to show the type, structure, and general character of the industrial development project;

(d) A general description of the type (types and categories of skills) and number of employees employed or to be employed in the operation of the industrial development project;

(e) Evidence that the Authority shall have a purchase money security interest in any moveable machinery financed by the Authority;

(f) Costs or estimates of cost of establishing the industrial development project;

(g) A general description and statement of value of any property, real or personal, of the industrial development agency applied or to be applied to the establishment of the industrial project;

(h) A statement of cash funds previously applied, or then held by the industrial development agency which are available for and are to be applied to the establishment of the industrial development project;

(i) Evidence of the arrangement made by the industrial development agency for the financing of all costs of the industrial development project over and above the participation of the industrial development agency;

(j) A general description of the responsible tenant to which the industrial development agency has leased or will lease the industrial development project or of the responsible buyer to which the industrial development agency has sold or will sell the project;  (k) A general description of the form of lease or sales agreement entered into or to be entered into by and between the industrial development agency and its responsible tenant or responsible buyer;

(l) Evidence that the establishment of the industrial development project will not cause the removal of an industrial or manufacturing plant or facility from one area of the state to another area of the state, or replace an existing industry;

(m) Any additional evidence which the Authority may deem pertinent to a determination of the probable successful operation of the industrial development project at the selected location, and indicating that a substantial increase in employment and payrolls will probably result from the granting of such loans.

Amended by Laws 1987, c. 9, § 4, emerg. eff. March 31, 1987.  

§74-859.  Hearings on loan applications - Granting of loan - Limitation.

The Board of Directors of the Oklahoma Industrial Finance Authority shall hold such hearings and examinations as to each loan application received as shall be necessary to determine whether the public purposes of the Oklahoma Industrial Finance Authority Act will be accomplished by the granting of loans requested within such applications.  When the Board shall have determined facts to be favorable as to any loan application, it is hereby authorized and empowered, having due regard to the promotion of the public purposes herein declared, to grant a loan to an industrial development agency in the manner and to the extent as provided in the Oklahoma Industrial Finance Authority Act; provided, however, that no loan shall be made by the Authority to any industrial development agency for any single industrial development project in excess of the sum of Five Million Dollars ($5,000,000.00) if the loan is secured by a first mortgage on real property and One Million Dollars ($1,000,000.00) if the loan is secured by a second mortgage on real property.

Added by Laws 1959, p. 505, § 9.  Amended by Laws 1969, c. 48, § 1, emerg. eff. March 4, 1969; Laws 1988, c. 88, § 4, emerg. eff. March 30, 1988; Laws 2001, c. 97, § 1, emerg. eff. April 16, 2001.

§74-859.1.  Moveable machinery loans - Limitations.

The Oklahoma Industrial Finance Authority may loan money for the purchase of moveable machinery subject to the following limitations:

1.  All procedures required in order for the Authority to loan money secured by a mortgage on real property shall be followed;

2.  The Authority shall require the industrial development agency to furnish evidence that the Authority shall take a purchase money security interest;

3.  Within twentyfour (24) hours after loaning the money to an industrial development agency to purchase any moveable machinery, the Authority shall perfect a security interest in such machinery pursuant to perfection procedures prescribed by Article 9 of Title 12A of the Oklahoma Statutes;

4.  Any industrial development agency which receives money for the purchase of a moveable machine shall agree to such procedures as the Authority deems necessary to preserve its interest in such moveable machinery.  These procedures may include notification to the Authority of the exact location of such moveable machinery and notification of any changes in location of such moveable machinery;

5.  The loan must also be secured by a first or second mortgage on the real estate of the industrial development project.

Added by Laws 1987, c. 9, § 5, emerg. eff. March 31, 1987.  Amended by Laws 1988, c. 88, § 5, emerg. eff. March 30, 1988; Laws 2000, c. 371, § 182, eff. July 1, 2001.

§74860.  Industrial Development Loan Fund.

A.  There is hereby created a special account in the State Treasury to be known as the "Industrial Development Loan Fund", to which fund shall be credited all monies received as loan capital by the Authority from whatever source the same may be obtained.  To this fund there shall also be deposited and credited all payments received on interest and principal of loans outstanding made, or to be made, by the Authority, all such deposits to be made in the State Treasury immediately upon receipt of same.

B.  As often as may be necessary the Authority shall requisition from the Industrial Development Loan Fund, upon warrants duly drawn as required by law, such amounts as shall be allocated and appropriated by the Authority for loans to industrial development agencies upon approved industrial development projects. When and as the amounts so allocated and appropriated by the Authority as loans to industrial development agencies are repaid to the Authority pursuant to the terms of the mortgages and other agreements made and entered into by the Authority, the Authority shall immediately pay such amounts into said fund, it being the intent of this act that the Industrial Development Loan Fund shall operate as a revolving fund whereby all monies placed therein shall be applied and reapplied to the purposes of this act; provided, however, if the Authority deems it advisable, separate accounts may be set up within the Industrial Development Loan Fund in order to segregate the various monies loaned to or received from certain industrial agencies.

C.  The Authority is hereby authorized to use up to onehalf of the monies in the Industrial Development Loan Fund to purchase federally guaranteed Small Business Administration loans or loans of similar federal programs for investment purposes.  Such investments may be made at such times, in such manner and in such amounts as the Authority may determine to aid and assist with Oklahoma's industrial development and provide additional employment and payrolls within this state.

D.  To guarantee payment of interest on bonds, as the same shall become due, the Authority shall pay into a special "Bond Interest Account" fund, out of the first earned interest received into the Industrial Development Loan Fund, an amount sufficient to cover all interest requirements at least thirty (30) days prior to the due date thereof.

E.  To guarantee retirement of bonds at maturity, the Authority shall provide for a Bond Redemption Account, in addition to interest reserves, as above set out, and there shall be paid annually into such Bond Redemption Account, after all interest requirements have been met, beginning at a time to be determined by the Authority, a sum sufficient to retire all of the bonds issued at maturity.

F.  The Authority is hereby further authorized to issue and sell its bonds, in the manner provided by law.

Amended by Laws 1983, c. 110, § 1; Laws 1987, c. 9, § 6, emerg. eff. March 31, 1987; Laws 1988, c. 88, § 6, emerg. eff. March 30, 1988.  

§74861.  Governing board  Officers  Quorum  Powers.

A.  The powers of the Oklahoma Industrial Finance Authority shall be exercised by a governing body consisting of the members of the Authority acting as a Board.  Within thirty (30) days after this act shall become effective the Board shall meet and organize, electing a chairman, vicechairman, secretary and treasurer.  Bonds running to the State of Oklahoma shall be required of the chairman, treasurer and any other officer or employee having funds of the Authority in his control or possession in an amount to be determined by the Board.

B.  A majority of the members shall constitute a quorum of the Board for the purpose of organizing the Authority and conducting the business thereof and, except in the instance of passing upon loan applications, all action may be taken by a vote of a majority of the members present, unless in any case the bylaws shall require a larger number.  Approval or rejection of loan applications shall be by a majority vote of the full membership of the Board, the vote of each member being duly recorded thereon.

C.  The Board shall have full authority to manage the properties and business of the Authority and to renegotiate loans and approve leases with new tenants when, in the sound business judgment of the Board, the remedy of foreclosure is not in the best interest of the State of Oklahoma; to be represented by the Office of Attorney General in all legal matters other than with respect to issuance of state industrial finance bonds; and to prescribe, amend, and repeal bylaws, rules and regulations governing the manner in which the business of the Authority shall be conducted.  Out of any court awarded attorney fees in foreclosure actions successfully prosecuted by the Attorney General on behalf of the Authority, a sum equal to actual expenses incurred by that office shall be withheld and placed in the Attorney General's evidence fund; and a sum up to the full amount of attorney fees awarded by the court shall be placed in said evidence fund to the extent that proceeds of sale of the property being foreclosed upon shall exceed the unpaid balance on the Authority's loan, including delinquent interest thereon.

Laws 1959, p. 506, § 11; Laws 1974, c. 138, § 1, emerg. eff. May 3, 1974; Laws 1991, c. 130, § 3, emerg. eff. April 29, 1991.

§74863.  Interest in contracts or agreements.

No member of the Authority or officer or employee thereof or of the State Department of Commerce and Industry shall either directly or indirectly be a party to or be in any manner interested in any contract or agreement with the Authority for any matter, cause or thing whatsoever by reason whereof any liability or indebtedness shall in any way be created against such Authority, or the State Department of Commerce and Industry.  If any contract or agreement shall be made in violation of the provisions of this Section, the same shall be null and void and no action shall be maintained thereon against such Authority or Department.

Laws 1959, p. 506, § 13.  

§74864.  Cooperation with Federal agencies.

The State of Oklahoma does hereby pledge to and agree with the United States and any other federal agency that, in the event that any federal agency shall construct or loan or contribute any funds for the construction, extension, improvement or enlargement of any industrial development project, or any portion thereof, the state will not alter or limit the rights and powers of the Authority in any manner which would be inconsistent with the due performance of any agreements between the Authority and any such federal agency, and the Authority shall continue to have and may exercise all powers herein granted, so long as the same shall be necessary or desirable for the carrying out of the purposes of this act.

Laws 1959, p. 507, § 14.  

§74865.  Audits.

The accounts and books of the Authority, including its receipts, disbursements, contracts, mortgages, investments and other matters relating to its finances, operations and affairs shall be examined and audited annually by the State Auditor and Inspector as provided by law.  The audit shall be filed with the Director of State Finance in accordance with the requirements for financial statement audits in Section 212A of this title.

Added by Laws 1959, p. 507, § 15.  Amended by Laws 1979, c. 30, § 154, emerg. eff. April 6, 1979; Laws 1996, c. 290, § 17, eff. July 1, 1996.

§74868.  Payment of administrative expenses.

The Oklahoma Industrial Finance Authority is hereby authorized and directed to pay costs of administering the state's industrial loan program, as provided in House Bill No. 794, O.S.L. 1959, out of interest income received by said Authority from its loans, not otherwise required for payment of interest and principal on the Authority's outstanding bonds, such administrative costs to be paid from the Industrial Development Loan Fund, in the manner provided by law.

Amended by Laws 1986, c. 207, § 69, operative July 1, 1986; Laws 1988, c. 88, § 7, emerg. eff. March 30, 1988.  

§74869.  Loans upon leasehold estates  Terms.

In addition to the lending powers and authority granted the Oklahoma Industrial Finance Authority under the provisions of the Oklahoma Industrial Finance Authority Act, 74 O.S.1961, Section 851 et seq., said authority is hereby further authorized and empowered to make loans, subject to all other terms and conditions contained in such act, upon leasehold estates and buildings and facilities located thereon; provided however, that as a condition thereof the authority must first find that the remaining term of such leasehold estate upon which such a loan is applied for shall have a term of years of at least one and onehalf times as long as the term of the loan applied for.

Laws 1963, p. 751, H.J.R. No. 514, § 1, emerg. eff. March 11, 1963.  

§74870.  Agreement not to evict.

And provided, further, that the fee owner of such leased land shall execute a written agreement with The Oklahoma Industrial Finance Authority to take no action to evict or otherwise disturb any tenant in possession of such leasehold estate for as long as The Oklahoma Industrial Finance Authority holds a mortgage lien thereon.

Laws 1963, p. 751, H.J.R.No.514, § 2, emerg. eff. March 11, 1963.  

§74871.  Purpose  Regulations governing lending.

The Legislature hereby declares that the purpose of this act, and of House Joint Resolution 514 of the Twentyninth Legislative Session, is to carry out the constitutional mandate in Section 34, Article X, wherein the Legislature is required to enact appropriate and needful legislation establishing safeguards and regulations governing the lending of funds for industrial development purposes which it considers necessary to the vitalization of said constitutional amendment and helpful in assisting with the state's industrial development.

Laws 1963, c. 334, § 1, emerg. eff. June 22, 1963.  

§74872.  Agency not holding title to real estate comprising industrial development project  Loans.

In those instances where in an industrial development agency not holding title to real estate comprising the industrial development project, but desiring the Oklahoma Industrial Finance Authority to participate in the financing of such project, joins a responsible industrial buyer in making application for a loan from said Authority for such purpose, the said industrial development agency itself contributing funds to the financing of such project, whether secured or not, the said Oklahoma Industrial Finance Authority is hereby authorized and empowered, subject to all other provisions of Sections 851 through 868 of this title, and in supplementation thereof, to participate in the financing of such industrial development project not to exceed sixtysix and twothirds percent (66 2/3%) of the cost thereof, taking as security for its loan a first mortgage lien on such approved industrial development project or thirtythree and onethird percent (33 1/3%) of the cost thereof, taking as security a second mortgage lien on such approved industrial development project; provided, however, that in such case the mortgage lien securing funds loaned by the local industrial development agency shall be inferior to the lien of said Authority, and provided, further, that the local industrial development agency shall be jointly and severally liable upon the note or notes given the said Authority as one of the principal makers thereof.

Amended by Laws 1987, c. 9, § 7, emerg. eff. March 31, 1987.  

§74873.  Power of Authority to purchase notes and mortgages.

The Oklahoma Industrial Finance Authority is hereby further authorized and empowered, if in its discretion the public purposes of the aforesaid constitutional and statutory provisions would thereby be subserved, to purchase with recourse from an approved industrial development agency, a promissory note or notes, and mortgage or participations therein upon an industrial development project securing said note or notes previously taken by said industrial development agency from a responsible buyer of such industrial development project, provided that the Oklahoma Industrial Finance Authority shall first have investigated and found that: (1) The note and mortgage or participations therein so purchased or offered for purchase shall constitute either a first or second mortgage lien upon the property, (2) That the amount thereof does not exceed sixtysix and twothirds percent (66 2/3%) of the cost of such industrial development project where the note or mortgage constitutes a first mortgage lien on the property, or thirtythree and onethird percent (33 1/3%) of the cost of such industrial development project where the note or mortgage constitutes a second mortgage lien on the property, and (3) That the industrial development agency assigning said note and mortgage will use the proceeds thereof in the furtherance of other industrial development projects.

Amended by Laws 1987, c. 9, § 8, emerg. eff. March 31, 1987.  

§74874.  Loans deemed to have been made to local industrial development agency applying  Liberal construction.

When the financing of an industrial development project is accomplished with the participation and assistance of the Oklahoma Industrial Finance Authority in the manner set forth in Sections 872 and 873 of this title, all such loans shall be deemed and construed to have been made to the local industrial development agency applying therefor, and within the purview of the said Section 33A, Article X of the Oklahoma Constitution, and Sections 851 et seq. of Title 74 of the Oklahoma Statutes; and the provisions of this act, and of actions taken hereunder, shall be liberally construed to effect the purpose and object hereof.

Amended by Laws 1988, c. 88, § 8, emerg. eff. March 30, 1988.  

§74875.  Public trusts qualified to borrow money from Authority.

Public trusts created under the laws of the State of Oklahoma for the purpose of financing industrial development projects involving and specifically limited to new manufacturing or industrial plant facilities, the relocation, refinancing or expansion of existing manufacturing or industrial plant facilities shall be qualified to borrow money from The Oklahoma Industrial Finance Authority as an "Industrial Development Agency" within the meaning of Article X, Section 33A of the Oklahoma State Constitution and of 74 O.S. 1981, Section 853(d), and said Oklahoma Industrial Finance Authority is authorized to accept applications for loans and consider the merits thereof on the same basis as applications of any other industrial development agency, subject to all other provisions of law governing the making of such loans.

Amended by Laws 1988, c. 88, § 9, emerg. eff. March 30, 1988.  

§74876.  Issuance and sale of additional state industrial finance bonds.

Pursuant to the provisions of Section 33A, Article X of the Oklahoma Constitution, empowering the Oklahoma Legislature to take such action, the Oklahoma Industrial Finance Authority is hereby authorized and empowered to issue and sell state industrial finance bonds backed by the full faith and credit of the State of Oklahoma, at such times and in such amounts as it may deem best, not to exceed an aggregate amount of Ninety Million Dollars ($90,000,000.00) outstanding at any one time.  The additional bonds authorized pursuant to State Question 600 shall only be sold as needed in increments not to exceed Ten Million Dollars ($10,000,000.00).

Amended by Laws 1987, c. 9, § 9, emerg. eff. March 31, 1987.  

§74878.  Maximizing amount of capital available for industrial financing.

That in those instances in which the amount of capital available for industrial financing in the State of Oklahoma tends to be reduced by reason of reduction in the volume of taxexempt industrial bonds issued or issuable by cities or counties in Oklahoma, or by reason of federal statutes or United States Treasury Department rulings limiting or adversely affecting this method of financing said industrial projects in this state, the Oklahoma Industrial Finance Authority is hereby authorized, within its sole discretion, to accept applications and make loans to industrial development agencies, as the same are defined by law.  As security therefor the Authority shall take a mortgage upon the industrial facility from such industrial development agency holding legal title to the same, and shall take a promissory note or notes for the amount of such loan from an approved industrial tenant.  The above financing arrangement shall be in addition to all other loan procedures heretofore authorized by law governing the lending operations of the Oklahoma Industrial Finance Authority, it being the intent and purpose of the Legislature to maximize the amount of loan capital available from all sources for industrial development purposes in Oklahoma.

Laws 1969, p. 625, S.J.R. No. 25, § 1, emerg. eff. April 30, 1969.  

§74901.  Purpose - Establishment as qualified governmental retirement plan under federal law.

A.  The purpose of this act is to provide an orderly means whereby employees of the participating employers who qualify by reason of age, or condition, and service, as herein set forth, may be transferred to inactive service without prejudice and without inflicting undue hardship upon the employees transferred, and to enable such employees to accumulate deferred income reserves for themselves and their dependents to provide for old age, death, and inactive service, and for the purpose of effecting economy and efficiency in the administration of governmental affairs.

B.  The System is established as a qualified governmental retirement plan under Sections 401(a) and 414(d) of the federal Internal Revenue Code.  The Board shall administer the System in order to comply with the applicable provisions of the federal Internal Revenue Code.

Added by Laws 1963, c. 50, § 1, emerg. eff. May 6, 1963.  Amended by Laws 1999, c. 257, § 29, eff. July 1, 1999.

§74-902.  Definitions.

As used in Section 901 et seq. of this title:

(1)  "System" means the Oklahoma Public Employees Retirement System as established by this act and as it may hereafter be amended;

(2)  "Accumulated contributions" means the sum of all contributions by a member to the System which shall be credited to the member's account;

(3)  "Act" means Sections 901 to 932, inclusive, of this title;

(4)  "Actuarial equivalent" means a deferred income benefit of equal value to the accumulated deposits or benefits when computed upon the basis of the actuarial tables in use by the System;

(5)  "Actuarial tables" means the actuarial tables approved and in use by the Board at any given time;

(6)  "Actuary" means the actuary or firm of actuaries employed by the Board at any given time;

(7)  "Beneficiary" means any person named by a member to receive any benefits as provided for by Section 901 et seq. of this title.  If there is no beneficiary living at time of member employee's death, the member's estate shall be the beneficiary;

(8)  "Board" means the Oklahoma Public Employees Retirement System Board of Trustees;

(9)  "Compensation" means all salary and wages, as defined by the Board of Trustees, including amounts deferred under deferred compensation agreements entered into between a member and a participating employer, but exclusive of payment for overtime, payable to a member of the System for personal services performed for a participating employer but shall not include compensation or reimbursement for traveling, or moving expenses, or any compensation in excess of the maximum compensation level, provided:

(a) For compensation for service prior to January 1, 1988, the maximum compensation level shall be Twenty-five Thousand Dollars ($25,000.00) per annum.

For compensation for service on or after January 1, 1988, through June 30, 1994, the maximum compensation level shall be Forty Thousand Dollars ($40,000.00) per annum.

For compensation for service on or after July 1, 1994, through June 30, 1995, the maximum compensation level shall be Fifty Thousand Dollars ($50,000.00) per annum; for compensation for service on or after July 1, 1995, through June 30, 1996, the maximum compensation level shall be Sixty Thousand Dollars ($60,000.00) per annum; for compensation for service on or after July 1, 1996, through June 30, 1997, the maximum compensation level shall be Seventy Thousand Dollars ($70,000.00) per annum; and for compensation for service on or after July 1, 1997, through June 30, 1998, the maximum compensation level shall be Eighty Thousand Dollars ($80,000.00) per annum.  For compensation for services on or after July 1, 1998, there shall be no maximum compensation level for retirement purposes.

(b) Compensation for retirement purposes shall include any amount of elective salary reduction under Section 457 of the Internal Revenue Code of 1986 and any amount of non-elective salary reduction under Section 414(h) of the Internal Revenue Code of 1986.

(c) Notwithstanding any provision to the contrary, the compensation taken into account for any employee in determining the contribution or benefit accruals for any plan year is limited to the annual compensation limit under Section 401(a)(17) of the federal Internal Revenue Code.

(d) Current appointed members of the Oklahoma Tax Commission whose salary is constitutionally limited and is less than the highest salary allowed by law for his or her position shall be allowed, within ninety (90) days from the effective date of this act, to make an election to use the highest salary allowed by law for the position to which the member was appointed for the purposes of making contributions and determination of retirement benefits.  Such election shall be irrevocable and be in writing.  Re-appointment to the same office shall not permit a new election.  Members appointed to the Oklahoma Tax Commission after the effective date of this act shall make such election, pursuant to this subparagraph, within ninety (90) days of taking office;

(10)  "Credited service" means the sum of participating service, prior service and elected service;

(11)  "Dependent" means a parent, child, or spouse of a member who is dependent upon the member for at least one-half (1/2) of the member's support;

(12)  "Effective date" means the date upon which the System becomes effective by operation of law;

(13)  "Eligible employer" means the state and any county, county hospital, city or town, conservation districts, circuit engineering districts and any public or private trust in which a county, city or town participates and is the primary beneficiary is to be an eligible employer for the purpose of this act only, whose employees are covered by Social Security and are not covered by or eligible for another retirement plan authorized under the laws of this state which is in operation on the initial entry date.  Emergency medical service districts may join the System upon proper application to the Board.  Provided affiliation by a county hospital shall be in the form of a resolution adopted by the board of control.

(a) If a class or several classes of employees of any above-defined employers are covered by Social Security and are not covered by or eligible for and will not become eligible for another retirement plan authorized under the laws of this state, which is in operation on the effective date, such employer shall be deemed an eligible employer, but only with respect to that class or those classes of employees as defined in this section.

(b) A class or several classes of employees who are covered by Social Security and are not covered by or eligible for and will not become eligible for another retirement plan authorized under the laws of this state, which is in operation on the effective date, and when the qualifications for employment in such class or classes are set by state law; and when such class or classes of employees are employed by a county or municipal government pursuant to such qualifications; and when the services provided by such employees are of such nature that they qualify for matching by or contributions from state or federal funds administered by an agency of state government which qualifies as a participating employer, then the agency of state government administering the state or federal funds shall be deemed an eligible employer, but only with respect to that class or those classes of employees as defined in this subsection; provided, that the required contributions to the retirement plan may be withheld from the contributions of state or federal funds administered by the state agency and transmitted to the System on the same basis as the employee and employer contributions are transmitted for the direct employees of the state agency.  The retirement or eligibility for retirement under the provisions of law providing pensions for service as a volunteer fire fighter shall not render any person ineligible for participation in the benefits provided for in Section 901 et seq. of this title.  An employee of any public or private trust in which a county, city or town participates and is the primary beneficiary shall be deemed to be an eligible employee for the purpose of this act only.

(c) All employees of the George Nigh Rehabilitation Institute who elected to retain membership in the System, pursuant to Section 913.7 of this title, shall continue to be eligible employees for the purposes of this act.  The George Nigh Rehabilitation Institute shall be considered a participating employer only for such employees.

(d) A participating employer of the Teachers' Retirement System of Oklahoma, who has one or more employees who have made an election pursuant to enabling legislation to retain membership in the System as a result of change in administration, shall be considered a participating employer of the Oklahoma Public Employees Retirement System only for such employees;

(14)  "Employee" means any officer or employee of a participating employer, whose employment is not seasonal or temporary and whose employment requires at least one thousand (1,000) hours of work per year and whose salary or wage is equal to the hourly rate of the monthly minimum wage for state employees.  For those eligible employers outlined in Section 910 of this title, the rate shall be equal to the hourly rate of the monthly minimum wage for that employer.  Each employer, whose minimum wage is less than the state's minimum wage, shall inform the System of the minimum wage for that employer.  This notification shall be by resolution of the governing body.

(a) Any employee of the county extension agents who is not currently participating in the Teachers' Retirement System of Oklahoma shall be a member of this System.

(b) Eligibility shall not include any employee who is a contributing member of the United States Civil Service Retirement System.

(c) It shall be mandatory for an officer, appointee or employee of the office of district attorney to become a member of this System if he or she is not currently participating in a county retirement system.  Provided further, that if an officer, appointee or employee of the office of district attorney is currently participating in such county retirement system, he or she is ineligible for this System as long as he or she is eligible for such county retirement system.  Any eligible officer, appointee or employee of the office of district attorney shall be given credit for prior service as defined in this section.  The provisions outlined in Section 917 of this title shall apply to those employees who have previously withdrawn their contributions.

(d) Eligibility shall also not include any officer or employee of the Oklahoma Employment Security Commission, except for those officers and employees of the Commission electing to transfer to this System pursuant to the provisions of Section 910.1 of this title or any other class of officers or employees specifically exempted by the laws of this state, unless there be a consolidation as provided by Section 912 of this title.  Employees of the Oklahoma Employment Security Commission who are ineligible for enrollment in the Employment Security Commission Retirement Plan, that was in effect on January 1, 1964, shall become members of this System.

(e) Any employee employed by the Legislative Service Bureau, State Senate or House of Representatives for the full duration of a regular legislative session shall be eligible for membership in the System regardless of classification as a temporary employee and may participate in the System during the regular legislative session at the option of the employee.  For purposes of this subparagraph, the determination of whether an employee is employed for the full duration of a regular legislative session shall be made by the Legislative Service Bureau if such employee is employed by the Legislative Service Bureau, the State Senate if such employee is employed by the State Senate, or by the House of Representatives if such employee is employed by the House of Representatives.  Each regular legislative session during which the legislative employee or an employee of the Legislative Service Bureau participates full time shall be counted as six (6) months of full-time participating service.

(i) Except as otherwise provided by this subparagraph, once a temporary session employee makes a choice to participate or not, the choice shall be binding for all future legislative sessions during which the employee is employed.

(ii) Notwithstanding the provisions of division (i) of this subparagraph, any employee, who is eligible for membership in the System because of the provisions of this subparagraph and who was employed by the State Senate or House of Representatives after January 1, 1989, may file an election, in a manner specified by the Board, to participate as a member of the System prior to September 1, 1989.

(iii) Notwithstanding the provisions of division (i) of this subparagraph, a temporary legislative session employee who elected to become a member of the System may withdraw from the System effective the day said employee elected to participate in the System upon written request to the Board.  Any such request must be received by the Board prior to October 1, 1990.  All employee contributions made by the temporary legislative session employee shall be returned to the employee without interest within four (4) months of receipt of the written request.

(iv) A member of the System who did not initially elect to participate as a member of the System pursuant to subparagraph (e) of this paragraph shall be able to acquire service performed as a temporary legislative session employee for periods of service performed prior to the date upon which the person became a member of the System if:

a. the member files an election with the System not later than December 31, 2000, to purchase the prior service; and

b. the member makes payment to the System of the actuarial cost of the service credit pursuant to subsection A of Section 913.5 of this title.  The provisions of Section 913.5 of this title shall be applicable to the purchase of the service credit, including the provisions for determining service credit in the event of incomplete payment due to cessation of payments, death, termination of employment or retirement, but the payment may extend for a period not to exceed ninety-six (96) months;

(15)  "Entry date" means the date on which an eligible employer joins the System.  The first entry date pursuant to Section 901 et seq. of this title shall be January 1, 1964;

(16)  "Executive Director" means the managing officer of the System employed by the Board under Section 901 et seq. of this title;

(17)  "Federal Internal Revenue Code" means the federal Internal Revenue Code of 1954 or 1986, as amended and as applicable to a governmental plan as in effect on July 1, 1999;

(18)  "Final average compensation" means the average annual compensation, including amounts deferred under deferred compensation agreements entered into between a member and a participating employer, up to, but not exceeding the maximum compensation levels as provided in paragraph (9) of this section received during the highest three (3) of the last ten (10) years of participating service immediately preceding retirement or termination of employment.  Provided, no member shall retire with a final average compensation unless the member has made the required contributions on such compensation, as defined by the Board of Trustees;

(19)  "Fiscal year" means the period commencing July 1 of any year and ending June 30 of the next year.  The fiscal year is the plan year for purposes of the federal Internal Revenue Code; however, the calendar year is the limitation year for purposes of Section 415 of the federal Internal Revenue Code;

(20)  "Fund" means the Oklahoma Public Employees Retirement Fund as created by Section 901 et seq. of this title;

(21)  "Leave of absence" means a period of absence from employment without pay, authorized and approved by the employer and acknowledged to the Board, and which after the effective date does not exceed two (2) years;

(22)  "Member" means an eligible employee or elected official who is in the System and is making the required employee or elected official contributions, or any former employee or elected official who shall have made the required contributions to the System and shall have not received a refund or withdrawal;

(23)  "Military service" means service in the Armed Forces of the United States by an honorably discharged person during the following time periods, as reflected on such person's Defense Department Form 214, not to exceed five (5) years for combined participating and/or prior service, as follows:

(a) during the following periods, including the beginning and ending dates, and only for the periods served, from:

(i) April 6, 1917, to November 11, 1918, commonly referred to as World War I,

(ii) September 16, 1940, to December 7, 1941, as a member of the 45th Division,

(iii) December 7, 1941, to December 31, 1946, commonly referred to as World War II,

(iv) June 27, 1950, to January 31, 1955, commonly referred to as the Korean Conflict or the Korean War,

(v) February 28, 1961, to May 7, 1975, commonly referred to as the Vietnam era, except that:

a. for the period from February 28, 1961, to August 4, 1964, military service shall only include service in the Republic of Vietnam during that period, and

b. for purposes of determining eligibility for education and training benefits, such period shall end on December 31, 1976, or

(vi) August 1, 1990, to December 31, 1991, commonly referred to as the Gulf War, the Persian Gulf War, or Operation Desert Storm, but excluding any person who served on active duty for training only, unless discharged from such active duty for a service-connected disability;

(b) during a period of war or combat military operation other than a conflict, war or era listed in subparagraph (a) of this paragraph, beginning on the date of Congressional authorization, Congressional resolution, or Executive Order of the President of the United States, for the use of the Armed Forces of the United States in a war or combat military operation, if such war or combat military operation lasted for a period of ninety (90) days or more, for a person who served, and only for the period served, in the area of responsibility of the war or combat military operation, but excluding a person who served on active duty for training only, unless discharged from such active duty for a service-connected disability, and provided that the burden of proof of military service during this period shall be with the member, who must present appropriate documentation establishing such service.

An eligible member under this paragraph shall include only those persons who shall have served during the times or in the areas prescribed in this paragraph, and only if such person provides appropriate documentation in such time and manner as required by the System to establish such military service prescribed in this paragraph, or for service pursuant to subdivision a of division (v) of subparagraph (a) of this paragraph those persons who were awarded service medals, as authorized by the United States Department of Defense as reflected in the veteran's Defense Department Form 214, related to the Vietnam Conflict for service prior to August 5, 1964;

(24)  "Normal retirement date" means the date on which a member may retire with full retirement benefits as provided in Section 901 et seq. of this title, such date being whichever occurs first:

(a) the first day of the month coinciding with or following a member's sixty-second birthday,

(b) for any person who initially became a member prior to July 1, 1992, the first day of the month coinciding with or following the date at which the sum of a member's age and number of years of credited service total eighty (80); such a normal retirement date will also apply to any person who became a member of the sending system as defined in Section 901 et seq. of this title, prior to July 1, 1992, regardless of whether there were breaks in service after July 1, 1992,

(c) for any person who became a member after June 30, 1992, the first day of the month coinciding with or following the date at which the sum of a member's age and number of years of credited service total ninety (90),

(d) in addition to subparagraphs (a), (b) and (c) of this paragraph, the first day of the month coinciding with or following a member's completion of at least twenty (20) years of full-time-equivalent employment as:

(i) a correctional or probation and parole officer with the Department of Corrections and at the time of retirement, the member was a correctional or probation and parole officer with the Department of Corrections, or

(ii) a correctional officer, probation and parole officer or fugitive apprehension agent with the Department of Corrections who is in such position on June 30, 2004, or who is hired after June 30, 2004, and who receives a promotion or change in job classification after June 30, 2004, to another position in the Department of Corrections, so long as such officer or agent has at least five (5) years of service as a correctional officer, probation and parole officer or fugitive apprehension agent with the Department, has twenty (20) years of full-time-equivalent employment with the Department and was employed by the Department at the time of retirement, or

(iii) a firefighter with the Oklahoma Military Department either employed for the first time on or after July 1, 2002, or who was employed prior to July 1, 2002, in such position and who makes the election authorized by division (2) of subparagraph b of paragraph (8) of subsection A of Section 915 of this title and at the time of retirement, the member was a firefighter with the Oklahoma Military Department, and such member has at least twenty (20) years of credited service upon which the two and one-half percent (2 1/2%) multiplier will be used in calculating the retirement benefit,

(e) for those fugitive apprehension agents who retire on or after July 1, 2002, the first day of the month coinciding with or following a member's completion of at least twenty (20) years of full-time-equivalent employment as a fugitive apprehension agent with the Department of Corrections and at the time of retirement, the member was a fugitive apprehension agent with the Department of Corrections, or

(f) for any member who was continuously employed by an entity or institution within The Oklahoma State System of Higher Education and whose initial employment with such entity or institution was prior to July 1, 1992, and who without a break in service of more than thirty (30) days became employed by an employer participating in the Oklahoma Public Employees Retirement System, the first day of the month coinciding with or following the date at which the sum of the member's age and number of years of credited service total eighty (80);

(25)  "Participating employer" means an eligible employer who has agreed to make contributions to the System on behalf of its employees;

(26)  "Participating service" means the period of employment after the entry date for which credit is granted a member;

(27)  "Prior service" means the period of employment of a member by an eligible employer prior to the member's entry date for which credit is granted a member under Section 901 et seq. of this title;

(28)  "Retirant" means a member who has retired under the System;

(29)  "Retirement benefit" means a monthly income with benefits accruing from the first day of the month coinciding with or following retirement and ending on the last day of the month in which death occurs or the actuarial equivalent thereof paid in such manner as specified by the member pursuant to Section 901 et seq. of this title or as otherwise allowed to be paid at the discretion of the Board;

(30)  "Retirement coordinator" means the individual designated by each participating employer through whom System transactions and communication shall be directed;

(31)  "Social Security" means the old-age survivors and disability section of the Federal Social Security Act;

(32)  "Total disability" means a physical or mental disability accepted for disability benefits by the Federal Social Security System;

(33)  "Service-connected disability benefits" means military service benefits which are for a service-connected disability rated at twenty percent (20%) or more by the Veterans Administration or the Armed Forces of the United States;

(34)  "Elected official" means a person elected to a state office in the legislative or executive branch of state government or a person elected to a county office for a definite number of years and shall include an individual who is appointed to fill the unexpired term of an elected state official;

(35)  "Elected service" means the period of service as an elected official; and

(36)  "Limitation year" means the year used in applying the limitations of Section 415 of the Internal Revenue Code of 1986, which year shall be the calendar year.

Added by Laws 1963, c. 50, § 2, emerg. eff. May 6, 1963.  Amended by Laws 1965, c. 432, §§ 1, 2, 9, emerg. eff. July 9, 1965; Laws 1968, c. 400, § 1, emerg. eff. May 17, 1968; Laws 1969, c. 349, § 1, emerg. eff. May 13, 1969; Laws 1970, c. 296, § 1, emerg. eff. April 28, 1970; Laws 1973, c. 279, § 1, emerg. eff. May 30, 1973; Laws 1975, c. 267, § 2, eff. July 1, 1976; Laws 1976, c. 207, § 1, emerg. eff. June 7, 1976; Laws 1979, c. 285, § 1, eff. July 1, 1979; Laws 1980, c. 317, § 1, eff. July 1, 1980; Laws 1982, c. 319, § 1, operative July 1, 1982; Laws 1984, c. 267, § 1, operative July 1, 1984; Laws 1985, c. 300, § 1, emerg. eff. July 24, 1985; Laws 1986, c. 81, § 1, emerg. eff. April 3, 1986; Laws 1986, c. 238, § 1, operative July 1, 1986; Laws 1987, c. 236, § 180, emerg. eff. July 20, 1987; Laws 1988, c. 267, § 28, operative July 1, 1988; Laws 1988, c. 284, § 7, operative July 1, 1988; Laws 1989, c. 327, § 3, eff. July 1, 1989; Laws 1990, c. 340, § 32, eff. July 1, 1990; Laws 1991, c. 335, § 32, emerg. eff. June 15, 1991; Laws 1992, c. 49, § 1, emerg. eff. April 8, 1992; Laws 1992, c. 376, § 12, eff. July 1, 1992; Laws 1993, c. 239, § 53, eff. July 1, 1993; Laws 1993, c. 360, § 15, eff. July 1, 1993; Laws 1994, c. 2, § 31, emerg. eff. March 2, 1994; Laws 1994, c. 383, § 8, eff. July 1, 1994; Laws 1995, c. 1, § 35, emerg. eff. March 2, 1995; Laws 1995, c. 302, § 1, eff. July 1, 1995; Laws 1998, c. 192, § 5, eff. July 1, 1998; Laws 1998, c. 419, § 10, eff. July 1, 1998; Laws 1999, c. 1, § 39, emerg. eff. Feb. 24, 1999; Laws 1999, c. 257, § 30, eff. July 1, 1999; Laws 2000, c. 379, § 1, eff. July 1, 2000; Laws 2001, c. 5, § 55, emerg. eff. March 21, 2001; Laws 2002, c. 438, § 5, eff. July 1, 2002; Laws 2003, c. 3, § 93, emerg. eff. March 19, 2003; Laws 2004, c. 302, § 5, emerg. eff. May 13, 2004; Laws 2004, c. 539, § 2, eff. July 1, 2004; Laws 2005, c. 1, § 134, emerg. eff. March 15, 2005.

NOTE:  Laws 1975, c. 253, § 1 repealed by Laws 1976, c. 207, § 9, emerg. eff. June 7, 1976.  Laws 1990, c. 324, § 1 repealed by Laws 1991, c. 335, § 37, emerg. eff. June 15, 1991.  Laws 1993, c. 200, § 1 repealed by Laws 1993, c. 360, § 18, eff. July 1, 1993, and by Laws 1994, c. 2, § 34, emerg. eff. March 2, 1994.  Laws 1993, c. 356, § 1 repealed by Laws 1994, c. 2, § 34, emerg. eff. March 2, 1994.  Laws 1994, c. 370, § 3 and Laws 1994, c. 381, § 1 repealed by Laws 1995, c. 1, § 40, emerg. eff. March 2, 1995.  Laws 1998, c. 317, § 10 and Laws 1998, c. 360, § 3 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.  Laws 2000, c. 220, § 1, Laws 2000, c. 313, § 1 and Laws 2000, c. 377, § 12 repealed by Laws 2001, c. 5, § 56, emerg. eff. March 21, 2001.  Laws 2002, c. 354, § 2 repealed by Laws 2003, c. 3, § 94, emerg. eff. March 19, 2003.  Laws 2002, c. 376, § 1 repealed by Laws 2003, c. 3, § 95, emerg. eff. March 19, 2003.  Laws 2004, c. 325, § 1 repealed by Laws 2005, c. 1, § 135, emerg. eff. March 15, 2005.

§74903.  System created  Body corporate  Powers.

There is hereby created the Oklahoma Public Employees Retirement System which shall be a body corporate and an instrumentality of the State of Oklahoma.  The system shall be vested with the powers and duties specified in this act and such other powers as may be necessary to enable it, its officers, employees, and agents to carry out fully and effectively the purposes and intent of this act.

Laws 1963, c. 50, § 3, emerg. eff. May 6, 1963.  

§74904.  Suits  Service of process  Persons aggrieved  Hearings.

(1) The System may sue and be sued in its official name, but its officers, employees, and agents shall not be personally liable for acts of the System.  The service of all legal process and of all notices which may be required to be in writing, whether legal proceedings or otherwise, shall be had on the executive director at his office.  All actions or proceedings directly or indirectly against the System shall be brought in Oklahoma County.

(2) (a) Any person aggrieved by any order or decision of the Board made without a hearing may, within thirty (30) days after notice of the order or decision of the Board, make written request to the Board for a hearing thereon.  The Board shall hear such party or parties at its next regular meeting or at a special meeting within ninety (90) days after receipt of such request and shall give not less than ten (10) days' written notice of the time and place of the hearing.  Within fifteen (15) days after such hearing the Board shall affirm, reverse, or modify its previous action, specifying the reasons therefor, and written notice of the action taken by the Board shall be forwarded immediately to the interested party by the executive director.

(b) Nothing contained in this act shall require the observance at any hearing of the Board of formal rules of pleading or evidence.  (3) Upon written request reasonably made by a person affected by the hearing at such person's expense, the Board shall cause a full stenographic record of the proceedings to be made by a competent court reporter.  If transcribed, such record shall be a part of the Board's record of the hearing, and a copy of such stenographic record shall be furnished to any other party having a direct interest therein at the request and expense of such party.

Laws 1963, c. 50, § 4; Laws 1967, c. 25, § 1; Laws 1969, c. 349, § 2, emerg. eff. May 13, 1969; Laws 1979, c. 285, § 2, eff. July 1, 1979.  

§74-905.  Board of Trustees.

(1)  There shall be a Board of Trustees which shall consist of thirteen (13) members as follows:  a member of the Corporation Commission selected by the Corporation Commission, the Administrator of the Office of Personnel Management or the Administrator's designee, the State Insurance Commissioner or the Commissioner's designee, the Director of State Finance or the Director's designee, a member of the Oklahoma Tax Commission selected by the Tax Commission, three members appointed by the Governor, one member appointed by the Supreme Court, two members appointed by the Speaker of the House of Representatives and two members appointed by the President Pro Tempore of the State Senate.  One member appointed by the Governor shall be an active member of the System.  One member appointed by the Speaker shall be an active member of the System.  One member appointed by the President Pro Tempore shall be a retired member of the System.

(2)  The member of the Board of Trustees on the operative date of this act who was appointed by the Supreme Court shall complete the term of office for which the member was appointed.  The members thereafter appointed by the Supreme Court shall serve terms of office of four (4) years.

(3)  Members of the Board of Trustees on the operative date of this act who were appointed by the Speaker of the House of Representatives or by the President Pro Tempore of the Senate shall complete their term of office for which they were appointed.  The initial term of office of members appointed thereafter shall expire on January 8, 1991.  The members thereafter appointed by the Speaker of the House of Representatives and by the President Pro Tempore of the Senate shall serve terms of office of four (4) years.

(4)  The initial term of office of the members appointed by the Governor shall expire on January 14, 1991.  The members thereafter appointed by the Governor shall serve a term of office of four (4) years which is coterminous with the term of office of the office of the appointing authority.

(5)  One of the members appointed to the Board by the Speaker of the House of Representatives and by the President Pro Tempore of the Senate and two members appointed to the Board by the Governor shall:

(a)  have demonstrated professional experience in investment or funds management, public funds management, public or private pension fund management or retirement system management;

(b)  have demonstrated experience in the banking profession and have demonstrated professional experience in investment or funds management;

(c)  be licensed to practice law in this state and have demonstrated professional experience in commercial matters; or

(d)  be licensed by the Oklahoma Accountancy Board to practice in this state as a public accountant or a certified public accountant.

The appointing authorities, in making appointments that conform to the requirements of this subsection, shall give due consideration to balancing the appointments among the criteria specified in paragraphs (a) through (d) of this subsection.

(6)  No member of the Board of Trustees shall be a lobbyist registered in this state as provided by law.

(7)  Any vacancy that occurs on the Board of Trustees shall be filled for the unexpired term in the same manner as the office was previously filled.

(8)  Notwithstanding any of the provisions of this section to the contrary, any person serving as an appointed member of the Board on the operative date of this act shall be eligible for reappointment when the term of office of the member expires.

(9)  The Board shall elect one of its members as Chairman of the Board at its annual meeting.  He shall preside over meetings of the Board and perform such other duties as may be required by the Board.

(10)  The Board shall also elect another member to serve as Vice Chairman, and the Vice Chairman shall perform duties of Chairman in the absence of the latter or upon his inability or refusal to act.

Added by Laws 1963, c. 50, § 5, emerg. eff. May 6, 1963.  Amended by Laws 1967, c. 213, § 1, emerg. eff. May 1, 1967; Laws 1969, c. 349, § 3, emerg. eff. May 13, 1969; Laws 1973, c. 279, § 2, emerg. eff. May 30, 1973; Laws 1975, c. 267, § 3, emerg. eff. June 5, 1975; Laws 1975, c. 317, § 5, emerg. eff. June 12, 1975; Laws 1976, c. 207, § 9, emerg. eff. June 7, 1976; Laws 1977, c. 147, § 4, eff. July 1, 1977; Laws 1979, c. 241, § 12, operative July 1, 1979; Laws 1985, c. 300, § 2, emerg. eff. July 24, 1985; Laws 1986, c. 238, § 2, operative July 1, 1986; Laws 1987, c. 236, § 181, emerg. eff. July 20, 1987; Laws 1988, c. 321, § 31, operative July 1, 1988; Laws 1992, c. 376, § 13, eff. July 1, 1992; Laws 2004, c. 536, § 21, eff. July 1, 2004.

§74906.  Board meetings  Quorum  Compensation.

(1)  The Board shall hold regular meetings in Oklahoma City at least once each quarter, the dates, time, and place thereof to be fixed by the Board.  The Board shall hold a regular meeting in July of each year which meeting shall be the annual meeting and at which meeting it shall elect its Chairman.  Special meetings may be called upon written call of the Chairman or by agreement of any seven members of the Board.  Notice of a special meeting shall be delivered to all trustees in person or by registered or certified United States mail not less than seven (7) days prior to the date fixed for the meeting; provided, however, that notice of such meeting may be waived by any member either before or after such meeting and attendance at such meeting shall constitute a waiver of notice of such meeting, unless a member participates therein solely to object to the transaction of any business because the meeting has not been legally called or convened.

(2)  Seven (7) trustees shall constitute a quorum for the transaction of business, but any official action of the Board shall be based upon a favorable vote by at least seven (7) trustees at a regular or special meeting of the Board.

(3)  The trustees shall serve the System without compensation but shall receive their actual and necessary expenses, subject to statutory limitations applying to other state employees, as are incurred in the performance of their duties, which shall be paid as an operating expense from the appropriate operating fund of the System.

Amended by Laws 1986, c. 238, § 3, operative July 1, 1986; Laws 1988, c. 321, § 32, operative July 1, 1988.  

§74-907.  Offices - Record of proceedings - Financial statement - Audits.

A.  The principal office of the System shall be in quarters at Oklahoma City, Oklahoma.  Offices shall be assigned to the System by the Department of Central Services.  Upon the failure or inability of the Department of Central Services to provide adequate facilities, the Board is hereby authorized to contract for necessary office space in suitable quarters.  If the Board acquires an office building for investment purposes, it may occupy suitable quarters in the building.

B.  The Board shall keep a record of all of its proceedings, which shall be open at all reasonable hours to inspection.  A statement covering the operation of the System for the past fiscal year, including income, disbursements, and the financial condition of the fund at the end of each fiscal year and showing the valuation of its assets, investments, and liabilities, shall be delivered to the Governor after the end of each fiscal year and prior to December 1 of the next fiscal year and made readily available to the members and participating employers.

C.  The Office of the State Auditor and Inspector shall make an annual audit of the accounts of the System.  The audit shall be filed in accordance with the requirements for financial statement audits in Section 212A of this title.

Added by Laws 1963, c. 50, § 7, emerg. eff. May 6, 1963.  Amended by Laws 1979, c. 30, § 155, emerg. eff. April 6, 1979; Laws 1983, c. 304, § 143, eff. July 1, 1983; Laws 1994, c. 381, § 2, eff. July 1, 1994; Laws 1996, c. 290, § 18, eff. July 1, 1996; Laws 2004, c. 536, § 22, eff. July 1, 2004.

§74907.1.  Electronic data processing equipment.

The Oklahoma Public Employees Retirement System is authorized to maintain electronic data processing equipment for their operations.

Added by Laws 1982, c. 319, § 8, operative July 1, 1982.  

§74-908.  Executive Director - Employees - Acceptance of gifts or gratuities - Actuary - Legal counsel - Membership status - Internal auditor.

(1)  The Board of Trustees of the Oklahoma Public Employees Retirement System shall appoint an Executive Director and shall establish his compensation.  Subject to the policy direction of the Board, he shall be the managing and administrative officer of the System and as such shall have charge of the office, records, and supervision and direction of the employees of the System.

(2)  The Executive Director shall recommend to the Board the administrative organization, the number and qualifications of employees necessary to carry out the intent of this act, and the policy direction of the Board.  Upon approval of the organizational plan by the Board, the Executive Director may employ such persons as are deemed necessary to administer this act.

(3)  The members of the Board of Trustees, the Executive Director and the employees of the System shall not accept gifts or gratuities from an individual organization with a value in excess of Fifty Dollars ($50.00) per year.  The provisions of this section shall not be construed to prevent the members of the Board of Trustees, the Executive Director or the employees of the System from attending educational seminars, conferences, meetings or similar functions which are paid for, directly or indirectly, by more than one organization.

(4)  The Board of Trustees shall select and retain a qualified actuary who shall serve at its pleasure as its technical advisor or consultant on matters regarding the operation of the System.  The actuary shall:

(a)  make an annual valuation of the liabilities and reserves of the System, and a determination of the contributions required by the System to discharge its liabilities and administrative costs under this act, and recommend to the Board rates of employer contributions required to establish and maintain the System on an adequate reserve basis.

(b)  as soon after the effective date as practicable and once every three (3) years thereafter, make a general investigation of the actuarial experience under the System, including mortality, retirement, employment turnover, and interest, and recommend actuarial tables for use in valuations and in calculating actuarial equivalent values based on such investigation.

(c)  perform such other duties as may be assigned by the Board.

(5)  The Board may retain an attorney licensed to practice law in this state.  The attorney shall serve at the pleasure of the Board for such compensation as specified by the Board.  The attorney shall advise the Board and perform legal services for the Board with respect to any matters properly before the Board.  In addition, the attorney shall advise and perform legal services for the State and Education Employees Group Insurance Board with respect to any matters properly before that Board as provided in Section 1301 et seq. of this title.

(6)  The Board shall decide in each instance the membership status of member employees whose membership in the System becomes a matter of conjecture on account of mergers or consolidations of state agencies.

(7)  The Board may retain an internal auditor to serve at the pleasure of the Board for such compensation as specified by the Board.  In addition to the duties assigned by the Board, the internal auditor is authorized to audit all records of any participating employer in order to ensure compliance with the provisions of Section 901 et seq. of this title.

Added by Laws 1963, c. 50, § 8, emerg. eff. May 6, 1963.  Amended by Laws 1969, c. 349, § 4, emerg. eff. May 13, 1969; Laws 1979, c. 285, § 3, eff. July 1, 1979; Laws 1980, c. 159, § 36, eff. July 1, 1980; Laws 1980, c. 317, § 2, eff. July 1, 1980; Laws 1986, c. 150, § 25, emerg. eff. April 29, 1986; Laws 1988, c. 321, § 33, operative July 1, 1988; Laws 1994, c. 381, § 3, eff. July 1, 1994.

NOTE:  Laws 1979, c. 241, § 13 repealed by Laws 1980, c. 159, § 40, eff. July 1, 1980; Laws 1988, c. 267, § 29 repealed by Laws 1992, c. 373, § 22, eff. July 1, 1992.

§74-909.  Policies and rules for general administration.

(1)  The Board of Trustees shall be responsible for the policies and rules for the general administration of the system, subject to the provisions of this act.

(2)  The Board shall establish rules and regulations for the administration of the system and for the transaction of its business consistent with law, which rules and regulations shall be filed in the office of the Secretary of State.

(3)  The Board shall be responsible for the installation or provision of a complete and adequate system of accounts and records.

(4)  All meetings of the Board shall be open to the public.  The Board shall keep a record of its proceedings.

(5)  The Board shall prescribe rules for the determination of the value of maintenance, board, lodging, laundry, and other allowances to employees in lieu of money and shall determine which forms or types of compensation shall be included for retirement purposes.

(6)  The Board may adopt all necessary actuarial tables to be used in the operation of the system as recommended by the actuary and may compile such additional data as may be necessary for required actuarial valuation calculations.

(7)  The Board, as soon after the close of the fiscal year as practical, shall publish for distribution among members a financial statement showing the financial status of the system.

(8)  All decisions of the Board as to questions of fact shall be final and conclusive on all persons except for the right of review as provided by law and except for fraud or such gross mistake of fact as to have effect equivalent to fraud.

Added by Laws 1963, c. 50, § 9, emerg. eff. May 6, 1963.  Amended by Laws 1988, c. 321, § 34, operative July 1, 1988; Laws 2002, c. 354, § 3, eff. July 1, 2002 and Laws 2002, c. 438, § 6, eff. July 1, 2002.

§74-909.1.  Duties of Board - Investments - Liability insurance - Investment managers - Custodial services - Reports - Cost of living adjustment.

A.  The Oklahoma Public Employees Retirement System Board of Trustees shall discharge their duties with respect to the System solely in the interest of the participants and beneficiaries and:

1.  For the exclusive purpose of:

a. providing benefits to participants and their beneficiaries, and

b. defraying reasonable expenses of administering the System;

2.  With the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character and with like aims;

3.  By diversifying the investments of the System so as to minimize the risk of large losses, unless under the circumstances it is clearly prudent not to do so; and

4.  In accordance with the laws, documents and instruments governing the System.

B.  The Board of Trustees may procure insurance indemnifying the members of the Board of Trustees from personal loss or accountability from liability resulting from a member's action or inaction as a member of the Board of Trustees.

C.  The Board of Trustees may establish an investment committee.  The investment committee shall be composed of not more than five (5) members of the Board of Trustees appointed by the chairman of the Board of Trustees.  The committee shall make recommendations to the full Board of Trustees on all matters related to the choice of custodians and managers of the assets of the System, on the establishment of investment and fund management guidelines, and in planning future investment policy.  The committee shall have no authority to act on behalf of the Board of Trustees in any circumstances whatsoever.  No recommendation of the committee shall have effect as an action of the Board of Trustees nor take effect without the approval of the Board of Trustees as provided by law.

D.  The Board of Trustees shall retain qualified investment managers to provide for the investment of the monies of the System.  The investment managers shall be chosen by a solicitation of proposals on a competitive bid basis pursuant to standards set by the Board of Trustees.  Subject to the overall investment guidelines set by the Board of Trustees, the investment managers shall have full discretion in the management of those monies of the System allocated to the investment managers.  The Board of Trustees shall manage those monies not specifically allocated to the investment managers.  The monies of the System allocated to the investment managers shall be actively managed by the investment managers, which may include selling investments and realizing losses if such action is considered advantageous to longer term return maximization.  Because of the total return objective, no distinction shall be made for management and performance evaluation purposes between realized and unrealized capital gains and losses.

E.  Funds and revenues for investment by the investment managers or the Board of Trustees shall be placed with a custodian selected by the Board of Trustees.  The custodian shall be a bank or trust company offering pension fund master trustee and master custodial services.  The custodian shall be chosen by a solicitation of proposals on a competitive basis pursuant to standards set by the Board of Trustees.  In compliance with the investment policy guidelines of the Board of Trustees, the custodian bank or trust company shall be contractually responsible for ensuring that all monies of the System are invested in income-producing investment vehicles at all times.  If a custodian bank or trust company has not received direction from the investment managers of the System as to the investment of the monies of the System in specific investment vehicles, the custodian bank or trust company shall be contractually responsible to the Board of Trustees for investing the monies in appropriately collateralized short-term interest-bearing investment vehicles.

F.  By November 1, 1988, and prior to August 1 of each year thereafter, the Board of Trustees shall develop a written investment plan for the System.

G.  The Board of Trustees shall compile a quarterly financial report of all the funds of the System on a fiscal year basis.  The report shall be compiled pursuant to uniform reporting standards prescribed by the Oklahoma State Pension Commission for all state retirement systems.  The report shall include several relevant measures of investment value, including acquisition cost and current fair market value with appropriate summaries of total holdings and returns.  The report shall contain combined and individual rate of returns of the investment managers by category of investment, over periods of time.  The Board of Trustees shall include in the quarterly reports all commissions, fees or payments for investment services performed on behalf of the Board.  The report shall be distributed to the Governor, the Oklahoma State Pension Commission, the Legislative Service Bureau, the Speaker of the House of Representatives and the President Pro Tempore of the Senate.

H.  After July 1 and before December 1 of each year, the Board of Trustees shall publish widely an annual report presented in simple and easily understood language pursuant to uniform reporting standards prescribed by the Oklahoma State Pension Commission for all state retirement systems.  The report shall be submitted to the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, the Oklahoma State Pension Commission and the members of the System.  The annual report shall cover the operation of the System during the past fiscal year, including income, disbursements, and the financial condition of the System at the end of the fiscal year.  The annual report shall also contain the information issued in the quarterly reports required pursuant to subsection G of this section as well as a summary of the results of the most recent actuarial valuation to include total assets, total liabilities, unfunded liability or over funded status, contributions and any other information deemed relevant by the Board of Trustees.  The annual report shall be written in such a manner as to permit a readily understandable means for analyzing the financial condition and performance of the System for the fiscal year.  In order to standardize the information and analysis of the financial condition of the System, the Board shall provide information regarding the financial and actuarial condition of the System using assumptions or requirements as hereinafter required for the report stating the condition of the System as of July 1, 2002, and for each subsequent reporting date, which information shall be contained in an appendix or addendum to the annual report.  For purposes other than the reporting requirements contained in the appendix or addendum, all actuarial and economic assumptions shall be those assumptions adopted by the System in its annual actuarial valuation.  The appendix or addendum shall contain a statement of the financial condition of the System:

1.  Using an assumed rate of return of seven and one-half percent (7.5%), net of investment expenses, per annum, compounded annually;

2.  Using an actuarial assumption regarding cost-of-living adjustments for the System of two percent (2%) annually;

3.  That relies upon the use of appropriate preretirement, postretirement and disability retirement information using generational projections taken from the RP-2000 Mortality Tables, published by the Society of Actuaries;

4.  Which accurately and completely summarizes all sources of system assets, other than employee contributions, which shall include, but not be limited to, the total of all employer contributions, any dedicated tax or fee revenue of whatever kind or however denominated, and the total amount of any other source of revenue which accrues to the System, other than return on investments, such as federal monies used for the purpose of making employer contributions; and

5.  Using an assumption that the unfunded actuarial accrued liabilities of the System are amortized over a period of thirty (30) years, in a manner consistent with the Governmental Accounting Standards Board Statement Number 25.

I.  The Board shall distribute the corpus and income of the System to the members and their beneficiaries in accordance with the System's laws and rules and regulations.  At no time prior to the satisfaction of all liabilities with respect to members and their beneficiaries shall any part of the corpus and income be used for, or diverted to, purposes other than the exclusive benefit of the members and their beneficiaries.

J.  The Board of Trustees shall adopt a cost of living adjustment actuarial assumption in its annual actuarial valuation report.

Added by Laws 1988, c. 321, § 35, operative July 1, 1988.  Amended by Laws 1992, c. 354, § 5; Laws 1995, c. 81, § 7, eff. July 1, 1995; Laws 1999, c. 257, § 31, eff. July 1, 1999; Laws 2002, c. 391, § 8, eff. July 1, 2002; Laws 2003, c. 406, § 16, eff. July 1, 2003; Laws 2004, c. 536, § 23, eff. July 1, 2004.

§74909.2.  Duties of fiduciaries.

A.  A fiduciary with respect to the Oklahoma Public Employees Retirement System shall not cause the System to engage in a transaction if the fiduciary knows or should know that such transaction constitutes a direct or indirect:

1.  Sale or exchange, or leasing of any property from the System to a party in interest for less than adequate consideration or from a party in interest to the System for more than adequate consideration;

2.  Lending of money or other extension of credit from the System to a party in interest without the receipt of adequate security and a reasonable rate of interest, or from a party in interest to the System with provision of excessive security or an unreasonably high rate of interest;

3.  Furnishing of goods, services or facilities from the System to a party in interest for less than adequate consideration, or from a party in interest to the System for more than adequate consideration; or

4.  Transfer to, or use by or for the benefit of, a party in interest of any assets of the System for less than adequate consideration.

B.  A fiduciary with respect to the Oklahoma Public Employees Retirement System shall not:

1.  Deal with the assets of the System in the fiduciary's own interest or for the fiduciary's own account;

2.  In the fiduciary's individual or any other capacity act in any transaction involving the System on behalf of a party whose interests are adverse to the interests of the System or the interests of its participants or beneficiaries; or

3.  Receive any consideration for the fiduciary's own personal account from any party dealing with the System in connection with a transaction involving the assets of the System.

C.  A fiduciary with respect to the Oklahoma Public Employees Retirement System may:

1.  Invest all or part of the assets of the System in deposits which bear a reasonable interest rate in a bank or similar financial institution supervised by the United States or a state, if such bank or other institution is a fiduciary of such plan; or

2.  Provide any ancillary service by a bank or similar financial institution supervised by the United States or a state, if such bank or other institution is a fiduciary of such plan.

D.  A person or a financial institution is a fiduciary with respect to the Oklahoma Public Employees Retirement System to the extent that the person or the financial institution:

1.  Exercises any discretionary authority or discretionary control respecting management of the Oklahoma Public Employees Retirement System or exercises any authority or control respecting management or disposition of the assets of the System;

2.  Renders investment advice for a fee or other compensation, direct or indirect, with respect to any monies or other property of the System, or has any authority or responsibility to do so; or

3.  Has any discretionary authority or discretionary responsibility in the administration of the System.

E.  In addition to any other prohibitions contained in this section, the Board may not engage in a transaction prohibited by Section 503(b) of the federal Internal Revenue Code.

Added by Laws 1988, c. 321, § 36, operative July 1, 1988.  Amended by Laws 1999, c. 257, § 32, eff. July 1, 1999.

§74910.  Eligible employers  Procedure for joining System  Withdrawal.

(1)  An eligible employer may join the System in January of any year.  Application for affiliation shall be in the form of a resolution approved by the governing or legislative body of the eligible employer or by any other body or officer authorized by the law or recognized by the Board to approve such resolution or action; provided, that no county hospital, city or town, circuit engineering district or any public or private trust in which a county, city or town participates and is the primary beneficiary shall become a participating employer except by the adoption of a resolution therefor, unless otherwise provided in this act.  Upon the filing of a certified copy of such resolution with the Board, the employer shall become a participating employer on January 1 of the year immediately following the filing of such election with the Board.  Such election shall be final and irrevocable and any employer now or hereafter participating in the System shall not be permitted to withdraw from the System under any circumstances, including a change in legal identity of such employer, where the purpose and functions of such employer remain essentially the same as at the time of filing of entry into the System.  Provided, however, any hospital joining the System during the period commencing December 1, 1989, and ending January 31, 1990, or during the period commencing December 1, 1971, and ending January 31, 1972, shall be permitted to withdraw from the System by the adoption of resolution therefor by the hospital board of control.  However, no member hospital of the System shall be allowed to withdraw from the System until such hospital has satisfied all current obligations to the System.  Upon the filing of a certified copy of such resolution with the Board and upon the Board's determining that arrangements have been made for the payment of all financial obligations, if any, due the System by such withdrawing hospital, such hospital shall cease to be a participating employer on the first day of the month immediately following such determination and the filing of such resolution with the Board.  The employees of any such hospital withdrawing from the System shall have such rights as are provided by Section 912.1 of this title.  Any hospital that withdraws under the provisions of this act shall be responsible for the payment of any actuarial cost required as a result of such withdrawal.  Provided, however, any county having a population of less than four hundred thousand (400,000), according to the latest Federal Decennial Census, shall become a participating employer on January 1, 1974, notwithstanding any other provision of statute.

(2)  The State of Oklahoma, in its capacity as an eligible employer shall become a participating employer on the first entry date and thereafter on the entry date immediately following the creation of any state agency not now in existence.

(3)  From and after the passage of this act no county hospital, or county or state governmental agency, shall institute a retirement system other than as provided for in this act, except as to any other supplemental retirement plans otherwise expressly provided for by law.

Added by Laws 1963, c. 50, § 10, emerg. eff. May 6, 1963.  Amended by Laws 1967, c. 394, § 1, emerg. eff. May 23, 1967; Laws 1968, c. 219, § 1, emerg. eff. April 23, 1968; Laws 1968, c. 400, § 5, emerg. eff. May 17, 1968; Laws 1970, c. 296, § 2, emerg. eff. April 28, 1970; Laws 1973, c. 279, § 3, emerg. eff. May 30, 1973; Laws 1976, c. 207, § 2, emerg. eff. June 7, 1976; Laws 1979, c. 285, § 4, eff. July 1, 1979; Laws 1980, c. 317, § 3, eff. July 1, 1980; Laws 1982, c. 319, § 2, operative July 1, 1982; Laws 1985, c. 300, § 3, emerg. eff. July 24, 1985; Laws 1986, c. 238, § 4, operative July 1, 1986; Laws 1988, c. 284, § 8, operative July 1, 1988; Laws 1989, c. 199, § 1, eff. July 1, 1989; Laws 1990, c. 340, § 33, eff. July 1, 1990; Laws 1992, c. 376, § 14, eff. July 1, 1992; Laws 1996, c. 96, § 1, eff. July 1, 1996; Laws 1997, c. 315, § 1, eff. July 1, 1997; Laws 2004, c. 325, § 2, eff. July 1, 2004.

§74910.1.  Transfer from Employment Security Commission Retirement Plan to Public Employees Retirement System.

A.  Members of the Oklahoma Employment Security Commission Retirement Plan may decide individually to transfer from the Oklahoma Employment Security Commission Retirement Plan to the Oklahoma Public Employees Retirement System.  Any such decision shall be made prior to August 15, 1987.  The decision shall be made upon forms obtained from the Oklahoma Public Employees Retirement System.  Prior to September 1, 1988, the Oklahoma Employment Security Commission shall certify to the Oklahoma Public Employees Retirement System, the names and periods of credited service for those persons deciding to transfer.  In addition the Oklahoma Employment Security Commission may purchase additional periods of credited service for any of its employees who are members of the Oklahoma Public Employees Retirement System.

B.  Any person that makes the decision to transfer pursuant to the provisions of subsection A of this section, beginning November 1, 1987, shall cease being a member of the Oklahoma Employment Security Commission Retirement Plan and shall commence being a member of the Oklahoma Public Employees Retirement System.  On November 1, 1987, the Oklahoma Employment Security Commission shall transfer to the Oklahoma Public Employees Retirement System for each person deciding to transfer and for each employee who is currently a member of the Oklahoma Public Employees Retirement System for whom extra credited service is to be purchased an amount equal to the employer and employee contributions which would have been paid for such credited service had the person been a member of the Oklahoma Public Employees Retirement System at the time of accrual of such credited service, plus five percent (5%) simple interest to date of transfer.

C.  Upon the payment of the employee and employer contribution, service accrued by the person while a member of the Oklahoma Employment Security Commission Retirement Plan shall be treated as credited service in the Oklahoma Public Employees Retirement System.

D.  On January 1, 1988, the Oklahoma Employment Security Commission shall return to those persons transferring to the Oklahoma Public Employees Retirement System, any employee contributions made by the person which are not required to be transferred to the Oklahoma Public Employee Retirement System.

E.  The Oklahoma Employment Security Commission is authorized to establish a plan of voluntary early retirement for its employees, utilizing any funds in its independent retirement system in excess of those amounts necessary to ensure its actuarial soundness.  Such plan may require employees' contributions as determined by the Commission.   Prior to January 1, 1991, the Commission may acquire additional credited service for its employees in the Oklahoma Public Employees Retirement System at full actuarial value; provided, however, effective January 1, 1991, to acquire additional credited service for its employees in the System, the employee shall pay the amount determined by the Board pursuant to Section 39 of this act.

Added by Laws 1986, c. 81, § 2, emerg. eff. April 3, 1986. Amended by Laws 1987, c. 236, § 182, emerg. eff. July 20, 1987; Laws 1990, c. 340, § 34, eff. July 1, 1990.

§74910.1a.  Service credit for employment with Oklahoma Employment Security Commission.

Upon payment of a five percent (5%) contribution and interest of not to exceed five percent (5%) to the Oklahoma Public Employees Retirement System, a member of the Oklahoma Public Employees Retirement System shall receive service credit for any years of service the member had with the Oklahoma Employment Security Commission if the member is not receiving or eligible to receive service credit for the time in any other public retirement system; provided, however, effective January 1, 1990, the rate of contribution provided herein shall be ten percent (10%) and the rate of interest shall not exceed ten percent (10%), and effective January 1, 1991, to receive the service credit, the member shall pay the amount determined by the Board pursuant to Section 39 of this act.

Added by Laws 1987, c. 236, § 183, emerg. eff. July 20, 1987.  Amended by Laws 1989, c. 327, § 4, eff. July 1, 1989; Laws 1990, c. 340, § 35, eff. July 1, 1990.

§74-910.2.  Repealed by Laws 1999, c. 257, § 47, eff. July 1, 1999.

§74-910.3.  Oklahoma Housing Finance Authority - Participating employer.

A.  Effective July 1, 1997, the Oklahoma Housing Finance Agency shall be an eligible participating employer in the Oklahoma Public Employees Retirement System.  Employees hired after this date shall participate in the Oklahoma Public Employees Retirement System.  Employees participating in the Oklahoma Housing Finance Agency benefits plan hired prior to July 1, 1997, may elect to continue the current benefits plan provided by the Oklahoma Housing Finance Agency and not to become a member of the Oklahoma Public Employees Retirement System or at any time while an active employee of the Oklahoma Housing Finance Agency may:

1.  Elect to cease accruing benefits under the current benefits plan provided by the Oklahoma Housing Finance Agency and to purchase service credit in the Oklahoma Public Employees Retirement System in an amount equal to the time employed with the Oklahoma Housing Finance Agency prior to the time of election and at an actuarial rate pursuant to Section 913.5 of this title;

2.  Elect to cease accruing benefits under the current benefits plan provided by the Oklahoma Housing Finance Agency and to purchase a prorated amount of service credit in the Oklahoma Public Employees Retirement System based on the amount received from the current benefits plan and pursuant to Section 913.5 of this title; or

3.  Elect to cease accruing benefits under the current benefits plan provided by the Oklahoma Housing Finance Agency, not purchase any service credit in the Oklahoma Public Employees Retirement System, and to start a new retirement under the Oklahoma Public Employees Retirement System.

B.  Such employees hired prior to July 1, 1997, who elect to participate in the Oklahoma Public Employees Retirement System shall commence accruing benefits in the Oklahoma Public Employees Retirement System after the date of election and as established by the Oklahoma Public Employees Retirement System Board of Trustees.  The employees hired prior to July 1, 1997, electing to purchase service credit authorized by this section shall have all such service credit canceled which is not utilized in purchasing credit in the Oklahoma Public Employees Retirement System.  The purchase of service credit as provided in this section shall only be available upon the election of the employee.  The election shall be made in writing, filed with the Oklahoma Housing Finance Agency and the Oklahoma Public Employees Retirement System prior to receiving the credit purchased, and shall be irrevocable.  The Oklahoma Housing Finance Agency shall transfer the amounts from its benefits plan to the Oklahoma Public Employees Retirement System for those employees who elect to purchase service credit in the Oklahoma Public Employees Retirement System.

C.  Employees hired prior to July 1, 1997, and who either elected to purchase service credit in the Oklahoma Public Employees Retirement System or now desire to purchase service credit in the Oklahoma Public Employees Retirement System as provided in this section, shall be allowed up to eight (8) years from the date of election to pay for such service credit.  Payments may be made through payroll deductions if requested by an employee.  The Oklahoma Housing Finance Agency shall provide to the Oklahoma Public Employees Retirement System all information and documents requested from the System concerning the status of the retirement plan offered by the Authority to its employees.

Added by Laws 1997, c. 315, § 2, eff. July 1, 1997.  Amended by Laws 1998, c. 419, § 11, eff. July 1, 1998.

§74-910.4.  Former employees of city-county health departments - Participation in Public Employees Retirement System.

A.  Effective July 1, 1998, former employees of a city-county health department who become employees of the State Department of Agriculture or the Department of Environmental Quality who elect to participate in the Oklahoma Public Employees Retirement System shall make one of the following elections on or before January 1, 1999:

1.  Elect to continue the current benefits plan provided by the applicable city-county health department and not to become a member of the Oklahoma Public Employees Retirement System;

2.  Elect to cease accruing benefits under the current benefits plan provided by the applicable city-county health department and to purchase service credit in the Oklahoma Public Employees Retirement System in an amount equal to the time employed with the applicable city-county health department prior to the time of election and at an actuarial rate pursuant to Section 913.5 of Title 74 of the Oklahoma Statutes;

3.  Elect to cease accruing benefits under the current benefits plan provided by the applicable city-county health department and to purchase a prorated amount of service credit in the Oklahoma Public Employees Retirement System based on the amount received from the current benefits plan and pursuant to Section 913.5 of Title 74 of the Oklahoma Statutes;

4.  Elect to cease accruing benefits under the current benefits plan provided by the applicable city-county health department, not purchase any service credit in the Oklahoma Public Employees Retirement System, and to start a new retirement under the Oklahoma Public Employees Retirement System.

B.  Such employees who elect to participate in the Oklahoma Public Employees Retirement System shall commence accruing benefits in the Oklahoma Public Employees Retirement System after the date of election and as established by the Oklahoma Public Employees Retirement System Board of Trustees.  The employees electing to purchase service credit authorized by this section shall have all such service credit canceled which is not utilized in purchasing credit in the Oklahoma Public Employees Retirement System.  The purchase of service credit as provided in this section shall only be available upon the election of the employee.  The election shall be made in writing, filed with the applicable city-county health department and the Oklahoma Public Employees Retirement System prior to receiving the credit purchased, and shall be irrevocable.  The applicable city-county health department shall transfer the amounts from its benefits plan to the Oklahoma Public Employees Retirement System for those employees who elect to purchase service credit in the Oklahoma Public Employees Retirement System.

Added by Laws 1998, c. 361, § 2, eff. July 1, 1998.

§74-910.5.  Transfer of contributions.

A.  Any active member, as of July 1, 1998, whose compensation for service exceeded Twenty-five Thousand Dollars ($25,000.00) per annum prior to July 1, 1994, and who, prior to July 1, 1998, had voluntarily elected to increase the maximum compensation level pursuant to statutes in effect at that time, shall have transferred, pursuant to this subsection and the procedures established by the Board, the employee contributions made on compensation for service which is in excess of Twenty-five Thousand Dollars ($25,000.00) per annum prior to July 1, 1994, with an amount which represents the actuarial assumed earnings of the System of seven and one-half percent (7.5%) compounded annually until the date of transfer.  It is the intent of the Legislature that the excess contributions shall be transferred directly to an account established for the employee in the Oklahoma State Employees Deferred Savings Incentive Plan.  The provisions for transfer contained in this subsection shall not take effect until the Board receives official written notice that this distribution satisfies the tax qualification requirements for governmental plans applicable to such transfers as specified in the Internal Revenue Code of 1986, as amended from time to time and as applicable to governmental plans and the relevant regulatory provisions and guidance related thereto.

B.  Any member who is vested or eligible to vest and not participating or retired from the System, as of July 1, 1998, whose compensation for service exceeded Twenty-five Thousand Dollars ($25,000.00) per annum prior to July 1, 1994, and who, prior to July 1, 1998, had voluntarily elected to increase the maximum compensation level pursuant to statutes in effect at that time, shall be granted, pursuant to this subsection and the procedures established by the Board, a limited retirement benefit in addition to their normal retirement benefit in an amount equivalent to the additional employee contributions paid by the employee and made on compensation for service which is in excess of Twenty-five Thousand Dollars ($25,000.00) per annum prior to July 1, 1994.  The limited benefit shall be payable in an amount equal to Two Hundred Dollars ($200.00) per month or the amount of additional contributions actually paid, whichever is less, beginning with the first month the member retires and begins to receive monthly retirement benefits until the amount of additional contributions has been paid.  Upon the death of the member, the remaining unpaid amount of additional contributions, if any, shall be paid to the member's beneficiary in a lump sum or to the joint annuitant in the same manner as paid to the member if an election of a survivor option has been made pursuant to Section 918 of this title.  Any provisions for cost of living or other retirement benefit adjustments shall not be applicable to this limited benefit.  The provisions for the limited retirement benefit contained in this subsection shall not take effect until the Board receives official written notice that this distribution satisfies the tax qualification requirements for governmental plans applicable to such refunds or transfers as specified in the Internal Revenue Code of 1986, as amended from time to time and as applicable to governmental plans and the relevant regulatory provisions and guidance related thereto.

Added by Laws 1998, c. 419, § 12, eff. July 1, 1998.  Amended by Laws 1999, c. 282, § 1, eff. July 1, 1999; Laws 2000, c. 6, § 26, emerg. eff. March 20, 2000.

NOTE:  Editorially renumbered from § 910.4 of this title to avoid a duplication in mumbering.

NOTE:  Laws 1998, c. 363, § 2, which was an identical duplicate section, repealed by Laws 1999, c. 279, § 2, eff. July 1, 1999 and also repealed by Laws 1999, c. 282, § 2, eff. July 1, 1999.  Laws 1999, c. 279, § 1 repealed by Laws 2000, c. 6, § 33, emerg. eff. March 20, 2000.

§74911.  Employee members.

(1) Any employee of a participating employer on the entry date of such employer shall be a member of the System on the entry date.

(2) Any employee other than a state elected official who is employed by a participating employer after the entry date of such employer shall be a member of the System on the first day of the month immediately following employment.

(3) Any employee who is in military service or on leave of absence on the entry date of his employer shall become a member of the System upon his return to active employment.

Amended by Laws 1982, c. 319, § 3, operative July 1, 1982.  

§74912.  Consolidation of other systems.

(1) The State of Oklahoma, any county, city or town, or any instrumentality thereof whose employees or a class of whose employees are members of any other retirement or pension plan authorized by a statute of the State of Oklahoma may, by resolution adopted by the official board, body, or officer or officers authorized to apply for application, request the board to submit a proposal for consolidation of such other system with the Oklahoma Public Employees Retirement System, including an estimate of the contribution rate necessary to comply with the actuarial standard of this system.  Such proposal shall provide that:  (a) the operation of such other pension system shall be discontinued; (b) the existing retirants or annuitants of such other system shall continue to be paid by the Oklahoma Public Employees Retirement System on the basis of the benefits schedule applicable in such other system at the date of proposed consolidation; (c) all cash and securities to the credit of such other system shall be transferred to the Oklahoma Public Employees Retirement System; (d) funds of such other system which represent accumulated contributions, if any, of members shall be credited to the employees accumulated contribution reserve of each employee. The balance of the funds so transferred to the Oklahoma Public Employees Retirement System shall be offset against the liability on account of existing retirants, annuitants, and active members; (e) the resulting liability so determined shall be the basis for a rate of contribution of such employer; (f) such consolidation shall take effect only on the anniversary of the entry date.

Laws 1963, c. 50, § 12; Laws 1970, c. 296, § 4, emerg. eff. April 28, 1970.  

§74912.1.  Termination of Plan  Rights of participants  Distribution of assets.

(1)  In the event the Plan of the Public Employees Retirement System is terminated or partially terminated the right of all participants or in the event of partial termination the rights of the affected participants, or in the event of complete discontinuance of contributions, whether retired or otherwise, shall become fully vested.

(2)  In the event of termination of the Plan, the Board of Trustees shall distribute the net assets of the fund, allowing a period of not less than six (6) nor more than nine (9) months for dissolution of disability claims, as follows:

(a)  First, accumulated contributions shall be allocated to each respective participant, former participant, retired member, joint annuitant or beneficiary then receiving payments. If these assets are insufficient for this purpose, they shall be allocated to each such person in the proportion which his accumulated contributions bear to the total of all such participants' accumulated contributions.  For purposes of this section, contribution means payment into the System by an employer or employee for the benefit of an individual employee.  (b)  The balance of such assets, if any, remaining after making the allocations provided in subparagraph (a) of this section shall be disposed of by allocating to each person then having an interest in the fund the excess of his retirement income under the Plan less the retirement income which is equal to the actuarial equivalent of the amount allocated to him under subparagraph (a) of this section.  Such allocation shall be made with the full amount of the remaining assets to be allocated to the persons in each group in the following order of precedence:

(i)  those retired members, joint annuitants or beneficiaries receiving benefits,

(ii)  those members eligible to retire,

(iii)  those members eligible for early retirement,

(iv)  former participants electing to receive a vested benefit, and

(v)  all other members.

In the event the balance of the fund remaining after all allocations have been made with respect to all retirement income in a preceding group is insufficient to allocate the full actuarial equivalent of such retirement income to all persons in the group for which it is then being applied, such balance of the fund shall be allocated to each person in such group in the proportion which the actuarial equivalent of the retirement income allocable to him pursuant to such group bears to the total actuarial equivalent of the retirement income so allocable to all persons in such group.

Provided no discrimination in value results, the Board of Trustees shall distribute the amounts so allocated in one of the following manners as the Board of Trustees in their discretion may determine:

(i)  by continuing payment of benefits as they become due, or

(ii) by paying, in cash, the amount allocated to any such person.

Laws 1978, c. 206, § 1; Laws 1979, c. 285, § 5, eff. July 1, 1979.  

§74-913.  Crediting of prior and participating service - Transfer of service credits from Teachers' Retirement System of Oklahoma.

A.  Prior service shall be credited as follows:

1.  A member shall receive full credit for employment with any participating employer prior to the entry date of his or her employer whether or not continuous and whether or not he or she was employed with a participating employer on such entry date, provided that any member who has retired before the passage of Section 901 et seq. of this title, shall not receive retirement benefits retroactively for such prior service.  Provided, that at such time that an employer becomes a participating employer on or after January 1, 1965, and before January 1, 1975, each member and each retirant, upon making proper written application therefor, shall receive prior service credit for service with such employer in the same manner as if such participating employer had been a participating employer on the date first eligible to become a participating employer; and increased benefits attributable to such increased prior service credit shall commence with the next monthly benefit payment due following receipt and approval of such application by the Board of Trustees.  No prior service shall be granted, however, for periods of service in which the employee made contributions which he or she subsequently withdrew, unless he or she has complied with the provisions of subsection (5) of Section 917 of this title.  The burden of proof regarding prior service shall be with the member and shall be documented in such manner as the Board may direct;

2.  Any member who was employed in an institution of higher learning by a State Board of Regents or who was employed by an Oklahoma school district prior to July 1, 1943, may receive prior service credit under this act for the period of time they were so employed;

3.  Any member who served in the Armed Forces of the United States, as defined in paragraph (23) of Section 902 of this title, prior to membership in the Oklahoma Public Employees Retirement System shall be granted prior service credit, not to exceed five (5) years, for those periods of active military service during which he or she was a war veteran.  For a member of the System hired on or after July 1, 2003, if the military service credit authorized by this paragraph is used to compute the retirement benefit of the member and the member retires from the System, such military service credit shall not be used to compute the retirement benefit in any other retirement system created pursuant to the Oklahoma Statutes and the member may receive credit for such service only in the retirement system from which the member first retires;

4.  An elective state, county, city or town official who is ineligible for membership as a result of any applicable state law or constitutional provision making him or her ineligible solely because of his or her being such an official at the time of his or her eligibility for membership at the time his or her employer becomes a participating employer shall nevertheless not forfeit the prior service credit to which he or she would be entitled except for such ineligibility, provided that he or she either:

a. becomes an employee of a participating employer within four (4) calendar months of the expiration of his or her term of office current at the time of his or her eligibility except for his or her being an elective state or county official, or

b. within a period of four (4) years after the expiration of his or her term of office current at the time of his or her eligibility except for his or her being an elective state or county official, is elected as a state or county official and thereupon becomes a member of the System, or

c. has completed ten (10) years of credited service as of the date of his or her eligibility for membership except for his or her being an elective state or county official;

5.  Beginning July 1, 1965, all employees of the Department of Human Services shall participate in the Oklahoma Public Employees Retirement System to the same extent as other employees of participating employers in such System.  Provided, that any employee performing teaching services in the Oklahoma School for the Deaf or the Oklahoma School for the Blind may elect to participate in the Teachers' Retirement System of Oklahoma in lieu of the Oklahoma Public Employees Retirement System; and any other employee at each such institution or any other institution under the jurisdiction of the Department of Human Services, participating in the Teachers' Retirement System of Oklahoma, may elect to continue to participate in such system in lieu of the Oklahoma Public Employees Retirement System.  All employees who shall have participated in the Teachers' Retirement System of Oklahoma and not continuing therein shall have the right to withdraw their membership from the Teachers' Retirement System of Oklahoma on the same terms as other members withdrawing from such System before retirement.  Provided, all persons employed at the Oklahoma School for the Blind and Oklahoma School for the Deaf on June 30, 1965, who became subject to the Oklahoma Public Employees Retirement System, on July 1, 1965, shall receive credit for prior service and be eligible for participation, regardless of age;

6.  A member employed as a temporary employee by the Legislative Service Bureau or its predecessors, the State Senate or the House of Representatives for the full duration of a regular legislative session prior to the member's eligibility for membership in the System shall receive six (6) months of prior service credit for each such full regular legislative session if the employee is employed by the Legislative Service Bureau or its predecessors, the State Senate or the House of Representatives as either a full-time or temporary employee for a minimum of six (6) full regular legislative sessions beginning January 1, 1983.  For purposes of this subsection, the determination of whether an employee is employed for the full duration of a regular legislative session shall be made by the Legislative Service Bureau if such employee is employed by the Legislative Service Bureau, the State Senate if such employee is employed by the State Senate, or by the House of Representatives if such employee is employed by the House of Representatives;

7.  A member of the System shall receive prior service credit for any years of service after January 1, 1975, the member had with a participating employer if the member is not receiving or eligible to receive such prior service credit for the same time in any other state or county retirement system authorized by law.  To receive the service credit, the member shall pay the amount determined by the Board pursuant to Section 913.5 of this title; and

8.  Any member who is a state employee and receives temporary total disability benefits during the period of absence with a participating employer due to a work-related injury or illness incurred while engaged in a governmental function for said participating employer pursuant to the Workers' Compensation Act shall receive credit for participating service during said period of absence subject to the following requirements:

a. the member was employed by the participating employer immediately prior to and during the period of absence,

b. the member must notify the System in writing not later than four (4) months after the member's return to his or her job duties with the participating employer, or termination of employment with the participating employer, or termination of the temporary total disability benefits, whichever is earlier, of the member's desire to receive participating service credit for the period of absence,

c. the participating employer must certify to the System in writing the dates during which temporary total disability benefits payments were paid to the member, and

d. the member and the participating employer shall each pay their respective contributions required for the period of absence without interest within sixty (60) days of invoicing by the System, or with interest of seven and one-half percent (7 1/2%) compounded annually if paid after said sixty (60) days.

B.  Participating service shall be credited as follows:

1.  A member shall receive credit for participating service with a participating employer in accordance with the rules and regulations established by the Board; provided, however, that a member who is not a full-time employee shall receive prorated credit for actual hours worked;

2.  Leaves of absence shall not count as a break in continuous employment provided the member leaves his or her accumulated contribution on deposit with the fund; however, the leaves of absence shall not be credited except that involuntary furloughs established by Office of Personnel Management rules shall be credited, as well as involuntary furloughs of employees of a district attorney conducted in substantial compliance with the rules of the Office of Personnel Management as certified by the District Attorneys Council;

3.  Any member who has served in the Armed Forces of the United States, as defined in paragraph (23) of Section 902 of this title, shall be granted participating service for those periods of active military service during which he or she was a war veteran provided this service is immediately preceded by a period of employment with a participating employer and is followed by return to employment as an employee with the same or another participating employer within ninety (90) days immediately following discharge from such military service provided the member leaves his or her accumulated contributions on deposit with the fund;

4.  A period of total disability under the System immediately followed by employment with a participating employer, shall not count as a break in continuous employment; provided, that such periods while not employed shall not be credited except that involuntary furloughs established by Office of Personnel Management Rule 6.13, shall be credited;

5.  Termination of employment with a participating employer followed by employment with the same or another participating employer within four (4) calendar months shall not constitute a break in continuous employment; provided, that such period while not employed shall not be credited as participating service;

6.  Provided, however, that all employee contributions required by this act made by employees prior to June 30, 1977, will entitle the employee to additional years of participating service in accordance with the following schedule.

Employee accumulated contributions:

More than $1.00 up to $500 = 1 year participating service

More than $500 up to $1,000 = 2 years participating service

More than $1,000 up to $1,500 = 3 years participating service

More than $1,500 up to $2,000 = 4 years participating service

More than $2,000 = 5 years participating service

In no event shall the employee be entitled to more than five (5) additional years of participating service as provided hereunder.

Provided further, that upon termination of employment prior to retirement, the accumulated contributions will be credited as above indicated to establish a vested benefit if so elected by any such employee; and

7.  The total participating service credit of a member who retires or terminates employment and elects a vested benefit shall include not to exceed one hundred thirty (130) days of unused sick leave accumulated subsequent to August 1, 1959, during the member's employment with any participating employer.  Such credit shall be added in terms of whole months.  Twenty (20) days of unused sick leave shall equal one (1) month for purposes of participating service credit.  If unused sick leave entitles a member to an additional year of service credit, the member's employer shall reimburse the System for the cost of funding the additional reserve.  Each participating employer shall provide the System with adequate and timely information necessary to determine additional benefits and its cost under this paragraph.  This paragraph shall apply to members retiring or vesting on or after July 1, 1984.

C.  In determining the number of years of credited service, a fractional year of six (6) months or more shall be considered as one (1) year, and less than six (6) months shall be disregarded.

D.  A member may receive credit for those years of credited service accumulated by the member while a member of the Oklahoma Firefighters Pension and Retirement System, the Oklahoma Police Pension and Retirement System, the Uniform Retirement System for Justices and Judges, the Oklahoma Law Enforcement Retirement System, or the Teachers' Retirement System of Oklahoma, if the member is not receiving or eligible to receive retirement credit or benefits from said service in any other public retirement system.  To receive the service credit, the member shall pay the amount determined by the Board pursuant to Section 913.5 of this title.

E.  A member may receive credit for those years of service accumulated by the member as an elected official if the member is not receiving or eligible to receive retirement credit or benefits from said service in any public retirement system.  Prior to January 1, 1991, to receive the service credit, the member shall pay to the Board for each year of service purchased pursuant to this subsection a sum equal to the employee and employer contribution rate that would have been applicable to the member as determined by the Board and interest of not to exceed five percent (5%), and effective January 1, 1991, to receive the service credit, the member shall pay the amount determined by the Board pursuant to Section 913.5 of this title.

F.  Effective December 12, 1994, and thereafter, a leave of absence on account of a period of qualified military service in the uniformed services of the United States within the meaning of Section 414(u)(5) of the federal Internal Revenue Code, followed by a return to employment with the participating employer within ninety (90) days after completion of the period of service may be eligible for credited service under this System.  Notwithstanding any provision of this plan to the contrary, contributions, benefits and service credit with respect to qualified military service will be allowed in accordance with Section 414(u) of the federal Internal Revenue Code.

G.  1.  An active member of the Oklahoma Public Employees Retirement System may receive credit for those years of service accumulated by the member while a member of the Teachers' Retirement System of Oklahoma if:

a. the member is an active member of the Oklahoma Public Employees Retirement System, and

b. the member provides notice to the Teachers' Retirement System of Oklahoma and the Oklahoma Public Employees Retirement System of the member's election to transfer said retirement credit.  The notice shall include a list of the years to be transferred, and

c. the member is not receiving or eligible to receive retirement credit or benefits from said service in any other public retirement system, notwithstanding the years of service sought to be transferred under this subsection.

Members electing to take advantage of the transfer authorized by this subsection who are receiving or eligible to receive retirement credit or benefits from said service in any other public retirement system shall have all service credit with the Teachers' Retirement System of Oklahoma canceled which is not transferred to the Oklahoma Public Employees Retirement System or used as a cash offset in such a transfer pursuant to subparagraph d of paragraph 2 of this subsection.  Service credit transferred to the Teachers' Retirement System of Oklahoma under this subsection shall also be canceled with the Oklahoma Public Employees Retirement System.

2.  For purposes of this subsection, the "sending system" shall mean the Teachers' Retirement System of Oklahoma.  The "receiving system" shall mean the Oklahoma Public Employees Retirement System.

a. Within thirty (30) days notification of an intent to transfer is received by the sending system, the sending system shall, according to its own rules and regulations:

(1) for members who have vested with the sending system, determine the present value of the member's earned benefits attributable to the years of service sought to be transferred, discounted according to the member's age at the time of transfer and computed as of the earliest age at which the member would be able to retire.  Said computation shall assume an unreduced benefit and be computed using interest and mortality assumptions consistent with the actuarial assumptions adopted by the Board of Trustees for purposes of preparing the annual actuarial evaluation but shall not make any projections regarding future salary.  For vested employees the sending system shall use the product of this calculation for purposes of determining the transfer fee to be paid by the employee under subparagraph c of this paragraph so long as it is greater than the product of the calculation in this division, and

(2) determine the sum of the employee and employer contributions applicable to the years of service sought to be transferred plus interest consistent with the actuarial assumptions adopted by the Board of Trustees for purposes of preparing the annual actuarial evaluation.  For all nonvested members, and for vested members if the product of this calculation is greater than the product of the calculation in division (1) of this subparagraph, the sending system shall use the product of this calculation for purposes of determining the amount to be transferred by the sending system under subparagraph c of this paragraph and any transfer fee to be paid by the members under subparagraph d of this paragraph.

b. Within thirty (30) days after notification of an intent to transfer is received by the receiving system, the receiving system shall determine, according to the system's own rules and regulations, the present value of the member's incremental projected benefits discounted according to the member's age at the time of the transfer.  Incremental projected benefits shall be the difference between the projected benefit said member would receive without transferring the service credit and the projected benefit after transfer of service credit computed as of the earliest age at which the member would be able to retire.  Said computation shall assume an unreduced benefit and be computed using interest, salary projections and mortality assumptions consistent with the actuarial assumptions adopted by the Board of Trustees for purposes of preparing the annual actuarial evaluation.

c. The sending system shall, within sixty (60) days from the date notification of an intent to transfer is received by the sending system, transfer to the receiving system the amount determined in subparagraph a of this paragraph.  Except, if the cost under subparagraph a of this paragraph for the same years of service to the sending system is greater than the actuarial value of the incremental benefit in the receiving system, as established in subparagraph b of this paragraph, the sending system shall send the receiving system an amount equal to the actuarial value of the incremental projected benefit in the receiving system.

d. In order to receive the credit provided for in paragraph 1 of this subsection, if the cost of the actuarial value of the incremental benefit to the receiving system is greater than the cost as calculated under subparagraph a of this paragraph for the same years of service to the sending system as established in subparagraphs a and b of this paragraph, the employee shall elect to:

(1) pay any difference to receive full credit for the years sought to be transferred, or

(2) receive prorated service credit for only the amount received from the Teachers' Retirement System of Oklahoma pursuant to this subsection.

Such an election shall be made in writing, filed with the System prior to receiving the credit provided for in paragraph 1 of this subsection, and shall be irrevocable.

3.  Within sixty (60) days of successfully completing all of the requirements for transfer under this subsection, the sending system shall pay the receiving system any amount due under this subsection.  Within sixty (60) days of successfully completing all of the requirements for transfer under this subsection, the member shall pay the receiving system any amount due under this subsection.  In the event that the member is unable to pay the transfer fee provided for in this subsection by the due date, the Board of Trustees of the receiving system shall permit the member to amortize the transfer fee over a period not to exceed sixty (60) months.  Said payments shall be made by payroll deductions unless the Board of Trustees permits an alternate payment source.  The amortization shall include interest in an amount not to exceed the actuarially assumed interest rate adopted by the Board of Trustees for investment earnings each year.  Any member who ceases to make payment, terminates, retires or dies before completing the payments provided for in this section shall receive prorated service credit for only those payments made, unless the unpaid balance is paid by said member, his or her estate or successor in interest within six (6) months after said member's death, termination of employment or retirement, provided no retirement benefits shall be payable until the unpaid balance is paid, unless said member or beneficiary affirmatively waives the additional six-month period in which to pay the unpaid balance.

4.  Years of service transferred pursuant to this subsection shall be used both in determining the member's retirement benefit and in determining the years of service for retirement and/or vesting purposes.  Years of service rendered as a member of the Teachers' Retirement System of Oklahoma prior to July 1, 1992, if any, shall be deemed to be years of service rendered as a member of the Oklahoma Public Employees Retirement System prior to July 1, 1992, and shall qualify such person as a member of the Oklahoma Public Employees Retirement System before July 1, 1992.

5.  Notwithstanding the requirements of Section 17-104 of Title 70 of the Oklahoma Statutes, members electing to take advantage of the transfer authorized by this subsection who have withdrawn their contributions from the sending system shall remit to the sending system the amount of the accumulated contributions the member has withdrawn plus simple interest of ten percent (10%) per annum prior to making said election or the election shall be deemed invalid and the transfer shall be canceled.  If such an election is deemed invalid and the transfer is canceled, the accumulated contribution remitted to the sending system by the member who originally withdrew their contributions shall be returned to the member.  The member's rights and obligations regarding any service credit reestablished in the sending system due to a failure to satisfy the requirements of this subsection shall be determined by the sending system in accordance with Section 17-101 et seq. of Title 70 of the Oklahoma Statutes.

6.  If any member fails for any reason to satisfy the requirements of this subsection, the election to transfer retirement credit shall be void and of no effect, and any retirement credited as a result of this transfer shall be canceled.  If such retirement credit is canceled, the years of canceled retirement credit which were unsuccessfully transferred to the receiving system from the sending system shall be reestablished in the sending system.  The member's rights and obligations regarding any retirement credit reestablished in the sending system due to a failure to satisfy the requirements of this subsection shall be determined by the sending system in accordance with Section 17-101 et seq. of Title 70 of the Oklahoma Statutes.

7.  The Board of Trustees shall promulgate such rules as are necessary to implement the provisions of this subsection.

H.  1.  A member of the Teachers' Retirement System of Oklahoma whose last service with the Teachers' Retirement System of Oklahoma was with an entity or institution within The Oklahoma State System of Higher Education, State Board of Education, State Board of Career and Technology Education, Oklahoma Department of Career and Technology Education, Oklahoma School of Science and Mathematics, Oklahoma Center for the Advancement of Science and Technology, State Department of Rehabilitation Services, Oklahoma State Regents for Higher Education, Department of Corrections, State Department of Education, Oklahoma Board of Private Vocational Schools, Board of Regents of Oklahoma Colleges, Oklahoma Student Loan Authority, or the Teachers' Retirement System of Oklahoma, may elect to receive credit for those years of service accumulated by the member in the Teachers' Retirement System of Oklahoma, pursuant to this subsection.  A member shall be eligible to elect to transfer credit for such years of service from the Teachers' Retirement System of Oklahoma to the Oklahoma Public Employees Retirement System if:

a. the member is an active member of the Oklahoma Public Employees Retirement System,

b. the member provides notice to the Teachers' Retirement System of Oklahoma and the Oklahoma Public Employees Retirement System of the member's election to transfer such retirement credit.  The notice shall include a list of the years to be transferred, and

c. the member is not receiving or eligible to receive retirement credit or benefits from such service in any other public retirement system, notwithstanding the years of service sought to be transferred under this subsection.

Members electing to take advantage of the transfer authorized by this subsection shall have all service credit with the Teachers' Retirement System of Oklahoma canceled which is transferred to the Oklahoma Public Employees Retirement System.

2.  For purposes of this subsection, the "sending system" shall mean the Teachers' Retirement System of Oklahoma.  The "receiving system" shall mean the Oklahoma Public Employees Retirement System.

Within thirty (30) days after notification of an intent to transfer is received by the sending system, the sending system shall, according to its own rules, send to the receiving system all employer and employee contributions made on behalf of the member which were made to the sending system plus an additional amount of earnings based on the actuarial assumed rate of the sending system.  Upon receipt of these contributions by the receiving system, the receiving system shall give credit to the transferring member in an amount equal to the years of service accrued in the sending system.

3.  If the transferring member's normal retirement date calculation is based upon the sum of the member's age and number of years of credited service totaling eighty (80) in the sending system, then the member shall retain such calculation in the receiving system.

4.  The Board of Trustees shall promulgate such rules as are necessary to implement the provisions of this subsection.

I.  A member of the System in the employment of the Governor, the State Senate or the House of Representatives, on or after July 1, 1999, may make an election prior to December 31, 2000, which shall be irrevocable and on a form prescribed for such purpose by the System, to continue participation in the System upon becoming employed by a participating employer of the Teachers' Retirement System of Oklahoma.  The Board shall promulgate all rules necessary to implement the provisions of this subsection.

Added by Laws 1963, c. 50, § 13, emerg. eff. May 6, 1963.  Amended by Laws 1965, c. 432, § 3, emerg. eff. July 9, 1965; Laws 1968, c. 400, § 2, emerg. eff. May 17, 1968; Laws 1969, c. 349, § 6, emerg. eff. May 13, 1969; Laws 1970, c. 296, § 5, emerg. eff. April 28, 1970; Laws 1973, c. 279, § 4, emerg. eff. May 30, 1973; Laws 1974, c. 239, § 1, operative July 1, 1974; Laws 1975, c. 267, § 4, emerg. eff. June 5, 1975; Laws 1976, c. 207, § 3, emerg. eff. June 7, 1976; Laws 1977, c. 147, § 5, eff. July 1, 1977; Laws 1979, c. 285, § 6, eff. July 1, 1979; Laws 1981, c. 316, § 1, eff. July 1, 1981; Laws 1982, c. 65, § 1, emerg. eff. March 30, 1982; Laws 1984, c. 267, § 2, operative July 1, 1984; Laws 1985, c. 300, § 4, emerg. eff. July 24, 1985; Laws 1987, c. 236, § 184, emerg. eff. July 20, 1987; Laws 1988, c. 267, § 30, operative July 1, 1988; Laws 1989, c. 327, § 5, eff. July 1, 1989; Laws 1990, c. 340, § 38, eff. July 1, 1990; Laws 1992, c. 376, § 15, eff. July 1, 1992; Laws 1993, c. 322, § 19, emerg. eff. June 7, 1993; Laws 1994, c. 370, § 4, eff. July 1, 1994; Laws 1995, c. 329, § 2, eff. July 1, 1995; Laws 1996, c. 3, § 23, emerg. eff. March 6, 1996; Laws 1997, c. 255, § 1, eff. July 1, 1997; Laws 1998, c. 419, § 13, eff. July 1, 1998; Laws 1999, c. 257, § 33, eff. July 1, 1999; Laws 2000, c. 377, § 13, eff. July 1, 2000; Laws 2001, c. 5, § 57, emerg. eff. March 21, 2001; Laws 2003, c. 406, § 17, eff. July 1, 2003; Laws 2004, c. 5, § 101, emerg. eff. March 1, 2004; Laws 2004, c. 359, § 1, emerg. eff. May 27, 2004; Laws 2005, c. 1, § 136, emerg. eff. March 15, 2005.

NOTE:  Laws 1984, c. 166, § 10 repealed by Laws 1985, c. 300, § 11, emerg. eff. July 24, 1985.  Laws 1995, c. 302, § 2 repealed by Laws 1996, c. 3, § 25, emerg. eff. March 6, 1996.  Laws 2000, c. 311, § 3 repealed by Laws 2001, c. 5, § 58, emerg. eff. March 21, 2001.  Laws 2003, c. 359, § 4 repealed by Laws 2004, c. 5, § 102, emerg. eff. March 1, 2004.  Laws 2004, c. 275, § 16 repealed by Laws 2005, c. 1, § 137, emerg. eff. March 15, 2005.

§74913.1.  District court reporters  Credit for prior service.

All court reporters of the district court shall be entitled to credit for all years of prior service as a court reporter in any court of record in the State of Oklahoma for purposes of participation in the Oklahoma Public Employees Retirement System, provided they are otherwise eligible for prior service under said System.  No court reporter shall be entitled to participation in the Uniform Retirement System for Justices and Judges.

Laws 1969, c. 328, § 6, emerg. eff. May 7, 1969; Laws 1973, c. 279, § 5, emerg. eff. May 30, 1973.  

§74-913.1a.  Nonclassified optional education personnel - Service credit.

A member may receive credit in the Oklahoma Public Employees Retirement System for those years of service accumulated by the member as nonclassified optional personnel as defined by paragraph 4 of Section 17-101 of Title 70 of the Oklahoma Statutes if the member is not receiving or eligible to receive retirement credit or benefits from said service in any public retirement system.  To receive the service credit, the member shall pay the amount determined by the Board pursuant to Section 913.5 of this title.

Added by Laws 1993, c. 134, § 1, emerg. eff. May 4, 1993.

§74913.2.  Rights of Justices or Judges not affected  Prohibition on becoming members.

The provisions of this act shall not operate either to enlarge or to diminish any rights any Justice or Judge of the Supreme Court, Court of Criminal Appeals, Court of Appeals, State Industrial Court or district court may now have under the provisions of the Oklahoma Public Employees Retirement System, and no Justice or Judge of the above named courts shall be eligible to become a member of the Oklahoma Public Employees Retirement System.

Laws 1973, c. 279, § 8, emerg. eff. May 30, 1973.  

§74-913.4.  Elected officials - Election to participate in plan - Contribution rate - Benefits.

A.  An elected official may elect to participate in the System and if he elects to do so shall have the option of contributing at any one of the below listed percentage factors and will receive retirement benefits in accordance with the percentage factor chosen.  The election on participation in the System must be in writing, must specify the percent of contributions chosen, and must be filed with the System within ninety (90) days after the elected official takes office.  The election is irrevocable.  Reelection to the same office will not permit a new election.  Failure of an elected official to file such election form within the ninety-day period shall be deemed an irrevocable election to participate in the System at the maximum contribution percentage.  Any currently serving elected official who has not previously elected to participate in the System on the effective date of this act, must make an election on participation in writing, specifying the contributions percent no later than December 1, 1999.  Failure of a currently serving elected official to file such election form shall be deemed an irrevocable election to participate in the System at the maximum contribution percentage.  Contributions and benefits will be based upon his annual compensation as defined in Section 902 of this title.  Employer and employee contributions shall be remitted monthly, or as the Board may otherwise provide, to the Executive Director for deposit in the Oklahoma Public Employees Retirement Fund.  Effective July 1, 1994, and thereafter, the participating employer shall contribute as provided in Section 920 of this title.

Effective July 1, 1994, and thereafter, the member contributions and the computation factor selected shall be based on the entire compensation as an elected official subject to the definition and maximum compensation levels as set forth in paragraph (9) of Section 902 of this title and shall be as follows:

Percent of Computation Alternate

Contribution Factor Formula

  4 1/2% 019 $12.50

  6% 025 $20.00

  7 1/2% 030 $25.00

  8 1/2% 034 $27.50

  9% 036 $30.00

10% 040 $40.00

B.  The normal retirement date for an elected official shall be the first day of the month coinciding with or following the official's sixtieth birthday or the first day of the month coinciding with or following the date at which the sum of the elected official's age and number of years of credited service total eighty (80).  Provided further, that any elective official who has a minimum of ten (10) years' participating service may retire under the early retirement provisions of this act, including those electing a vested benefit and shall receive an adjustment of annual benefits in accordance with the following percentage schedule:

Percentage of Normal

Age Retirement Benefits

60 100%

59 94%

58 88%

57 82%

56 76%

55 70%

C.  Any elected official shall receive annual benefits computed based upon the computation factor selected multiplied by the member's highest annual compensation received as an elected official prior to retirement or termination of employment; provided, no elected official shall retire using such highest annual compensation unless the elected official has made the required election and has paid the required contributions on such salary, multiplied by the number of years of credited service, that has been credited to the member in accordance with the provisions of this section.

The retirement benefit may be computed pursuant to the provisions of paragraph (1) of subsection A of Section 915 of this title if the benefit would be higher.  Elected officials who have a vested benefit prior to July 1, 1980, may elect to receive annual benefits based on the alternate formula provided above.  Such annual benefits shall be paid in equal monthly installments.

D.  Any elected official making an election to participate at a contribution percent less than the maximum and later selecting a higher rate shall contribute to the System a sum equal to the amount which he would have contributed if he had made such election at the time he first became eligible, plus interest as determined by the Board, in order to receive the additional benefits for all service as an elected official; otherwise, the additional benefits shall be applicable only to service for which the elected official pays the appropriate percent of contributions to the System.  Any elected official who did not elect to participate and later elects to participate prior to December 1, 1999, may receive credit for those years of service accumulated by the member as an elected official if the member is not receiving or eligible to receive retirement credit or benefits from said service in any public retirement system.  To receive this service credit, the member shall pay the amount determined by the Board pursuant to Section 913.5 of this title.

E.  An elected official who has a vested benefit on July 1, 1982, may elect to receive benefits based upon a higher contribution rate than the official previously contributed by paying to the System the contributions, plus interest as determined by the Board, due at the higher rate as if that rate had been in effect at the time the official accepted a vested benefit.

F.  The surviving spouse of a deceased elected official having at least six (6) years of participating service shall be entitled to receive survivor benefits in the amount herein prescribed, if married to the decedent continuously for a period of at least three (3) years immediately preceding the elected official's death.  Provided the elected official had met the service requirements, survivor benefits shall be payable when the deceased member would have met the requirements for normal or early retirement.  The amount of the benefits the surviving spouse may receive shall be fifty percent (50%) of the amount of benefits the deceased elected official was receiving or will be eligible to receive.  Remarriage of a surviving spouse shall disqualify the spouse for the receipt of survivor benefits.  Elected officials may elect a retirement option as provided in Section 918 of this title in lieu of the survivors benefit provided above.

G.  Any elected official who served in the Armed Forces of the United States, as defined in paragraph (23) of Section 902 of this title, prior to membership in the Oklahoma Public Employees Retirement System shall be granted credited service of not to exceed five (5) years for those periods of active military service during which the elected official was a war veteran.

H.  Any one appointed or elected to an elected position after July 1, 1990, shall not be eligible to receive benefits as provided in this section until such person has participated as an elected official for six (6) years.

I.  Elected officials who terminate participation in the System and who have a minimum of six (6) years of participating service shall be entitled to elect a vested benefit and shall be entitled to the retirement options as provided in Section 918 of this title in lieu of the survivors benefit provided above.

Added by Laws 1980, c. 317, § 4, eff. July 1, 1980.  Amended by Laws 1982, c. 319, § 4, operative July 1, 1982; Laws 1986, c. 238, § 6, operative July 1, 1986; Laws 1987, c. 236, § 185, emerg. eff. July 20, 1987; Laws 1988, c. 267, § 31, operative July 1, 1988; Laws 1989, c. 251, § 1, eff. Sept. 1, 1989; Laws 1990, c. 57, § 1, eff. July 1, 1990; Laws 1994, c. 383, § 9, eff. July 1, 1994; Laws 1995, c. 1, § 36, emerg. eff. March 2, 1995; Laws 1995, c. 302, § 3, eff. July 1, 1995; Laws 1998, c. 317, § 11, eff. July 1, 1998; Laws 1999, c. 257, § 35, eff. July 1, 1999; Laws 2003, c. 486, § 5, eff. July 1, 2003.

NOTE:  Laws 1987, c. 206, § 91 vetoed July 1, 1987.

NOTE:  Laws 1994, c. 381, § 4 repealed by Laws 1995, c. 1, § 40, emerg. eff. March 2, 1995.

§74-913.5.  Service credit - Computation of purchase price - Amortizing cost of returning withdrawn or unremitted contributions.

A.  The Board of Trustees shall adopt rules for computation of the purchase price for service credit.  These rules shall base the purchase price for each year purchased on the actuarial cost of the incremental projected benefits to be purchased.  The purchase price shall represent the present value of the incremental projected benefits discounted according to the member's age at the time of purchase.  Incremental projected benefits shall be the difference between the projected benefit said member would receive without purchasing the service credit and the projected benefit after purchase of the service credit computed as of the earliest age at which the member would be able to retire.  Said computation shall assume an unreduced benefit and be computed using interest and mortality assumptions consistent with the actuarial assumptions adopted by the Board of Trustees for purposes of preparing the annual actuarial evaluation.

B.  In the event that the member is unable to pay the purchase price provided for in this section by the due date, the Board of Trustees shall permit the members to amortize the purchase price over a period not to exceed sixty (60) months.  Said payments shall be made by payroll deductions unless the State Board permits an alternate payment source.  The amortization shall include interest in an amount not to exceed the actuarially assumed interest rate adopted by the Board of Trustees for investment earnings each year.  Any member who ceases to make payment, terminates, retires or dies before completing the payments provided for in this section shall receive prorated service credit for only those payments made, unless the unpaid balance is paid by said member, his or her estate or successor in interest within six (6) months after said member's death, termination of employment or retirement, provided no retirement benefits shall be payable until the unpaid balance is paid, unless said member or beneficiary affirmatively waives the additional six-month period in which to pay the unpaid balance.  The Board of Trustees shall promulgate such rules as are necessary to implement the provisions of this subsection.

C.  Current contributing members who, as former members, withdrew their accumulated contributions, contributing elected members who at the time of initial eligibility to participate as a member of the System elected not to participate, and/or contributing elected members who at the time of eligibility to participate as a member of the System elected to participate but did not elect to participate at the maximum contribution rate may amortize the cost of returning the withdrawn contributions, unremitted contributions or required actuarial cost over a period of not to exceed sixty (60) months.  Said payments shall be made by payroll deductions unless the Board of Trustees permits an alternate payment source.  The amortization shall include interest in an amount not to exceed the actuarially assumed interest rate adopted by the Board of Trustees for investment earnings each year.  Any member who ceases to make payments, terminates, retires or dies before completing the payments provided in this subsection shall be refunded all related payments made, and all related credited service and other related benefits shall be canceled unless the unpaid balance is paid by said member, his or her estate or successor in interest within six (6) months after said member's death, termination of employment or retirement.  No retirement benefits shall be payable until the unpaid balance is paid, unless said member or beneficiary affirmatively waives the additional six-month period in which to pay the unpaid balance.  The Board of Trustees shall promulgate such rules as are necessary to implement the provisions of this subsection.

Added by Laws 1990, c. 340, § 39, eff. July 1, 1990.  Amended by Laws 1993, c. 322, § 20, emerg. eff. June 7, 1993; Laws 1995, c. 302, § 4, eff. July 1, 1995; Laws 1999, c. 257, § 36, eff. July 1, 1999.

§74-913.6.  Repealed by Laws 1999, c. 257, § 48, eff. July 1, 1999.

§74-913.7.  Transferred employees of George Nigh Rehabilitation Institute - Election to continue membership in Oklahoma Public Employees Retirement System.

A.  An employee transferred pursuant to the provisions of Section 3 of this act may elect to remain as a member of the Oklahoma Public Employees Retirement System and if the employee elects to do so, shall file an election on a form prescribed for that purpose with the Oklahoma Public Employees Retirement System not later than December 31, 1999, or the employee may elect to become a member of the Teachers' Retirement System of Oklahoma and if the employee elects to do so shall file an election on a form prescribed for that purpose with the Teachers' Retirement System of Oklahoma not later than December 31, 1999.

B.  If an employee files the election provided for in subsection A of this section to continue membership in the Oklahoma Public Employees Retirement System, the employer to which the employee is transferred shall pay the required employer contributions applicable to the participating employers in the Oklahoma Public Employees Retirement System pursuant to Section 920 of Title 74 of the Oklahoma Statutes and the employee shall continue to pay employee contributions as required by Section 919.1 of Title 74 of the Oklahoma Statutes.

C.  Until an employee files an election pursuant to subsection A of this section, the employee shall continue to be a member of the Oklahoma Public Employees Retirement System and the employer to which the employee is transferred shall make required employer contributions pursuant to Section 920 of Title 74 of the Oklahoma Statutes.

D.  If an employee transferred pursuant to Section 3 of this act elects a vested benefit to be paid from the Oklahoma Public Employees Retirement System, and if the employee has accumulated sick leave, on June 30, 1999, equal to or in excess of one hundred thirty (130) days then, notwithstanding the actual amount of accumulated sick leave the employee has accrued on the date as of which the vested benefit is elected, the provisions of Section 913 of Title 74 of the Oklahoma Statutes shall be applicable to the computation of participating service credit based upon accumulated sick leave for such employee.

Added by Laws 1999, c. 347, § 4, eff. July 1, 1999.

§74-913.8.  Military service credit - payment.

A.  Any active member of the Oklahoma Public Employees Retirement System whose initial membership in the System began on or after July 1, 2000, may receive up to five (5) years of prior or participating military service credit as otherwise provided in this act, only upon payment of the amount determined by the Board pursuant to Section 913.5 of this title.

B.  For a member of the System hired on or after July 1, 2003, if the military service credit authorized by this section is used to compute the retirement benefit of the member and the member retires from the System, such military service credit shall not be used to compute the retirement benefit in any other retirement system created pursuant to the Oklahoma Statutes and the member may receive credit for such service only in the retirement system from which the member first retires.

Added by Laws 2000, c. 311, § 4, eff. July 1, 2000.  Amended by Laws 2003, c. 406, § 18, eff. July 1, 2003.

§74-913a.  Employee denied membership in System or forced to discontinue participation for certain reasons - Service credit for years denied participation - Contributions.

Any employee who was denied membership in the Oklahoma Public Employees Retirement System or was forced to discontinue participation in the System as a result of receiving a retirement benefit from another retirement plan authorized under any other law of this state may receive credit for those years of service accumulated by the employee during the time the employee was denied participation.  To receive this service credit, the member shall pay to the Board prior to January 1, 1991, for each year of service purchased pursuant to this subsection, a ten percent (10%) contribution and interest of ten percent (10%), provided however, effective January 1, 1991, to receive the service credit, the member shall pay the amount determined by the Board pursuant to Section 39 of this act.  Any person purchasing service credit pursuant to this subsection shall not be eligible for prior or participating service credit if the member is receiving or eligible to receive service credit for such time in any other state retirement plan.

Added by Laws 1990, c. 340, § 37, eff. July 1, 1990.

§74-913b.  Purchase of incentive credit.

A.  A member of the Oklahoma Public Employees Retirement System who is employed and participating with a participating employer may purchase not to exceed two (2) years of incentive credit if:

1.  The member has reached his or her normal retirement date or is within two (2) years of reaching the member's normal retirement date as defined in Section 902 of Title 74 of the Oklahoma Statutes; or

2.  The member is eligible for or is within two (2) years of being eligible for early retirement pursuant to Section 914 of Title 74 of the Oklahoma Statutes.

B.  Purchased incentive credit may only be used as participation service and/or an addition to the member's age to qualify the member for normal or early retirement.

C.  To receive the incentive credit, the member shall pay the amount determined by the Board pursuant to Section 913.5 of Title 74 of the Oklahoma Statutes.

Added by Laws 1993, c. 322, § 21, emerg. eff. June 7, 1993.  Amended by Laws 2003, c. 486, § 4, eff. July 1, 2003.

§74-913c.  Termination credit.

A.  A member of the Oklahoma Public Employees Retirement System who has six (6) or more years of full-time-equivalent employment with a participating employer, and who is terminated by a state agency or other state governmental entity because the member's position is eliminated through a reduction-in-force after July 1, 1998, and:

1.  Is within three (3) years of a normal retirement date as defined in subparagraph (a) of paragraph (24) of Section 902 of this title; or

2.  Is within six (6) years of a normal retirement date as defined in subparagraph (b) of paragraph (24) of Section 902 of this title or in subparagraph (c) of paragraph (24) of Section 902 of this title,

may purchase termination credit of a period not to exceed the lesser of three (3) years or the number of years or months or both years and months required in order for the member to reach normal retirement date in the same period of time and with the same service credit which would have otherwise accrued if the termination had not occurred.

B.  In order to receive the termination credit authorized by this section, the member shall be required to file an election with the System indicating an intent to purchase the credit.  The member shall have a period of six (6) months from the date the member is terminated as described in subsection A of this section within which to file the election.

C.  To purchase the termination credit, the member shall be required to make payment to the System of an amount equal to both the employer and employee contributions which would have been paid to the System based upon the compensation as defined in paragraph (9) of Section 902 of this title, which was received by the member in the last full month that the member was employed by the state agency or other state governmental entity multiplied by the number of months required in order for the combination of the participating service and member's age to equal the amount required for the member to reach normal retirement date with an unreduced benefit as if the member had not been terminated.

D.  The member must make full payment to the System of all required contribution amounts within sixty (60) days of filing the election to purchase the credit.  The member must vest his or her benefits with a declared future retirement date as of the first month the member is eligible for normal retirement.  Failure to make the full payment to the System of the required contribution amounts, for any reason, within the time prescribed, shall result in cancellation of the election provided pursuant to this section, and return of the purchase amount tendered, without interest.

E.  Purchased termination credit may only be used as service credit to qualify the member for normal retirement.  Eligible members may purchase termination credit or the incentive credit authorized pursuant to Section 913b of this title, but may not purchase both termination credit and incentive credit.  This purchase will not be used in the calculation for final average compensation.

F.  If the member chooses to retire at any time prior to the member's normal retirement date or returns to employment with a participating employer of the System at any time prior to retirement, the purchase of termination credit pursuant to this section shall be void and the System will return the purchase amount tendered, without interest.

G.  In the event of the death of the member prior to retirement, the member's spouse, if otherwise eligible for benefits pursuant to paragraph (5) of Section 918 of this title, may elect to receive benefits which include the termination credit on the member's declared future retirement date, or may elect to receive a return of the purchase amount tendered, without interest.

Added by Laws 1997, c. 285, § 1, emerg. eff. May 28, 1997.  Amended by Laws 1998, c. 256, § 10, eff. July 1, 1998; Laws 1999, c. 257, § 34, eff. July 1, 1999.

§74-913d.  Repealed by Laws 1998, c. 256, § 11, eff. July 1, 1998.

§74-913e.  Purchase of service credit.

Notwithstanding any other provision of law to the contrary, the spouse of a person who initially became a member of the system in January 1999, and such member dies within one month of meeting the required six (6) years of full-time-equivalent employment with a participating employer for normal retirement purposes, shall be allowed to elect to purchase at the actuarial cost of up to one month of service to meet the six (6) years of full-time employment.  The election pursuant to this section shall be made on or before September 1, 2005, and payment shall be made to the Oklahoma Public Employees Retirement System on or before December 31, 2005.  Upon receipt of payment by the system, the electing spouse shall begin receiving benefits pursuant to Option B as provided in Section 918 of Title 74 of the Oklahoma Statutes.

Added by Laws 2005, c. 471, § 1, eff. July 1, 2005.

§74-914.  Retirement.

A.  The normal retirement date for a member of the System shall be as defined in Section 902 of this title, provided members employed on or after January 1, 1983, shall have six (6) or more years of full-time-equivalent employment with a participating employer before receiving any retirement benefits or if the member is a legislative session employee of the Legislature, shall have three (3) or more years of full-time-equivalent employment with a participating employer before receiving any retirement benefits.  In no event shall a normal retirement date for a member be before six (6) months after the entry date of the participating employer by whom he or she is employed.

B.  A member may be employed beyond the normal retirement date by the appointing authority of the participating employer.  However, the member may not receive retirement pay so long as he continues employment under this act.  Any member who has terminated employment with a participating employer prior to the month immediately preceding said member's normal retirement date must elect a vested benefit pursuant to Section 917 of this title before receiving any retirement benefits.

C.  Notice for retirement shall be filed through the retirement coordinator for the participating employer in such form and manner as the Board shall prescribe; provided, that such notice for retirement shall be filed with the office of the retirement system at least sixty (60) days prior to the date selected for the member's retirement; provided further, that the Board may waive the aforesaid sixty-day notice at its discretion.

D.  No retirement benefits shall be payable to any member until the first day of the month following the termination of the member's employment with any participating employer.  The type of retirement benefit selected by a member may not be changed on or after the effective date of the member's retirement.  Receipt of workers' compensation benefits shall in no respect disqualify retirant for benefits.

E.  If a retirant should be elected or appointed to any position or office for which compensation for service is paid from levies or taxes imposed by the state or any political subdivision thereof, the retirant shall not receive any retirement benefit for any month for which the retirant serves in such position or office after the retirant has received compensation in a sum equal to the amount allowable as wages or earnings by the Social Security Administration in any calendar year; provided, this subsection shall not apply to service rendered by a retirant as a juror, as a witness in any legal proceeding or action, as an election board judge or clerk, or in any other office or position of a similar nature, or to an employer that is not a participating employer.  Provided, further, that any participating employer who is employing such a retirant shall make proper written notification to the System informing it of the beginning date of such retirant's employment and the date such retirant reaches the maximum compensation allowed by this section in the calendar year; and provided, also, that any retirant returning to work for a participating employer shall make contributions to the System and the employer shall do likewise.  All retirants who have returned to employment and participation in the System following retirement shall have post-retirement benefits calculated on one of the following methods:

1.  All service accumulated from date of reemployment shall be computed based on the benefit formula applicable at that time and the additional benefits shall be added to the previous benefits.  Such additional benefits shall be calculated each year based upon additional service accrued from July 1 to June 30 of the previous year and the additional benefit, if any, will be added to the retirant's monthly benefit beginning January 1, 2000, and each January 1 thereafter; however, the post-retirement service credit shall be cumulative, beginning with service credit accrued after the date of retirement, provided that the retirant has not received a distribution of the post-retirement contributions.

2.  Any retirant who returns to employment with a participating employer may elect not to receive any retirement benefits while so reemployed.  If such an election is made and reemployment is for a minimum period of thirty-six (36) consecutive months, all service accumulated from date of reemployment shall be participating service.  For purposes of determining the retirement benefits of such a member upon the termination of such reemployment all creditable service of the member shall be computed based on the benefit formula applicable at the time of termination of such reemployment.  Provided, a retirant who became reemployed prior to July 1, 1982, and who is reemployed for a minimum of thirty-six (36) consecutive months shall have all the creditable service of such retirant computed based on the benefit formula applicable at the time of termination of such reemployment if the retirant elects not to receive retirement benefits prior to such termination of reemployment.  A retirant who has waived receipt of the monthly benefit, but is not reemployed for the full thirty-six (36) consecutive months, shall upon termination of such reemployment have only the additional amount added to his or her benefit as if they had not waived the benefit as provided in paragraph 1 of this subsection.

3.  All post-retirement additional benefits shall be calculated using actual hours worked as well as the actual compensation received and upon which contributions are paid.  Post-retirement service is not subject to the partial year round-up provisions of subsection C of Section 913 of this title.

4.  A retired member who returns to work for a participating employer pursuant to this section shall be bound by the election made pursuant to paragraph (2) of subsection A of Section 915 of this title if the member had made such election prior to retirement.  If the member had not made such election prior to retirement, the member may do so during the member's reemployment with a participating employer pursuant to this section.

F.  Any member may elect to retire before his or her normal retirement date on the first day of any month coinciding with or following the attainment of age fifty-five (55), provided such member has completed ten (10) years of participating service, but in no event before six (6) months after the entry date.  Any member who shall retire before the normal retirement date shall receive an annual retirement benefit adjusted in accordance with the following percentage schedule:

Percentage of Normal

Age Retirement Benefit

62 100.00%

61 93.33%

60 86.67%

59 80.00%

58 73.33%

57 66.67%

56 63.33%

55 60.00%

Added by Laws 1963, c. 50, § 14, emerg. eff. May 6, 1963.  Amended by Laws 1965, c. 432, § 4, emerg. eff. July 9, 1965; Laws 1968, c. 158, § 1, emerg. eff. April 11, 1968; Laws 1973, c. 279, § 6, emerg. eff. May 30, 1973; Laws 1974, c. 139, § 1, emerg. eff. May 3, 1974; Laws 1976, c. 207, § 4, emerg. eff. June 7, 1976; Laws 1979, c. 285, § 8, eff. July 1, 1979; Laws 1980, c. 6, § 1, emerg. eff. Feb. 25, 1980; Laws 1980, c. 317, § 5, eff. July 1, 1980; Laws 1982, c. 319, § 5, operative July 1, 1982; Laws 1989, c. 327, § 6, eff. July 1, 1989; Laws 1990, c. 341, § 4, eff. July 1, 1990; Laws 1993, c. 19, § 1, emerg. eff. March 26, 1993; Laws 1993, c. 322, § 23, emerg. eff. June 7, 1993; Laws 1994, c. 381, § 5, eff. July 1, 1994; Laws 1997, c. 255, § 2, eff. July 1, 1997; Laws 1999, c. 257, § 37, eff. July 1, 1999; Laws 2003, c. 486, § 6, eff. July 1, 2003.

NOTE:  Laws 1974, c. 100, § 1 repealed by Laws 1976, c. 207, § 9, emerg. eff. June 7, 1976.

§74-915.  Amount of retirement benefit.

A.  (1)  Except as otherwise provided in this subsection and as provided for elected officials in Section 913.4 of this title, any member who shall retire on or after the member's normal retirement date shall be entitled to receive an annual retirement benefit equal to two percent (2%) of the member's final average compensation as determined pursuant to paragraph (18) of Section 902 of this title, multiplied by the number of years of credited service that has been credited to the member in accordance with the provisions of Section 913 of this title other than years credited pursuant to paragraph (2) of this subsection.

(2)  Effective January 1, 2004, except as otherwise provided for elected officials in Section 913.4 of this title and except for those members making contributions pursuant to paragraphs (c), (d) and (e) of subsection (1) of Section 919.1 of this title, any member who shall retire shall be entitled to receive an annual retirement benefit equal to two and one-half percent (2 1/2%) of the member's final average compensation as determined pursuant to paragraph (18) of Section 902 of this title, multiplied by the number of full years of participating service after January 1, 2004, that have been credited to the member in accordance with the provisions of Section 913 of this title and only for those full years of participating service for which contributions have been made pursuant to paragraph (f) of subsection (1) of Section 919.1 of this title.  The two and one-half percent (2 1/2%) multiplier shall not apply to purchased service, purchased or granted military service or transferred service.  In order to receive the two and one-half percent (2 1/2%) multiplier in computing retirement benefits, an active member shall make an irrevocable written election to pay the contributions pursuant to paragraph (f) of subsection (1) of Section 919.1 of this title.  The two and one-half percent (2 1/2%) multiplier pursuant to this paragraph shall not apply to additional years of service credit attributed to sick leave pursuant to paragraph 7 of subsection B of Section 913 of this title and fractional years pursuant to subsection C of Section 913 of this title and shall be attributable only to the participating service credited after the election of the member.

(3)  The minimum final average compensation for any person who becomes a member of the System on or after July 1, 1995:

a. and who had twenty (20) or more years of credited service within the System as of the member's retirement date shall be no less than Thirteen Thousand Eight Hundred Dollars ($13,800.00) per annum,

b. and who had at least fifteen (15) but not more than nineteen (19) years of credited service within the System as of the member's retirement date shall be no less than Six Thousand Nine Hundred Dollars ($6,900.00) per annum,

c. and who had less than fifteen (15) years of credited service within the System as of the member's retirement date shall not be eligible for any minimum amount of final average compensation and the member's final average compensation shall be the final average compensation as defined by paragraph (18) of Section 902 of this title,

(4)  Provided, further, any member who has elected a vested benefit pursuant to Section 917 of this title shall be entitled to receive benefits as outlined in this section except the percent factor and the member's maximum compensation level in effect the date the member's employment was terminated with a participating employer shall be applicable.

(5)  Any member who is a correctional officer or a probation and parole officer employed by the Department of Corrections at the time of retirement and who retires on or before June 30, 2000, shall be entitled to receive an annual retirement benefit equal to two and one-half percent (2 1/2%) of the final average compensation of the member not to exceed Twenty-five Thousand Dollars ($25,000.00) and two percent (2%) of the final average salary in excess of Twenty-five Thousand Dollars ($25,000.00) but not exceeding the maximum compensation level as provided in paragraph (9) of Section 902 of this title, multiplied by the number of years of service as a correctional officer or a probation and parole officer, provided, any years accrued prior to July 1, 1990, as a correctional officer or a probation and parole officer by a member who is employed as a correctional officer or a probation and parole officer on July 1, 1990, shall be calculated for retirement purposes at two and one-quarter percent (2 1/4%) of the final average compensation of the member not to exceed Twenty-five Thousand Dollars ($25,000.00) and two percent (2%) of the final average salary in excess of Twenty-five Thousand Dollars ($25,000.00) but not exceeding the maximum compensation level as provided in paragraph (9) of Section 902 of this title, multiplied by the number of years of such service and any years in excess of twenty (20) years as such an officer or years credited to the member in accordance with the provisions of Section 913 of this title shall be calculated for retirement purposes at two percent (2%) of the final average compensation of the member multiplied by the number of years of such service.  Any person who contributes to the System as a correctional officer or a probation and parole officer as provided in paragraph (c) of subsection (1) of Section 919.1 of this title, on or before June 30, 2000, but who does not make such contributions after June 30, 2000, and who does not qualify for normal retirement under subparagraph (c) of paragraph (24) of Section 902 of this title shall have retirement benefits for each year of full-time-equivalent participating service as a correctional or a probation and parole officer after July 1, 1990, computed on two and one-half percent (2 1/2%) of the final average compensation based upon those years as a correctional officer or a probation and parole officer.  Provided, further, any fugitive apprehension agent shall be entitled to receive benefits as outlined in this act for service as a fugitive apprehension agent prior to July 1, 2002, only upon payment to the System of the employee contributions which would have been paid if such fugitive apprehension agent had been covered by this section prior to the effective date of this act, plus interest of not to exceed ten percent (10%) as determined by the Board.  The Department of Corrections may make the employee contribution and interest payment on behalf of such member.

(6)  Any member who is a correctional officer, a probation and parole officer or a fugitive apprehension agent employed by the Department of Corrections at the time of retirement and who retires on or after July 1, 2002, shall be entitled to receive an annual retirement benefit equal to two and one-half percent (2 1/2%) of the final average compensation of the member, but not exceeding the maximum compensation level as provided in paragraph (18) of Section 902 of this title, multiplied by the number of years of service as a correctional officer, a probation and parole officer or a fugitive apprehension agent, and any years in excess of twenty (20) years as such an officer or agent, or years credited to the member in accordance with the provisions of Section 913 of this title, shall be calculated for retirement purposes at two percent (2%) of the final average compensation of the member multiplied by the number of years of such service.  For purposes of this paragraph, "final average compensation" shall be determined by computing the average annual salary, in the manner prescribed by paragraph (18) of Section 902 of this title, for the highest three (3) years of the last ten (10) years of participating service immediately preceding retirement or termination of employment for all years of service performed by such member, both for years of service performed as a correctional officer, probation and parole officer or fugitive apprehension agent, not in excess of twenty (20) years, and for years of service performed in excess of twenty (20) years, whether as a correctional officer, probation and parole officer, fugitive apprehension agent or other position unless the computation of benefits would result in a lower retirement benefit amount than if final average compensation were to be computed as otherwise provided by this paragraph.

(7)  Any member who is a correctional officer, a probation and parole officer or a fugitive apprehension agent who has at least five (5) years of service as a correctional officer, a probation and parole officer or a fugitive apprehension agent who is in such position on June 30, 2004, or who is hired after June 30, 2004, in such position, and who receives a promotion or change in job classification after June 30, 2004, to another position in the Department of Corrections, and who is employed by the Department of Corrections at the time of retirement and who retires on or after July 1, 2004, shall be entitled to receive an annual retirement benefit equal to two and one-half percent (2 1/2%) of the final average compensation of the member, but not exceeding the maximum compensation level as provided in paragraph (18) of Section 902 of this title, multiplied by the number of years of service with the Department of Corrections and any years in excess of twenty (20) years with the Department or years credited to the member in accordance with the provisions of Section 913 of this title, shall be calculated for retirement purposes at two percent (2%) of the final average compensation of the member multiplied by the number of years of such service.  For purposes of this paragraph, "final average compensation" shall be determined by computing the average annual salary, in the manner prescribed by paragraph (18) of Section 902 of this title, for the highest three (3) years of the last ten (10) years of participating service immediately preceding retirement or termination of employment for all years of service performed by such member with the Department.

(8)  Any person who contributed to the System as a correctional officer, a probation and parole officer or a fugitive apprehension agent as provided in paragraphs (c) or (d) of subsection (1) of Section 919.1 of this title, and who retires under normal retirement or early retirement on or after January 1, 2004, under paragraph (24) of Section 902 of this title shall have retirement benefits for each year of full-time-equivalent participating service as a correctional officer, a probation and parole officer or a fugitive apprehension agent, computed on two and one-half percent (2 1/2%) of the final average compensation based upon those years as a correctional officer, a probation and parole officer or a fugitive apprehension agent.  For purposes of this paragraph, "final average compensation" shall be determined by computing the average annual salary, in the manner prescribed by paragraph (18) of Section 902 of this title, for the highest three (3) years of the last ten (10) years of participating service immediately preceding retirement or termination of employment for all years of service performed by such member, both for years of service performed as a correctional officer, probation and parole officer or fugitive apprehension agent, not in excess of twenty (20) years, and for years of service performed in excess of twenty (20) years, whether as a correctional officer, probation and parole officer, fugitive apprehension agent or other position unless the computation of benefits would result in a lower retirement benefit amount than if final average compensation were to be computed as otherwise provided by this paragraph.

(9)  Any member who is:

a. initially on or after July 1, 2002, employed as a firefighter for the Oklahoma Military Department and who retires on or after the member's normal retirement date shall be entitled to receive an annual retirement benefit equal to two and one-half percent (2 1/2%) of the final average compensation of the member multiplied by the number of years of service in such service,

b. (1) a firefighter who performs firefighting services for the Oklahoma Military Department prior to July 1, 2002, and who makes an election in writing on a form prescribed for this purpose by the System not later than December 31, 2002, shall be entitled to receive a retirement benefit based upon two and one-half percent (2 1/2%) of the final average compensation of the member multiplied by the number of years of service as a firefighter with the Oklahoma Military Department on or after July 1, 2002.  The election authorized by this subdivision shall be irrevocable once the election is filed with the System,

(2) a firefighter who performs firefighting services for the Oklahoma Military Department prior to July 1, 2002, and who makes the election in division (1) of this subparagraph may also make an election in writing on a form prescribed for this purpose by the System not later than December 31, 2002, to receive a retirement benefit based upon two and one-half percent (2 1/2%) of the final average compensation of the member multiplied by the number of years of service as a firefighter with the Oklahoma Military Department prior to July 1, 2002.  The election authorized by this subdivision shall be irrevocable once the election is filed with the System.  Retirement benefits shall be calculated based upon the two and one-half percent (2 1/2%) multiplier upon payment being made pursuant to Section 913.5 of this title.

(10)  Upon death of a retirant, there shall be paid to his beneficiary an amount equal to the excess, if any, of his accumulated contributions over the sum of all retirement benefit payments made.

(11)  Such annual retirement benefits shall be paid in equal monthly installments, except that the Board may provide for the payment of retirement benefits which total less than Two Hundred Forty Dollars ($240.00) a year on other than a monthly basis.

(12)  Pursuant to the rules established by the Board, a retiree receiving monthly benefits from the System may authorize warrant deductions for any products currently offered to active state employees through the Employees Benefits Council, provided that product is offered to state retirees as a group and has a minimum participation of five hundred state retirees.  The System has no responsibility for the marketing, enrolling or administration of such products, but shall retain a processing fee of two percent (2%) of the gross deductions for the products.  Retirement benefit deductions shall be made for membership dues for any statewide association for which payroll deductions are authorized pursuant to subsection B of Section 7.10 of Title 62 of the Oklahoma Statutes for retired members of any state-supported retirement system, upon proper authorization given by the member to the board from which the member or beneficiary is currently receiving retirement benefits.

B.  A member shall be considered disabled if such member qualifies for the payment of Social Security disability benefits, or the payment of benefits pursuant to the Railroad Retirement Act of 1974, Section 231 et seq. of Title 45 of the United States Code, and shall be eligible for benefits hereunder upon proof of such disability, provided such member is an active regularly scheduled employee with a participating employer at the time of injury or inception of illness or disease resulting in subsequent certification of eligibility for Social Security disability benefits by reason of such injury, illness or disease, providing such disability is certified by the Social Security Administration within one (1) year after the last date physically on the job and after completion of at least eight (8) years of participating service or combined prior and participating service or resulting in subsequent certification of eligibility of disability by the Railroad Retirement Board providing such certification is made by the Railroad Retirement Board within one (1) year after the last date physically on the job and after completion of at least eight (8) years of participating service or combined prior and participating service.  The member shall submit to the Retirement System the Social Security Award Notice or the Railroad Retirement Award Notice certifying the date of entitlement for disability benefits, as issued by the Social Security Administration, Department of Health and Human Services or the Railroad Retirement Board.  Disability benefits shall become effective on the date of entitlement as established by the Social Security Administration or the Railroad Retirement Board, but not before the first day of the month following removal from the payroll, whichever is later, and final approval by the Retirement System.  Benefits shall be based upon length of service and compensation as of the date of disability, without actuarial reduction because of commencement prior to the normal retirement date.  The only optional form of benefit payment available for disability benefits is Option A as provided for in Section 918 of this title.  Option A must be elected in accordance with the provisions of Section 918 of this title.  Benefit payments shall cease upon the member's recovery from disability prior to the normal retirement date.  Future benefits, if any, shall be paid based upon length of service and compensation as of the date of disability.  In the event that disability ceases and the member returns to employment within the System credited service to the date of disability shall be restored, and future benefits shall be determined accordingly.

C.  A member who incurred a disability pursuant to subsection B of this section on or after July 1, 1999, and who has retired from the System with an early retirement benefit pending certification from the Social Security Administration or the Railroad Retirement Board shall receive a retirement benefit not less than the disability retirement benefit provided by subsection B of this section once the System receives a Social Security Award Notice or a Railroad Retirement Award Notice pursuant to subsection B of this section and a completed Application for Disability Benefits.  In addition, such member shall receive the difference, if any, between the early retirement benefit and the disability benefit from the date the Social Security Administration or the Railroad Retirement Board establishes disability entitlement.

D.  Any actively participating member of the System on or after July 1, 1998, except for those employees provided in subparagraph (e) of paragraph (14) of Section 902 of this title, whose employment is less than full-time, shall have his or her final average compensation calculated on an annualized basis using his or her hourly wage subject to the maximum compensation limits; provided, however, any such member who has at least three (3) years of full-time employment during the last ten (10) years immediately preceding termination or retirement shall not be eligible for the annualization provisions contained herein.  The Board of Trustees shall promulgate such administrative rules as are necessary to implement the provisions of this subsection.

Added by Laws 1963, c. 50, § 15, emerg. eff. May 6, 1963.  Amended by Laws 1965, c. 432, § 5, emerg. eff. July 9, 1965; Laws 1968, c. 400, § 3, emerg. eff. May 17, 1968; Laws 1970, c. 296, § 6, emerg. eff. April 28, 1970; Laws 1973, c. 279, § 7, emerg. eff. May 30, 1973; Laws 1975, c. 267, § 5, operative July 1, 1975; Laws 1976, c. 207, § 5, emerg. eff. June 7, 1976; Laws 1979, c. 285, § 9, eff. July 1, 1979; Laws 1981, c. 316, § 2, eff. July 1, 1981; Laws 1985, c. 300, § 5, emerg. eff. July 24, 1985; Laws 1986, c. 238, § 7, operative July 1, 1986; Laws 1989, c. 84, § 1, operative July 1, 1989; Laws 1990, c. 324, § 2, operative July 1, 1990; Laws 1993, c. 322, § 24, emerg. eff. June 7, 1993; Laws 1994, c. 242, § 48; Laws 1994, c. 383, § 10, eff. July 1, 1994; Laws 1995, c. 302, § 5, eff. July 1, 1995; Laws 1997, c. 129, § 1, eff. July 1, 1997; Laws 1998, c. 419, § 14, eff. July 1, 1998; Laws 1999, c. 1, § 40, emerg. eff. Feb. 24, 1999; Laws 1999, c. 257, § 38, eff. July 1, 1999; Laws 2000, c. 379, § 2, eff. July 1, 2000; Laws 2002, c. 233, § 2, eff. July 1, 2002; Laws 2002, c. 376, § 2, eff. July 1, 2002; Laws 2003, c. 486, § 7, eff. Jan. 1, 2004; Laws 2004, c. 539, § 3, eff. July 1, 2004; Laws 2005, c. 1, § 138, emerg. eff. March 15, 2005.

NOTE:  Laws 1998, c. 317, § 12 and Laws 1998, c. 360, § 4 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.  Laws 2004, c. 536, § 24 repealed by Laws 2005, c. 1, § 139, emerg. eff. March 15, 2005.

§74915.1.  Benefits subject to limitations in Section 415 of Internal Revenue Code - Excess benefit arrangements.

A.  Benefits payable from the System may not exceed the maximum benefits specified by Section 415(b) of the federal Internal Revenue Code.

B.  Subject to approval by the Internal Revenue Service, the Board may establish and maintain a qualified governmental excess benefit arrangement under Section 415(m) of the federal Internal Revenue Code.  The Board may establish by rule the necessary and appropriate procedures for the administration of such benefit arrangement under the federal Internal Revenue Code.  If the amount of any annual benefit would exceed the limitations imposed by Section 415 of the federal Internal Revenue Code, that excess amount may be paid from this benefit arrangement.  The amount of any contribution that would exceed the limitations imposed by Section 415 of the federal Internal Revenue Code would be credited to this benefit arrangement.  If established, the qualified excess benefit arrangement must be a separate portion of the retirement plan.  The qualified excess benefit arrangement is subject to the following requirements:

1.  The benefit arrangement shall be maintained solely for the purpose of providing to members in the retirement plan that part of the member's annual benefit otherwise payable under the terms of the act that exceed the limitation on benefits imposed by Section 415 of the federal Internal Revenue Code; and

2.  Members do not have an election, directly or indirectly, to defer compensation to the excess benefit arrangement.

Added by Laws 1988, c. 267, § 32, operative January 1, 1989.  Amended by Laws 1990, c. 341, § 5, eff. July 1, 1990; Laws 1999, c. 257, § 39, eff. July 1, 1999.

§74-915.2.  Modification of member contributions - Purchase of service credit - Rollover - Reduction or denial of contributions.

A.  Subject to the provisions of this section, employee contributions made to the System shall not exceed the maximum annual additions permissible under Section 415 of the federal Internal Revenue Code.  Notwithstanding any other provisions of law to the contrary, the Board may modify a request by a member to make a contribution to the System if the amount of the contribution would exceed the limits under Section 415(c) or Section 415(n) of the federal Internal Revenue Code subject to the following:

1.  Where the System's law requires a lump-sum payment, for the purchase of service credit, the Board may establish a periodic payment plan in order to avoid a contribution in excess of the limits under Section 415(c) or Section 415(n) of the federal Internal Revenue Code.  The Board may by rule adopt a procedure for the pick-up of contributions for the purchase of service.  However, the implementation of the pick-up is subject to a favorable ruling by the Internal Revenue Service; and

2.  An eligible member in the System, as defined by Section 1526 of the federal Taxpayer Relief Act of 1997, may purchase service credit without regard to the limitations of Section 415(c)(1) of the federal Internal Revenue Code as provided by state law in effect on August 5, 1997.

B.  Notwithstanding any other provision of law to the contrary, the Board may by rule permit the System to accept rollovers for the purchase of service.

C.  If the Board's options under subsection A or B of this section will not avoid a contribution in excess of the limits under Section 415(c) or Section 415(n) of the federal Internal Revenue Code, the Board shall reduce or deny the contributions.

Added by Laws 1999, c. 257, § 40, eff. July 1, 1999.

§74-915.3.  Alternate retirement benefit option.

On or before January 1, 2005, the Oklahoma Public Employees Retirement System shall implement a retirement benefit option for members retiring prior to being Medicare-eligible.  The purpose of this option is to allow a person who retires prior to being Medicare-eligible to elect to receive an increased benefit to help cover the cost of the member and dependent health insurance premiums, if any, until such member is eligible to receive Medicare.  Beginning in January of the year following such year that the member becomes Medicare-eligible, his or her retirement benefit will be reduced by an actuarial amount.  The alternative retirement benefit option shall be devised so that the increased pre-Medicare retirement benefit and the lower post-Medicare retirement benefit shall have a neutral actuarial cost to the System.  The System may, but shall not be required to, make individual actuarial calculations; however, the actuarial reduction necessary to provide this alternative retirement benefit option shall be calculated after and in addition to any reduction necessary to provide a survivor benefit pursuant to Section 918 of Title 74 of the Oklahoma Statutes.  The increased pre-Medicare retirement benefit may not equal an individual's actual premium, but the formula used shall be based upon the retiree pre-Medicare health insurance premiums of the plans offered by the State and Education Employees Group Insurance Board at the time the member retires.  The System shall on or before January 1 of each year update the formula based upon new health insurance premium data of the plans offered by the State and Education Employees Group Insurance Board to retired members.  A member retiring under the alternative retirement benefit option shall have the member's retirement benefit based upon the formula in use at the time of retirement and shall not be amended thereafter to reflect further changes in health insurance premiums.  A member electing to participate in the alternative retirement benefit option shall make an irrevocable election at the time of retirement to participate in such option.  Provided further, that any married member making this election shall comply with the provisions of Section 918 of Title 74 of the Oklahoma Statutes.  The Board of Trustees of the Oklahoma Public Employees Retirement System shall promulgate such rules as are necessary to implement the provisions of this section.

No member shall be eligible to make the election provided for in this section until the Board receives official written notice that this alternative retirement benefit option satisfies the tax qualification requirements for governmental plans applicable to such benefit options as specified in the Internal Revenue Code of 1986, as amended from time to time and as applicable to governmental plans and the relevant regulatory provisions and guidance related thereto.

Added by Laws 2004, c. 449, § 1, eff. July 1, 2004.

§74916.  Death of member before retirement.

Except as otherwise provided for by law, the accumulated contributions of a member who dies before retirement shall be paid to the beneficiary of the member.

Amended by Laws 1985, c. 300, § 6, emerg. eff. July 24, 1985.  

§74-916.1.  Payments upon death - Waiver of probate procedures.

A.  Upon the death of a retired member, the Oklahoma Public Employees Retirement System shall pay to the beneficiary of the member or if there is no beneficiary or if the beneficiary predeceases the member, to the estate of the member, the sum of Four Thousand Dollars ($4,000.00) as a death benefit for those retired members who died prior to July 1, 1999.  For those retired members who died on or after July 1, 1999, the sum shall be Five Thousand Dollars ($5,000.00).  The benefit payable pursuant to this subsection shall be deemed, for purposes of federal income taxation, as life insurance proceeds and not as a death benefit if the Internal Revenue Service approves this provision pursuant to a private letter ruling request which shall be submitted by the board of trustees of the System for that purpose.

B.  Upon the death of a member who dies leaving no living beneficiary or having designated his estate as beneficiary, the System may pay any applicable death benefit, unpaid contributions, or unpaid benefit which may be subject to probate, in an amount of Ten Thousand Dollars ($10,000.00) or less, without the intervention of the probate court or probate procedure pursuant to Section 1 et seq. of Title 58 of the Oklahoma Statutes.

1.  Before any applicable probate procedure may be waived, the System must be in receipt of the member's proof of death and the following documents from those persons claiming to be the legal heirs of the deceased member:

a. the member's valid last will and testament, trust documents or affidavit that a will does not exist,

b. an affidavit or affidavits of heirship which must state:

(1) the names and signatures of all claiming heirs to the deceased member's estate including the claiming heirs' names, relationship to the deceased, current addresses and current telephone numbers,

(2) a statement or statements by the claiming heirs that no application or petition for the appointment of a personal representative is pending or has been granted in any jurisdiction,

(3) a statement that the value of the deceased member's entire estate is subject to probate, and that the estate wherever located, less liens and encumbrances, does not exceed Ten Thousand Dollars ($10,000.00), including the payment of benefits or unpaid contributions from the System as authorized by this subsection,

(4) a description of the personal property claimed (i.e., death benefit or unpaid contributions or both), together with a statement that such personal property is subject to probate, and

(5) a statement by each individual claiming heir identifying the amount of personal property that the heir is claiming from the System, and that the heir has been notified of, is aware of and consents to the identified claims of all the other claiming heirs of the deceased member pending with the System,

c. a written agreement or agreements signed by all claiming heirs of the deceased member which provides that the claiming heirs release, discharge and hold harmless the System from any and all liability, obligations and costs which it may incur as a result of making a payment to any of the deceased member's heirs,

d. a corroborating affidavit from an individual other than a claiming heir, who was familiar with the affairs of the deceased member, and

e. proof that all debts of the deceased member, including payment of last sickness, hospital, medical, death, funeral and burial expenses have been paid or provided for.

2.  The Executive Director of the System shall retain complete discretion in determining which requests for probate waiver may be granted or denied, for any reason.  Should the System have any question as to the validity of any document presented by the claiming heirs, or as to any statement or assertion contained therein, the probate requirement provided for in Section 1 et seq. of Title 58 of the Oklahoma Statutes shall not be waived.

3.  After paying any death benefits or unpaid contributions to any claiming heirs as provided pursuant to this subsection, the System is discharged and released from any and all liability, obligation and costs to the same extent as if the System had dealt with a personal representative of the deceased member.  The System is not required to inquire into the truth of any matter specified in this subsection or into the payment of any estate tax liability.

Added by Laws 1987, c. 236, § 186, emerg. eff. July 20, 1987.  Amended by Laws 1995, c. 94, § 1, eff. Nov. 1, 1995; Laws 1999, c. 167, § 6, eff. July 1, 1999; Laws 2001, c. 192, § 1, eff. July 1, 2001; Laws 2002, c. 352, § 6, eff. July 1, 2002.

§74-916.2.  Time for claiming death benefit, unpaid accumulated contributions or final monthly benefit.

All claims for payment of the death benefit, unpaid accumulated contributions of a deceased member or the final monthly benefit must be made within three (3) years of the date of death of the member.  If no claim is made within three (3) years, payment of these monies shall no longer be due and all such monies shall be forfeited to the System in the Oklahoma Public Employees Retirement Fund.

Added by Laws 1993, c. 322, § 25, emerg. eff. June 7, 1993.

§74-916.3.  Pension benefit on behalf of correctional, probation and parole officers killed in the line of duty - dependent children and education.

A.  Notwithstanding the provisions of Sections 901 through 932 of this title, a monthly pension, as provided in subsection B of this section, shall be paid on behalf of any member who is a correctional officer or probation and parole officer of the Department of Corrections and who is killed or mortally wounded on or after January 1, 2000, during the performance of the member's duties for the Department or any employee of the Department of Corrections who is killed or mortally wounded after June 30, 2004, during the performance of the member's duties for the Department.

B.  The monthly benefit shall be equal to:

1.  Two and one-half percent (2 1/2%);

2.  Multiplied by twenty (20) years of service, regardless of the actual number of years of credited service performed by the member prior to death, if the member had performed less than twenty (20) years of credited service, or the actual number of years of credited service of the member if greater than twenty (20) years;

3.  Multiplied by the member's final average compensation; and

4.  Divided by 12.

C.  The pension provided for in subsection A of this section shall be paid:

1.  Except as provided in subsection D of this section, to the surviving spouse for life; or

2.  If there is no surviving spouse or upon the death of the surviving spouse:

a. to the surviving child or children of said member or legal guardian of such child or children for such time as such child or children are under the age of eighteen (18) years, or

b. to the surviving child or children between the age of eighteen (18) and twenty-two (22) years if the child is enrolled full time in and is regularly attending a public or private school or any institution of higher education.

D.  No surviving spouse shall receive benefits from this section, Section 49-113 of Title 11 of the Oklahoma Statutes, Section 50-117 of Title 11 of the Oklahoma Statutes, or Section 2-306 of Title 47 of the Oklahoma Statutes as the surviving spouse of more than one member of the Oklahoma Firefighters Pension and Retirement System, the Oklahoma Police Pension and Retirement System, the Oklahoma Law Enforcement Retirement System, or the Oklahoma Public Employees Retirement System.  The surviving spouse of more than one member shall elect which member's benefits he or she will receive.

E.  In addition to the pension above provided for, if said member leaves one or more children under the age of eighteen (18) years or under the age of twenty-two (22) years if the child is enrolled full-time in and is regularly attending a public or private school or any institution of higher education, Four Hundred Dollars ($400.00) a month shall be paid to the surviving spouse or to the person having the care and custody of such children if there is no surviving spouse or if the surviving spouse dies and until each child reaches the age of eighteen (18) years or reaches the age of twenty-two (22) years if the child is enrolled full-time in and is regularly attending a public or private school or any institution of higher education.

F.  The pension benefit provided in this section shall be made prospectively only from the effective date of this act.  The benefits shall be payable beginning the later of the first day of the month following the date that such employee was killed or dies from a mortal wound, as provided in this section, or the effective date of this act.

G.  The Board of the Oklahoma Public Employees Retirement System shall promulgate such rules as are necessary to implement the provisions of this section.

Added by Laws 2000, 1st Ex.Sess., c. 8, § 22, eff. July 1, 2000.  Amended by Laws 2004, c. 539, § 4, eff. July 1, 2004.

§74-917.  Termination of employment - Payment - Vested benefits.

(1)  Upon termination of employment with a participating employer, not followed by employment with such participating employer, or another participating employer, within four (4) calendar months, the member shall be paid an amount equal to the amount of money he or she has paid into the System upon the filing of the proper application with the System.  Payment of these accumulated contributions may be made in less than four (4) calendar months only in the event that a member is not eligible to elect a vested benefit pursuant to this section and said member is terminally ill, as evidenced by a physician's certification that the member is not expected to live beyond four (4) months.

(2)  If such member has completed eight (8) years of credited service at date of termination or if the member is a legislative session employee of the Legislature or if the employee is a session employee employed by the Legislative Service Bureau, four (4) years of credited service at date of termination, he may elect a vested benefit in lieu of receiving his accumulated contributions.  The amount of the vested benefit shall commence at the normal retirement date and shall be paid monthly during the lifetime of the retirant with the last payment made on the last day of the month in which death occurs.

(3)  Upon death before the normal or early retirement date of a member who has elected a vested benefit, his accumulated contributions shall be paid to his beneficiary unless the spouse of the deceased member elects monthly benefits as provided for in Section 918 of this title.

(4)  Upon death after the normal or early retirement date of a retirant who elected a vested benefit without an option, the excess, if any, of his accumulated contributions over the sum of all payments of the vested benefit made to date of death shall be paid to his beneficiary.

(5)  If a former employee, who meets the eligibility requirements for membership, returns to employment after the expiration of four (4) calendar months following the termination of his employment and the employee has withdrawn his accumulated contributions, he may pay to the System the sum of the accumulated contributions he has withdrawn plus interest of not to exceed ten percent (10%), as determined by the Board, and shall receive the same benefits as if he had never withdrawn his contributions.  No member shall be permitted to take advantage of the payback for restoration of creditable service more than one time.  If a member, who has elected a vested benefit, or a reemployed member, who has not withdrawn the member's contributions, again becomes an employee of a participating employer, the period of absence shall not be counted as a break in service; however, the period of absence shall not be credited.

(6)  Prior to January 1, 1991, members, who at the time of employment were ineligible for membership into the System due to their age, shall receive benefits for the period of ineligibility if the employer and employee contributions are paid the System for that ineligible period.  No interest shall be paid on a payback of this type.  However, effective January 1, 1991, to receive benefits, the member shall pay the amount determined by the Board pursuant to Section 913.5 of this title.

(7)  When any error in calculation or participation coverage to a prior or current employee exists, it shall be the responsibility of the participating employer which made the error to pay the amount determined by the Board pursuant to Section 913.5 of this title.  This obligation of the participating employer to pay the amount due pursuant to this section shall be considered a current obligation of the employer until the amount is paid in full, regardless of the dates of the periods of service.

(8)  Upon application to the Board and payment as determined by the Board, a member of the System may receive service credit for those years of service that the member was eligible to receive service credit from the Teachers' Retirement System of Oklahoma.  To receive the service credit, the member shall pay the amount determined by the Board pursuant to Section 913.5 of this title.

(9)  Upon the death of a retired member, the benefit payment for the month in which the retired member died, if not previously paid, shall be made to the estate of the member or to the member's beneficiary if there is no estate.  Such benefit payment shall be made in an amount equal to a full monthly benefit payment regardless of the day of the month in which the retired member died.

(10)  Subject to the provisions of Sections 918 and 918.1 of this title, if there are two or more beneficiaries designated by the member, upon the member's death, the System shall pay any applicable benefits to any of the beneficiaries that have completed all required paperwork regardless of whether or not all beneficiaries have completed such paperwork.

Added by Laws 1963, c. 50, § 17, emerg. eff. May 6, 1963.  Amended by Laws 1965, c. 432, § 6, emerg. eff. July 9, 1965; Laws 1975, c. 267, § 6, emerg. eff. June 5, 1975; Laws 1976, c. 207, § 6, emerg. eff. June 7, 1976; Laws 1979, c. 285, § 10, eff. July 1, 1979; Laws 1980, c. 317, § 6, eff. July 1, 1980; Laws 1982, c. 319, § 6, operative July 1, 1982; Laws 1985, c. 300, § 7, emerg. eff. July 24, 1985; Laws 1987, c. 236, § 187, emerg. eff. July 20, 1987; Laws 1988, c. 267, § 33, operative July 1, 1988; Laws 1989, c. 327, § 7, eff. July 1, 1989; Laws 1990, c. 340, § 41, eff. July 1, 1990; Laws 1991, c. 335, § 33, emerg. eff. June 15, 1991; Laws 1992, c. 376, § 16, eff. July 1, 1992; Laws 1993, c. 322, § 26, emerg. eff. June 7, 1993; Laws 1995, c. 302, § 6, eff. July 1, 1995; Laws 1998, c. 419, § 15, eff. July 1, 1998; Laws 1999, c. 1, § 41, emerg. eff. Feb. 24, 1999; Laws 1999, c. 387, § 2, eff. July 1, 1999; Laws 2002, c. 233, § 3, eff. July 1, 2002; Laws 2002, c. 376, § 3, eff. July 1, 2002; Laws 2003, c. 3, § 96, emerg. eff. March 19, 2003; Laws 2003, c. 406, § 19, eff. July 1, 2003; Laws 2004, c. 536, § 25, eff. July 1, 2004.

NOTE:  Laws 1975, c. 253, § 2 repealed by Laws 1976, c. 207, § 9, emerg. eff June 7, 1976.  Laws 1990, c. 324, § 3 repealed by Laws 1991, c. 335, § 37, emerg. eff. June 15, 1991.  Laws 1998, c. 360, § 5 repealed by Laws 1999, c. 1, § 45, emerg. eff. Feb. 24, 1999.  Laws 2002, c. 29, § 1 repealed by Laws 2003, c. 3, § 97, emerg. eff. March 19, 2003.

§74-918.  Retirement options.

(1)  Except as otherwise provided for in this section and Section 918.1 of this title, a member may elect to have the retirement benefit paid under one of the options provided in this section in lieu of having it paid in the form stated in Section 915 of this title.  The election of an option must be made at any time prior to retirement or prior to termination of service with a vested benefit.  A specific person must be designated as joint annuitant at the time of election of Option A or B.  Election of an option is available with respect to the vested benefit.  All retirement benefits of a married member shall be paid pursuant to the Option A plan as provided for in this section unless the spouse of a member consents in writing for the benefits to be paid as provided for in Section 915 of this title or pursuant to Option B or Option C as provided for in this section.

(2)  The amount of retirement benefit payable under an option shall be based on the age and sex of the member and the age and sex of the joint annuitant, and shall be such amount as to be the actuarial equivalent of the retirement benefit otherwise payable under Section 915 of this title.

(3)  The retirement options are:

Option A.  Joint and onehalf to joint annuitant survivor.  A reduced retirement benefit is payable to the retirant during his or her lifetime with onehalf of that amount continued to the joint annuitant during such joint annuitant's remaining lifetime, if any, after the death of the retirant.  If the named joint annuitant dies at any time after the member's retirement date, but before the death of the retirant, the retirant shall return to the retirement benefit, including any post retirement benefit increases the member would have received had the member not selected Option A.  The benefit shall be determined at the date of death of the named joint annuitant or July 1, 1994, whichever is later.  This increase shall become effective the first day of the month following the date of death of the named joint annuitant or July 1, 1994, whichever is later, and shall be payable for the retirant's remaining lifetime.  The retirant shall notify the Oklahoma Public Employees Retirement System of the death of the named joint annuitant in writing.  In the absence of the written notice being filed by the member notifying the Oklahoma Public Employees Retirement System of the death of the named joint annuitant within six (6) months of the date of death, nothing in this subsection shall require the Oklahoma Public Employees Retirement System to pay more than six (6) months of retrospective benefits increase.

Option B.  Joint and survivor.  A reduced retirement benefit is payable to the retirant during his or her lifetime with that amount continued to the joint annuitant during the joint annuitant's remaining lifetime, if any, after the death of the retirant.  If the named joint annuitant dies at any time after the member's retirement date, but before the death of the retirant, the retirant shall return to the retirement benefit, including any post retirement benefit increases the member would have received had the member not selected Option B.  The benefit shall be determined at the date of death of the named joint annuitant or July 1, 1994, whichever is later.  This increase shall become effective the first day of the month following the date of death of the named joint annuitant or July 1, 1994, whichever is later, and shall be payable for the retirant's remaining lifetime.  The retirant shall notify the Oklahoma Public Employees Retirement System of the death of the named joint annuitant in writing.  In the absence of such written notice being filed by the member notifying the Oklahoma Public Employees Retirement System of the death of the named joint annuitant within six (6) months of the date of death, nothing in this subsection shall require the Oklahoma Public Employees Retirement System to pay more than six (6) months of retrospective benefits increase.

Option C.  Life with ten (10) years certain.  A reduced retirement benefit is payable to the retirant during his or her lifetime and if the retirant dies within the tenyear certain period, measured from the commencement of retirement benefits payments, such payments will be continued to the beneficiary during the balance of the tenyear certain period.

(4)  If the selection of a joint annuitant would violate the distribution requirements contained in Section 918.1 of this title, such selection will not be permitted.

(5)  If a member who is eligible to retire in accordance with the provisions of Section 914 of this title but is not actually retired or is eligible to vest or has elected a vested benefit dies, the member's spouse may elect to receive benefits as a joint annuitant under Option B calculated as if the member retired on the date of death, in lieu of receiving the member's accumulated contributions.  However, no benefits shall be payable before the date the deceased member would have met the requirements for a normal or early retirement.  The provisions of this paragraph shall be applicable to a surviving spouse of a deceased member who died prior to the effective date of this act, but only if no benefits or distributions have been previously paid.

(6)  Benefits payable to a joint annuitant shall accrue from the first day of the month following the death of a member or retirant and, in the case of Option A and Option B, shall end on the last day of the month in which the joint annuitant dies.  

Added by Laws 1963, c. 50, § 18, emerg. eff. May 6, 1963.  Amended by Laws 1965, c. 432, § 7, emerg. eff. July 9, 1965; Laws 1975, c. 253, § 3, emerg. eff. June 2, 1975; Laws 1978, c. 206, § 2; Laws 1985, c. 300, § 8, emerg. eff. July 24, 1985; Laws 1991, c. 211, § 1, emerg. eff. May 21, 1991; Laws 1993, c. 322, § 27, emerg. eff. June 7, 1993; Laws 1994, c. 371, § 2, eff. July 1, 1994; Laws 1997, c. 216, § 1, eff. July 1, 1997; Laws 1999, c. 257, § 41, eff. July 1, 1999; Laws 2002, c. 438, § 7, eff. July 1, 2002; Laws 2003, c. 3, § 98, emerg. eff. March 19, 2003.

NOTE:  Laws 2002, c. 354, § 4 repealed by Laws 2003, c. 3, § 99, emerg. eff. March 19, 2003.

§74-918.1.  Distribution of benefits.

A.  All benefits paid from the System shall be distributed in accordance with the requirements of Section 401(a)(9) of the federal Internal Revenue Code and the regulations under that section.  In order to meet these requirements, the System shall be administered in accordance with the following provisions:

1.  Distributions of a member's benefit must begin by the later of the April 1 following the calendar year in which a member attains age seventy and one-half (70 1/2) or the April 1 of the year following the calendar year in which the member retires;

2.  The life expectancy of a member or a member's spouse may not be recalculated after the benefits commence;

3.  If a member dies before the distribution of the member's benefits has begun, distributions to beneficiaries must begin no later than December 31 of the calendar year immediately following the calendar year in which the member died; and

4.  The amount of benefits payable to a member's joint annuitant or beneficiary may not exceed the maximum determined under the incidental death benefit requirement of the federal Internal Revenue Code.

B.  Distributions from the System may be made only upon retirement, separation from service, disability or death.

Added by Laws 1999, c. 257, § 42, eff. July 1, 1999.

§74-919.1.  Employee contribution - Rate - Deduction - Remittance - Picked up contributions - Refunds.

(1)  Employee contributions to the System shall be:

(a) for employees except as otherwise provided in paragraphs (b), (c), (d), (e) and (f) of this subsection:  beginning July 1, 1998, and thereafter, three percent (3%) of allowable annual compensation not in excess of Twenty-five Thousand Dollars ($25,000.00);

(b) for all employees except as otherwise provided in paragraphs (a), (c), (d), (e) and (f) of this subsection:  beginning July 1, 1998, and thereafter, three and one-half percent (3 1/2%) of allowable annual compensation of more than Twenty-five Thousand Dollars ($25,000.00);

(c) for correctional officers and probation and parole officers employed by the Department of Corrections:  beginning July 1, 1998, and thereafter, and for correctional officers or probation and parole officers who are in such position on June 30, 2004, or who are hired after June 30, 2004, and who receive a promotion or change in job classification after June 30, 2004, to another position in the Department of Corrections, so long as such officers have at least five (5) years of service as a correctional officer or probation and parole officer, eight percent (8%) of allowable compensation as provided in paragraph (9) of Section 902 of this title;

(d) for fugitive apprehension agents who are employed with the Department of Corrections on or after July 1, 2002, and for fugitive apprehension agents who are in such position on June 30, 2004, or who are hired after June 30, 2004, and who receive a promotion or change in job classification after June 30, 2004, to another position in the Department of Corrections, so long as such agents have at least five (5) years of service as a fugitive apprehension agent, eight percent (8%) of allowable compensation as provided in paragraph (9) of Section 902 of this title;

(e) for firefighters of the Oklahoma Military Department first employed beginning July 1, 2002, and thereafter, and such firefighters who performed service prior to July 1, 2002, for the Oklahoma Military Department and who make the election authorized by division (1) of subparagraph b of paragraph (9) of subsection A of Section 915 of this title who perform service on or after July 1, 2002, in such capacity, eight percent (8%) of allowable compensation as provided in subsection (9) of Section 902 of this title;

(f) for all employees except those who make contributions pursuant to (c), (d) and (e) of this subsection who make an irrevocable written election pursuant to paragraph (2) of subsection A of Section 915 of this title:  five and ninety-one one-hundredths percent (5.91%) of allowable annual compensation not in excess of Twenty-five Thousand Dollars ($25,000.00) and six and forty-one one-hundredths percent (6.41%) of allowable annual compensation of more than Twenty-five Thousand Dollars ($25,000.00).

The contributions required by paragraphs (c) and (d) of this subsection shall be made by a member for not more than twenty (20) years and thereafter shall be as provided in paragraphs (a) and (b) of this subsection.

(2)  Contributions shall be deducted by each state agency by the participating employer for such benefits as the Board is authorized to administer as provided for by law.  Employee and employer contributions shall be remitted monthly, or as the Board may otherwise provide, to the Executive Director for deposit in the Oklahoma Public Employees Retirement Fund.

(3)  Each participating employer shall pick up under the provisions of Section 414(h)(2) of the Internal Revenue Code of 1986 and pay the contribution which the member is required by law to make to the System for all compensation earned after December 31, 1988.  Although the contributions so picked up are designated as member contributions, such contributions shall be treated as contributions being paid by the participating employer in lieu of contributions by the member in determining tax treatment under the Internal Revenue Code of 1986 and such picked up contributions shall not be includable in the gross income of the member until such amounts are distributed or made available to the member or the beneficiary of the member.  The member, by the terms of this System, shall not have any option to choose to receive the contributions so picked up directly and the picked up contributions must be paid by the participating employer to the System.

Member contributions which are picked up shall be treated in the same manner and to the same extent as member contributions made prior to the date on which member contributions were picked up by the participating employer.  Member contributions so picked up shall be included in gross salary for purposes of determining benefits and contributions under the System.

The participating employer shall pay the member contributions from the same source of funds used in paying salary to the member, by effecting an equal cash reduction in gross salary of the member.

(4)  By September 1, 1989, the System shall refund the accumulated employee contributions of any member who elects to retain the member's membership in the Teachers' Retirement System of Oklahoma, in accordance with Section 17-104 of this title, to such member.  Upon the refund of the accumulated employee contributions referred to in this subsection, all benefits and rights accrued to such member are terminated.

Added by Laws 1980, c. 317, § 7, eff. July 1, 1980.  Amended by Laws 1983, c. 246, § 1, emerg. eff. June 21, 1983; Laws 1984, c. 267, § 3, operative July 1, 1984; Laws 1987, c. 206, § 92, operative July 1, 1987 (vetoed); Laws 1987, c. 236, § 188, emerg. eff. July 20, 1987; Laws 1988, c. 267, § 34, operative January 1, 1989; Laws 1989, c. 327, § 8, eff. July 1, 1989; Laws 1990, c. 324, § 4, operative July 1, 1990; Laws 1994, c. 383, § 11, eff. July 1, 1994; Laws 1998, c. 317, § 13, eff. July 1, 1998; Laws 2000, c. 379, § 3, eff. July 1, 2000; Laws 2002, c. 233, § 4, eff. July 1, 2002; Laws 2002, c. 376, § 4, eff. July 1, 2002; Laws 2003, c. 486, § 8, eff. July 1, 2003; Laws 2004, c. 539, § 5, eff. July 1, 2004.

§74-920.  Employer's contribution.

(1)  Effective July 1, 1994, every state agency which is a participating employer shall contribute to the System an amount equal to eleven and one-half percent (11 1/2%) of the monthly compensation of each member, but not in excess of Forty Thousand Dollars ($40,000.00).

(2)  Effective July 1, 1995, every state agency which is a participating employer shall contribute to the System an amount equal to eleven and one-half percent (11 1/2%) of the monthly compensation of each member, not to exceed the allowable annual compensation as defined in paragraph (9) of Section 902 of this title.

(3)  Effective July 1, 1996, every state agency which is a participating employer shall contribute to the System an amount equal to twelve percent (12%) of the monthly compensation of each member, not to exceed the allowable annual compensation defined in paragraph (9) of Section 902 of this title.

(4)  Effective July 1, 1999, and through the fiscal year ending June 30, 2005, every state agency which is a participating employer shall contribute to the System an amount equal to ten percent (10%) of the monthly compensation of each member, not to exceed the allowable annual compensation defined in paragraph (9) of Section 902 of this title.

(5)  Effective July 1, 2005, every state agency which is a participating employer shall contribute an amount to the System equal to a percentage of monthly compensation of each member, not to exceed the allowable annual compensation defined in paragraph (9) of Section 902 of this title as follows:

July 1, 2005 - June 30, 2006 11 1/2%

July 1, 2006 - June 30, 2007 12 1/2%

July 1, 2007 - June 30, 2008 13 1/2%

July 1, 2008 - June 30, 2009 14 1/2%

July 1, 2009 - June 30, 2010 15 1/2%

July 1, 2010 - June 30, 2011 and each year thereafter 16 1/2%

(6)  The Board shall certify, on or before July 15 of each year, to the Office of State Finance in the case of the state and to the  retirement coordinator for each participating employer an actuarially determined estimate of the rate of contribution which will be required, together with all accumulated contributions and other assets of the System, to be paid by each such participating employer to pay all liabilities which shall exist or accrue under the System, including amortization of the past service cost over a period of not to exceed forty (40) years from June 30, 1987, and the cost of administration of the System, as determined by the Board, upon recommendation of the actuary.

(7)  The Office of State Finance and the Governor shall include in the budget and in the budget request for appropriations the sum required to satisfy the state's obligation under this section as certified by the Board and shall present the same to the Legislature for allowance and appropriation.

(8)  Each other participating employer shall appropriate and pay to the System a sum sufficient to satisfy the obligation under this section as certified by the Board.

(9)  Each participating employer is hereby authorized to pay the employer's contribution from the same fund that the compensation for which said contribution is paid from or from any other funds available to it for such purpose.

(10)  Forfeitures arising from severance of employment, death or for any other reason may not be applied to increase the benefits any member would otherwise receive under the System's law.  However, forfeitures may be used to reduce an employer's contribution.

Added by Laws 1963, c. 50, § 20, emerg. eff. May 6, 1963.  Amended by Laws 1965, c. 432, § 8, emerg. eff. July 9, 1965; Laws 1970, c. 296, § 8, emerg. eff. April 28, 1970; Laws 1972, c. 57, § 4, operative July 1, 1972; Laws 1975, c. 267, § 8, emerg. eff. June 5, 1975; Laws 1977, p. 1001, S.J.R. No. 6, § 6, operative July 1, 1977; Laws 1979, c. 285, § 12, eff. July 1, 1979; Laws 1980, c. 317, § 8, eff. July 1, 1980; Laws 1987, c. 206, § 93, operative July 1, 1987 (vetoed); Laws 1987, c. 236, § 189, emerg. eff. July 20, 1987; Laws 1989, c. 251, § 2, eff. Sept. 1, 1989; Laws 1990, c. 204, § 8, emerg. eff. May 10, 1990; Laws 1991, c. 239, § 4, eff. July 1, 1991; Laws 1994, c. 383, § 12, eff. July 1, 1994; Laws 1995, c. 1, § 37, emerg. eff. March 2, 1995; Laws 1999, c. 378, § 3, eff. July 1, 1999; Laws 2000, c. 6, § 27, emerg. eff. March 20, 2000; Laws 2003, c. 486, § 9, eff. July 1, 2003; Laws 2004, c. 536, § 26, eff. July 1, 2004.

NOTE:  Laws 1994, c. 381, § 6 repealed by Laws 1995, c. 1, § 40, emerg. eff. March 2, 1995.  Laws 1999, c. 257, § 43 repealed by Laws 2000, c. 6, § 33, emerg. eff. March 20, 2000.

§74-920A.  Counties and municipalities - Employer and employee contributions.

A.  Any county, county hospital, city or town, conservation district, circuit engineering district or any public or private trust in which a county, city or town participates and is the primary beneficiary, which is a participating employer and any eligible employee shall contribute to the System.  The total employer and employee contributions shall be based on the allowable annual compensation as defined in paragraph (9) of Section 902 of this title.  Except as provided for in this section, the employer shall not pay for the employee any of the employee contribution to the System.

B.  For the fiscal year ending June 30, 2005, the total employer and employee contributions shall equal thirteen and one-half percent (13 1/2%) of the allowable monthly compensation of each member; provided, however, each participating employer listed in this section may set the amount of the employer and employee contribution to equal thirteen and one-half percent (13 1/2%) of the allowable monthly compensation of each member for compensation as provided in paragraph (9) of Section 902 of this title; provided, the employer contribution shall not exceed ten percent (10%) and the employee contribution shall not exceed eight and one-half percent (8 1/2%).

C.  The total employer and employee contributions for fiscal years following the fiscal year ending June 30, 2005, shall be as follows:

July 1, 2005 - June 30, 2006 15%

July 1, 2006 - June 30, 2007 16%

July 1, 2007 - June 30, 2008 17%

July 1, 2008 - June 30, 2009 18%

July 1, 2009 - June 30, 2010 19%

July 1, 2010 - June 30, 2011

and each fiscal year thereafter 20%

Such employee and employer contributions shall be based upon the allowable monthly compensation of each member for compensation as provided in paragraph (9) of Section 902 of this title.  The maximum employer contribution of ten percent (10%) in subsection B of this section shall increase by one and one-half percent (1.5%) beginning in the fiscal year ending June 30, 2006, and one percent (1%) for each fiscal year thereafter until it reaches sixteen and one-half percent (16.5%).  For such years, the employee contribution shall not exceed eight and one-half percent (8 1/2%).

D.  For members who make the election pursuant to paragraph (2) of subsection A of Section 915 of this title, the employee contribution shall increase by two and ninety-one one-hundredths percent (2.91%).  Such employee contribution increase shall be paid by the employee.

E.  Each participating employer pursuant to the provisions of this section may pick up under the provisions of Section 414(h)(2) of the Internal Revenue Code of 1986 and pay the contribution which the member is required by law to make to the System for all compensation earned after December 31, 1989.  Although the contributions so picked up are designated as member contributions, such contributions shall be treated as contributions being paid by the participating employer in lieu of contributions by the member in determining tax treatment under the Internal Revenue Code of 1986 and such picked up contributions shall not be includable in the gross income of the member until such amounts are distributed or made available to the member or the beneficiary of the member.  The member, by the terms of this System, shall not have any option to choose to receive the contributions so picked up directly and the picked up contributions must be paid by the participating employer to the System.

F.  Member contributions which are picked up shall be treated in the same manner and to the same extent as member contributions made prior to the date on which member contributions were picked up by the participating employer.  Member contributions so picked up shall be included in gross salary for purposes of determining benefits and contributions under the System.

G.  The participating employer shall pay the member contributions from the same source of funds used in paying salary to the member, by effecting an equal cash reduction in gross salary of the member.

Added by Laws 1975, c. 267, § 9, emerg. eff. June 5, 1975.  Amended by Laws 1979, c. 285, § 13, eff. July 1, 1979; Laws 1980, c. 317, § 9, eff. July 1, 1980; Laws 1981, c. 316, § 3, eff. July 1, 1981; Laws 1984, c. 267, § 4, operative July 1, 1984; Laws 1987, c. 206, § 94, operative July 1, 1987 (vetoed); Laws 1987, c. 236, § 190, emerg. eff. July 20, 1987; Laws 1988, c. 267, § 35, operative July 1, 1988; Laws 1988, c. 284, § 9, operative July 1, 1988; Laws 1989, c. 84, § 2, operative July 1, 1989; Laws 1990, c. 340, § 42, eff. July 1, 1990; Laws 1991, c. 239, § 5, eff. July 1, 1991; Laws 1994, c. 383, § 13, eff. July 1, 1994; Laws 1995, c. 302, § 7, eff. July 1, 1995; Laws 1998, c. 317, § 14, eff. July 1, 1998; Laws 1999, c. 378, § 4, eff. July 1, 1999; Laws 2003, c. 486, § 10, eff. Jan. 1, 2004; Laws 2004, c. 536, § 27, eff. July 1, 2004; Laws 2005, c. 1, § 140, emerg. eff. March 15, 2005.

NOTE:  Laws 2004, c. 325, § 3 repealed by Laws 2005, c. 1, § 141, emerg. eff. March 15, 2005.

§74-920B.  Remittance of retirement contributions.

All participating employers shall remit to the System all required retirement contributions due on a monthly basis.  For non-state agency employers, all required employer and employee contributions and supporting documentation are due and must be received by the System on or before the fifteenth day of the month following the month for which the contributions are due.  For state agency employers, all required employer and employee contributions and supporting documentation are due and must be received by the System on or before the fifteenth day following the last day of the payroll period for which said contributions are due.  Employer and employee contributions remitted to the System after thirty (30) days from the above due dates shall be subject to a monthly late charge of one and one-half percent (1.5%) of the unpaid balance to be paid by the employer to the System.

Added by Laws 2004, c. 536, § 28, eff. July 1, 2004.

§74-921.  Oklahoma Public Employees Retirement Fund - Management - Warrants and vouchers - Retirement Medical Benefit Fund.

A.  All employee and employer contributions and dedicated revenues shall be deposited in a fund in the State Treasury which is hereby created and shall be known as the Oklahoma Public Employees Retirement Fund.  The Board of Trustees shall have the responsibility for the management of the Oklahoma Public Employees Retirement Fund, and may transfer monies used for investment purposes by the Oklahoma Public Employees Retirement System from the Oklahoma Public Employees Retirement Fund in the State Treasury to the custodian bank or trust company of the System.

B.  All benefits payable pursuant to the provisions of the Oklahoma Public Employees Retirement System, refunds of contribution and overpayments, and all administrative expenses in connection with the System shall be paid from the Oklahoma Public Employees Retirement Fund upon warrants or vouchers signed by two persons designated by the Board of Trustees.  All salaries and expenses of the administration of the State Employees Deferred Compensation Plan and the Deferred Savings Incentive Plan, including marketing and participant education, shall be paid from the Oklahoma Public Employees Retirement Fund.  The Oklahoma Public Employees Retirement Fund shall be reimbursed for such expenses, on at least an annual basis, in accordance with the procedure established by the Board. The Board of Trustees may transfer monies from the custodian bank or trust company of the System to the Oklahoma Public Employees Retirement Fund in the State Treasury for the purposes specified in this subsection.

C.  There is hereby created the Retirement Medical Benefit Fund.  The fund shall be maintained as a subaccount of the Oklahoma Public Employees Retirement Fund.  The Retirement Medical Benefit Fund is composed of all assets which may be contributed to this subaccount to pay the retirement system's portion of the monthly retiree health insurance premium benefit described by Section 1316.2 of this title.  All such allocated assets and any earnings thereon in the Retirement Medical Benefit Fund shall be held for the exclusive purpose of providing retiree medical benefits.  The Retirement Medical Benefit Fund is to be administered in accordance with the requirements of Section 401(h) of the Internal Revenue Code of 1986, as amended from time to time.  The Board of Trustees may promulgate such rules as are necessary to implement the funding and administration of the fund pursuant to the provisions of this subsection.

Added by Laws 1963, c. 50, § 21, emerg. eff. May 6, 1963.  Amended by Laws 1969, c. 349, § 8, emerg. eff. May 13, 1969; Laws 1982, c. 227, § 6, emerg. eff. May 4, 1982; Laws 1983, c. 6, § 4, emerg. eff. Feb. 24, 1983; Laws 1983, c. 201, § 2, operative July 1, 1983; Laws 1987, c. 236, § 191, emerg. eff. July 20, 1987; Laws 1988, c. 321, § 37, operative July 1, 1988; Laws 1994, c. 351, § 8, eff. July 1, 1994; Laws 1996, c. 55, § 3, eff. July 1, 1996; Laws 1999, c. 257, § 44, eff. July 1, 1999.

§74922.  Reserves.

The executive director shall maintain such records as are necessary to determine the following reserves of the fund:

(a) Members Accumulated Contribution Reserve.  This reserve shall be maintained for each member and each member having a vested benefit.  Each such reserve account shall be credited with the employee's contributions.  Refunds of employee's accumulated contributions prior to retirement shall be made from this reserve. Upon commencement of payments of the retirement benefit or the vested benefit, the amount in this reserve account for the retiring member or members shall be transferred to the retirement benefit payment reserve.

(b) Retirement Benefit Accumulation Reserve.  This reserve shall be credited with the portion of employer contributions for retirement benefits (both for prior service and for participating service) and with interest allocated to this reserve at the rate determined each year by the Board.  Upon retirement of a member, or attainment of the normal retirement date by a member having a vested benefit, this reserve shall be charged with an amount equal to the excess of the then present value of his retirement benefit or vested benefit over his accumulated contributions, which shall be transferred to the retirement benefit payment reserve.  Separate reserve accounts shall not be maintained for each participating employer joining the system on the first entry date.  The Board shall determine whether or not separate reserve accounts shall be maintained for each participating employer joining the system after the first entry date.

(c) Retirement Benefit Payment Reserve.  This reserve will be credited with the amount transferred from the members accumulated contributions reserve and from the retirement benefit accumulation reserve and with interest allocated to this reserve at the rate determined each year by the Board.  It shall be charged with payments of retirement benefits and vested benefits including payments upon death of the excess of member's accumulated contributions over retirement benefit payments paid to date of death.

Amended by Laws 1982, c. 263, § 3, emerg. eff. May 14, 1982.  

§74922.1.  Revolving fund.

There is hereby created in the State Treasury a Revolving Fund for the Oklahoma Public Employees Retirement System.  The revolving fund shall consist of funds transferred from the Oklahoma Public Employees Retirement Fund for operational expenses of the System. Expenditures from said funds shall be made pursuant to the laws of the state and statutes relating to the System.  This revolving fund shall be a continuing fund, not subject to fiscal year limitations, and shall be under the control and management of the Oklahoma Public Employees Retirement System Board.

Added by Laws 1982, c. 263, § 5, emerg. eff. May 14, 1982.  

§74-923.  Protection of vested rights - Exemption of benefits from legal process - Offset.

A.  Except as otherwise provided by this section, no alteration, amendment, or repeal of this act shall affect the then existing rights of members and beneficiaries, but shall be effective only as to rights which would otherwise accrue hereunder as a result of services rendered by an employee after such alteration, amendment, or repeal.  Any annuity, benefits, fund, property, or rights created by or accruing to any person under the provisions of this act shall not be subject to execution, garnishment or attachment, or any other process or claim whatsoever, and shall be unassignable, except as specifically provided by Section 901 et seq. of this title.  Notwithstanding the foregoing, the Board of Trustees may offset any benefits of a member or beneficiary to pay a judgment or settlement against a member or beneficiary for a crime involving the System, for a fraud or breach of the member's fiduciary duty to the System, or for funds or monies incorrectly paid to a member or a beneficiary, provided such offset is in accordance with the requirements of Section 401(a)(13) of the Internal Revenue Code of 1986.  The offset applies to any benefits which may otherwise be payable to a member or beneficiary from any plan or fund which is administered by the Board of Trustees.

B.  1.  The provisions of subsection A of this section shall not apply to a qualified domestic order as provided pursuant to this subsection.

2.  The term "qualified domestic order" means an order issued by a district court of this state pursuant to the domestic relation laws of the State of Oklahoma which relates to the provision of marital property rights to a spouse or former spouse of a member or provision of support for a minor child or children and which creates or recognizes the existence of the right of an alternate payee, or assigns to an alternate payee the right, to receive a portion of the benefits payable with respect to a member of the System.

3.  For purposes of the payment of marital property, to qualify as an alternate payee, a spouse or former spouse must have been married to the related member for a period of not less than thirty (30) continuous months immediately preceding the commencement of the proceedings from which the qualified domestic order issues.

4.  A qualified domestic order is valid and binding on the State Board and the related member only if it meets the requirements of this subsection.

5.  A qualified domestic order shall clearly specify:

a. the name and last-known mailing address (if any) of the member and the name and mailing address of the alternate payee covered by the order,

b. the amount or percentage of the member's benefits to be paid by the System to the alternate payee,

c. the number of payments or period to which such order applies,

d. the characterization of the benefit as to marital property rights or child support, and

e. each plan to which such order applies.

6.  A qualified domestic order meets the requirements of this subsection only if such order:

a. does not require the System to provide any type or form of benefit, or any option not otherwise provided under state law as relates to the System,

b. does not require the System to provide increased benefits, and

c. does not require the payment of benefits to an alternate payee which are required to be paid to another alternate payee pursuant to another order previously determined to be a qualified domestic order or an order recognized by the System as a valid order prior to the effective date of this act.

7.  A qualified domestic order shall not require payment of benefits to an alternate payee prior to the actual retirement date or withdrawal of the related member and shall not attach to or require the payment of any amount of benefits related to a deferred compensation plan or program authorized by Section 1701 et seq. of this title.

8.  The obligation of the System to pay an alternate payee pursuant to a qualified domestic order shall cease upon the death of the related member.

9.  This subsection shall not be subject to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA), 29 U.S.C.A. Section 1001 et seq., as amended from time to time, or rules and regulations promulgated thereunder, and court cases interpreting said act.

10.  The Oklahoma Public Employees Retirement System Board of Trustees shall promulgate such rules as are necessary to implement the provisions of this subsection.

11.  An alternate payee who has acquired beneficiary rights pursuant to a valid qualified domestic order must fully comply with all provisions of the rules promulgated by the Board pursuant to this subsection in order to continue receiving his or her benefit.

Added by Laws 1963, c. 50, § 23, emerg. eff. May 6, 1963.  Amended by Laws 1989, c. 249, § 44, eff. Jan. 1, 1989; Laws 1993, c. 322, § 28, emerg. eff. June 7, 1993; Laws 1998, c. 198, § 9, eff. Nov. 1, 1998; Laws 2001, c. 192, § 2, eff. July 1, 2001; Laws 2004, c. 536, § 29, eff. July 1, 2004.

§74924.  False statements  Errors.

Any person who shall knowingly make any false statement, or who shall falsify or permit to be falsified any record necessary for carrying out the intent of this act for the purpose of committing fraud, shall be guilty of a misdemeanor, and upon conviction shall be punished by a fine not exceeding Five Hundred Dollars ($500.00) or by imprisonment for not exceeding one (1) year.  Should any error in any records of the Oklahoma Public Employees Retirement System result in any member or beneficiary receiving more or less than he would have been entitled to receive had the records been correct, the Bboard shall correct such error, and, as far as practicable, make future payments in such manner that the actuarial equivalent of the benefit to which such member or beneficiary was entitled shall be paid, and to this end may recover any overpayments.

Laws 1963, c. 50, § 24, emerg. eff. May 6, 1963.  

§74925.  Membership as condition of employment.

All employees of participating employers who are eligible or may hereafter become eligible to be members of the system as provided by this act shall, as a condition of continuing employment or as a condition of obtaining employment with a participating employer, become members of the system.  Laws 1963, C. 50, Sec. 25.  Emerg. eff. May 6, 1963.

Laws 1963, c. 50, § 25, emerg. eff. May 6, 1963.  

§74-929.  Vending stand operators and managers - Eligibility and enrollment in system.

Any person who is licensed by the Department of Rehabilitation Services as a vending stand operator or managing operator shall be eligible for membership in the Oklahoma Public Employees Retirement System established by Sections 901 through 928 of this title.  Enrollment in the System shall be optional with each operator under regulations prescribed by the Oklahoma Public Employees Retirement System Board of Trustees.  Persons who elect to participate in the Oklahoma Public Employees Retirement System pursuant to the provisions of this section shall be considered as state employees only for retirement purposes and shall make contributions pursuant to the provisions of Section 919.1 of this title.  Any payment or contributions to be made for members of the System shall be payable by the operator in such manner as may be determined by the Department of Rehabilitation Services, and shall not be a responsibility or liability of the Department of Rehabilitation Services; provided, that the Department may, in its discretion, make all or a part of such payments.

Added by Laws 1974, c. 9, § 1, emerg. eff. April 2, 1974.  Amended by Laws 1983, c. 283, § 14, operative July 1, 1983; Laws 1998, c. 107, § 6, eff. July 1, 1998.

§74930.3.  Increase in retirement benefits.

A.  Every member receiving retirement benefits from the System as of June 30, 1994, who retired with a final average compensation of less than Thirteen Thousand Eight Hundred Dollars ($13,800.00) and who had twenty (20) or more years of credited service within the Oklahoma Public Employees Retirement System as of the member's retirement date, shall receive on July 1, 1994, a retirement benefit increase to reflect a final average compensation of Thirteen Thousand Eight Hundred Dollars ($13,800.00) multiplied by two percent (2%), further multiplied by the number of years of credited service of the member; provided said increase shall be adjusted to reflect any options selected by the member or reduction factors applicable at the time of retirement.

B.  Every member receiving retirement benefits from the System as of June 30, 1994, who retired with a final average compensation of less than Thirteen Thousand Eight Hundred Dollars ($13,800.00) and who had at least fifteen (15) but not more than nineteen (19) years of credited service within the Oklahoma Public Employees Retirement System as of the member's retirement date, shall receive on July 1, 1994, a retirement benefit increase to reflect a final average compensation of Thirteen Thousand Eight Hundred Dollars ($13,800.00) multiplied by two percent (2%), further multiplied by the number of years of credited service of the member multiplied by one-half (1/2); provided said increase shall be adjusted to reflect any options selected by the member or reduction factors applicable at the time of retirement.

C.  Every member receiving retirement benefits from the System as of June 30, 1994, who retired with a final average compensation of less than Thirteen Thousand Eight Hundred Dollars ($13,800.00) and who had less than fifteen (15) years of credited service within the Oklahoma Public Employees Retirement System as of the member's retirement date shall not be eligible for the retirement benefit increase reflecting a minimum final average compensation as otherwise provided by this section.

D.  Any member receiving retirement benefits from the System as of June 30, 1993, who was eligible to receive an increase in benefits pursuant to subsection A or B of this section, but in an amount less than the increase in benefits provided by this subsection or who was not eligible to receive an increase in benefits pursuant to subsection A or B of this section, shall receive on July 1, 1994, an increase in retirement benefits to be computed as follows:

1.  Multiply Four Hundred Ninety-seven Dollars ($497.00) by two percent (2%);

2.  Multiply the sum of paragraph 1 by the number of years of credited service of the member;

3.  Divide the sum of paragraph 2 by twelve (12) and this shall be the increase in the monthly retirement benefit; and

4.  This increase shall be adjusted to reflect any options selected by the member at the time of retirement.

E.  A member receiving an increase in retirement benefits pursuant to subsection D of this section shall not be eligible for an increase in retirement benefits pursuant to subsection A or B of this section.

Added by Laws 1985, c. 300, § 9, emerg. eff. July 24, 1985.  Amended by Laws 1986, c. 238, § 8, operative July 1, 1986; Laws 1987, c. 236, § 192, emerg. eff. July 20, 1987; Laws 1990, c. 340, § 43, eff. July 1, 1990; Laws 1994, c. 383, § 14, eff. July 1, 1994; Laws 1995, c. 302, § 8, eff. July 1, 1995.

§74-930.4.  Additional retirement benefit.

A.  Except as provided by subsection B of this section, the Oklahoma Public Employees Retirement System shall pay to its retirees, who retire not later than June 30, 1997, or their joint annuitant, from assets of the retirement system, an additional amount, for the fiscal year ending June 30, 1998, based upon the number of years of credited service upon which the retirement benefit of the member was computed as follows:

1.  One Hundred Fifty Dollars ($150.00) for at least ten (10), but no more than fourteen (14) years of service;

2.  Three Hundred Dollars ($300.00) for at least fifteen (15), but no more than nineteen (19) years of service;

3.  Four Hundred Fifty Dollars ($450.00) for at least twenty (20), but no more than twenty-four (24) years of service; and

4.  Six Hundred Dollars ($600.00) for twenty-five (25) or more years of service.

B.  The Oklahoma Public Employees Retirement System shall pay to retirees, who retire not later than June 30, 1997, with a disability retirement benefit and having less than ten (10) years of service, the sum of One Hundred Fifty Dollars ($150.00).

C.  For purposes of subsection A or B of this section, months of credited service in excess of a whole number of years shall be disregarded for purposes of determining the applicable payment amount.

D.  The payment authorized by this section shall be distributed not later than August 1, 1997.

E.  The payment authorized by this section shall not be a recurring benefit and shall only be made for the fiscal year ending June 30, 1998, and for no other fiscal year.

F.  If a retiree has multiple joint annuitants, the amount prescribed by subsection A of this section shall be divided equally among the beneficiaries on a per capita basis.

Added by Laws 1997, c. 384, § 22, eff. July 1, 1997.

§74-930.5.  Cost of living adjustment - Calculation.

A.  It is the intent of the Legislature to provide a cost of living adjustment to retirants of the Oklahoma Public Employees Retirement System which reflects a replacement of the loss of purchasing power, while remaining consistent with the basic benefit formula of the System.

B.  To fulfill the intent as set forth in subsection A of this section, every person receiving retirement benefits from the System as of June 30, 1997, who continues to receive benefits on or after July 1, 1998, shall receive an increase in retirement benefits as follows:

1.  Persons who have been retired ten (10) years or less will receive two and one-half percent (2.5%) of the retirement benefit on July 1, 1998, multiplied by the number of years the member has been retired;

2.  Persons who have been retired in excess of ten (10) years will receive two and one-half percent (2.5%) of the retirement benefit on July 1, 1998, multiplied by ten (10);

3.  For purposes of calculating the increase, the member's  effective retirement date will be utilized, provided further, that a fractional year of six (6) months or more shall be considered as one (1) year and less than six (6) months shall be disregarded;

4.  The increase provided in this section shall become effective with the July 1998 benefit payment.

Added by Laws 1998, c. 317, § 15, eff. July 1, 1998.

§74-930.6.  Calculation of retirement benefit increase.

Any member receiving retirement benefits from the System as of June 30, 1999, who continues to receive benefits on or after July 1, 2000, shall receive an increase in retirement benefits to be computed as follows:

1.  Multiply One Thousand Two Hundred Eighty-three Dollars ($1,283.00) by two percent (2%);

2.  Multiply the sum of paragraph 1 by the number of years of credited service of the member;

3.  Divide the sum of paragraph 2 by twelve (12) and this shall be the increase in the monthly retirement benefit; and

4.  This increase shall be adjusted to reflect any options selected by the member at the time of retirement.

Added by Laws 2000, c. 377, § 14, eff. July 1, 2000.

§74-930.7.  Increase in benefits - Amount.

A.  Except as otherwise provided by this section, any person receiving retirement benefits from the Oklahoma Public Employees Retirement System as of June 30, 2001, who continues to receive benefits on or after July 1, 2002, shall, beginning in July 2002, receive an increase in retirement benefits equal to five percent (5%).

B.  Any person who is otherwise eligible for the benefit increase provided in subsection A of this section, who retired from the System with not less than twenty-five (25) years nor more than twenty-nine (29) years of service, shall receive, in lieu of the benefit increase provided in subsection A of this section, an increase in retirement benefits equal to five and five-tenths percent (5.5%) beginning July 2002.

C.  Any person who is otherwise eligible for the benefit increase provided in subsection A of this section, who retired from the System with thirty (30) or more years of service, shall receive, in lieu of the benefit increase provided in subsection A of this section, an increase in retirement benefits equal to six percent (6%) beginning July 2002.

Added by Laws 2002, c. 394, § 5, eff. July 1, 2002.

§74-930.8.  Public Employees Retirement System - Increase of benefits.

Beginning July 1, 2004, any person receiving benefits from the Oklahoma Public Employees Retirement System as of June 30, 2003, who continues to receive benefits on or after July 1, 2004, shall receive a percentage increase in said benefits on July 1, 2004, as follows:

Years of Service Monthly Benefit

of the Retired Member as of June 30, 2004 Benefit Increase

20 years or more Less than $1,500.00 4.5%

$1,500.00 to $2,500.00 4.0%

Over $2,500.00 3.5%

15 to 19 years Less than $1,000.00 4.0%

$1,000.00 to $2,000.00 3.5%

Greater than $2,000.00 3.0%

Less than 15 years $800.00 or less 3.5%

$800.01 to $1,499.99 3.0%

$1,500.00 or greater 2.5%

Added by Laws 2004, c. 536, § 31, eff. July 1, 2004.

§74931.1.  Reissuance of canceled warrants.

Warrants issued for retirement benefits or withdrawal of accumulated contributions that have been canceled by statute may be reissued at any time after cancellation upon submission of the cancelled warrant to the Board.

Laws 1980, c. 317, § 11, eff. July 1, 1980.  

§74-932.  Confidential information

Except for the member's name, age, amount of contributions paid in, benefits being paid, amount of credited service and any documents verifying credited service or benefits, all information, documents and copies thereof contained in a member's retirement file shall be given confidential treatment and shall not be made public by the System without the prior written consent of the member to which it pertains, but shall be subject to subpoena or court order.

Laws 1976, c. 207, § 8, emerg. eff. June 7, 1976.  Amended by Laws 2004, c. 302, § 6, emerg. eff. May 13, 2004.

§74-933.  Repealed by Laws 1992, c. 376, § 17, eff. July 1, 1992.

§74-935.  Statewide organization - General mailings to retired members.

Any statewide organization limited to state employee membership with a minimum membership of one thousand (1,000) dues-paying members may annually send one general mailing to all retired members of the Oklahoma Public Employees Retirement System and shall pay for the total cost.  The Board of Trustees and any qualifying organization under this section shall agree on the method of providing a list of retired members of the system and their addresses to accomplish the mailing, while preserving the confidentiality of the list.  Such an agreement may include providing the list to a third party in the business of providing mailing services if the third party agrees to maintain the confidentiality of the list.  The System shall not be held responsible or be liable to retired members for providing the names and addresses as provided herein.

Added by Laws 2004, c. 454, § 1, eff. July 1, 2004.

§74-941.  Oklahoma State Pension Commission - Members - Meetings - Apportionment of administrative costs.

A.  There is hereby created the Oklahoma State Pension Commission.  The Commission shall consist of seven (7) members as follows:

1.  The State Auditor and Inspector or that person's designee;

2.  The Director of the Department of Central Services or that person's designee;

3.  The State Treasurer or that person's designee;

4.  One member who shall be a member of the Senate appointed by the President Pro Tempore of the Senate who shall serve at the pleasure of the appointing authority;

5.  One member who shall be a member of the House of Representatives appointed by the Speaker of the House of Representatives who shall serve at the pleasure of the appointing authority;

6.  One person to be appointed by the Governor who shall have at least ten (10) years of demonstrated experience in the banking industry; and

7.  One person to be appointed by the Governor who shall have at least ten (10) years of experience in professional pension planning, including demonstrated experience with defined benefit retirement plan design.

No member of the governing body of a state retirement system shall be eligible to be appointed to the Commission.

B.  The Commission shall hold regular meetings at least once each quarter, the dates, time and place to be set by the Commission.  The Commission shall hold its first meeting prior to September 30, 1988.

C.  The Office of the State Auditor and Inspector shall provide the administrative support required by the Commission.

D.  The cost of providing the administrative support shall be apportioned by the State Auditor and Inspector among the Oklahoma Firefighters Pension and Retirement System, the Oklahoma Police Pension and Retirement System, the Uniform Retirement System for Justices and Judges, the Oklahoma Law Enforcement Retirement System, the Teachers' Retirement System of Oklahoma, the Oklahoma Public Employees Retirement System and the Department of Wildlife Conservation on behalf of the retirement plan adopted by the Wildlife Conservation Commission in proportion to the percentage that the assets of each system at the end of the preceding fiscal year were to the combined total of the assets of the systems.

Added by Laws 1988, c. 321, § 38, operative July 1, 1988.  Amended by Laws 1993, c. 322, § 29, emerg. eff. June 7, 1993; Laws 1996, c. 29, § 1, eff. Nov. 1, 1996; Laws 2002, c. 391, § 1, eff. July 1, 2002.

§74-942.  Duties of Commission - Reports - Management consultants - Fiduciary duties.

A.  The Oklahoma State Pension Commission shall:

1.  Publish, on a quarterly basis, a performance report analyzing the performance of the Oklahoma Firefighters Pension and Retirement System, the Oklahoma Police Pension and Retirement System, the Uniform Retirement System for Justices and Judges, the Oklahoma Law Enforcement Retirement System, the Teachers' Retirement System of Oklahoma, the Oklahoma Public Employees Retirement System and the retirement plan adopted by the Wildlife Conservation Commission on an individual and consolidated basis.  The Commission shall establish a format for use by each of the state retirement systems in submitting the information requested by the Commission for the report.  The report shall contain:

a. combined and individual rates of return of the investment managers by category of investment, over periods of time,

b. the data obtained pursuant to subparagraph a of this paragraph compared with similar data for a larger population of investment managers by asset class as well as by style of management,

c. an analysis of the performance of the custodian bank or trust company of the System including, but not limited to, a specific review of the adequacy of the collateralization of the short-term interest-bearing investment vehicles placed by the custodian, and

d. any other information that the Commission may include;

2.  Publish widely an annual comparative performance report in simple and easily understood language containing:

a. on an individual and consolidated basis, an analysis of the written investment plans developed by each retirement system as required by law,

b. a qualitative and quantitative analysis of the performance of the custodian employed by each governing body of the retirement systems specified in paragraph 1 of this subsection and the performance of the Office of the State Treasurer with regard to retirement system monies,

c. the result of the analyses prepared pursuant to subparagraphs a and b of this paragraph compared with similar data for a larger population,

d. recommendations on administrative and legislative changes which are necessary to improve the performance of the retirement systems in accordance with current standards for large public fund portfolio management,

e. a summary of the results of the most recent actuarial valuation to include total assets, total liabilities, unfunded liability or over funded status, contributions and any other information deemed relevant by the Commission.  The results shall be determined using the standards prescribed by the Government Accounting Standards Board or any successor entity, and

f. a listing by category of the expenses of the Commission;

3.  Make recommendations to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the State Senate, based upon the advice of pension consultants, for updating or standardizing retirement system benefit designs; and

4.  Make recommendations to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the State Senate regarding the methods for the adequate financing of benefits authorized or required by law for performance of service upon behalf of employers participating in any of the retirement systems administered by the entities identified in paragraph 1 of this subsection, including, but not limited to, recommendations regarding the use of dedicated tax or other revenue sources or the modification of such tax or other revenue sources to provide additional funding to retirement systems the actuarial condition of which would benefit from such sources.

B.  The Commission shall distribute its reports and recommendations, including a summary of the information provided to the Commission pursuant to subsection E of this section, to the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives and the chairman and vice-chairman of the Joint Committee on Fiscal Operations.  The Commission shall make the reports widely available to the members of the Legislature, members of the retirement systems and the general public.

C.  The Commission shall hire one or more pension fund management consultants to assist the Commission in accomplishing its objectives specified in subsection A of this section.  Consultants shall be chosen by a solicitation of proposals on a competitive bid basis pursuant to standards set by the Commission.  A consultant:

1.  Shall be experienced in providing unbiased third-party consulting services;

2.  Shall have in its client base individual clients that are comparable in size to the combined total assets of the retirement systems specified in paragraph 1 of subsection A of this section; and

3.  Shall not be under contract with any of the individual governing bodies of the various state retirement systems.

D.  For purposes of this subsection, pension fund management consultants hired by the Commission are hereby considered fiduciaries of the state retirement systems.

1.  A fiduciary with respect to the state retirement systems shall not cause or advise a retirement system to engage in a transaction if the fiduciary knows or should know that such transaction constitutes a direct or indirect:

a. sale or exchange, or leasing of any property from a retirement system to a party in interest for less than adequate consideration or from a party in interest to a retirement system for more than adequate consideration,

b. lending of money or other extension of credit from a retirement system to a party in interest without the receipt of adequate security and a reasonable rate of interest, or from a party in interest to a retirement system with provision of excessive security or an unreasonably high rate of interest,

c. furnishing of goods, services or facilities from a retirement system to a party in interest for less than adequate consideration, or from a party in interest to a retirement system for more than adequate consideration, or

d. transfer to, or use by or for the benefit of, a party in interest of any assets of a retirement system for less than adequate consideration.

2.  A fiduciary with respect to the state retirement systems shall not:

a. deal with the assets of a retirement system in the fiduciary's own interest or for the fiduciary's own account,

b. in the fiduciary's individual or any other capacity act in any transaction involving a retirement system on behalf of a party whose interests are adverse to the interests of a retirement system or the interests of its participants or beneficiaries, or

c. receive any consideration for the fiduciary's own personal account from any party dealing with a retirement system in connection with a transaction involving the assets of a retirement system.

E.  In order to standardize the information and analysis of the financial condition of each of the retirement systems, the Board of Trustees of each retirement system making annual reports to the Commission as required by law shall provide information regarding the financial and actuarial condition of the System using assumptions or requirements as hereinafter required for the report stating the condition of the System as of July 1, 2002, and for each subsequent reporting date, which information shall be contained in an appendix or addendum to the annual report.  For purposes other than the reporting requirements contained in the appendix or addendum, all actuarial and economic assumptions shall be those assumptions adopted by the respective retirement system in its annual actuarial valuation.  The appendix or addendum shall contain a statement of the financial condition of the retirement system:

1.  Using an assumed rate of return of seven and one-half percent (7.5%), net of investment expenses, per annum, compounded annually;

2.  Using an actuarial assumption regarding cost-of-living adjustments for the retirement system of two percent (2%) annually;

3.  That relies upon the use of appropriate preretirement, postretirement and disability retirement information using generational projections taken from the RP-2000 Mortality Tables, published by the Society of Actuaries;

4.  Which accurately and completely summarizes all sources of system assets, other than employee contributions, which shall include, but not be limited to, the total of all employer contributions, any dedicated tax or fee revenue, of whatever kind or however denominated, and the total amount of any other source of revenue which accrues to the retirement system, other than return on investments, such as federal monies used for the purpose of making employer contributions; and

5.  Using an assumption that the unfunded actuarial accrued liabilities of the retirement system are amortized over a period of thirty (30) years, in a manner consistent with the Governmental Accounting Standards Board Statement Number 25.

Added by Laws 1988, c. 321, § 39, operative July 1, 1988.  Amended by Laws 1993, c. 322, § 30, emerg. eff. June 7, 1993; Laws 2002, c. 391, § 2, eff. July 1, 2002; Laws 2003, c. 90, § 1, emerg. eff. April 15, 2003.

§74943.  Oklahoma State Pension Commission Revolving Fund.

There is hereby created in the State Treasury a revolving fund to be designated the "Oklahoma State Pension Commission Revolving Fund" which shall consist of all monies received by the Commission as provided by law.  The fund shall be a continuing fund not subject to fiscal year limitations. Monies accruing to the credit of the fund are hereby appropriated and may be expended by the Oklahoma State Pension Commission for implementing its duties.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims submitted by the Commission to the Director of State Finance for audit and payment.

Added by Laws 1988, c. 321, § 40, operative July 1, 1988.  

§74951. State policy.

In furtherance of its obligation to advance the general welfare of the state, the Legislature is cognizant of its duty to give all citizens the opportunity to reach their full potential.  Therefore, the Legislature declares that any inhibiting condition caused by racial, ethnic, or religious factors are matters of concern to the state government, threaten the rights and privileges of its citizens, and the institutions of a free and democratic society.

Laws 1963, c. 322, § 1, emerg. eff. June 1, 1963.  

§74952.  Human Rights Commission.

There is hereby created the Oklahoma Human Rights Commission. Said Commission shall consist of nine (9) members appointed by the Governor by and with the advice and consent of the Senate. Initially, three of such members shall be appointed for a term of one (1) year, three for terms of two (2) years, and three for terms of three (3) years, and until their successors are appointed and confirmed. Thereafter all appointments to the Commission shall be for terms of three (3) years and until their successors are appointed and confirmed.

In making such appointments to said Commission, consideration shall be given to making the membership broadly representative of the geographic areas of the state, the two major political parties in the state, and the several racial, religious, and ethnic groups residing in the state.

The Office of Public Affairs shall provide a suitable office for said Commission for which the Commission shall pay an appropriate rental charge.

The Commission shall meet regularly at least once per month and at such other times as may be set by the Chairman.  Members of the Commission shall receive no salary, but shall be entitled to travel reimbursement as provided by the State Travel Reimbursement Act.

Amended by Laws 1983, c. 304, § 144, eff. July 1, 1983; Laws 1985, c. 178, § 74, operative July 1, 1985.  

§74953.  Purpose and duties.

It shall be the purpose of the Oklahoma Human Rights Commission to work toward removing friction, eliminating discrimination, and promoting unity and understanding among all the people of Oklahoma. In furtherance of such purpose, the Commission shall:

(a) annually choose from among its number a Chairman, who shall be the presiding officer at all meetings of the Commission and from time to time employ and fix the salaries of a Director, who shall attend and serve as secretary of all meetings of the Commission and shall be responsible for the execution and administration of the program and projects of the Commission authorized by law and adopted by the Commission in furtherance thereof, and who shall appoint other necessary parttime and fulltime personnel; provided, the salaries of the Director and other personnel of the Commission shall not be more than, but may be less than, the amounts set forth in the appropriation to the agency.

(b) appoint an advisory committee or committees as it may deem advisable in furtherance of its purpose; provided, members of any such advisory committee, as such, shall receive no compensation.

(c) alone and in cooperation with other organizations and agencies, public and private, discourage discrimination and encourage fair treatment of all persons regardless of race, color, creed, national origin, age, handicap, or ancestry.

(d) foster, conduct, and contract for research projects and make studies into, and public reports on, discrimination in Oklahoma; and serve in a consultative capacity to communities, organizations, and businesses which desire the services of the Commission; prepare and disseminate to private businesses and industry its reports, findings and other pertinent facts and information that may assist business and industry in promoting full and open opportunity for all citizens.

(e) receive and investigate complaints of discrimination and recommend ways of eliminating any injustices occasioned thereby and serve as a conciliator in regard thereto, and, in particular, shall receive and investigate complaints of violations of Section 954 of this title, relating to discrimination in state employment, and file its findings with the Oklahoma Merit Protection Commission and the Governor and serve in an advisory capacity in regard to discrimination in state employment to the Governor and to said Commission with the right to appear before said Commission in regard thereto.

(f) have the power to hold hearings and request the appearance of witnesses; the Attorney General shall advise and represent the Commission in all legal matters and serve as the attorney therefor.

(g) make a biennial report to the Governor and to the Legislature of its activities under this act and may make recommendations concerning needed additional legislation in the field of human rights.

Amended by Laws 1982, c. 338, § 51, eff. July 1, 1982; Laws 1985, c. 165, § 19, eff. Nov. 1, 1985; Laws 1986, c. 158, § 25, operative July 1, 1986.  

§74954.  Discrimination in state employment.

It is hereby prohibited for any department or agency of the State of Oklahoma, or any official or employee of the same for and on behalf of the State of Oklahoma:  to refuse to employ or to discharge any person, otherwise qualified, on account of race, color, creed, national origin, age, handicap, or ancestry; to discriminate for the same reasons in regard to tenure, terms, or conditions of employment; to deny promotion or increase in compensation solely for these reasons; to publish an offer of employment based on such discrimination; to adopt or enforce any rule or employment policy which so discriminates as to any employee; or to seek such information as to any applicant or employee or to discriminate in the selection of personnel for training solely on such basis.  These provisions shall be cumulative and in addition to existing laws relating to discrimination in the classified service.

It shall be the duty of the Oklahoma Merit Protection Commission to investigate, upon its own initiative, upon complaint filed by any aggrieved person, or upon complaint filed by the Human Rights Commission, any violation of this section and to enforce compliance with the same, both in the classified and the nonclassified service.  The Human Rights Commission shall investigate, upon its own initiative or on complaint filed with it, any such violation and may file a formal complaint with the Oklahoma Merit Protection Commission.  When any complaint is filed by the Human Rights Commission with the Oklahoma Merit Protection Commission, the Oklahoma Merit Protection Commission shall set a hearing on the same, at which hearing the Director of the Human Rights Commission, or his representative, may appear and present the finding of the Commission in regard to such violation.  In the enforcement of this section, the Oklahoma Merit Protection Commission shall follow the provisions of existing laws relating to hearings, procedures, and notices, and shall have power to enforce its orders pertaining to violations of this section as is provided by law in regard to the classified service.

Amended by Laws 1982, c. 338, § 52, eff. July 1, 1982; Laws 1985, c. 165, § 20, eff. Nov. 1, 1985; Laws 1986, c. 158, § 26, operative July 1, 1986.  

§74955.  Classification of employee  Salary increase.

Effective July 1, 1981, all employees of the Oklahoma Human Rights Commission, except the Director and one executive secretary who shall remain in the unclassified service, shall become classified employees and subject to the Merit System of Personnel Administration.  All incumbent employees of the Commission shall be classified without the need to pass examinations provided that the classification procedures shall be completed no later than November 1, 1981. Incumbent employees of the Commission shall receive a ten percent (10%) wage and salary increase based on salaries received for the month ending June 30, 1981, pending final classification; provided that the salary increases between steps on the established salary schedule shall be advanced to the next regular salary step. Any additional salary increase due to final classification shall be retroactive to July 1, 1981.

Laws 1981, c. 251, § 3, emerg. eff. June 25, 1981.  

§74-1001.  Purpose.

It is the purpose of Section 1001 et seq. of this title to permit local governmental units to make the most efficient use of their powers by enabling them to cooperate with other localities on a basis of mutual advantage and thereby to provide services and facilities in a manner and pursuant to forms of governmental organization that will accord best with geographic, economic, population and other factors influencing the needs and development of local communities.  The cooperating governmental units can, if they deem it necessary, create an entity to carry out the cooperative functions.

Added by Laws 1965, c. 189, § 1, emerg. eff. June 8, 1965.  Amended by Laws 1994, c. 312, § 1, emerg. eff. June 7, 1994.

§741002.  Citation.

This act may be cited as the Interlocal Cooperation Act.

Laws 1965, c. 189, § 2, emerg. eff. June 8, 1965.  

§74-1003.  Definitions.

A.  For the purposes of Section 1001 et seq. of this title, the term "public agency" shall mean:

1.  Any political subdivision of this state;

2.  Any agency of the state government or of the United States;

3.  Each and every public trust of this state regardless of whether the beneficiary of such trust is a municipality, a county, or the State of Oklahoma, except the Oklahoma Ordnance Works Authority;

4.  Any corporation organized not for profit pursuant to the provisions of the Oklahoma General Corporation Act, Section 1001 et seq. of Title 18 of the Oklahoma Statutes, for the primary purpose of developing and providing rural water supply and sewage disposal facilities to serve rural residents or to provide community-based services or assistance to clients of the Department of Mental Health and Substance Abuse Services as provided in Section 2-106 of Title 43A of the Oklahoma Statutes; and

5.  Any political subdivision of another state.

B.  The term "state" shall mean a state of the United States and the District of Columbia.

Added by Laws 1965, c. 189, § 3, emerg. eff. June 8, 1965.  Amended by Laws 1986, c. 276, § 18, operative July 1, 1986; Laws 1988, c. 49, § 1, emerg. eff. March 22, 1988; Laws 1995, c. 85, § 2, eff. Nov. 1, 1995.

§741004.  Agreements authorized.

A.  Any power or powers, privileges or authority exercised or capable of exercise by a public agency of this state may be exercised and enjoyed jointly with any other public agency of this state, and jointly with any public agency of any other state or of the United States to the extent that laws of such other state or of the United States permit such joint exercise or enjoyment.  Any agency of the state government when acting jointly with any public agency may exercise and enjoy all of the powers, privileges and authority conferred by this act upon a public agency.

B.  Any two or more public agencies may enter into agreements with one another for joint or cooperative action pursuant to the provisions of this act.

Appropriate action by ordinance, resolution or otherwise pursuant to law of the governing bodies of the participating public agencies shall be necessary before any such agreement may enter into force.

C.  Any such agreement shall specify the following:

1.  Its duration;

2.  The precise organization, composition and nature of any separate legal or administrative entity created thereby together with the powers delegated thereto, provided such entity may be legally created;

3.  Its purpose or purposes;

4.  The manner of financing the joint or cooperative undertaking and of establishing and maintaining a budget therefor;

5.  The permissible method or methods to be employed in accomplishing the partial or complete termination of the agreement and for disposing of property upon such partial or complete termination; and

6.  Any other necessary and proper matters.

D.  In the event that the agreement does not establish a separate legal entity to conduct the joint or cooperative undertaking, the agreement shall, in addition to paragraphs 1, 3, 4, 5 and 6 set forth in subsection C of this section, contain the following:

1.  Provisions for an administrator or a joint board responsible for administering the joint or cooperative undertaking.  In the case of a joint board, public agencies party to the agreement shall be represented; and

2.  The manner of acquiring, holding and disposing of real and personal property used in the joint or cooperative undertaking.

E.  No agreement made pursuant to this act shall relieve any public agency of any obligation or responsibility imposed upon it by law except that, to the extent of actual and timely performance thereof by a joint board or other legal or administrative entity created by an agreement made hereunder, the performance may be offered in satisfaction of the obligation or responsibility.

F.  Every agreement made hereunder, except those agreements authorized by Section 601 of Title 69 of the Oklahoma Statutes which shall be approved by the district attorney, shall, prior to and as a condition precedent to its entry into force, be submitted to the Attorney General who shall determine whether the agreement is in proper form and compatible with the laws of this state.  The Attorney General shall approve any agreement submitted to the Attorney General hereunder unless the Attorney General shall find that it does not meet the conditions set forth herein and shall detail in writing addressed to the governing bodies of the public agencies concerned the specific respects in which the proposed agreement fails to meet the requirements of law.  Failure to disapprove an agreement submitted hereunder within sixty (60) days of its submission shall constitute approval thereof.

G.  Financing of joint projects by agreements shall be as provided by law.

Added by Laws 1965, c. 189, § 4, emerg. eff. June 8, 1965.  Amended by Laws 2000, c. 180, § 2, eff. Nov. 1, 2000.

§741005.  Filing of agreements  Status  Actions.

Prior to its entry into force, an agreement made pursuant to this act shall be filed with the county clerk and with the Secretary of State. In the event that an agreement entered into pursuant to this act is between or among one or more public agencies of this state and one or more public agencies of another state or of the United States, said agreement shall have the status of an interstate compact, but in any case or controversy involving performance or interpretation thereof or liability thereunder, the public agencies party thereto shall be real parties in interest and the state may maintain an action to recoup or otherwise make itself whole for any damages or liability which it may incur by reason of being joined as a party therein. Such action shall be maintainable against any public agency or agencies whose default, failure of performance, or other conduct caused or contributed to the incurring of damage or liability by the state.

Laws 1965, c. 189, § 5, emerg. eff. June 8, 1965.  

§741006.  Approval of agreements.

In the event that an agreement made pursuant to this act shall deal in whole or in part with the provision of services or facilities with regard to which an officer or agency of the state government has constitutional or statutory powers of control, the agreement shall, as a condition precedent to its entry into force, be submitted to the state officer or agency having such power of control and shall be approved or disapproved by him or it as to all matters within his or its jurisdiction in the same manner and subject to the same requirements governing the action of the Attorney General pursuant to Section 4(f) of this act.  This requirement of submission and approval shall be in addition to and not in substitution for the requirement of submission to and approval by the Attorney General.  .

Laws 1965, c. 189, § 6, emerg. eff. June 8, 1965.  

§741007.  Appropriation of funds  Personnel or services.

Any public agency entering into an agreement pursuant to the act may appropriate funds and may sell, lease, give, or otherwise supply the administrative joint board or other legal or administrative entity created to operate the joint or cooperative undertaking by providing such personnel or services therefor as may be within its legal power to furnish.

Laws 1965, c. 189, § 7, emerg. eff. June 8, 1965.  

§741008.  Contracts for governmental services.

A.  Any one or more public agencies may contract with any one or more other public agencies to perform any governmental service, activity, or undertaking which any of the public agencies entering into the contract is authorized by law to perform, provided that such contract shall be authorized by the governing body of each party to the contract.  Such contract shall set forth fully the purposes, powers, rights, objectives and responsibilities of the contracting parties.

B.  Except as otherwise specifically provided by law, the acquisition of food items or food products by a state public agency from a public trust created pursuant to Sections 176 through 180.56 of Title 60 of the Oklahoma Statutes shall comply with competitive bidding procedures pursuant to Section 85.7 of this title.

Laws 1965, c. 189, § 8, emerg. eff. June 8, 1965; Laws 1994, c. 223, § 2, eff. Sept. 1, 1994.

§741051.  Text of compact.

The Southern States Energy Compact is hereby entered into by this state with any and all other states legally joining therein in accordance with its terms, in the form substantially as follows:

ARTICLE I.  POLICY AND PURPOSE

The party states recognize that the proper employment and conservation of energy and employment of energyrelated facilities, materials, and products, within the context of a responsible regard for the environment, can assist substantially in the industrialization of the South and the development of a balanced economy for the region.  They also recognize that optimum benefit from and acquisition of energy resources and facilities require systematic encouragement, guidance, and assistance from the party states on a cooperative basis.  It is the policy of the party states to undertake such cooperation on a continuing basis; it is the purpose of this Compact to provide the instruments and framework for such a cooperative effort to improve the economy of the South and contribute to the individual and community wellbeing of the region's people.

ARTICLE II.  THE BOARD

(a) There is hereby created an agency of the party states to be known as the "Southern States Energy Board", hereinafter called the Board.  The Board shall be composed of three (3) members from each party state, one of whom shall be appointed or designated in each state to represent the Governor, the State Senate and the State House of Representatives, respectively.  Each member shall be designated or appointed in accordance with the law of the state which he represents and serving and subject to removal in accordance with such law.  Any member of the Board may provide for the discharge of his duties and the performance of his functions thereon, either for the duration of his membership or for any lesser period of time, by a deputy or assistant, if the laws of his state make specific provision therefor.  The federal government may be represented without vote if provision is made by federal law for such representation.

(b) Each party state shall each be entitled to one vote on the Board to be determined by majority vote of each member or member's representative from the party state present and voting on any question.  No action of the Board shall be binding unless taken at a meeting at which a majority of all party states are represented and unless a majority of the total number of votes on the Board are cast in favor thereof.

(c) The Board shall have a seal.

(d) The Board shall elect annually, from among its members, a chairman, a vicechairman, and a treasurer.  The Board shall appoint an Executive Director who shall serve at its pleasure and who shall also act as Secretary, and who, together with the treasurer, shall be bonded in such amounts as the Board may require.

(e) The Executive Director, with the approval of the Board, shall appoint and remove or discharge such personnel as may be necessary for the performance of the Board's functions irrespective of the civil service, personnel or other merit system laws of any of the party states.

(f) The Board may establish and maintain, independently or in conjunction with any one or more of the party states, a suitable retirement system for its fulltime employees.  Employees of the Board shall be eligible for social security coverage in respect of old age and survivors insurance provided that the Board takes such steps as may be necessary pursuant to federal law to participate in such program of insurance as a governmental agency or unit.  The Board may establish and maintain or participate in such additional programs of employee benefits as may be appropriate.

(g) The Board may borrow, accept, or contract for the services of personnel from any state or the United States or any subdivision or agency thereof, from any interstate agency, or from any institution, person, firm or corporation.

(h) The Board may accept for any of its purposes and functions under this Compact any and all donations, and grants of money, equipment, supplies, materials, and services, conditional or otherwise, from any state or the United States or any subdivision or agency thereof, or interstate agency, or from any institution, person, firm or corporation, and may receive, utilize and dispose of the same.

(i) The Board may establish and maintain such facilities as may be necessary for the transacting of its business.  The Board may acquire, hold, and convey real and personal property and any interest therein.

(j) The Board shall adopt bylaws, rules and regulations for the conduct of its business, and shall have the power to amend and rescind these bylaws, rules, and regulations.  The Board shall publish its bylaws, rules, and regulations in convenient form and shall file a copy thereof, and shall also file a copy of any amendment thereto, with the appropriate agency or officer in each of the party states.

(k) The Board annually shall make, to the governor of each party state, a report covering the activities of the Board for the preceding year, and embodying such recommendations as may have been adopted by the Board, which report shall be transmitted to the Legislature of said state.  The Board may issue such additional reports as it may deem desirable.

ARTICLE III.  FINANCES

(a) The Board shall submit to the executive head or designated officer or officers of each party state a budget of its estimated expenditures for such period as may be required by the laws of that jurisdiction for presentation to the Legislature thereof.

(b) Each of the Board's budgets of estimated expenditures shall contain specific recommendations of the amount or amounts to be appropriated by each of the party states.  Onehalf (1/2) of the total amount of each budget of estimated expenditures shall be apportioned among the party states in equal shares; onequarter (1/4) of each such budget shall be apportioned among the party states in accordance with the ratio of their populations to the total population of the entire group of party states based on the last Decennial Federal Census; and onequarter (1/4) of each such budget shall be apportioned among the party states on the basis of the relative average per capita income of the inhabitants in each of the party states based on the latest computations published by the federal censustaking agency.  Subject to appropriation by their respective Legislatures, the Board shall be provided with such funds by each of the party states as are necessary to provide the means of establishing and maintaining facilities, a staff of personnel, and such activities as may be necessary to fulfill the powers and duties imposed upon and entrusted to the Board.

(c) The Board may meet any of its obligations in whole or in part with funds available to it under Article II (h) of this Compact, provided that the Board takes specific action setting aside such funds prior to the incurring of any obligation to be met in whole or in part in this manner.  Except where the Board makes use of funds available to it under Article II (h) hereof, the Board shall not incur any obligation prior to the allotment of funds by the party jurisdictions adequate to meet the same.

(d) The Board shall keep accurate accounts of all receipts and disbursements.  The receipts and disbursements of the Board shall be subject to the audit and accounting procedures established under its bylaws.  However, all receipts and disbursements of funds handled by the Board shall be audited yearly by a qualified public accountant and the report of the audit shall be included in and become a part of the annual report of the Board.

(e) The accounts of the Board shall be open at any reasonable time for inspection.

ARTICLE IV.  ADVISORY COMMITTEES

The Board may establish such advisory and technical committees as it may deem necessary, membership on which to include but not be limited to private citizens, expert and lay personnel, representatives of industry, labor, commerce, agriculture, civic associations, medicine, education, voluntary health agencies, and officials of local, state and federal government, and may cooperate with and use the services of any such committees and the organizations which they represent in furthering any of its activities under this Compact.

ARTICLE V.  POWERS

The Board shall have power to:

(a) Ascertain and analyze on a continuing basis the position of the South with respect to energy, energyrelated industries and environmental concerns.

(b) Encourage the development, conservation and responsible use of energy and energyrelated facilities, installations, and products as part of a balanced economy and healthy environment.

(c) Collect, correlate, and disseminate information relating to civilian uses of energy and energyrelated materials and products.

(d) Conduct, or cooperate in conducting, programs of training for state and local personnel engaged in any aspect of:

(1) Energy, environment, and application of energy, environmental, and related concerns to industry, medicine, or education or the promotion or regulation thereof.

(2) The formulation or administration of measures designed to promote safety in any matter related to the development, use or disposal of energy and energyrelated materials, products, installations, or wastes.

(e) Organize and conduct, or assist and cooperate in organizing and conducting, demonstrations of energy product, material, or equipment use and disposal and of proper techniques or processes for the application of energy resources to the civilian economy or general welfare.

(f) Undertake such nonregulatory functions with respect to sources of radiation as may promote the economic development and general welfare of the region.

(g) Study industrial, health, safety, and other standards, laws, codes, rules, regulations, and administrative practices in or related to energy and environmental fields.

(h) Recommend such changes in, or amendments or additions to, the laws, codes, rules, regulations, administrative procedures and practices or ordinances of the party states in any of the fields of its interest and competence as in its judgment may be appropriate. Any such recommendation shall be made through the appropriate state agency with due consideration of the desirability of uniformity but shall also give appropriate weight to any special circumstance which may justify variations to meet local conditions.

(i) Prepare, publish and distribute, with or without charge, such reports, bulletins, newsletters or other material as it deems appropriate.

(j) Cooperate with the United States Department of Energy or any agency successor thereto, any other officer or agency of the United States, and any other governmental unit or agency or officer thereof, and with any private persons or agencies in any of the fields of its interests.

(k) Act as licensee of the United States Government or any party state with respect to the conduct of any research activity requiring such license and operate such research facility or undertake any program pursuant thereto.

(l) Ascertain from time to time such methods, practices, circumstances, and conditions as may bring about the prevention and control of energy and environmental incidents in the area comprising the party states, to coordinate the environmental and other energyrelated incident prevention and control plans and the work relating thereto of the appropriate agencies of the party states and to facilitate the rendering of aid by the party states to each other in coping with energy and environmental incidents.  The Board may formulate and, in accordance with need from time to time, revise a regional plan or regional plans for coping with energy and environmental incidents within the territory of the party states as a whole or within any subregion or subregions of the geographic area covered by this Compact.

ARTICLE VI.  SUPPLEMENTARY AGREEMENTS

(a) To the extent that the Board has not undertaken an activity or project which would be within its power under the provisions of Article V of this Compact, any two or more of the party states, acting by their duly constituted administrative officials, may enter into supplementary agreements for the undertaking and continuance of such an activity or project.  Any such agreement shall specify its purpose or purposes; its duration and the procedure for termination thereof or withdrawal therefrom; the method of financing and allocating the costs of the activity or project; and such other matters as may be necessary or appropriate.  No such supplementary agreement entered into pursuant to this article shall become effective prior to its submission to and approval by the Board.  The Board shall give such approval unless it finds that the supplementary agreement or the activity or project contemplated thereby is inconsistent with the provisions of this Compact or a program or activity conducted by or participated in by the Board.

(b) Unless all of the party states participate in a supplementary agreement, any cost or costs thereof shall be borne separately by the states party thereto.  However, the Board may administer or otherwise assist in the operation of any supplementary agreement.

(c) No party to a supplementary agreement entered into pursuant to this article shall be relieved thereby of any obligation or duty assumed by said party state under or pursuant to this Compact, except that timely and proper performance of such obligation or duty by means of the supplementary agreement may be offered as performance pursuant to the Compact.

ARTICLE VII.  OTHER LAWS AND RELATIONSHIPS

Nothing in this Compact shall be construed to:

(a) Permit or require any person or other entity to avoid or refuse compliance with any law, rule, regulation, order or ordinance of a party state or subdivision thereof now or hereafter made, enacted or in force.

(b) Limit, diminish, or otherwise impair jurisdiction exercised by the United States Department of Energy, any agency successor thereto, or any other federal department, agency or officer pursuant to and in conformity with any valid and operative act of Congress.

(c) Alter the relations between the respective internal responsibilities of the government of a party state and its subdivisions.

(d) Permit or authorize the Board to exercise any regulatory authority or to own or operate any nuclear reactor for the generation of electric energy; nor shall the Board own or operate any facility or installation for industrial or commercial purposes.

ARTICLE VIII.  ELIGIBLE PARTIES, ENTRY

INTO FORCE AND WITHDRAWAL

(a) Any or all of the states of Alabama, Arkansas, Delaware, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi, Missouri, North Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia, West Virginia, the Commonwealth of Puerto Rico, and the United States Virgin Islands shall be eligible to become party to this Compact.

(b) As to any eligible party state, this Compact shall become effective when its Legislature shall have enacted the same into law; provided that it shall not become initially effective until enacted into law by seven states.

(c) Any party state may withdraw from this Compact by enacting a statute repealing the same, but no such withdrawal shall become effective until the Governor of the withdrawing state shall have sent formal notice in writing to the Governor of each other party state informing said Governors of the action of the Legislature in repealing the Compact and declaring an intention to withdraw.

ARTICLE IX.  SEVERABILITY AND CONSTRUCTION

The provisions of this Compact and of any supplementary agreement entered into hereunder shall be severable and if any phrase, clause, sentence or provision of this Compact or such supplementary agreement is declared to be contrary to the constitution of any participating state or of the United States or the applicability thereof to any government, agency, person, or circumstance is held invalid, the validity of the remainder of this Compact or such supplementary agreement and the applicability thereof to any government, agency, person or circumstance shall not be affected thereby.  If this Compact or any supplementary agreement entered into hereunder shall be held contrary to the constitution of any state participating therein, the Compact or such supplementary agreement shall remain in full force and effect as to the remaining states and in full force and effect as to the state affected as to all severable matters. The provisions of this Compact and of any supplementary agreement entered into pursuant hereto shall be liberally construed to effectuate the purpose thereof.

§741052.  Governor as ex officio member  Assistant.

The Governor shall be, ex officio, this State's member of the Southern Interstate Nuclear Board as established by Article II of the Compact.  Provided, that whenever the Governor shall deem it advisable to do so he may appoint an assistant in the Governor's office or the executive head of any state department, agency or institution as this state's member of the Board, and thereafter such appointed member shall serve on the Board at the pleasure of the Governor.  An executed counterpart of each letter of appointment by the Governor shall be filed with the Secretary of the Board.

Laws 1965, c. 255, § 2, emerg. eff. June 21, 1965. Laws 1965, c. 255, § 2, emerg. eff. June 21, 1965.  

§741053.  Expenditures  Appropriations.

Any supplementary agreement entered into pursuant to Article VI of the Compact and requiring the expenditure of funds or the assumption of an obligation to expend funds shall not become effective as to this state prior to the making of an appropriation therefor by the Legislature.  Provided, that with respect to the payment of this state's share of the budget of expenditures for the maintenance of the Board as provided in Article III(b) of the Compact, the Governor may, in the absence of a specific legislative appropriation for such purpose, use appropriations as are made available to him for emergency and contingency expenditures.

Laws 1965, c. 255, § 3, emerg. eff. June 21, 1965.  

§741054.  Cooperation.

All officers, departments, agencies and institutions of this State and of its political subdivisions are hereby authorized to cooperate with the Southern Interstate Nuclear Board in the furtherance of any of its activities pursuant to the Compact.

Laws 1965, c. 255, § 4, emerg. eff. June 21, 1965.  

§741108a.  Establishment of boundaries for planning regions.

(1)  It shall be the duty of the Oklahoma Industrial Development and Park Commission to establish criteria for boundaries of planning regions within the state in the following manner:

(a)  The Director shall within six (6) months after the effective date of this act recommend to the Commission proposed criteria to be used in the establishment of planning regions;

(b)  The Commission shall within three (3) months after the date of submission of the criteria by the Director establish and adopt criteria to be used in the delineation of planning regions following at least one public hearing with notice to all regional planning agencies, counties and municipalities included therein.

(2)  The Commission shall establish boundaries for planning regions in the following manner:

(a)  Based upon criteria adopted by the Commission the Director shall within thirty (30) days recommend to the Commission planning regional boundaries;

(b)  The Commission shall within sixty (60) days after the Director's recommendation adopt and establish planning regional boundaries following at least one public hearing with notice to all regional planning agencies, counties and municipalities included therein.

(3)  Any regional planning agency may, within fortyfive (45) days after a final decision of the Commission on delineation of planning regional boundaries, file an appeal in writing to the Governor with a copy to the Commission.  In the event of such appeal the Governor may approve or modify the decision of the Commission.

(4)  When any two or more regional planning agencies shall propose to the Director in writing a modification of existing boundaries, the Director shall within thirty (30) days after receipt of such request forward said request with his recommendations to the Commission which shall conduct a public hearing with notice to the regional planning agencies, counties and municipalities affected therein before final action on such request.

(5)  The Commission may delegate to the Director the holding of public hearings as required by this section, in which case the full proceedings of the hearing shall be transcribed and transmitted to the Commission.

(6)  Where a Standard Metropolitan Statistical Area (SMSA), as determined by the Federal Office of Management and Budget, crosses the state line and includes counties both from Oklahoma and another state, the regional and areawide planning covering the Oklahoma counties shall be the sole responsibility of the Oklahoma Regional Planning Agency established for the area delineated in accordance with this section, and not a regional organization operating across the state line.  The Oklahoma Regional Planning Agency shall have the sole responsibility for determining eligibility and for clearing all grants and all projects.

(7)  As used in this section:

(a)  "Regional planning agency" means an agency of state government or other entity which has planning responsibilities for two or more counties; and

(b)  "Notice" means written notifications at least fifteen (15) days prior to public hearing.

Laws 1969, c. 197, § 1, emerg. eff. April 18, 1969; Laws 1974, c. 69, § 1.  

§741121.  Indian Cultural Center Revolving Fund.

There is hereby created in the State Treasury the "Indian Cultural Center Revolving Fund," which shall be a continuing fund not subject to fiscal year limitations.  Said fund shall consist of monies appropriated thereto by the Legislature, proceeds from the sale of products and other business operations of said center and monies donated, granted or otherwise acquired by said center. Expenditures from said Indian Cultural Center Revolving Fund, herein created, shall be used exclusively for purchasing raw materials, items for resale, personal services, equipment, supplies, construction, renovation and repair of said center and shall be made on claims approved by the Division of Parks, Recreation and Waterways.  The Division of Parks, Recreation and Waterways is hereby authorized to accept for and on behalf of the Indian Cultural Center contributions, gifts, bequests, devises, donations and other monies, public and private, and tangible articles for use in furthering the purposes of the center.  Said Division is hereby authorized and directed to cooperate with agencies of the federal government and other units of government and to enter into contract for furthering the purposes and objectives of said center.

Laws 1965, c. 493, § 6, emerg. eff. July 15, 1965.  

§741151.  Inclusion of state as part of economic development region.

The State of Oklahoma hereby concurs in the inclusion of all or a portion of said state, with portions of other states, as a part of an "economic development region," now or hereafter designated by the U.S. Secretary of Commerce, or such other official as may be provided by law, under laws heretofore or hereafter enacted by the Congress of the United States; such concurrence refers particularly to, but is not limited to, the Ozarka Region of Eastern Oklahoma, Western Arkansas, Southern Missouri and contiguous areas.

Laws 1965, p. 1217, H.J.R.No.553, § 1.  

§741152.  Establishment of multistate regional commission or commissions.

The State of Oklahoma hereby accepts the invitation heretofore or hereafter received from the U.S. Secretary of Commerce, or such other official as may be provided by law, to join with the federal government and other states for the establishment of the appropriate multistate regional commission or commissions for the economic development region or regions, referred to in Section 2 hereof, under laws heretofore or hereafter enacted by the Congress of the United States.

Laws 1965, p. 1217, H.J.R.No.553, § 2.  

§741153.  Oklahoma members of commission  Participation in activities  Reimbursement for expenses.

It is hereby provided by the law of the State of Oklahoma that upon the establishment of such multistate regional commission or commissions, referred to in Sections 1151 and 1152 hereof, the State of Oklahoma member of such commission or commissions shall be the Governor of the State of Oklahoma and the State of Oklahoma alternate for such commission or commissions shall be the Director of the Oklahoma Industrial Development and Park Commission.  The participation of said state officials in the activities of said commission or commissions, attendance at meetings thereof and related functions in connection therewith, shall be a part of the regular and official duties of said state officials, to be performed without additional salary or compensation to them from the State of Oklahoma, except that travel and related expenses of said state officials in connection with such added duties shall be reimbursed by the State of Oklahoma the same as is now provided by law for reimbursement of such expenses in connection with the official duties of said state offices.

Laws 1965, p. 1217, H.J.R.No. 553, § 3; Laws 1967, c. 49, § 1, emerg. eff. April 13, 1967.  

§74-1201.  Creation.

A.  There is hereby created the Oklahoma Indian Affairs Commission.  The Commission shall consist of twenty (20) members:  nine appointed members and eleven nonvoting, ex officio members.  The appointed members shall be appointed by the Governor with the advice and consent of the Senate.  Each appointed member shall be an enrolled member of one of the thirty-nine (39) tribal governments in Oklahoma.  All Commission members shall be residents of the State of Oklahoma at the time of their appointment.  All appointments to the Commission shall be for terms of three (3) years.  Members shall serve until their successors are appointed and confirmed.  Failure of any appointed member to attend three consecutive regularly scheduled monthly meetings shall result in forfeiture of appointment.  Provided, absences may be excused under extraordinary circumstances as determined by the Commission.

B.  Appointments to the Commission shall be made as follows:

1.  Four of the members shall represent the tribes under the Bureau of Indian Affairs Eastern Oklahoma Region Office located in Muskogee, Oklahoma, and appointed from a list provided by the Oklahoma Indian Affairs Commission;

2.  Four of the members shall represent the tribes under the Bureau of Indian Affairs Southern Plains Region Office located in Anadarko, Oklahoma, and appointed from a list provided by the Oklahoma Indian Affairs Commission; and

3.  One of the members shall be appointed at large.

C.  The eleven nonvoting, ex officio members shall be:

1.  The Superintendent of Public Instruction, or designee;

2.  The Executive Director of the Oklahoma Department of Commerce, or designee;

3.  The Director of the Oklahoma Department of Tourism and Recreation, or designee;

4.  The Director of the Department of Human Services, or designee;

5.  The Director of the Oklahoma Historical Society, or designee;

6.  The Director of the Oklahoma Arts Council, or designee;

7.  The Attorney General, or designee;

8.  The Secretary of State, or designee;

9.  The Secretary of Transportation, or designee;

10.  The Governor of the State of Oklahoma, or designee; and

11.  The Executive Director of the Native American Cultural and Educational Authority of Oklahoma, or designee.

D.  A Director, who must be an American Indian of at least one-quarter blood, shall be appointed by the Commission to serve at the pleasure of the Commission.  The Director shall attend and serve as secretary of all meetings of the Commission and shall be responsible for the execution and administration of the program and projects of the Commission authorized by law and adopted by the Commission in furtherance thereof.

E.  In appointing members of the Commission to succeed those previously appointed, appointments shall be restricted to not more than one representative of any tribe.  Appointments to the Commission will be geographically distributed to represent the various tribal governments in Oklahoma.

F.  The Department of Central Services shall provide suitable office space for said Commission in the State Capitol or other buildings in the State Capitol area.

G.  The Commission shall meet regularly at least once every other month and at such other times as may be set by the Chair.  Members of the Commission shall receive no salary, but shall be entitled to travel reimbursement as provided by the State Travel Reimbursement Act, Section 500.1 et seq. of this title.

Added by Laws 1967, c. 244, § 1, emerg. eff. May 8, 1967.  Amended by Laws 1969, c. 260, § 3, emerg. eff. April 25, 1969; Laws 1975, c. 157, § 4, emerg. eff. May 20, 1975; Laws 1983, c. 304, § 145, eff. July 1, 1983; Laws 1985, c. 178, § 75, operative July 1, 1985; Laws 1987, c. 67, § 1, emerg. eff. May 4, 1987; Laws 1989, c. 99, § 1, eff. Nov. 1, 1989; Laws 1993, c. 313, § 1, eff. Sept. 1, 1993; Laws 1994, c. 388, § 1, eff. Sept. 1, 1994; Laws 1995, c. 56, § 1, eff. Nov. 1, 1995; Laws 1996, c. 348, § 12, eff. July 1, 1996; Laws 1998, c. 150, § 1, eff. July 1, 1998; Laws 2001, c. 111, § 1, emerg. eff. April 18, 2001.

NOTE:  Laws 1983, c. 254, § 5 repealed by Laws 1985, c. 178, § 81, operative July 1, 1985.

§74-1202.  Purpose.

It shall be the purpose of the Oklahoma Indian Affairs Commission to work toward promoting unity, purpose and understanding among the Indian people of Oklahoma and the Commission shall serve as liaison between the Indian people of the state, Indian leaders of the state, tribal governments, private sector entities, the various federal and state agencies, and the executive and legislative branches of the state government, who share a concern for developing mutual goals beneficial to Indian affairs.  In furtherance of such purpose, the Commission shall:

1.  Annually choose from among its number, a Chairman, who shall be the presiding officer at all meetings of the Commission, and shall appoint other necessary part-time and full-time personnel;

2.  Appoint an advisory committee or committees, limited to no more than fifteen (15) members, as it may deem advisable in furtherance of its purpose; provided, members of any such advisory committee, as such, shall receive no compensation, but shall be entitled to travel reimbursement as provided by the State Travel Reimbursement Act, Section 500.1 et seq. of this title;

3.  Foster, conduct and contract for research projects and prepare and disseminate to private businesses and industry its reports, findings and other pertinent facts and information that may assist business and industry in promoting opportunity for all Indian people;

4.  Make an annual report to the Governor and to the Legislature of its activities under this act;

5.  Make recommendations concerning additional state and federal legislation in the field of Indian affairs; and

6.  Develop and promote cooperative programs between tribal governments, state government and private entities in the areas of health, education, tourism and economic development.

Added by Laws 1967, c. 244, § 2, emerg. eff. May 8, 1967.  Amended by Laws 1993, c. 313, § 2, eff. Sept. 1, 1993; Laws 1998, c. 150, § 2, eff. July 1, 1998.

§741203.  Requirements for membership.

All members of the Commission appointed hereafter must be of at least onefourth (1/4) American Indian blood or more.

Laws 1970, c. 126, § 4, emerg. eff. April 6, 1970.  

§74-1204.  Renumbered as § 840-5.22 of this title by Laws 1998, c. 388, § 13, eff. July 1, 1998.

§741205.  Oklahoma Indian Affairs Commission Revolving fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Indian Affairs Commission, to be designated the "Oklahoma Indian Affairs Commission Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Oklahoma Indian Affairs Commission including but not limited to monies received from the sale of Indian arts and crafts, donations, or contracts with other state agencies or institutions.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Director of the Oklahoma Indian Affairs Commission for the purpose of paying for operating expenses of the Oklahoma Indian Affairs Commission. Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1984, c. 1, § 126, emerg. eff. Jan. 30, 1984. Amended by Laws 1984, c. 190, § 3, operative July 1, 1984.  

§74-1221.  Indian tribes - Acknowledgment of federal recognition - Cooperative agreements - Surface water and/or groundwater resources.

A.  The State of Oklahoma acknowledges federal recognition of Indian Tribes recognized by the Department of Interior, Bureau of Indian Affairs.

B.  The State of Oklahoma recognizes the unique status of Indian Tribes within the federal government and shall work in a spirit of cooperation with all federally recognized Indian Tribes in furtherance of federal policy for the benefit of both the State of Oklahoma and Tribal Governments.

C.  1.  The Governor, or named designee, is authorized to negotiate and enter into cooperative agreements on behalf of this state with federally recognized Indian Tribal Governments within this state to address issues of mutual interest.  Except as otherwise provided by this subsection, such agreements shall become effective upon approval by the Joint Committee on State-Tribal Relations.

2.  If the cooperative agreements specified and authorized by paragraph 1 of this subsection involve trust responsibilities, approval by the Secretary of the Interior or designee shall be required.

3.  Any cooperative agreement specified and authorized by paragraph 1 of this subsection involving the surface water and/or groundwater resources of this state or which in whole or in part apportions surface and/or groundwater ownership shall become effective only upon the consent of the Oklahoma Legislature authorizing such cooperative agreement.

D.  1.  The governing board of a political subdivision of this state is authorized to negotiate and enter into intergovernmental cooperative agreements in behalf of the political subdivision, with a federally recognized Indian Tribal Government within this state to address issues of mutual interest.  Except as otherwise provided by this subsection, such agreements shall be effective upon approval by the Joint Committee on State-Tribal Relations and the Governor, or named designee.

2.  Agreements for juvenile detention facilities made pursuant to Section 1108 of Title 10 of the Oklahoma Statutes shall become effective upon approval by the board of county commissioners.

3.  Any cooperative agreement specified and authorized by paragraph 1 of this subsection involving the surface water and/or groundwater resources of this state shall become effective only upon the consent of the Oklahoma Legislature authorizing such cooperative agreement.

4.  Agreements between the Military Department of the State of Oklahoma and an Indian tribe for the management or operation of a juvenile facility shall not be subject to the requirements of this section.

E.  An executed original of every agreement approved pursuant to this section shall be filed with the Secretary of State.

Added by Laws 1988, c. 160, § 1.  Amended by Laws 1989, c. 296, § 1, emerg. eff. May 24, 1989; Laws 1991, c. 202, § 3, emerg. eff. May 17, 1991; Laws 1994, c. 290, § 73, eff. July 1, 1994; Laws 2000, c. 240, § 4, eff. Nov. 1, 2000; Laws 2002, c. 485, § 2, emerg. eff. June 6, 2002.

§74-1221.A.  Moratorium on compacts or cooperative agreements relating to surface water or groundwater.

In order to provide for the conservation, preservation, protection and optimum development and utilization of surface water and groundwater within this state, the Legislature hereby establishes a moratorium on any state or tribal compact or any intergovernmental cooperative agreement, authorized pursuant to law, which is drafted in whole or in part to apportion surface water or groundwater ownership, or authorize or otherwise implement any sale or exportation of surface water or groundwater outside this state, except as authorized by the provisions of this act.  Unless earlier repealed or revoked by the Legislature, the moratorium shall be in effect for a five-year period beginning on the effective date of this act or until such time as the State of Oklahoma conducts and completes a comprehensive scientific hydrological study of the water resources of this state.

Added by Laws 2002, c. 485, § 3, emerg. eff. June 6, 2002.  Amended by Laws 2004, c. 392, § 2, eff. Nov. 1, 2004.

§741222.  Joint Committee on StateTribal Relations.

A.  There is hereby created the "Joint Committee on StateTribal Relations".  The Committee shall be responsible for overseeing and approving agreements between tribal governments and the State of Oklahoma.  The Committee shall consist of ten (10) members, to be appointed as follows:

1.  Five members of the Senate to be appointed by the President Pro Tempore of the Senate; and

2.  Five members of the House of Representatives to be appointed by the Speaker of the House of Representatives.

B.  The chairman and vice-chairman of the Committee shall be designated from the membership of the Committee by the Speaker of the House of Representatives and the President Pro Tempore of the Senate as provided for in this subsection.  The President Pro Tempore of the Senate shall designate the initial chairman who shall serve until the convening of the First Regular Session of the 44th Oklahoma Legislature.  The Speaker of the House of Representatives shall designate the initial vice-chairman who shall serve until the convening of the First Regular Session of the 44th Oklahoma Legislature.  Thereafter, the chairmanship shall alternate every two (2) years between the House of Representatives and the Senate, beginning with the convening of the First Regular Session of the Legislature.

C.  All members of the Committee shall serve at the pleasure of the appointing authority.

D.  All actions of the Committee shall require a quorum which shall be defined as a majority of the members appointed.  Approval of any agreement pursuant to Section 1221 of this title by the Committee shall be determined by a majority of the quorum present.

E.  Staff for the Committee shall be provided by the House of Representatives and Senate from their existing staff.

Added by Laws 1988, c. 160, § 2. Amended by Laws 1989, c. 296, § 2, emerg. eff. May 24, 1989; Laws 1991, c. 202, § 4, emerg. eff. May 17, 1991.

§74-1223.  Agency responsible for monitoring Indian gaming compacts.

The Oklahoma State Bureau of Investigation is hereby declared to be the agency responsible, on behalf of the state, for monitoring and oversight for compacts relating to Indian gaming that are approved pursuant to Sections 1221 and 1222 of Title 74 of the Oklahoma Statutes.

Added by Laws 1993, c. 305, § 1, eff. July 1, 1993.

§74-1224.  Land of Indian and Hard Rock Mining Museum Commission - Sale to Northeast Eight Inter-Tribal Council - Federal trust.

A.  Notwithstanding any other provision relating to the authority of the Office of Public Affairs, the Office of Public Affairs is hereby authorized to enter into a private land sale agreement with  the Northeast Eight Inter-Tribal Council to secure title to the former land of the Indian and Hard Rock Mining Museum Commission, which has by law been deemed as a state reservation for the benefit of said Inter-Tribal Council subject to the restrictions and covenants set forth in Section 2 of this act.

B.  The purpose of this section is to provide for the transfer of title to the Inter-Tribal Council in such manner that the Secretary of the Interior of the United States can immediately place it in federal trust for the benefit of the Northeast Eight Inter-Tribal Council.  The sale of said property must be for fair market value.

Added by Laws 1990, c. 262, § 1, eff. Sept. 1, 1990.

§74-1225.  Sale to Northeast Eight Inter-Tribal Council - Restrictions and covenants.

The restrictions and covenants of the private land sale agreement authorized by Section 1 of this act shall include, but not be limited to, the following:

1.  A provision prohibiting the grantee, any subsequent grantee or lessee, or any other person or entity from using the subject land for purposes of operating or permitting to be operated any bingo games, rip off games, pull tab games or any other gaming activities or any type of pari-mutuel wagering; and

2.  A provision prohibiting the grantee, any subsequent grantee or lessee, or any other person or entity from establishing or operating any retail or wholesale business on the subject land which is not required to collect and remit or otherwise pay any tax or fees levied pursuant to the laws of this state; provided, however, this prohibition shall not apply to craftwork or souvenir items crafted by tribal members.

Added by Laws 1990, c. 262, § 2, eff. Sept. 1, 1990.

§74-1226.  Purpose.

In order to promote the history and culture of Native Americans for the mutual benefit of the State of Oklahoma and its Indian and non-Indian citizens, there is hereby created the "Native American Cultural and Educational Authority", which Authority is hereby authorized and empowered to construct, maintain, repair and operate a Native American cultural center, museum and theme park within the State of Oklahoma as shall be approved by the Authority and to issue revenue bonds of the Authority payable solely from revenues to pay the cost of such projects.

Added by Laws 1994, c. 388, § 2, eff. Sept. 1, 1994.  Amended by Laws 2000, c. 320, § 1, eff. July 1, 2000.

§74-1226.1.  Revenue bonds - Obligation.

Revenue bonds issued under the provisions of this act shall not at any time be deemed to constitute a debt of the state or of any political subdivision thereof or a pledge of the faith and credit of the state or of any such political subdivision, but such bonds shall be payable solely from the funds therein provided therefor from revenues.  Such revenue bonds shall contain on the face thereof a statement to the effect that neither the state nor the Authority shall be obligated to pay the same or the interest thereon except from the revenues of the project or projects for which they are issued and that neither the faith and credit nor the taxing power of the state or any political subdivision thereof is pledged, or may hereafter be pledged, to the payment of the principal of or the interest on such bonds.

Added by Laws 1994, c. 388, § 3, eff. Sept. 1, 1994.

§74-1226.2.  Powers - Members - Surety bonds - Expenses - Subcommittees - Holding other offices.

A.  There is hereby created a body corporate and politic to be known as the "Native American Cultural and Educational Authority", and by that name the Authority may sue and be sued, and plead and be impleaded.  The Authority is hereby constituted an agency of the state, and the exercise by the Authority of the powers conferred by Section 1226 et seq. of this title shall be deemed to be essential governmental functions of the state with all the attributes thereof.  Provided, however, the Authority is authorized to carry liability insurance to the extent authorized by the Authority, and in addition thereto it shall be subject to the workers' compensation laws of the State of Oklahoma the same as a private employer.  The Department of Commerce shall assist the Authority in fulfilling the responsibilities of Section 1226 et seq. of this title, as requested by the authority.

B.  The Authority shall consist of seven appointed members who are members of a federally recognized American Indian Tribe located within this state, six ex officio members and four appointed members from the business community.  Each appointed member, excluding ex officio members, shall have one vote for purposes of conducting the business of the Authority.  Except for the members appointed pursuant to paragraph 3 of this subsection, the appointed members shall be residents of the state, and shall have been qualified electors therein for a period of at least one (1) year preceding their appointment.  Any member of the Authority shall be eligible for reappointment, and no member shall be removed from office except for good cause shown.  Good cause may be shown in evidence of excessive failure to attend three consecutive regular Board meetings of the Authority.  The chair of the Authority shall have the right to remove any member pursuant to good cause.  At the expiration of any term, the person holding such office shall continue to serve until such person's duly appointed successor shall be appointed and qualified.

1.  Seven members appointed to serve shall serve overlapping terms and shall be chosen as follows:  three members shall be appointed by the Governor; two members shall be appointed by the President Pro Tempore of the Senate; and two members shall be appointed by the Speaker of the House of Representatives.  Each of these members shall be a member of a federally recognized American Indian tribe located within this state.  Such tribal membership shall be determined by the respective tribes.  Appointments shall be made from names provided by tribal governments, councils or other recognized tribal entities.  Appointments shall be restricted to not more than one representative of any tribe.  Such appointed members initially appointed shall continue in office for terms of from three (3) to seven (7) years, respectively, from the date of their appointment, with the term of each initially appointed member to be designated by the Governor at the time of the appointment, with one member to be appointed to a three-year term, two members to be appointed to a four-year term, one member to be appointed to a five-year term, one member to be appointed to a six-year term, and two members to be appointed to a seven-year term.  Any person appointed to fill a vacancy shall serve only for the unexpired term.  Upon the expiration of a term, on or after July 1, 2000, any succeeding term shall be for four (4) years.

2.  The six ex officio members shall be as follows:  the Executive Director of the Oklahoma Indian Affairs Commission, or the designee of the same; the Lieutenant Governor, or the designee of same; the Director of the Oklahoma Historical Society, or the designee of same; the Secretary of Commerce, or the designee of same; the Executive Director of the Oklahoma Arts Council, or the designee of same; and the Executive Director of the Oklahoma Tourism and Recreation Department, or the designee of the same.

3.  The four appointed members from the business community shall be chosen as follows:  two members shall be appointed by the Governor; one member shall be appointed by the Speaker of the House of Representatives; and one member shall be appointed by the President Pro Tempore of the Senate.  Each member shall have at least fifteen (15) years of experience in business, banking, finance or corporate law, and shall have demonstrated outstanding ability in business or industry.  However, in lieu of appointing a member with such experience, one of the two members appointed by the Governor may be a person who has exhibited at least three (3) years of outstanding leadership and involvement in recognized Native American organizations and activities.  Upon the expiration of a term, on or after July 1, 2000, any succeeding term shall be for four (4) years.  Any person appointed to fill a vacancy shall serve only for the unexpired term.

C.  The Authority shall elect one of its members as chairperson, and another as vice-chairperson, and also shall elect a secretary, treasurer and such other officers as the Authority may deem appropriate.  A majority of the members of the Authority (exclusive of vacancies) shall constitute a quorum and the vote of a majority of the members (exclusive of vacancies) shall be necessary for any action taken by the Authority.  No vacancy in the membership of the Authority shall impair the right of a quorum to exercise all the rights and perform all the duties of the Authority.

D.  Before the issuance of any revenue bonds under the provisions of Section 1226 et seq. of this title, each member of the Authority shall execute a surety bond in the penal sum of Twenty-five Thousand Dollars ($25,000.00) and the secretary and treasurer shall execute a surety bond in the penal sum of One Hundred Thousand Dollars ($100,000.00), each such surety bond to be conditioned upon the faithful performance of the duties of his or her office, to be executed by a surety company authorized to transact business in the State of Oklahoma as surety, and to be filed in the office of the Secretary of State.

E.  The members of the Authority shall not be entitled to compensation for their services, but each member shall be reimbursed for actual expenses necessarily incurred in the performance of duties on behalf of the Authority, provided that members of the Authority shall be compensated for their travel expenses pursuant to the State Travel Reimbursement Act.  All expenses incurred in carrying out the provisions of Section 1226 et seq. of this title shall be payable solely from funds provided under the authority of Section 1226 et seq. of this title and no liability or obligation shall be incurred by the Authority hereunder beyond the extent to which monies shall have been provided under the authority of Section 1226 et seq. of this title.

F.  The Authority is authorized to establish subcommittees as necessary to perform its functions and duties.  A subcommittee may be composed of Authority members and/or nonmembers and shall not have more than five members.  Nonmembers of a subcommittee shall be reimbursed by the Authority in accordance with the State Travel Reimbursement Act.

G.  Members of the Authority shall be exempt from the provisions of Section 6 of Title 51 of the Oklahoma Statutes, which prohibits the holding of any other office during the member's term of office on the Authority.

H.  The Directors and staff of the Authority employed to perform the duties of Sections 1226 et seq. of this title shall be considered employees of the Authority.  The employees of the Authority shall be entitled to be reimbursed for actual and necessary expenses incurred in the performance of duties on behalf of the Authority.  Such compensation for travel expenses shall be paid pursuant to the State Travel Reimbursement Act.

Added by Laws 1994, c. 388, § 4, eff. Sept. 1, 1994.  Amended by Laws 1996, c. 348, § 13, eff. July 1, 1996; Laws 1997, c. 394, § 1, eff. Sept. 1, 1997; Laws 1999, c. 372, § 5, eff. July 1, 1999; Laws 2000, c. 320, § 2, eff. July 1, 2000; Laws 2005, c. 30, § 1, emerg. eff. April 6, 2005; Laws 2005, c. 146, § 2, eff. July 1, 2005.

§74-1226.3.  Definitions.

As used in Sections 1226 through 1226.16 of this title:

1.  "Authority" shall mean the Native American Cultural and Educational Authority, created by Section 1226.2 of this title, or, if such Authority shall be abolished, the board, body, or commission succeeding to the principal functions hereof or to whom the powers given by Section 1226 et seq. of this title shall be given by law;

2.  "Project" or "projects" shall mean any facilities constructed or improvements made under the provisions of this act by the Authority for the purpose of constructing a Native American cultural center, museum and theme park, and shall embrace all buildings, structures, landscaping, infrastructure, utilities, roadways, parking structures, parking lots, sidewalks, personal property and fixtures, equipment and machinery, and other improvements which the Authority may deem necessary for the operation of such projects, together with all property, rights, easements and interests which may be acquired by the Authority for the construction or the operation of such;

3.  "Cost" as applied to a project shall include expenditures of the Authority, other governmental agencies, and private entities, to include past, present and future expenditures, and shall embrace the cost of construction, the cost of the acquisition of all land, rights-of-way, property, rights, easements and interests acquired by the Authority for such construction, the cost of all machinery and equipment, financing charges, provision for working capital, interest prior to, during, and after construction and a reserve for interest in such amounts as the Authority shall determine, cost of engineering, architecture, planning, legal and accounting expenses, plans, specifications, surveys, estimates of cost, and of revenues, other expenses necessary or incident to determining the feasibility or practicability of constructing any such project, administrative expense, and such other expense as may be necessary or incident to the construction of the project, the financing of such construction, and the placing of the project in operation, and other expenditures in furtherance of the objectives of Sections 1226 through 1226.16 of this title;

4.  "Owner" shall include all individuals, copartnerships, associations, corporations, trusts, and any other person or entity having any title or interest in any property, rights, easements, and interests authorized to be acquired by Sections 1226 through 1226.16 of this title;

5.  The phrase "operational services" shall mean services of a maintenance or operational nature, including, but not limited to, grounds maintenance and security services, provided by the Authority, pursuant to an agreement between the Authority and any service recipient; and

6.  The phrase "other governmental agencies" shall mean the State of Oklahoma or other agencies thereof, the national government, other states or agencies thereof, public trusts, municipalities, counties and other subdivisions of government.

Added by Laws 1994, c. 388, § 5, eff. Sept. 1, 1994.  Amended by Laws 2000, c. 320, § 3, eff. July 1, 2000.

§74-1226.4.  Powers and duties.

The Authority is hereby authorized and empowered:

1.  To adopt bylaws for the regulation of its affairs and conduct of its business;

2.  To adopt an official seal and alter the same at pleasure;

3.  To have its principal office located at a site designated by the Authority;

4.  To sue and be sued in contract, reverse condemnation, equity, mandamus and similar actions in its own name, plead and be impleaded; provided, that any and all actions at law or in equity against the Authority shall be brought in Oklahoma County.  The Authority shall be subject to the Governmental Tort Claims Act, Section 151 et seq. of Title 51 of the Oklahoma Statutes;

5.  To construct, maintain, repair and operate a Native American cultural center, museum and theme park;

6.  To construct, maintain, repair and operate any facilities necessary to effectuate educational and training programs relating to Native American cultures, languages, skills, arts and crafts, to include facilities for the sale of such Native American artwork and crafts;

7.  To issue revenue bonds of the Authority, payable solely from revenues, including the revenues accruing to the trust fund created by this act, for the purpose of paying all or any part of the cost of any one or more projects;

8.  To fix and revise from time to time user charges for the use of projects;

9.  To acquire, hold, and dispose of real and personal property in the exercise of its powers and the performance of its duties, to include the right to acquire such property for prospective projects, including the acquisition of existing facilities, buildings, equipment and improvements;

10.  To lease projects, or portions thereof, to other governmental agencies or to private persons, partnerships, corporations, trusts, and other private entities;

11.  To acquire in the name of the Authority by purchase or otherwise on such terms and conditions and in such manner as it may deem proper, such public or private lands, including public parks, or reservations, or parts thereof or rights therein, rights-of-way, property rights, easements, and interests, as it may deem necessary for carrying out the provisions of this act;

12.  To make and enter into all contracts and agreements necessary or incidental to the performance of its duties and the execution of its powers, and to employ consulting engineers, attorneys, accountants, construction and financial experts, superintendents, managers, and such other employees and agents as may be necessary in its judgment, and to fix their compensation;

13.  To receive and accept from any federal agency grants for or in aid of the construction of any project; and to receive and accept aid or contributions from any source of either money, property, labor, or other things of value, to be held, used, and applied only for the purposes for which such grants and contributions may be made;

14.  To do all things necessary or convenient to carry out the powers expressly granted in this act; and

15.  All meetings of the Authority shall be subject to the Oklahoma Open Meeting Act, Section 301 et seq. of Title 25 of the Oklahoma Statutes and all records of the Authority shall be subject to the Oklahoma Open Records Act, Section 24A.1 et seq. of Title 51 of the Oklahoma Statutes, both as the same shall from time to time be amended.

Added by Laws 1994, c. 388, § 6, eff. Sept. 1, 1994.

§74-1226.5.  Issuance of revenue bonds - Use of proceeds - Definitions.

A.  The Authority may provide by resolution, at one time or from time to time, for the issuance of revenue bonds of the Authority for the purpose of paying all or any part of the cost of any one or more projects.  The Authority, when it finds that it would be economical and beneficial to do so, may combine two or more, or any part thereof, or all of its proposed projects into one unit and consider the same as one project to the same extent and with like effect as if the same were a single project.  The principal of and the interest on the bonds shall be payable solely from the funds provided for such payment.  The bonds of each issue shall be dated, shall bear interest at such rate or rates not exceeding the limitations pertaining to public trust indebtedness from time to time expressed in subsection (f) of Section 176 of Title 60 of the Oklahoma Statutes, shall mature at such time or times not exceeding forty (40) years from their date or dates, as may be determined by the Authority, and may be made redeemable before maturity at the option of the Authority at such price or prices and pursuant to such terms and conditions as may be fixed by the Authority prior to the issuance of the bonds.  The Authority shall determine the form of the bonds, including any interest coupons to be attached thereto, and the manner of execution of the bonds, and shall fix the denomination or denominations of the bonds and the place or places of payment of principal and interest, which may be at any bank or trust company within or without the state.  If any officer whose signature or facsimile of whose signature appears on any bonds or coupons shall cease to be said officer before the delivery of the bonds, the signature or the facsimile shall nevertheless be valid and sufficient for all purposes the same as if the person had remained in office until such delivery.  All bonds issued pursuant to the provisions of this act shall have all the qualities and incidents of negotiable instruments subject to the negotiable instruments law of this state.  The bonds may be issued in coupon or in registered form, or both, as the Authority may determine, and provisions may be made for the registration of any coupon bonds as to principal alone and also as to both principal and interest, and for the reconversion into coupon bonds of any bonds registered as to both principal and interest.  The Authority may sell the bonds in such amounts and in such manner, either at public or private sale, and for such price, as it may determine to be in the best interests of this state, but in no event at a discount in excess of that from time to time expressed in said subsection (f) of Section 176 of Title 60 of the Oklahoma Statutes.

B.  The proceeds of the bonds of each issue shall be used solely for the payment of the cost of the project for which such bonds have been issued, and shall be disbursed in such manner and pursuant to such restrictions, if any, as the Authority may provide in the resolution authorizing the issuance of such bonds or in the trust agreement securing the same.  If the proceeds of the bonds of any issue, by error of estimates or otherwise, shall be less than such cost, additional bonds may in like manner be issued to provide the amount of such deficit, and, unless otherwise provided for in the resolution authorizing the issuance of such bonds or in the trust agreement securing the same, shall be deemed to be of the same issue and shall be entitled to payment from the same fund without preference or priority of the bonds first issued.  If the proceeds of the bonds of any issue shall exceed such cost, the surplus may be deposited to the credit of the sinking fund for such bonds, or may be used by the Authority in implementing any other power expressly granted to the Authority in this act.

C.  Prior to the preparation of definitive bonds, the Authority, subject to like restrictions, may issue interim receipts or temporary bonds, with or without coupons, exchangeable for definitive bonds when such bonds have been executed and are available for delivery.  The Authority may also provide for the replacement of any bonds which have become mutilated or were destroyed or lost.  Bonds may be issued pursuant to the provisions of this act without obtaining the consent of any department, division, commission, board, bureau, or agency of this state, and without any other proceedings or the occurrence of any other conditions or things than those proceedings, conditions, or things that are specifically required by this act; provided however, the Authority shall be subject to and shall comply with the Oklahoma Bond Oversight and Reform Act, Section 695.2 et seq. of Title 62 of the Oklahoma Statutes, and for purposes of said act the Authority shall be deemed to be a state governmental entity.

D.  The Authority is hereby authorized to provide that the bonds:

1.  Be made payable from time to time on demand or tender for purchase by the owner provided a credit facility supports such bonds, unless the Authority specifically determines that a credit facility is not required;

2.  Be additionally supported by a credit facility;

3.  Be made subject to redemption prior to maturity, with or without premium, on such notice and at such time or times and with such redemption provisions as may be determined by the Authority or with such variations as may be permitted in connection with a par formula;

4.  Bear interest at a rate or rates that may vary as permitted pursuant to a par formula and for such period or periods of time, all as may be determined by the Authority; and

5.  Be made the subject of a remarketing agreement whereby an attempt is made to remarket the bonds to new purchasers prior to their presentment for payment to the provider of the credit facility or to the Authority.  No credit facility, repayment agreement, par formula or remarketing agreement shall become effective without the approval of the Authority.

E.  As used in this section, the following terms shall have the following meanings:

1.  "Credit facility" means an agreement entered into by the Authority with any bank, savings and loan association or other banking institution; an insurance company, reinsurance company, surety company, or other insurance institution; a corporation, investment banker or other investment institution; or any other financial institution providing for prompt payment of all or any part of the principal, whether at maturity, presentment for purchase, redemption or acceleration, redemption premium, if any, and interest on any bonds payable on demand or tender by the owner issued in accordance with this section, in consideration of the Authority's agreeing to repay the provider of such credit facility in accordance with the terms and provisions of such repayment agreement, provided, that any such repayment agreement shall provide that the obligation of the Authority thereunder shall have only such sources of payment as are permitted for the payment of the bonds issued under this act; and

2.  "Par formula" means any provision or formula adopted by the Authority to provide for the adjustment, from time to time, of the interest rate or rates borne by any such bonds so that the purchase price of such bonds in the open market would be as close to par as possible.

F.  Nothing in any law heretofore enacted or enacted at the present session of the Legislature shall be deemed to limit or restrict the right of the Authority to issue bonds or other obligations the interest income, in whole or in part, on which is subject, directly or indirectly, to federal income taxation.

G.  All bonds issued, reissued or refunded by the Authority shall comply with the Oklahoma Bond Oversight and Reform Act, Section 695.2 et seq. of Title 62 of the Oklahoma Statutes, and for purposes of said Act the Authority shall be deemed to be a state governmental entity.

Added by Laws 1994, c. 388, § 7, eff. Sept. 1, 1994.

§74-1226.6.  Trust agreements for securing revenue bonds.

In the discretion of the Authority any bonds issued under the provisions of this act may be secured by a trust agreement by and between the Authority and a corporate trustee, which may be any trust company or bank having the powers of a trust company within or without the state.  Such trust agreement may pledge or assign lease payments, user fees and other revenues to be received from the project constructed by the use of the proceeds of the bonds.  Such trust agreement or resolution providing for the issuance of such bonds may contain such provisions for protecting and enforcing the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law, including covenants setting forth the duties of the Authority in relation to the acquisition of property and the construction, improvement, maintenance, repair, operation and insurance of the project in connection with which such bonds shall have been authorized, and the custody, safeguarding and application of all monies in connection with the construction or operation of such project or projects.  It shall be lawful for any bank or trust company incorporated under the laws of the state which may act as depository of the proceeds of bonds or of revenues to furnish such indemnifying bonds or to pledge such securities as may be required by the Authority.  Any such trust agreement may set forth the rights and remedies of the bondholders and of the trustee, and may restrict the individual right of action by bondholders as is customary in trust agreements or trust indentures securing bonds and debentures of corporations.  In addition to the foregoing any such trust agreement may contain such other provisions as the Authority may deem reasonable and proper for the security of the bondholders.  All expenses incurred in carrying out the provisions of such trust agreement may be treated as a part of the cost of the operation of the project or projects.

Added by Laws 1994, c. 388, § 8, eff. Sept. 1, 1994.

§74-1226.7.  Compensation for use of projects - Sinking fund - Use of monies.

A.  The Authority, subject to the provisions hereof, is hereby authorized to fix, revise, charge and collect compensation for the use of each project, and parts or sections thereof, and to contract with any person, partnership, association, corporation, or other governmental agencies desiring the use, for any purpose, of all or any part of any project and to fix the terms, conditions, rents and rates of charge for such use.  Such compensation, subject to other restrictions hereof, shall be so fixed and adjusted so as to provide a fund sufficient with other revenues, if any, to pay:

1.  The cost of maintaining, repairing and operating such project or projects; and

2.  The principal of and the interest of bonds issued for the purpose of financing Authority projects as the same shall become due and payable, and to create reserves for such purposes.

B.  The compensation derived from the projects in connection with which the bonds of any issue shall have been issued, except such part thereof as may be necessary to pay for maintenance, repair, and operation and to provide such reserves therefor as may be provided for in the resolution authorizing the issuance of such bonds or in the trust agreement securing the same shall be set aside at such regular intervals as may be provided in such resolution or such trust agreement in a sinking fund which is hereby pledged to, and charged with, the payment of:

1.  The interest upon such bonds as such interest shall become due;

2.  The principal of such bonds as the same shall fall due;

3.  The necessary charges of paying agents for paying principal and interest; and

4.  The redemption price or the purchase price of bonds retired by call or purchased as herein provided, which are a charge against such fund.

C.  The use and disposition of monies to the credit of such sinking fund shall be subject to the provisions of the resolution authorizing the issuance of such bonds or of such trust agreement.  Except as may otherwise be provided for in such resolution or such trust agreement, such sinking fund shall be a fund for all such bond issues without distinction or priority of one over another.  The money in the sinking fund, less such reserve as may be provided in such resolution or trust agreement, if not used within a reasonable time for the purchase of bonds for cancellation as above provided, shall be applied to the redemption of bonds at the redemption price then applicable.

Added by Laws 1994, c. 388, § 9, eff. Sept. 1, 1994.

§74-1226.8.  Monies received held as trust funds.

All monies received pursuant to the authority of this act, whether as proceeds from the sale of bonds or as revenues, shall be deemed to be trust funds, to be held and applied solely as provided in this act.  The resolution authorizing the bonds of any issue or the trust agreement securing such bonds shall provide that any officer to whom, or any bank or trust company to which, such monies shall be paid shall act as trustee of such monies and shall hold and apply the same for the purposes hereof, subject to such regulations as this act and such resolution or trust agreement may provide.

Added by Laws 1994, c. 388, § 10, eff. Sept. 1, 1994.

§74-1226.9.  Bondholders - Protection and enforcement of rights.

Any holder of bonds issued under the provisions of this act or any of the coupons appertaining thereto, and the trustee under the trust agreement, except to the extent the rights herein given may be restricted by such trust agreement, may, either at law or in equity, by suit, action, mandamus or other proceeding protect and enforce any and all rights under the laws of the state or granted hereunder or under such trust agreement or the resolution authorizing the issuance of such bonds, and may enforce and compel the performance of all duties required by this act or by such trust agreement or resolution to be performed by the Authority or by any officer thereof, including the fixing, charging and collecting of charges and compensation for use of projects.

Added by Laws 1994, c. 388, § 11, eff. Sept. 1, 1994.

§74-1226.10.  Exercise of powers.

The exercise of the powers granted by this act will be in all respects for the benefit of the people of the state, for the increase of their education, commerce and prosperity, and as the operation and maintenance of projects by the Authority will constitute the performance of essential governmental functions, the Authority shall not be required to pay any taxes or assessments upon any project or any property acquired or used by the Authority under the provisions of this act or upon the income therefrom.

Added by Laws 1994, c. 388, § 12, eff. Sept. 1, 1994.

§74-1226.11.  Bonds as securities - Investment of funds.

Bonds issued under the provisions of this act are hereby made securities in which all public officers and public bodies, agencies, and instrumentalities of the state and its political subdivisions, all banks, trust companies, trust and loan associations, investment companies, and others carrying on a banking business, and all insurance companies and insurance associations, and others carrying on an insurance business, may legally and properly invest funds including capital in their control or belonging to them.

Added by Laws 1994, c. 388, § 13, eff. Sept. 1, 1994.

§74-1226.12.  Project maintenance - Transfer of property.

A.  Each project when constructed shall be maintained and kept in good condition and repair by the Authority.  The Authority shall employ such employees as the Authority may deem necessary.

B.  All political subdivisions and other governmental agencies, notwithstanding any contrary provision of law, are hereby authorized and empowered to lease, lend, grant or convey to the Authority at its request upon such terms and conditions as the proper authorities of such political subdivisions or other governmental agencies may deem reasonable and fair and without the necessity for any advertisement, competitive bidding, order of court or other action or formality, other than the regular and formal action or authorities concerned, any property which may be necessary or convenient to the effectuation of the authorized purposes of the Authority, including property already devoted to public use.

Added by Laws 1994, c. 388, § 14, eff. Sept. 1, 1994.

§74-1226.13.  Issuance of revenue refunding bonds - Use of proceeds.

A.  The Authority is hereby authorized to provide by resolution for the issuance of revenue refunding bonds of the Authority for the purpose of refunding any bonds then outstanding which shall have been issued under the provisions of this act including the payment of any redemption premium thereon and any interest accrued or to accrue to the date of redemption of such bonds, and, if the Authority shall so determine, for the additional purpose of constructing improvements, extensions, or enlargements of the project or projects in connection with which the bonds to be refunded shall have been issued.  The Authority is further authorized to provide for the issuance of its revenue bonds for the combined purpose of:

1.  Refunding any bonds then outstanding which shall have been issued under the provisions of this act, including the payment of any redemption premium thereon and any interest accrued, or to accrue to the date of redemption of such bonds; and

2.  Paying all or any part of the cost of any additional project or projects as authorized by this act.

The issuance of such bonds, the maturities and other details thereof, the rights of the holders thereof, and the rights, duties, and obligations of the Authority in respect of the same, shall be governed by the provisions of this act insofar as the same may be applicable.

B.  Bonds may be issued by the Authority under the provisions of this section at any time prior to the maturity or maturities of the date selected for the redemption of the bonds being refunded thereby.  Pending the application of the proceeds of such refunding bonds, with any other available funds, to the payment of the principal, accrued interest, and any redemption premium of the bonds being refunded, and if so provided or permitted in the resolution authorizing the issuance of such refunding bonds or in the trust agreement securing the same, to the payment of any interest on such refunding bonds, and any expenses in connection with such refunding, such proceeds may be invested in direct obligations of, or obligations the principal of and the interest on which are unconditionally guaranteed by, the United States of America which shall mature or which shall be subject to redemption by the holder thereof at the option of such holder, not later than the respective dates when the proceeds, together with the interest accruing thereon, will be required for the purposes intended, or, in lieu of such investments, all or any part of such proceeds may be placed in interest-bearing time deposits or other similar arrangements may be made with regard thereto which will assure that such proceeds, together with the interest accruing thereon, will be available when required for the purposes intended.

Added by Laws 1994, c. 388, § 15, eff. Sept. 1, 1994.

§74-1226.14.  Endowment fund - Scholarships - Expenditure limitations.

The Authority is hereby authorized to create an endowment fund for the purpose of providing educational or vocational scholarships to members of federally recognized Indian tribes located in the State of Oklahoma.  No more than sixty percent (60%) of all revenues in excess of any amounts needed to satisfy the provisions of Section 7 of this act may be expended to fund such endowment.

Added by Laws 1994, c. 388, § 16, eff. Sept. 1, 1994.

§74-1226.15.  Financial condition report.

The Authority shall make and submit to the Governor, within ninety (90) days of the close of the Authority's fiscal year, a full report showing the financial condition of the Authority.

Added by Laws 1994, c. 388, § 17, eff. Sept. 1, 1994.

§74-1226.16.  Annual audit.

The Native American Cultural and Educational Authority shall conduct an annual audit of its activities and expenditures and report the same to the Governor, the Senate, the House of Representatives and the State Auditor and Inspector by the first day of each year.

Added by Laws 1994, c. 388, § 18, eff. Sept. 1, 1994.  Amended by Laws 1997, c. 394, § 2, eff. Sept. 1, 1997; Laws 2000, c. 320, § 4, eff. July 1, 2000.

§74-1226.17.  Native American Cultural and Educational Authority Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Department of Commerce to be designated the "Native American Cultural and Educational Authority Fund."  The fund shall be a continuing fund, not subject to fiscal year limitations.  The fund shall consist of all monies authorized by law for deposit in such fund including but not limited to appropriations, gifts, grants, private donations, fee revenues and funds by governmental or tribal government entities.  Monies deposited or apportioned to the credit of the fund may be expended for the purposes authorized by law.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Oklahoma Department of Commerce.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims submitted to the Director of State Finance.

Added by Laws 1997, c. 308, § 6, eff. Sept. 1, 1997.

§741251.  Intergovernmental cooperation.

The State of Oklahoma recognizes that intergovernmental cooperation is an essential factor in resolving problems affecting this state and that the interchange of personnel between and among governmental agencies at the same or different levels of government is a significant factor in achieving such cooperation.

Laws 1967, c. 341, § 1.  

§741252.  Definitions.

(a) As used in this act, "sending agency" means any department or agency of the federal government or a state government which sends any employee thereof to another government agency under this act.

(b) As used in this act, "receiving agency" means any department or agency of the federal government or a state government which receives an employee of another government under this act.

Laws 1967, c. 341, § 2.  

§741253.  Temporary interchange of employees authorized.

Section 1253.  (a)  Any department, agency, or instrumentality of the state is authorized to participate in a program of interchange of employees with departments, agencies, or instrumentalities of the federal government, or another state, as a sending or receiving agency.

(b)  The period of individual assignment or detail under an interchange program shall be negotiated on an annual basis. Details relating to any matter covered in this act may be the subject of an agreement between the sending and receiving agencies.  Elected officials shall not be assigned from a sending agency nor detailed to a receiving agency.

Laws 1967, c. 341, § 3; Laws 1972, c. 47, § 1, emerg. eff. March 10, 1972; Laws 1976, c. 110, § 1, emerg. eff. May 14, 1976; Laws 1978, c. 112, § 1, eff. Oct. 1, 1978.  

§741254.  Status of employees of sending agency.

(a) Employees of a sending agency participating in an exchange of personnel as authorized in Section 3 may be considered during such participation to be on detail to regular work assignments of the sending agency.

(b) Employees who are on detail shall be entitled to the same salary and benefits to which they would otherwise be entitled and shall remain employees of the sending agency for all other purposes except that the supervision of their duties during the period of detail may be governed by agreement between the sending agency and the receiving agency.

(c) Any employee who participates in an exchange under the terms of this section who suffers disability or death as a result of personal injury arising out of and in the course of an exchange, or sustained in performance of duties in connection therewith, shall be treated, for the purposes of the sending agency's employee compensation program, as an employee, as defined in such act, who has sustained such injury in the performance of such duty, but shall not receive benefits under that act for any period for which he is entitled to and elects to receive similar benefits under the receiving agency's employee compensation program.

Laws 1967, c. 341, § 4.  

§741255.  Travel expenses  Per diem.

A sending agency in this State may, in accordance with the travel regulations of such agency, pay the travel expenses of employees assigned to a receiving agency on either a detail or leave basis, but shall not pay the travel expenses of such employees incurred in connection with their work assignments at the receiving agency. During the period of assignment, the sending agency may pay a per diem allowance to the employee on assignment or detail.

Laws 1967, c. 341, § 5.  

§741256.  State acting as receiving agency.

(a) When any unit of government of this state acts as a receiving agency, employees of the sending agency who are assigned under authority of this act may be considered to be on detail to the receiving agency.

(b) Appointments of persons so assigned may be made without regard to the laws or regulations governing the selection of employees of the receiving agency.  Such person shall be in the unclassified service of the state.

(c) Employees who are detailed to the receiving agency shall not by virtue of such detail be considered to be employees thereof, except as provided in subsection (d).  The supervision of salaries and duties of such employees during the period of detail may be governed by agreement between the sending agency and the receiving agency.

(d) Any employee of a sending agency assigned in this state who suffers disability or death as a result of personal injury arising out of and in the course of such assignment, or sustained in the performance of duties in connection therewith, shall be treated for the purpose of receiving agency's employee compensation program, as an employee, as defined in such act, who has sustained such injury in the performance of such duty, but shall not receive benefits under that act for any period for which he elects to receive similar benefits as an employee under the sending agency's employee compensation program.

Laws 1967, c. 341, § 6; Laws 1972, c. 47, § 2, emerg. eff. Mar. 10, 1972.  

§741257.  Payment of travel expenses by receiving agency.

A receiving agency in this state may, in accordance with the travel regulations of such agency, pay travel expenses of persons assigned thereto under this act during the period of such assignments on the same basis as if they were regular employees of the receiving agency.

Laws 1967, c. 341, § 7.  

§741301.  Short title.

This act shall be known and may be cited as the "State and Education Employees Group Insurance Act".

Amended by Laws 1982, c. 333, § 1, emerg. eff. June 1, 1982; Laws 1986, c. 150, § 1, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 3, operative July 1, 1988.  

§741302.  Purpose.

It is hereby declared that the purpose of this act is:

(a)  To provide uniformity in Accident and Health Insurance and/or Benefits Coverage and Life Insurance on all employees of the State of Oklahoma;

(b)  To enable the state to attract and retain qualified employees by providing health, dental and life insurance benefits similar to those commonly provided in private industry;

(c)  To recognize and protect the state's investment in each permanent employee by promoting and preserving good health and longevity among state employees;

(d)  To recognize the service to the state by elected and appointed officials by extending to them the same health, dental and life insurance benefits as are provided herein for state employees;

(e)  To recognize long and faithful service, and to encourage employees to remain in state service until eligible for retirement by providing health, dental and life insurance benefits for employees; and

(f)  To ensure state compliance with the Health Maintenance Organization Act of 1973 pursuant to 42 U.S.C., Section 300e et seq.

Amended by Laws 1982, c. 333, § 2, emerg. eff. June 1, 1982; Laws 1985, c. 230, § 1, emerg. eff. July 8, 1985.  

§74-1303.  Definitions.

For the purposes of and as used in the State and Education Employees Group Insurance Act:

1.  "Board" means the State and Education Employees Group Insurance Board as created by the State and Education Employees Group Insurance Act;

2.  "Employee" means those state employees, education employees and other eligible employees participating in the State and Education Employees Group Insurance Act;

3.  "Education Employee" means those employees other than adjunct professors employed by a state institution of higher education, in the service of an education entity who are members or are or will be eligible to become members of the Teachers' Retirement System of Oklahoma and who receive compensation for such service after the education entity begins to participate in the State and Education Employees Group Insurance Act and visiting faculty who are not eligible for membership in the Teachers' Retirement System of Oklahoma;

4.  "Adjunct Professor" means a person employed by an institution of higher education who is attached in a subordinate or temporary capacity to the faculty or staff, and who is contracted to instruct in a given specific discipline;

5.  "Visiting Faculty" means a person employed by an institution of higher education who is not eligible for academic rank or tenure, other than an adjunct professor, and who is contracted to instruct in a given specific discipline generally not to exceed one (1) academic year;

6.  "Education Entity" means a school district, a technology center school district, or an institution comprising The Oklahoma State System of Higher Education;

7.  "State Employee" means and includes each officer or employee in the service of the State of Oklahoma who, after January 1, 1966, received compensation for service rendered to the State of Oklahoma on a warrant issued pursuant to a payroll certified by a department or by an elected or duly appointed officer of the state or who receives payment for the performance of personal services on a warrant issued pursuant to a payroll certified by a department and drawn by the State Treasurer against appropriations made by the Legislature from any state fund or against trust funds held by the State Treasurer, who is employed in a position normally requiring actual performance of duty during not less than one thousand (1,000) hours per year, and whose employment is not seasonal or temporary, except that a person elected by popular vote will be considered an employee during the person's tenure in office; provided, however, that employees who are otherwise eligible who are on approved leave without pay shall be eligible to continue coverage during such leave not to exceed twenty-four (24) months, as provided in the Merit Rules for Employment published by the Office of Personnel Management, from the date the employee goes on such leave provided the employee pays the full premiums due or persons who are drawing disability benefits under Section 1331 et seq. of this title or meet each and every requirement of the State Employees Disability Program shall be eligible to continue coverage provided the person pays the full premiums due;

8.  "Carrier" means the State of Oklahoma or a state designated Health Maintenance Organization (HMO).  Such HMO shall be a federally qualified Health Maintenance Organization under 42 U.S.C., Section 300e et seq.;

9.  "Health Insurance Plan" means a self-insured plan by the State of Oklahoma for the purpose of paying the cost of hospital and medical care up to the maximum coverage provided by said plan or prepaid medical plan(s) offered to employees as an alternative to the state-administered plan by federally qualified HMOs which have contracted with the state;

10.  "Life Insurance Plan" means a self-insured plan for the purpose of paying death and dismemberment benefits up to the maximum coverage provided by the plan;

11.  "Dental Benefits Plan" means a plan by the State of Oklahoma for the purpose of paying the cost of dental care up to the maximum coverage provided by the plan; whenever the term "Dental Insurance Plan" or a term of like import appears in the State and Education Employees Group Insurance Act, the term shall mean "Dental Benefits Plan";

12.  "Other insurance" means any type of coverage other than basic hospital and medical benefits, major medical benefits, comprehensive benefits, life insurance benefits or dental insurance benefits, which the Board may be directed to offer;

13.  "Dependent" means an employee's spouse or any unmarried child (1) under the age of nineteen (19) years, regardless of residence, provided that the employee is primarily responsible for their support, including (a) an adopted child and (b) a stepchild or child who lives with the employee in a regular parent-child relationship, or (2) under the age of twenty-five (25) and who is dependent upon the employee for support who is enrolled as a full-time student at an accredited secondary school, college, university, or institution of higher learning accredited by the State Department of Education, State Board of Career and Technology Education, Oklahoma State Regents for Higher Education, or the Oklahoma Board of Private Vocational Schools, and (3) regardless of age who is incapable of self-support because of mental or physical incapacity that existed prior to reaching the age of nineteen (19) years;

14.  "Comprehensive benefits" means benefits which reimburse the expense of hospital room and board, other hospital services, certain outpatient expenses, maternity benefits, surgical expense, including obstetrical care, in-hospital medical care expense, diagnostic radiological and laboratory benefits, physicians' services provided by house and office calls, treatments administered in physicians' office, prescription drugs, psychiatric services, Christian Science practitioners' services, Christian Science nurses' services, optometric medical services for injury or illness of the eye, home health care, home nursing service, hospice care, and such other benefits as may be determined by the Board.  Such benefits shall be provided on a copayment or coinsurance basis, the insured to pay a proportion of the cost of such benefits, and may be subject to a deductible that applies to all or part of the benefits as determined by the Board; and

15.  "Life insurance coverage" shall include a maximum amount of basic life insurance or benefit with or without a double indemnity provision and an amount of accidental death and dismemberment insurance or benefit per employee to be provided by the State of Oklahoma, and the employee shall have the option to purchase additional life insurance or benefits on the employee's life up to the amount provided by the plan.  Such basic life insurance benefits, with or without double indemnity, and accidental death and dismemberment benefits shall not exclude coverage for death or dismemberment resulting from war, insurrection or riot.  The Board may also extend dependent life insurance in an amount to be determined by the Board to each insured employee who elects to insure the employee's eligible dependents.  Premiums for the dependent life insurance shall be paid wholly by the employee.

Added by Laws 1967, c. 374, § 3, emerg. eff. May 23, 1967.  Amended by Laws 1970, c. 70, § 3, emerg. eff. March 17, 1970; Laws 1977, c. 261, § 1, emerg. eff. June 17, 1977; Laws 1979, c. 47, § 100, emerg. eff. April 9, 1979; Laws 1982, c. 333, § 3, emerg. eff. June 1, 1982; Laws 1985, c. 230, § 2, emerg. eff. July 8, 1985; Laws 1986, c. 150, § 2, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 4, operative July 1, 1988; Laws 1988, c. 298, § 53, operative July 1, 1988; Laws 1989, c. 322, § 1, emerg. eff. May 26, 1989; Laws 1990, c. 244, § 1, eff. July 1, 1990; Laws 1991, c. 219, § 3, emerg. eff. May 22, 1991; Laws 1991, c. 335, § 34, emerg. eff. June 15, 1991; Laws 1993, c. 239, § 54, eff. July 1, 1993; Laws 1995, c. 239, § 1, emerg. eff. May 24, 1995; Laws 1998, c. 377, § 6, eff. Nov. 1, 1998; Laws 1999, c. 339, § 1, eff. July 1, 1999; Laws 2001, c. 33, § 177, eff. July 1, 2001; Laws 2004, c. 345, § 1, eff. July 1, 2004.

NOTE: Laws 1991, c. 65, § 1 repealed by Laws 1991, c. 335, § 37, emerg. eff. June 15, 1991.

§74-1304.  State and Education Employees Group Insurance Board.

(1)  There is hereby created the State and Education Employees Group Insurance Board which shall consist of eight (8) members as follows:  The State Insurance Commissioner, or the Commissioner's designee who shall be an employee of the Insurance Department, the Director of the Office of State Finance, two members appointed by the Governor, two members appointed by the Speaker of the House of Representatives, and two members appointed by the President Pro Tempore of the Senate.  The appointed members shall each receive compensation of Five Hundred Dollars ($500.00) per month.  Appointed members who fail to attend a regularly scheduled monthly meeting of the Board shall not receive the related monthly compensation.  In the event an appointed member does not attend at least seventy-five percent (75%) of the regularly scheduled monthly meetings of the Board during a calendar year, the appointing authority may remove the member.  A member may also be removed for any other cause as provided by law.  A vacancy in the office of the appointed member shall be filled for the unexpired term of office in the same manner as the original appointment.

(2)  The initial term of office of the members appointed by the Governor shall expire on January 14, 1991.  The members thereafter appointed by the Governor shall serve a term of office of four (4) years which is coterminous with the term of office of the office of the appointing authority.

(3)  The initial term of office of one of the members appointed each by the Speaker of the House of Representatives and by the President Pro Tempore of the Senate shall be for the period ending June 30, 1992.  The initial term of office of the other member appointed each by the Speaker of the House of Representatives and by the President Pro Tempore of the Senate shall be for the period ending June 30, 1994.  Thereafter, the term of office of the members appointed by the Speaker of the House of Representatives and by the President Pro Tempore of the Senate shall be four (4) years.

(4)  The appointed members shall:

(a)  have demonstrated professional experience in investment or funds management, public funds management, public or private group health or pension fund management, or group health insurance management; or

(b)  be licensed to practice law in this state and have demonstrated professional experience in commercial matters; or

(c)  be licensed by the Oklahoma Accountancy Board to practice in this state as a public accountant or a certified public accountant.

In making appointments that conform to the requirements of this subsection, at least one (1) but not more than three (3) members shall be appointed each from paragraphs (b) and (c) of this subsection by the combined appointing authorities.

(5)  No appointed member of the State and Education Employees Group Insurance Board shall be a lobbyist registered in this state as provided by law, a health care provider, a plan participant, be employed, directly or indirectly, by any insurance company or carrier, or health care provider, or be employed directly or indirectly, by any firm under contract to the Board for any goods or services whatsoever.  Provided, however, if an appointed member of the Board was a plan participant of any insurance plans offered by the Board at the time the member was appointed to serve as a member of the Board, and the appointed member of the Board forfeited participation in the insurance plans in order to serve on the Board, the member of the Board may resume participation in said insurance plans upon leaving the Board.

(6)  The State and Education Employees Group Insurance Board shall not be subject to the provisions of the Oklahoma Sunset Law, Section 3901 et seq. of this title.

(7)  The Attorney General shall furnish the Board with legal representation.

(8)  The Court Administrator shall designate grievance panel members as shall be necessary.  The members of the grievance panel shall consist of two attorneys licensed to practice law in this state and one state licensed health care professional or health care administrator who has at least three (3) years practical experience, has had or has admitting privileges to a State of Oklahoma hospital, has a working knowledge of prescription medication, or has worked in an administrative capacity at some point in their career.  The state health care professional shall be appointed by the Governor.

(9)  The Board shall at its first meeting elect one of its members as chair.  The chair shall preside over meetings of the Board and perform such other duties as may be required by the Board.

(10)  The Board shall elect another member to serve as vice- chair who shall perform the duties of the chair in the absence of the latter or upon the inability or refusal to act.

(11)  The Board shall also elect a secretary who shall keep minutes of all meetings and who shall certify to actions of the Board.

(12)  The Board shall adopt rules requiring payment for medical and dental services and treatment rendered by duly licensed hospitals, physicians and dentists.  Unless the Board has otherwise contracted with the out-of-state health care provider, the Board shall reimburse for medical services and treatment rendered and charged by an out-of-state health care provider at least at the same percentage level as the network percentage level of the fee schedule established by the State and Education Employees Group Insurance Board if the insured employee was referred to the out-of-state health care provider by a physician or it was an emergency situation and the out-of-state provider was the closest in proximity to the place of residence of the employee which offers the type of health care services needed.  For purposes of this paragraph, health care providers shall include, but not be limited to, physicians, dentists, hospitals and special care facilities.

(13)  The Board may contract with a pay-for-performance program provider.  The contract shall be with a group practice of a medical school with at least three hundred fifty providers in its panel for a statistically significant demonstration project among employee enrollees that select to participate in the program.  The purpose of the program is to test a program's value proposition that offers financial incentives to both the health care provider and the patient for incorporating evidence-based medicine guidelines and information therapy prescriptions in the rendering and utilizing of health care.  This program must offer the health care provider the flexibility to use the health care provider's clinical judgment to adhere to or deviate from the program's guidelines and still receive a financial incentive as long as the health care provider prescribes information therapy to the patient.  The program shall offer a financial reward to the patient for responding to the information therapy prescription by demonstrating the patient's understanding of the patient's health condition, by demonstrating adherence to recommended care, and by judging the quality of care given to the patient against these guidelines.  The program shall be offered and administered through an Internet application.  This demonstration project shall collect and analyze data over a period of two (2) years in order to determine its effectiveness.

(14)  The State and Education Employees Group Insurance Board may enter into a contract with out-of-state providers in connection with any PPO or hospital or medical network plan which shall include, but not be limited to, special care facilities and hospitals outside the borders of the State of Oklahoma.  The contract for out-of-state providers shall be identical to the in-state provider contracts.  The State and Education Employees Group Insurance Board may negotiate for discounts from billed charges when the out-of-state provider is not a network provider and the member sought services in an emergency situation, when the services were not otherwise available in the State of Oklahoma or when the Administrator approved the service as an exceptional circumstance.

(15)  The Administrator shall appoint an advisory committee to the State and Education Employees Group Insurance Board.  The advisory committee shall consist of seven (7) members.  Of the members appointed to the advisory committee, at least one member must be an active state employee, at least one member must be a retired state employee, at least one member must be an active education employee, at least one member must be a retired education employee, and at least one member must be either an active county employee or a retired county employee.

Added by Laws 1967, c. 374, § 4, emerg. eff. May 23, 1967.  Amended by Laws 1969, c. 75, § 1, emerg. eff. March 14, 1969; Laws 1970, c. 70, § 4, emerg. eff. March 17, 1970; Laws 1977, c. 261, § 3, emerg. eff. June 17, 1977; Laws 1978, c. 306, § 3, emerg. eff. May 10, 1978; Laws 1979, c. 108, § 1; Laws 1981, c. 53, § 1, emerg. eff. April 13, 1981; Laws 1982, c. 333, § 4, emerg. eff. June 1, 1982; Laws 1983, c. 304, § 146, eff. July 1, 1983; Laws 1986, c. 150, § 3, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 5, operative July 1, 1988; Laws 1989, c. 322, § 2, emerg. eff. May 26, 1989; Laws 1990, c. 244, § 2, emerg. eff. May 21, 1990; Laws 1991, c. 219, § 4, emerg. eff. May 22, 1991; Laws 1991, c. 322, § 1, eff. July 1, 1991; Laws 1992, c. 38, § 1, emerg. eff. April 3, 1992; Laws 1992, c. 400, § 15, eff. July 1, 1992; Laws 1993, c. 359, § 3, eff. July 1, 1993; Laws 1996, c. 317, § 1, emerg. eff. June 12, 1996; Laws 2001, c. 68, § 1, eff. July 1, 2001; Laws 2002, c. 196, § 1, eff. July 1, 2002; Laws 2005, c. 478, § 1, eff. July 1, 2005.

NOTE:  Laws 1991, c. 288, § 10 repealed by Laws 1992, c. 373, § 22, eff. July 1, 1992 and Laws 1992, c. 400, § 19, eff. July 1, 1992.

§741305.  Meetings  Special meetings  Quorum  Expenses  Gifts or gratuities.

(1)  The Board shall hold regular meetings at least once each quarter in Oklahoma City, the date, time, and place thereof to be fixed by the Board.  The Board shall in July of each year hold a regular meeting which shall be the annual meeting, at which meeting it shall elect its officers.

(2)  Special meetings may be called upon written notice of the chairman or by agreement of any five members of the Board.  Notice of a special meeting shall be delivered to all members in person or by registered or certified United States mail not less than seven (7) days prior to the date fixed for the meeting; provided, however, that notice of such meeting may be waived by any member either before or after such meeting and attendance at such meeting shall constitute a waiver of notice of such meeting, unless a member participates therein solely to object to the transaction of any business because the meeting has not been legally called or convened.

(3)  A majority of the members of the Board shall constitute a quorum for the transaction of business, and any official action of the Board must have a favorable vote by a majority of the members of the Board present.

(4)  The members shall be reimbursed for their expenses, according to the State Travel Reimbursement Act, as are incurred in the performance of their duties, which shall be paid from the Health Insurance Reserve Fund.  No Board member shall be individually or personally liable for any action of the Board.

(5)  The members of the Board, the Administrator and the employees of the Board shall not accept gifts or gratuities from an individual organization with a value in excess of Fifty Dollars ($50.00) per year.  The provisions of this section shall not be construed to prevent the members of the Board, the Administrator or the employees of the Board from attending educational seminars, conferences, meetings or similar functions which are paid for, directly or indirectly, by more than one organization.

Amended by Laws 1988, c. 267, § 36, operative July 1, 1988; Laws 1989, c. 318, § 5, operative July 1, 1989; Laws 1991, c. 219, § 5, emerg. eff. May 22, 1991.

§74-1305.1.  Discharge of duties - Investment of monies - Indemnity insurance - Investment committee - Investment managers - Funds and custodian of investment fund and revenues - Investment plan - Quarterly financial report.

(1)  The State and Education Employees Group Insurance Board shall discharge their duties with respect to the State and Education Employees Group Insurance Act, the State Employees Flexible Benefits Act and the State Employees Disability Program Act solely in the interest of said Acts and:

(a)  for the exclusive purpose of:

(i) providing benefits to the participants and their dependents, and

(ii) defraying reasonable expenses of administering the State and Education Employees Group Insurance Act, the State Employees Flexible Benefits Act and the State Employees Disability Program Act;

(b)  with the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character and with like aims;

(c)  by diversifying investments so as to minimize the risk of large losses, unless under the circumstances it is clearly prudent not to do so; and

(d)  in accordance with the laws, documents and instruments governing the State and Education Employees Group Insurance Act, the State Employees Flexible Benefits Act and the State Employees Disability Program Act.

(2)  The monies received by the State and Education Employees Group Insurance Board shall be invested only in assets eligible for the investment of funds of legal reserve life insurance companies in this state as provided for in Sections 1602 through 1611, 1613 through 1620, and 1622 through 1624 of Title 36 of the Oklahoma Statutes.  The term admitted assets shall mean the amount of the monies received by the Board and the provisions relating to limitation of investments as a percentage of surplus and loans to policyholders shall be inapplicable with respect to investment of the monies received by the Board.

(3)  The Board may procure insurance indemnifying the members of the Board from personal loss or accountability from liability resulting from a member's action or inaction as a member of the Board.

(4)  The Board may establish an investment committee.  The investment committee shall be composed of not more than five (5) members of the Board appointed by the chairman of the Board.  The committee shall make recommendations to the full Board on all matters related to the choice of custodians and managers of the assets of the Board, on the establishment of investment and fund management guidelines, and in planning future investment policy.  The committee shall have no authority to act on behalf of the Board in any circumstances whatsoever.  No recommendation of the committee shall have effect as an action of the Board nor take effect without the approval of the Board as provided by law.

(5)  The Board shall retain qualified investment managers to provide for the investment of the monies received by the Board.  The investment managers shall be chosen by a solicitation of proposals on a competitive bid basis pursuant to standards set by the Board. Subject to the overall investment guidelines set by the Board, the investment managers shall have full discretion in the management of those monies of the Board allocated to the investment managers.  The Board shall manage those monies not specifically allocated to the investment managers.  The monies of the Board allocated to the investment managers shall be actively managed by the investment managers, which may include selling investments and realizing losses if such action is considered advantageous to longer term return maximization.  Because of the total return objective, no distinction shall be made for management and performance evaluation purposes between realized and unrealized capital gains and losses.

(6)  Funds and revenues for investment by the investment managers or the Board shall be placed with a custodian selected by the Board.  The custodian shall be a bank or trust company offering pension fund master trustee and master custodial services.  The custodian shall be chosen by a solicitation of proposals on a competitive bid basis pursuant to standards set by the Board.  In compliance with the investment policy guidelines of the Board, the custodian bank or trust company shall be contractually responsible for ensuring that all monies of the Board are invested in income-producing investment vehicles at all times.  If a custodian bank or trust company has not received direction from the investment managers of the Board as to the investment of the monies of the Board in specific investment vehicles, the custodian bank or trust company shall be contractually responsible to the Board for investing the monies in appropriately collateralized short-term interest-bearing investment vehicles.

(7)  By November 1, 1989, and prior to August 1 of each year thereafter, the Board shall develop a written investment plan for the monies received by the Board.

(8)  The Administrator shall compile a quarterly financial report of all the funds of the Board on a calendar year basis.  The report shall be compiled pursuant to uniform reporting standards prescribed by the Insurance Commissioner for all domestic insurance companies.  The report shall include several relevant measures of investment value, including acquisition cost and current fair market value with appropriate summaries of total holdings and returns.  The report shall contain combined and individual rate of returns of the investment managers by category of investment, over periods of time.  The report shall be distributed to the Governor, the Legislative Service Bureau and the Joint Committee on Fiscal Operations.

Added by Laws 1989, c. 318, § 6, operative July 1, 1989.  Amended by Laws 1991, c. 219, § 6, emerg. eff. May 22, 1991; Laws 2002, c. 196, § 2, eff. July 1, 2002.

§741305.2.  Fiduciaries  Duties, powers and responsibilities.

(1)  A fiduciary with respect to the State and Education Employees Group Insurance Board shall not cause the Board to engage in a transaction if the fiduciary knows or should knowthat such transaction constitutes a direct or indirect:

(a)  sale or exchange, or leasing of any property from the Board to a party in interest for less than adequate consideration or from a party in interest to the Board for more than adequate consideration;

(b)  lending of money or other extension of credit from the Board to a party in interest without the receipt of adequate security and a reasonable rate of interest, or from a party in interest to the Board with provision of excessive security or an unreasonably high rate of interest;

(c)  furnishing of goods, services or facilities from the Board to a party in interest for less than adequate consideration, or from a party in interest to the Board for more than adequate consideration; or

(d) transfer to, or use by or for the benefit of, a party in interest of any assets of the Board for less than adequate consideration.

(2)  A fiduciary with respect to the Board shall not:

(a)  deal with the assets of the Board in the fiduciary's own interest or for the fiduciary's own account;

(b) in the fiduciary's individual or any other capacity act in any transaction involving the Board on behalf of a party whose interests are adverse to the interests of the Board or the interests of its participants or beneficiaries; or

(c)  receive any consideration for the fiduciary's own personal account from any party dealing with the Board in connection with a transaction involving the assets of the Board.

(3)  A fiduciary with respect to the Board may:

(a)  invest all or part of the assets of the Board in deposits which bear a reasonable interest rate in a bank or similar financial institution supervised by the United States or a state, if such bank or other institution is a fiduciary of such plan; or

(b)  provide any ancillary service by a bank or similar financial institution supervised by the United States or a state, if such bank or other institution is a fiduciary of such plan.

(4)  A person or a financial institution is a fiduciary with respect to the Board to the extent that the person or the financial institution:

(a)  exercises any discretionary authority or discretionary control respecting management of the Board or exercises any authority or control respecting management or disposition of the assets of the Board;

(b)  renders investment advice for a fee or other compensation, direct or indirect, with respect to any monies or other property of the Board, or has any authority or responsibility to do so; or

(c)  has any discretionary authority or discretionary responsibility in the administration of the Board.

§74-1306.  Powers and duties of Board.

The State and Education Employees Group Insurance Board shall administer and manage the group insurance plans and the flexible benefits plan and, subject to the provisions of the State and Education Employees Group Insurance Act and the State Employees Flexible Benefits Act, shall have the following powers and duties:

1.  The preparation of specifications for such insurance plans as the Board may determine to be appropriate;

2.  The authority and duty to request bids through the Purchasing Division of the Department of Central Services for a contract to be the claims administrator for all or any part of such insurance and benefit plans as the Board may offer;

3.  The determination of the methods of claims administration under such insurance and benefit plans as the Board may offer;

4.  The determination of the eligibility of employees and their dependents to participate in each of the Group Insurance Plans and in such other insurance and benefit plans as the Board may offer and the eligibility of employees to participate in the Life Insurance Plan provided that evidence of insurability shall not be a requirement in determining an employee's initial eligibility;

5.  The determination of the amount of employee payroll deductions and the responsibility of establishing the procedure by which such deduction shall be made;

6.  The establishment of a grievance procedure by which a three-member grievance panel shall act as an appeals body for complaints by insured employees regarding the allowance and payment of claims, eligibility, and other matters.  Except for grievances settled to the satisfaction of both parties prior to a hearing, any person who requests in writing a hearing before the grievance panel shall receive a hearing before the panel.  The grievance procedure provided by this paragraph shall be the exclusive remedy available to insured employees having complaints against the insurer.  Such grievance procedure shall be subject to the Oklahoma Administrative Procedures Act, including provisions thereof for review of agency decisions by the district court.  The grievance panel shall schedule a hearing regarding the allowance and payment of claims, eligibility and other matters within sixty (60) days from the date the grievance panel receives a written request for a hearing unless the panel orders a continuance for good cause shown.  Upon written request by the insured employee to the grievance panel and received not less than ten (10) days before the hearing date, the grievance panel shall cause a full stenographic record of the proceedings to be made by a competent court reporter at the insured employee's expense;

7.  The continuing study of the operation of such insurance and benefit plans as the Board may offer including such matters as gross and net costs, administrative costs, benefits, utilization of benefits, and claims administration;

8.  The administration of the Health, Dental and Life Insurance Reserve Fund or Funds, the Flexible Benefits Revolving Fund and the Education Employees Group Insurance Reserve Fund;

9.  The auditing of the claims paid pursuant to the provisions of the State and Education Employees Group Insurance Act, the State Employees Flexible Benefits Act and the State Employees Disability Program Act;

10. a. To select and contract with federally qualified Health Maintenance Organizations under the provisions of 42 U.S.C., Section 300e et seq. or with Health Maintenance Organizations licensed by the Department of Health pursuant to Sections 2501 through 2510 of Title 63 of the Oklahoma Statutes for consideration by employees as an alternative to the state self-insured health plan, and to transfer to the HMOs such funds as may be approved for an employee electing HMO alternative services.  The Board may also select and contract with a vendor to offer a point-of-service plan.  An HMO may offer coverage through a point-of-service plan, subject to the guidelines established by the Board.  However, if the Board chooses to offer a point-of-service plan, then a vendor that offers both an HMO plan and a point-of-service plan may choose to offer only its point-of-service plan in lieu of offering its HMO plan.

b. Benefit plan contracts with the State and Education Employees Group Insurance Board, Health Maintenance Organizations, and other third-party insurance vendors shall provide for a risk adjustment factor for adverse selection that may occur, as determined by the Board, based on generally accepted actuarial principles.  The risk adjustment factor shall include all members participating in the plans offered by the State and Education Employees Group Insurance Board.  The Oklahoma State Employees Benefits Council shall contract with an actuary to provide the above actuarial services, and shall be reimbursed for these contract expenses by the Board.

c. Effective for the plan year beginning July 1, 1997, and for each year thereafter, in setting health insurance premiums for active employees and for retirees under sixty-five (65) years of age, HMOs, self-insured organizations and prepaid plans shall set the monthly premium for active employees at a maximum of Ninety Dollars ($90.00) less than the monthly premium for retirees under sixty-five (65) years of age;

11.  To contract for reinsurance, catastrophic insurance, or any other type of insurance deemed necessary by the Board.  Provided, however, that the Board shall not offer a health plan which is owned or operated by the state and which utilizes a capitated payment plan for providers which uses a primary care physician as a gatekeeper to any specialty care provided by physician-specialists, unless specifically authorized by the Legislature;

12.  The Board, pursuant to the provisions of Section 250 et seq. of Title 75 of the Oklahoma Statutes, shall adopt such rules consistent with the provisions of the State and Education Employees Group Insurance Act as it deems necessary to carry out its statutory duties and responsibilities.  Emergency Rules adopted by the Board and approved by the Governor which are in effect on the first day of the Regular Session of the Oklahoma Legislature shall not become null and void until January 15 of the subsequent calendar year;

13.  The Board shall contract for claims administration services with a private insurance carrier or a company experienced in claims administration of any insurance that the Board may be directed to offer.  No contract for claims administration services shall be made unless such contract has been offered for bids through the Purchasing Division of the Department of Central Services.  The Board shall contract with a private insurance carrier or other experienced claims administrator to process claims with software that is normally used for its customers;

14.  The Board shall contract for utilization review services with a company experienced in utilization review, data base evaluation, market research, and planning and performance of the health insurance plan;

15.  The Board shall have the authority to determine all rates and life, dental and health benefits.  Except as otherwise provided for in Section 1321 of this title, the Board shall not have the authority to adjust the premium rates after approval.  The Board shall submit notice of the amount of employee premiums and dependent premiums along with an actuarial projection of the upcoming fiscal year's enrollment, employee contributions, employer contributions, investment earnings, paid claims, internal expenses, external expenses and changes in liabilities to the Director of the Office of State Finance and the Director of the Legislative Service Bureau no later than March 1 of the previous fiscal year.

In setting health insurance premiums for active employees and retirees under sixty-five (65) years of age, the Board shall set the monthly premium for active employees at a maximum of Ninety Dollars ($90.00) less than the monthly premium for retirees under sixty-five (65) years of age;

16.  Before December 1 of each year the Board shall submit to the Director of the Office of State Finance a report outlining the financial condition for the previous fiscal year of all insurance plans offered by the Board.  The report shall include a complete explanation of all reserve funds and the actuarial projections on the need for such reserves.  The report shall include and disclose an estimate of the future trend of medical costs, the impact from HMO enrollment, antiselection, changes in law, and other contingencies that could impact the financial status of the plan.  The Director of the Office of State Finance shall make written comment on the report and shall provide such comment, along with the report submitted by the Board, to the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives and the Chair of the Oklahoma State Employees Benefits Council by January 15;

17.  The Board shall establish a prescription drug card network;

18.  The Board shall have the authority to intercept monies owing to plan participants from other state agencies, when those participants in turn, owe money to the Board.  The Board shall be required to adopt rules and regulations ensuring the participants due process of law;

19.  The Board is authorized to make available to eligible employees supplemental health care benefit plans to include but not be limited to long-term care, deductible reduction plans and employee co-payment reinsurance.  Premiums for said plans shall be actuarially based and the cost for such supplemental plans shall be paid by the employee;

20.  Beginning with the plan year which begins on January 1, 2006, the Board shall select and contract with one or more providers to offer a group TRICARE Supplement product to eligible employees who are eligible TRICARE beneficiaries.  Any membership dues required to participate in a group TRICARE Supplement product offered pursuant to this paragraph shall be paid by the employee.  As used in this paragraph, "TRICARE" means the Department of Defense health care program for active duty and retired uniform service members and their families;

21.  There is hereby created as a joint committee of the State Legislature, the Joint Liaison Committee on State and Education Employees Group Insurance Benefits, which Joint Committee shall consist of three members of the Senate to be appointed by the President Pro Tempore thereof and three members of the House of Representatives to be appointed by the Speaker thereof.  The Chair and Vice Chair of the Joint Committee shall be appointed from the membership thereof by the President Pro Tempore of the Senate and the Speaker of the House of Representatives, respectively, one of whom shall be a member of the Senate and the other shall be a member of the House of Representatives.  At the beginning of the first regular session of each Legislature, starting in 1991, the Chair shall be from the Senate; thereafter the chairship shall alternate every two (2) years between the Senate and the House of Representatives.

The Joint Liaison Committee on State and Education Employees Group Insurance Benefits shall function as a committee of the State Legislature when the Legislature is in session and when the Legislature is not in session.  Each appointed member of said committee shall serve until his or her successor is appointed.

The Joint Liaison Committee on State and Education Employees Group Insurance Benefits shall serve as a liaison with the State and Education Employees Group Insurance Board regarding advice, guidance, policy, management, operations, plans, programs and fiscal needs of said Board.  Said Board shall not be bound by any action of the Joint Committee; and

22.  The State and Education Employees Group Insurance Board shall annually collect its own set of performance measures comparable to the Health Plan Employer Data and Information Set (HEDIS) for the purpose of assessing the quality of its HealthChoice plans and the other services it provides.

Added by Laws 1967, c. 374, § 6, emerg. eff. May 23, 1967.  Amended by Laws 1970, c. 70, § 5, emerg. eff. March 17, 1970; Laws 1974, c. 116, § 1; Laws 1977, c. 261, § 5, emerg. eff. June 17, 1977; Laws 1982, c. 333, § 5, emerg. eff. June 1, 1982; Laws 1983, c. 304, § 147, eff. July 1, 1983; Laws 1985, c. 230, § 3, emerg. eff. July 8, 1985; Laws 1986, c. 150, § 4, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 6, operative July 1, 1988; Laws 1989, c. 322, § 3, emerg. eff. May 26, 1989; Laws 1990, c. 244, § 3, emerg. eff. May 21, 1990; Laws 1991, c. 195, § 1, eff. July 1, 1991; Laws 1991, c. 335, § 35, emerg. eff. June 15, 1991; Laws 1992, c. 400, § 16, eff. July 1, 1992; Laws 1993, c. 10, § 15, emerg. eff. March 21, 1993; Laws 1996, c. 253, § 1, eff. July 1, 1996; Laws 1997, c. 2, § 21, emerg. eff. Feb. 26, 1997; Laws 1997, c. 362, § 1; Laws 1999, c. 403, § 1; Laws 2000, c. 6, § 28, emerg. eff. March 20, 2000; Laws 2001, c. 196, § 1, eff. July 1, 2001; Laws 2002, c. 196, § 3, eff. July 1, 2002; Laws 2004, c. 405, § 1, eff. July 1, 2004; Laws 2005, c. 1, § 142, emerg. eff. March 15, 2005; Laws 2005, c. 450, § 1, eff. July 1, 2005; Laws 2006, c. 16, § 85, emerg. eff. March 29, 2006.

NOTE:  Laws 1991, c. 219, § 7 repealed by Laws 1991, c. 335, § 37, emerg. eff. June 15, 1991.  Laws 1992, c. 345, § 1 repealed by Laws 1993, c. 10, § 16, emerg. eff. March 21, 1993.  Laws 1996, c. 139, § 2 repealed by Laws 1997, c. 2, § 26, emerg. eff. Feb. 26, 1997.  Laws 1999, c. 255, § 1 repealed by Laws 2000, c. 6, § 33, emerg. eff. March 20, 2000.  Laws 2001, c. 197, § 1 repealed by Laws 2001, c. 414, § 13, emerg. eff. June 4, 2001.  Laws 2004, c. 345, § 2 repealed by Laws 2005, c. 1, § 143, emerg. eff. March 15, 2005.  Laws 2005, c. 198, § 1 repealed by Laws 2006, c. 16, § 86, emerg. eff. March 29, 2006.

§74-1306.1.  Board - Right of subrogation in certain cases - Extent - Release of responsible party.

A.  The Board shall have the right of subrogation to recover any payments made for injury to an employee or dependent caused by a third party's wrongful act or negligence.  The Board, the Administrator or the Board's attorney shall have the authority to waive or reduce subrogation in individual cases when the exercise of the right of subrogation would create an extreme financial hardship on the employee or dependent.

B.  Subrogation will exist only to the extent of actual claims paid.

C.  If an employee or dependent has prejudiced the Board's right of subrogation by releasing the responsible party prior to submitting claims to the Board, such claims may be denied by the Board.  If claims are submitted and paid after the employee or dependent has released the responsible party, the Board shall be entitled to bring an action against the employee, dependent, or their assignees, for any such claims paid and for additional costs incurred by the Board including, but not limited to:  interest, administrative and adjudicative costs, and attorney's fees.

Added by Laws 1990, c. 244, § 4, emerg. eff. May 21, 1990.

§74-1306.2.  Information regarding utilization review - Submission to Commissioner.

A.  The State and Education Employees Group Insurance Board shall submit to the Insurance Commissioner the following information regarding utilization review performed by employees of the board:

1.  A utilization review plan that includes:

a. an adequate summary description of review standards, protocol and procedures to be used in evaluating proposed or delivered hospital and medical care,

b. assurances that the standards and criteria to be applied in review determinations are established with input from health care providers representing major areas of specialty and certified by the boards of the various American medical specialties, and

c. the provisions by which patients or health care providers may seek reconsideration or appeal of adverse decisions concerning requests for medical evaluation, treatment or procedures;

2.  The type and qualifications of the personnel either employed or under contract to perform the utilization review;

3.  The procedures and policies to ensure that an employee of the board is reasonably accessible to patients and health care providers five (5) days a week during normal business hours, such procedures and policies to include as a requirement a toll-free telephone number to be available during said business hours;

4.  The policies and procedures to ensure that all applicable state and federal laws to protect the confidentiality of individual medical records are followed;

5.  The policies and procedures to verify the identity and authority of personnel performing utilization review by telephone;

6.  A copy of the materials designed to inform applicable patients and health care providers of the requirements of the utilization review plan;

7.  The procedures for receiving and handling complaints by patients, hospitals and health care providers concerning utilization review; and

8.  Procedures to ensure that after a request for medical evaluation, treatment, or procedures has been rejected in whole or in part and in the event a copy of the report on said rejection is requested, a copy of the report of the personnel performing utilization review concerning the rejection shall be mailed by the insurer, postage prepaid, to the ill or injured person, the treating health care provider, hospital or to the person financially responsible for the patient's bill within fifteen (15) days after receipt of the request for the report.

B.  The Board shall pay an annual fee to the Insurance Commissioner of Five Hundred Dollars ($500.00).

Added by Laws 1991, c. 294, § 17, eff. Nov. 1, 1991.

§74-1306.3.  Payment Rate Review Task Force.

A.  The Joint Liaison Committee on State and Education Employees Group Insurance Benefits shall create the Payment Rate Review Task Force, which shall review all payments made to providers of medical care by the Oklahoma State and Education Employees Group Insurance Board.  The Task Force shall be composed of independent experts appointed by the Joint Liaison Committee on State and Education Employees Group Insurance Benefits.  The Task Force shall annually review applicable changes in payment rates which will affect hospital inpatient and outpatient payment methodologies.

B.  The Task Force shall study and make recommendations, as part of its annual report, regarding new institutional reimbursement policy and changes in each existing reimbursement policy by the Oklahoma State and Education Employees Group Insurance Board under which payments to an institution are made.

C.  No later than January 1 of each year, the Task Force shall submit a report to the Joint Liaison Committee on State and Education Employees Group Insurance Benefits containing an examination of issues affecting health care delivery to state and education employees in Oklahoma, including issues related to:

1.  Trends in health care costs;

2.  The financial condition of hospitals and the effect of the payments made to hospitals under this act on such condition;

3.  Trends in the use of health care services under the Oklahoma State and Education Employees Group Insurance Board health plans; and

4.  New methods used by employers, insurers, and others to address the use of health care services.

The Task Force shall make, as part of its annual report, recommendations to the Joint Liaison Committee on State and Education Employees Group Insurance Benefits concerning appropriate changes in reimbursement rates which should be used for inpatient and outpatient hospital services.

D.  The Task Force shall consist of nine (9) members.  The membership of the Task Force shall include individuals with recognized expertise in health economics, health facility management, reimbursement of health facilities or other providers of services which reflect the scope of the Task Force's responsibilities, a balance of urban and rural representatives, including hospital administrators, physicians, and registered nurses, employers, third-party payors, individuals skilled in the conduct and interpretation of biomedical, health services, and health economics research, and individuals having expertise in the research and development of technological and scientific advances in health care.

E.  In order to identify medically appropriate patterns of health resources, the Task Force shall collect and assess information on medical and surgical procedures and services, including information on variations of medical practice and lengths of hospitalization and on other patient care data, giving special attention to treatment patterns for conditions which appear to involve excessively costly or inappropriate services not adding to the quality of care provided.  The Task Force shall give special attention to the needs of updating existing diagnosis-related groups and establishing new diagnosis-related groups, to reflect appropriate differences in resource consumption in delivering safe, efficacious and cost-effective care.

F.  In order to conduct its duties, the Task Force shall have unrestricted access to all payment rate information of the Oklahoma State and Education Employees Group Insurance Board immediately upon request.

Added by Laws 1998, c. 297, § 2, eff. July 1, 1998.  Amended by Laws 1999, c. 209, § 1, eff. July 1, 1999.

§74-1306.4.  Disease Management Program.

A.  By October 1, 2000, the Board shall implement a pilot disease management program.  The purpose of the program shall be to reduce cost in the three most costly disease categories.  Such program is to continue until July 1, 2003.

B.  Beginning January 1, 2002, and each year of the life of the program, the Board shall give the legislature an annual report concerning cost reduction measures implemented in the disease management program.

C.  The Board shall promulgate such rules as necessary to implement the provisions of this section.

Added by Laws 2000, c. 322, § 2, eff. July 1, 2000.

§74-1306.5.  Amendment of network provider facility or physician contracts - Mutual consent.

A network provider facility or physician contract, or any part or section of it, may be amended at any time during the term of the contract only by mutual written consent of duly authorized representatives of the State and Education Employees Group Insurance Board and the facility or physician.

Added by Laws 2002, c. 198, § 1, eff. July 1, 2002.

§74-1306.6.  Administration of Medical Expense Liability Revolving Fund.

The State and Education Employees Group Insurance Board, in accordance with administering the Medical Expense Liability Revolving Fund pursuant to Section 4 of this act, shall employ, appoint, or otherwise designate the necessary personnel to carry out the duties of the fund.

Added by Laws 2003, c. 319, § 6.

§741307.  Specifications - Limitations on benefits - Exceptions.

A.  The specifications drawn by the Board for the Health Insurance Plan shall provide for comprehensive hospital medical and surgical benefits.  The Health Insurance Plan may limit coverage for a particular illness, disease, injury or condition; but, except for such limits, shall not exclude or limit particular services or procedures that can be provided for the diagnosis and treatment of an illness, disease, injury or condition, so long as the services and procedures provided are of sound efficacy, are medically necessary, and fall within the licensed scope of practice of the practitioner providing same.  The Health Insurance Plan may provide for the application of deductibles and copayment or coinsurance provisions, when equally applied to all covered charges for services and procedures that can be provided by any practitioner for the diagnosis and treatment of a particular illness, disease, injury or condition.

B.  The Life Insurance Plan shall include Accidental Death and Dismemberment Benefits and additional optional life insurance coverage.

Amended by Laws 1982, c. 333, § 6, emerg. eff. June 1, 1982; Laws 1990, c. 244, § 5, emerg. eff. May 21, 1990; Laws 1991, c. 171, § 1, eff. July 1, 1991.

§74-1307.1.  Change of primary care physician within HMO.

No employee or dependent who participates in a HMO through the State Employees Group Insurance Act shall be denied the right of changing his primary care physician to any other primary care physician within the HMO.  The employee or dependent shall notify the HMO in writing of any change in his choice of primary care physician forty-five (45) days in advance of such change by certified mail with return receipt requested.  Any such change in a primary care physician shall not be subject to the approval of the HMO, the State Employees Group Insurance Board or state agency.

Added by Laws 1988, c. 199, § 3, emerg. eff. June 9, 1988.  Amended by Laws 2001, c. 197, § 2, emerg. eff. May 7, 2001.

§74-1307.2.  Diabetes treatment - Equipment, supplies and services.

On and after November 1, 1996, the State and Education Employees Group Insurance Board shall include coverage for equipment, supplies and related services for the treatment of Type I, Type II, and gestational diabetes as provided by and pursuant to the provisions of Section 1 of this act.

Added by Laws 1996, c. 125, § 2, eff. Nov. 1, 1996.

§74-1307.3.  Payment for services provided by out-of-state providers.

Unless the Board has otherwise contracted with an out-of-state provider, the Board shall pay for medical services and treatment rendered by an out-of-state provider at the same level paid to an in-state provider if the insured was referred to the out-of-state provider by a physician or it was an emergency situation and the out-of-state provider which offers the type of services needed is the closest provider in proximity to the place of residence of the employee.

Added by Laws 1998, c. 312, § 1, eff. July 1, 1998.  Amended by Laws 2001, c. 68, § 2, eff. July 1, 2001.

§74-1308.  Enrollment in Plan.

(1)  Any employee eligible for membership in the Health Insurance Plan, Dental Insurance Plan or Life Insurance Plan upon its effective date shall be enrolled in the plan unless he or she elects not to be enrolled within thirty (30) days of such effective dates.  The employee shall be advised of Health Maintenance Organization prepaid plans available as an alternative to the state selfinsured Health Insurance Plan.  The Board shall establish the procedure by which eligible employees not electing to be enrolled initially in the Health Insurance Plan, Dental Insurance Plan or Life Insurance Plan may be subsequently enrolled.

(2)  Any eligible employee who is employed after the effective dates of the Health Insurance Plan, Dental Insurance Plan and Life Insurance Plan or HMO plans approved by the Board may become enrolled on the first day of the second month of employment.

Added by Laws 1967, c. 374, § 8, emerg. eff. May 23, 1967.  Amended by Laws 1970, c. 70, § 7, emerg. eff. March 17, 1970; Laws 1977, c. 261, § 7, emerg. eff. June 17, 1977; Laws 1982, c. 333, § 7, emerg. eff. June 1, 1982; Laws 1985, c. 230, § 4, emerg. eff. July 8, 1985; Laws 1988, c. 165, § 7, operative July 1, 1988; Laws 2001, c. 197, § 3, emerg. eff. May 7, 2001; Laws 2004, c. 345, § 3, eff. July 1, 2004.

§74-1308.1.  Educational entities - Extension of health, dental and life insurance plans.

(1)  An educational entity may extend the benefits of the health insurance plan, the dental insurance plan, and the life insurance plan to education employees employed by said entity.  The benefits of said plans for an education employee shall be the same and shall include the same plan options as would be made available to a state employee participating in the plan that resided at the same location.  Notwithstanding the provisions of Section 1308.2 of this title, a period shall exist for enrolling education entities from April 1, 1989 through October 1, 1991, whereby education employees of a participating education entity may be enrolled, pursuant to this act, during the entities' initial enrollment period, regardless of preexisting conditions.  The Board shall adopt rules and regulations for enrollment by which education entities may apply to participate in said insurance plans.  Once an education entity becomes a participant in the health and dental insurance plans offered through the State and Education Employees Group Insurance Act, the education entity may withdraw from said participation, in a manner prescribed by the Board.  If a school district is participating in the health and dental insurance plans pursuant to the State and Education Employees Group Insurance Act, Section 1301 et seq. of this title, the employees of the school district who are eligible to participate in the health and dental plans, at such time as the school district may withdraw from such participation, may require the board of education of the school district to call an election to allow said employees to vote as to whether the school district shall continue participation in the health and dental insurance plans offered through the State and Education Employees Group Insurance Act.  Upon the filing with the board of education of a petition calling for such an election which is signed by no less than thirty percent (30%) of the eligible employees of the school district, the board of education shall call an election for the purpose of determining whether the school district shall continue participation in the health and dental insurance plans offered through the State and Education Employees Group Insurance Act.  The election shall be held within thirty (30) days of the filing of the petition.  If a majority of those eligible employees voting at the election vote to continue participation in the health and dental insurance plans offered through the State and Education Employees Group Insurance Act, the board of education shall be prohibited from withdrawing the school district from such participation.  If a majority of those eligible employees voting at the election vote against continued participation in the health and dental insurance plans offered through the State and Education Employees Group Insurance Act, the board of education of the school district shall apply to discontinue such participation within thirty (30) days of the election and within the times the school district is authorized to withdraw from participation in accordance with rules established for withdrawal by the State and Education Employees Group Insurance Board.

(2) Except as otherwise provided in this subsection, when an education entity participates in the health and dental insurance plans offered through the State and Education Employees Group Insurance Act, all employees shall be advised of Health Maintenance Organizations prepaid plans available as an alternative to the state self-insured health insurance plan.  Eligible part-time education employees, at the option of the employee, may enroll in the plans either at the time the education entity begins participation in the plans or, if later, upon a showing of insurability to the satisfaction of the Board.

(3)  Any employee of an education entity participating in the health and dental insurance plans offered through the State and Education Employees Group Insurance Act who is employed after the education entity began said participation may be enrolled in the health and dental insurance plans or HMO plans approved by the Board on the first day of the second month of employment.

(4)  Upon initial enrollment of an institution of higher education to participate in the health and dental insurance plans offered through the State and Education Employees Group Insurance Act, all individuals presently insured by said institution's present group health insurance plan shall become enrolled in said state plans for the remaining period of said institution's contractual liabilities.

(5)  Education employees who shall be absent from the teaching service because of election or appointment as a local, state, or national education association officer shall be allowed to retain coverage pursuant to the State and Education Employees Group Insurance Act upon the payment of the full cost of the coverage at the rate and under such terms and conditions established by the Board.

(6)  Except as otherwise provided by law, an educational entity may cease to participate in the State and Education Employees Group Insurance Act but provide health insurance coverage through another insurance carrier.  The subsequent carrier shall provide coverage to the employees of the educational entity who terminated employment with a retirement benefit, with a vested benefit, or who have ten (10) or more years of service with a participating educational entity but did not have a vested benefit through the retirement system of the educational entity, if the election to retain health insurance coverage was made within thirty (30) days of termination of employment.  Coverage shall also be provided to the eligible dependents of the employees if an election to retain coverage is made within thirty (30) days of termination of employment.

Added by Laws 1988, c. 165, § 8, operative July 1, 1988.  Amended by Laws 1989, c. 322, § 4, emerg. eff. May 26, 1989; Laws 1990, c. 244, § 6, eff. July 1, 1990; Laws 1990, c. 337, § 24; Laws 1991, c. 219, § 8, emerg. eff. May 22, 1991; Laws 1993, c. 359, § 4, eff. July 1, 1993; Laws 2004, c. 41, § 1, emerg. eff. April 1, 2004.

NOTE:  Laws 1990, c. 7, § 2 repealed by Laws 1990, c. 337, § 26.

§741308.2.   Persons not subject to preexisting condition exclusion.

Any person eligible to begin coverage in the health insurance plan pursuant to the State and Education Employees Group Insurance Act shall not be subject to a preexisting condition exclusion if the person was continuously covered under a previous group health insurance plan, was eligible to use military medical facilities, or was eligible to use Indian health services medical facilities.

§74-1309.  Dependents.

A.  Any eligible employee may elect to have a dependent or dependents of the employee covered by the Health Insurance Plan and Dental Insurance Plan or by any available Health Maintenance Organization (HMO) approved by the Board.  The employee may elect to cover all dependent children and not elect to cover the spouse of the employee.  Such election shall be made at the time the employee becomes enrolled in the Plan, under such procedures as the Board may establish.  If dependent coverage is not elected or if the employee elects to cover all dependent children and not the spouse of the employee at the time an employee becomes enrolled in the Plan, dependent coverage or coverage for the spouse cannot be elected until the next enrollment period or until a qualifying event has occurred as established by the Board.  Such subsequent election of dependent coverage shall be made under such conditions as the Board may impose.  If electing not to cover the spouse, the employee shall submit a statement signed by both the employee and the spouse acknowledging their choice not to provide insurance coverage for the spouse under the Health Insurance Plan and Dental Insurance Plan or approved HMO plans.

B.  Any employee with dependent coverage, as provided in this section, who has a change in the number of dependents may at the time of such change increase or decrease the number of dependents covered by the Health Insurance Plan and Dental Insurance Plan or approved HMO plans, under procedures established by the Board.

C.  Any employee who has no eligible dependents at the time the employee becomes enrolled may elect dependent coverage at the time the dependency status of the employee changes under procedures established by the Board.

Added by Laws 1967, c. 374, § 9, emerg. eff. May 23, 1967.  Amended by Laws 1982, c. 333, § 8, emerg. eff. June 1, 1982; Laws 1985, c. 230, § 5, emerg. eff. July 8, 1985; Laws 1999, c. 339, § 2, eff. July 1, 1999; Laws 2001, c. 197, § 4, emerg. eff. May 7, 2001.

§741310.  Payment to funds.

A.  Except as provided in subsection B of this section, each state agency participating in the Group Insurance Plans shall appropriate and pay to the appropriate reserve fund an amount to be set by the State and Education Employees Group Insurance Board for each employee other than education employees per month enrolled in said Plans, from funds appropriated to said agency or from other funds available to such agency for operational purposes.

B.  During the fiscal year ending June 30, 1997, each state agency participating in the Group Insurance Plans shall appropriate and pay to the State Employees Group Insurance Clearing Fund an amount to be set by the State and Education Employees Group Insurance Board for each employee other than education employees per month enrolled in said Plans, from funds appropriated to said agency or from other funds available to such agency for operational purposes.

Added by Laws 1967, c. 374, § 10, emerg. eff. May 23, 1967.  Amended by Laws 1969, c. 71, § 1, emerg. eff. July 1, 1969; Laws 1970, c. 70, § 8, emerg. eff. March 17, 1970; Laws 1982, c. 333, § 9, emerg. eff. June 1, 1982; Laws 1986, c. 150, § 5, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 9, operative July 1, 1988; Laws 1989, c. 318, § 8, operative July 1, 1989; Laws 1991, c. 263, § 8, operative July 1, 1991; Laws 1996, c. 275, § 1, eff. Sept. 1, 1996.

§74-1310.1.  Certified employees - Payment of health and dental insurance premiums.

A.  If a certified employee elects health care coverage under a plan offered by a school district, including a plan offered by the State and Education Employees Group Insurance Board or a self-insured plan offered by the school district, then a school district shall pay for the fiscal year ending June 30, 2005, and each fiscal year thereafter, no less than one hundred percent (100%) of the premium amount for the HealthChoice (HI) option plan for an individual offered by the State and Education Employees Group Insurance Board.

The amount a school district is required to pay pursuant to this subsection shall be reduced by the flexible benefit allowance provided for in Section 26-105 of Title 70 of the Oklahoma Statutes.

B.  The premium for education entities that participate in the health and dental insurance plans offered through the State and Education Employees Group Insurance Act shall be the same as paid by state agencies for said plans.

C.  All education entities that participate in the insurance plans offered through the State and Education Employees Group Insurance Act shall forward the appropriate premiums for each employee to the Board no later than the tenth day of each month following the month for which payment is due.

Added by Laws 1988, c. 165, § 10, operative July 1, 1988.  Amended by Laws 1998, c. 380, § 10, emerg. eff. June 9, 1998; Laws 2002, c. 282, § 4, eff. July 1, 2002; Laws 2003, c. 415, § 33, eff. July 1, 2003; Laws 2004, c. 373, § 1, eff. July 1, 2004.

§74-1310.2.  Health care coverage under school district plan - Cost of premium payable by district.

A school district shall pay fifty percent (50%) of the cost of the individual health care premium amount for school district employees who are not otherwise covered pursuant to Section 1310.1 of Title 74 of the Oklahoma Statutes or Section 26-105 of Title 70 of the Oklahoma Statutes, if such employee elects health care coverage under a plan offered by a school district, including a plan offered by the State and Education Employees Group Insurance Board or a self-insured plan offered by the school district.

Added by Laws 2002, c. 418, § 3, eff. July 1, 2002.

§741311.  Payroll deductions.

The amount of monthly contribution to be made by employees enrolled in the Group Insurance Plans shall be deducted from the monthly salaries of such employees and remitted to the Board.  The procedure for such deductions and remittances shall be established by the Board.

Amended by Laws 1982, c. 333, § 10, emerg. eff. June 1, 1982; Laws 1986, c. 150, § 6, emerg. eff. April 29, 1986.  

§741311.1.  Deduction of contributions from monthly disability benefits.

The amount of monthly contribution to be made by persons who are drawing disability benefits under Section 1331 et seq. of Title 74 of the Oklahoma Statutes and who are enrolled in the Group Insurance Plans shall be deducted from the monthly disability benefits of such persons and remitted to the Board.  The procedures for such deductions and remittances shall be established by the Board.

Added by Laws 1986, c. 150, § 7, emerg. eff. April 29, 1986.  

§74-1311.2.  Repealed by Laws 2003, c. 8, § 9, eff. July 1, 2003.

§741312.  Health and Dental Insurance Reserve Fund.

(1)  Except as otherwise provided by law, all employee and employer contributions, appropriations and dividend payments related to the health and dental plans administered by the State and Education Employees Group Insurance Board shall be deposited in a fund in the State Treasury which is hereby created and which shall be known as the Health and Dental Insurance Reserve Fund.  The money in such fund shall be invested by the Board in the manner specified in Section 1305.1 of this title.  Investment income of the fund shall be added to the fund.  Money payable to the claims administrator and all expenses in connection with the plans shall be paid from the fund.  The Board shall have responsibility for management of the fund.

(2)  All monies in the Health and Dental Insurance Reserve Fund that are reserves for the life insurance plan administered by the State and Education Employees Group Insurance Board shall be transferred to the Life Insurance Reserve Fund on July 1, 1989.

Amended by Laws 1982, c. 263, § 4, emerg. eff. May 14, 1982; Laws 1982, c. 333, § 11, emerg. eff. June 1, 1982; Laws 1986, c. 150, § 8, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 11, operative July 1, 1988; Laws 1989, c. 318, § 9, operative July 1, 1989; Laws 1991, c. 263, § 9, operative July 1, 1991.

§741312.1.  Revolving fund.

There is hereby created in the State Treasury a Revolving Fund for the State and Education Employees Group Insurance Plan.  The revolving fund shall consist of funds transferred from the Health and Dental Insurance Reserve Fund and the Life Insurance Reserve Fund for operational expenses of the State Health and Life Insurance Plan and monies assessed from or collected for and due a Health Maintenance Organization (HMO) as approved by the Board. Expenditures from said funds shall be made pursuant to the laws of the state and statutes relating to the Plan.  This revolving fund shall be a continuing fund, not subject to fiscal year limitations, and shall be under the control and management of the State and Education Employees Group Insurance Board.

Added by Laws 1982, c. 263, § 6, emerg. eff. May 14, 1982. Amended by Laws 1985, c. 230, § 6, emerg. eff. July 8, 1985; Laws 1986, c. 150, § 9, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 12, operative July 1, 1988; Laws 1989, c. 318, § 10, operative July 1, 1989.  

§741312.2.  Life Insurance Reserve Fund.

(1)  There is hereby created in the State Treasury, the Life Insurance Reserve Fund.  Except as otherwise provided by law, all contributions, appropriations, transfers, dividend payments, and investment income of the fund received from or for the benefit of the life insurance plan administered by the State and Education Employees Group Insurance Board shall be deposited in the reserve fund.

The monies in said reserve fund shall be invested by the Board in the manner specified in Section 1305.1 of this title.  The Board shall have responsibility for management of the fund.

Money payable to the claims administrator and all expenses in connection with the life insurance plan shall be paid from the reserve fund.

(2)  All monies in the Life Insurance Reserve Fund that are reserves for the health and dental plans administered by the State and Education Employees Group Insurance Board shall be transferred to the Health and Dental Insurance Reserve Fund on July 1, 1989.

Added by Laws 1988, c. 165, § 13, operative July 1, 1988. Amended by Laws 1989, c. 318, § 11, operative July 1, 1989; Laws 1991, c. 263, § 10, operative July 1, 1991.

§74-1312.3.  State Employees Group Insurance Clearing Fund.

There is hereby created in the State Treasury, the State Employees Group Insurance Clearing Fund.  The monies paid to the State Employees Group Insurance Clearing Fund pursuant to Section 1310 of this title shall be distributed as follows:

1.  The first Thirty-one Million Five Hundred Thousand Dollars ($31,500,000.00) received after the effective date of this act during the fiscal year beginning July 1, 1996, shall be distributed to the Oklahoma State Regents for Higher Education; and

2.  The balance thereof shall be distributed to and deposited in the appropriate reserve fund as directed by the State and Education Employees Group Insurance Board.

Added by Laws 1991, c. 263, § 11, operative July 1, 1991.  Amended by Laws 1996, c. 275, § 2, eff. Sept. 1, 1996.

§741314.  Officers and employees exempt  Options.

Except as provided in Section 483 of Title 40 of the Oklahoma Statutes, the provisions of the State and Education Employees Group Insurance Act, Section 1301 et seq. of this title, shall not apply to the employees and officers of The Oklahoma State System of Higher Education nor to the Commissioners of the State Department of Transportation nor to any member of an administrative board or commission of any agency, board, authority or commission of the State of Oklahoma unless such member is a fulltime salaried employee; provided, however, that any state system or institution of higher education may elect to come under the provisions of said act.

Amended by Laws 1982, c. 333, § 13, emerg. eff. June 1, 1982; Laws 1986, c. 150, § 11, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 15, operative July 1, 1988; Laws 1989, c. 313, § 13, operative July 1, 1989; Laws 1990, c. 303, § 6, eff. Jan. 1, 1991.

  

§741314.1.  Employment Security Commission  System of Higher Education  Participation  Payroll deductions.

The Oklahoma Employment Security Commission and the Oklahoma State System of Higher Education have provided and may continue to provide hospital and medical benefits, accident, health, and life insurance, or any of the aforesaid, in any company authorized to do business in the State of Oklahoma, for any or all of its officers or employees, and said Commission and the Oklahoma State System of Higher Education may pay a portion or all of said premiums from any of the Commission's or the Oklahoma State System of Higher Education's general funds, and may deduct from the wages or salary of any such officer or employee, upon written authority signed by the officer or employee, amounts for the payment of all or any portion of the monthly premium for same.

Laws 1971, c. 301, § 2, emerg. eff. June 25, 1971.  

§74-1314.2.  Definitions.

As used in Sections 1 through 5 of this act:

(a)  "Agency Plan" means the health insurance program offered by the Oklahoma Employment Security Commission to its employees as of the effective date of this act.  The Agency Plan presently conforms to the Federal Plan;

(b)  "State Plan" means the health insurance program provided for state employees pursuant to the State and Education Employees Group Insurance Act;

(c)  "Federal Plan" means the health insurance program provided for federal employees upon which the Agency Plan is based, and is more specifically defined in 5 CFR Ch.1, PART 890--FEDERAL EMPLOYEES HEALTH BENEFITS PROGRAM, as may be amended from time to time, and represents the standard against which the State Plan is to be measured to determine material differences for purposes of securing the supplemental health insurance for which provision is made in this act; and

(d)  "Commission" means the Oklahoma Employment Security Commission.

Added by Laws 1990, c. 303, § 1, emerg. eff. May 30, 1990.

§74-1314.3.  Supplemental benefits - Transfer to State Plan - Employer contributions - Preexisting conditions - Satisfaction of deductible - Dental and life insurance plans.

(1)  All otherwise eligible employees hired by the Oklahoma Employment Security Commission after the effective date of this act shall participate in the State Plan and shall not be entitled to the supplemental health insurance for which provision is made in this act nor to any other Commission benefit plan not generally available to state employees, and no other provisions of this act shall apply to such future hirees.

(2)  All otherwise eligible Commission employees not participating in the Agency Plan as of the effective date of this act shall be enrolled in the State Plan on July 1, 1990.  Said nonparticipating Commission employees shall not be entitled to the supplemental health insurance for which provision is made in this act.

(3)  All Commission employees, retirees and dependents participating in the Agency Plan as of the effective date of this act shall be permitted to transfer to the State Plan and receive the supplemental insurance benefits for which provision is made in Section 1314.4 of this title at such time as the supplemental insurance is available.  If not sooner transferred, all Agency Plan participants shall be transferred to the State Plan on January 1, 1991.  Such mandatory transfer shall occur simultaneously with any cancellation by the insurance provider of the Agency Plan, occurring prior to January 1, 1991.

(4)  All Commission employees, retirees and dependents enrolling in or transferring to the State Plan under the provisions of this section shall be given the opportunity to participate in all options under the State Plan at the time of their enrollment or transfer.

(5)  For active employees of the Commission, the Commission shall pay the same monthly premium toward employee-only coverage as that set by the State and Education Employees Group Insurance Board and paid by the other state agencies participating in the state health insurance program.  For retirees of the Commission who retired pursuant to the provisions of the Oklahoma Public Employees Retirement System, the Oklahoma Public Employees Retirement System shall pay the same monthly contribution towards premiums for regular or Medicare supplement health insurance coverage for those retirees as the amount paid towards the premiums for the Oklahoma Public Employees Retirement System retirees from other agencies.  For retirees of the Commission who retired under the provisions of another retirement plan, the Commission shall pay the same monthly contribution towards premiums for regular or Medicare supplement health insurance coverage for those retirees as the amount paid towards premiums by the Oklahoma Public Employees Retirement System for retirees of other state agencies.

(6)  Except as provided in this subsection, employees and retirees of the Commission, and their dependents, shall be covered under the dental and life insurance plans provided by the State and Education Employees Group Insurance Board pursuant to the same provisions and premiums as apply to the employees and retirees of other state agencies.  Employees and retirees may elect to keep their present agency offered life insurance, in addition to the state life insurance.  Any employee who elects to keep their agency offered life insurance shall pay the premium for the life insurance provided pursuant to the State and Education Employees Group Insurance Act.  Any Commission retiree who elects to participate in the life insurance program provided pursuant to the State and Education Employees Group Insurance Act shall pay the premium for such coverage.

(7)  In the event that the agency offered life insurance plan is canceled by the insurer offering it, the Commission shall contract with the State and Education Employees Group Insurance Board for replacement coverage equal to that lost by said cancellation.  Said Board is expressly authorized and directed to enter into such a contract.  The Commission and the participants shall pay the full actuarial costs and all reasonable administrative costs for such coverage.  Said actuarial and administrative costs shall be divided between the Commission and the participants in the same ratio as premiums are now divided for the agency offered life insurance.  The Board shall maintain separate reserves for said coverage.  On January 1, 2005, the Commission shall convert the agency offered life insurance to the life insurance plans provided by the State and Education Employees Group Insurance Board pursuant to the same provisions and premiums as apply to the employees and retirees of other state agencies.  The Commission may offer eligible employees an opportunity to voluntarily relinquish their agency life insurance upon a payment to the eligible employee, provided funds exist to do so.

Added by Laws 1990, c. 303, § 2, emerg. eff. May 30, 1990.  Amended by Laws 2004, c. 278, § 1, emerg. eff. May 10, 2004.

§74-1314.4.  Supplemental health insurance.

(1)  The Oklahoma Employment Security Commission shall provide supplemental health insurance, in the manner provided in Section 1314.5 of this title for Agency Plan participants.  Such supplemental insurance shall cover material differences between the coverage under the State Plan and the Agency Plan.  Material differences as of the effective date of this act are:

(a) The difference between the Agency Plan and the State Plan with regard to the amount of the lifetime maximum benefit;

(b) The difference between the Agency Plan and the State Plan with regard to the amount of the annual hospital copayment;

(c) The difference between the Agency Plan and the State Plan with regard to the amount of the retiree prescription copayment;

(d) The difference between the Agency Plan and the State Plan with regard to the allowable cost for a medical procedure; provided the procedure was not readily available from a provider under the State Plan.

(2)  The Commission may vary the terms of the supplemental health insurance at such times as there is a material change in the coverage offered under the State Plan from coverage offered under the Federal Plan.

(3)  The Commission may require participants to share in the cost of the supplemental health insurance or contribute to copayments and/or provide for deductibles, if required by the United States Department of Labor; provided that the cost to the participant for both the State Plan and the supplemental health insurance does not exceed the cost to the participant for the Agency Plan as estimated by the Commission.

Added by Laws 1990, c. 303, § 3, emerg. eff. May 30, 1990.  Amended by Laws 2004, c. 278, § 2, emerg. eff. May 10, 2004.

§74-1314.5.  Procurement of supplemental health insurance - Self-insurance.

A.  The Oklahoma Employment Security Commission shall attempt to obtain the supplemental health insurance described in Section 1314.4 of this title through competitive procurement under the Central Purchasing Act.  If the Commission does not obtain such supplemental health insurance in this manner, it shall contract with the State and Education Employees Group Insurance Board for such coverage or the Commission may provide the supplemental health insurance through a self-insurance program.

B.  If the Commission decides to contract with the State and Education Employees Group Insurance Board for the supplemental health insurance coverage, the Board is expressly authorized and directed to enter into such a contract and administer the supplemental benefit in such manner to cause the least disruption to its systems and daily operations.  The supplemental benefit does not have to be offered as a supplemental plan but can be combined with the state plan to be administered and actuarially rated as a single plan.  If this option is chosen, all dependents of employees or former employees currently eligible for the supplemental health insurance shall be included in the plan, regardless of whether or not the dependents were previously included in the plan, and this subsection will prevail over the provisions of Section 1314.3 of this title.  The Commission shall pay the full actuarial cost to be determined by the State and Education Employees Group Insurance Board and all reasonable administrative costs for such coverage, if provided by or through the Board.  The Board may consider the utilization experience of the group participating in the benefit when calculating the rate for providing the benefit.  The Board shall maintain separate reserves for said coverage.

C.  If the Commission decides to provide supplemental health insurance through a self-insurance program, the Commission shall be authorized to contract with a private company to provide claims adjusting services for the supplemental health insurance claims adjusting and processing.

Added by Laws 1990, c. 303, § 4, emerg. eff. May 30, 1990.  Amended by Laws 2004, c. 278, § 3, emerg. eff. May 10, 2004.

§74-1315.  Participation by political subdivisions, public trusts, utility districts, nonprofit entities, and other local service agencies.

A.  Upon application in writing and subject to any underwriting criteria that may be established by the State and Education Employees Group Insurance Board, the Board may extend the benefits of the State and Education Employees Group Health and Life Insurance Plans to employees who are employed in positions requiring actual performance of duty during not less than one thousand (1,000) hours per year and to all full-time employees of:

1.  Any of the following groups which participate in the Oklahoma Public Employees Retirement System:

a. county,

b. city,

c. town,

d. public trust for which the state is the primary beneficiary, or

e. conservation districts; and

2.  Any of the following groups:

a. county hospital,

b. rural water district, including employees and board members,

c. sewer district,

d. gas district,

e. solid waste management district,

f. nonprofit water corporation employees and board members,

g. conservancy district or master conservancy district authorized by the provisions of Section 541 of Title 82 of the Oklahoma Statutes,

h. voluntary organization of Oklahoma local government jurisdictions listed in Section 2003 of Title 62 of the Oklahoma Statutes including any council created by the voluntary organizations,

i. voluntary association designated to administer the County Government Council as authorized in Section 7 of Title 19 of the Oklahoma Statutes,

j. statewide nonprofit entities representing employees of the state or employees of local political subdivisions who are eligible for insurance benefits authorized by the provisions of the State and Education Employees Group Insurance Act, or

k. statewide nonprofit entities receiving state funds to provide no cost legal services to low income and senior citizens.

B.  Applications to participate in the State and Education Employees Group Health and Life Insurance Plans shall be approved by majority action of the governing body of the groups listed in subsection A of this section.

C.  Groups listed in subsection A of this section participating in the Oklahoma State and Education Employees Group Health and Life Insurance Plans shall pay all costs attributable to their participation.  The benefits of said plans for a participant provided coverage pursuant to this section shall be the same and shall include the same plan options as would be made available to a state employee participating in the plan that resided at the same location.  The premium for participating groups listed in subsection A of this section shall be the same as paid by state and education employees.

D.  Participating groups listed in subsection A of this section shall not be required to offer dental insurance as defined in paragraph (11) of Section 1303 of this title, or other insurance as defined in paragraph (12) of Section 1303 of this title.  However, if dental insurance or any other insurance is offered, it must be provided to all eligible employees.  If an employee retires and begins to receive benefits from the Oklahoma Public Employees Retirement System or terminates service and has a vested benefit with the Oklahoma Public Employees Retirement System, the employee may elect, in the manner provided in Section 1316.2 of this title, to participate in the dental insurance plan offered through the State and Education Employees Group Insurance Act within thirty (30) days from the date of termination of employment.  The employee shall pay the full cost of the dental insurance.

E.  1.  Any employee of a group listed in subsection A of this section who retires or who has a vested benefit pursuant to the Oklahoma Public Employees Retirement System may begin the health insurance coverage if the employer of the employee is not a participant of the State and Education Employees Group Insurance Act and does not offer health insurance to its employees.  Such election by the employee to begin coverage shall be made within thirty (30) days from the date of termination of service.

2.  Any employee of a group listed in subsection A of this section who retires or who has a vested benefit pursuant to the Oklahoma Public Employees Retirement System may begin or continue the health insurance coverage if the employer of the employee is a participant of the State and Education Employees Group Insurance Act and the election to begin or continue coverage is made within thirty (30) days from the date of termination of service.

F.  Any county, city, town, county hospital, public trust, conservation district, or rural water, sewer, gas or solid waste management district, or nonprofit water corporation, any of which of the aforementioned groups is not a participating employer in the Oklahoma Public Employees Retirement System, but which has employees who are participating in the health, dental or life insurance plans offered by or through the State and Education Employees Group Insurance Act on July 1, 1997, may continue to allow its current and future employees to participate in such health, dental or life insurance plans.  Participation of such employees may also continue following termination of employment if the employee has completed at least eight (8) years of service with a participating employer and such an election to continue in force is made within thirty (30) days following termination of employment.  Any retiree or terminated employee electing coverage pursuant to this section shall pay the full cost of the insurance.

G.  An employee of a group listed in paragraph 2 of subsection A of this section may continue in force health, dental and life insurance coverage following termination of employment if the employee has a minimum of eight (8) years of service with a participating employer and the election to continue in force is made within thirty (30) calendar days following termination of employment.

H.  Notwithstanding other provisions in this section, an employer listed in subsection A of this section may cease to participate in the State and Education Employees Group Insurance Act but provide health insurance coverage for its current and former employees through another insurance carrier.  The subsequent carrier shall be responsible for providing coverage to the entity's employees who terminated employment with a retirement benefit, with a vested benefit, or who have eight (8) or more years of service with a participating employer but did not have a vested benefit through the Oklahoma Public Employees Retirement System, if the election to retain health insurance coverage was made within thirty (30) days of termination of employment.  Coverage shall also be provided to the eligible dependents of the employees if an election to retain coverage is made within thirty (30) days of termination of employment.  Employees who terminate employment from an employer covered by this paragraph before December 31, 2001, and elect coverage under the State and Education Employees Group Insurance Act, shall not be required to change insurance carriers in the event that the employer changes its insurance carrier to a subsequent carrier.  The provisions of this subsection shall become effective January 1, 2002.

I.  Employers pursuant to subsection A of this section who participate in the Oklahoma Public Employees Retirement System and who offer health insurance coverage to their active employees, shall offer health insurance coverage to those employees who retire from the employer and also to those employees who terminate employment and are eligible to elect a vested benefit in the System.  Such employers shall begin offering coverage to such employees on or before January 1, 2004.  Such employees who wish to continue coverage shall make an election to retain health insurance coverage within thirty (30) days of termination of employment.  However, former employees of such employers who have already retired or who have terminated and are eligible to elect a vested benefit under the Oklahoma Public Employees Retirement System, during the period beginning January 1, 2002, and ending December 31, 2003, may make an election to begin participation in the plans offered by the State and Education Employees Group Insurance Board on or before December 31, 2003, in the same manner as other participating retired or vested members.  The employer, assisted by the Oklahoma Public Employees Retirement System shall notify by October 1, 2003, all members who have either retired from the System or who are eligible to elect a vested benefit in the System between January 1, 2002, through December 31, 2003, and who were employed by an employer listed in subsection A of this section of the member's potential eligibility to participate in such plans.  Each employer shall notify the Oklahoma Public Employees Retirement System when an employee is retiring and makes the election pursuant to this subsection to continue coverage under a plan offered by such employer and when an employee terminates employment and is eligible to elect a vested benefit in the System and such employee elects to continue coverage under a plan offered by such employer.  Such employer shall also notify the Oklahoma Public Employees Retirement System if a retired employee or an employee who is eligible to elect a vested benefit in the System terminates such continued coverage.

J.  Any group that begins participation in the State and Education Employees Group Health and Life Insurance Plans after the effective date of this act and that is not composed of state or education employees must have one hundred percent (100%) participation in the health plan offered pursuant to the State and Education Employees Group Insurance Act.

Added by Laws 1970, c. 70, § 12, emerg. eff. March 17, 1970.  Amended by Laws 1971, c. 297, § 3, operative July 1, 1971; Laws 1977, c. 261, § 10, emerg. eff. June 17, 1977; Laws 1981, c. 73, § 1; Laws 1982, c. 333, § 14, emerg. eff. June 1, 1982; Laws 1986, c. 150, § 12, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 16, operative July 1, 1988; Laws 1989, c. 322, § 6, emerg. eff. May 26, 1989; Laws 1990, c. 276, § 1, operative July 1, 1990; Laws 1993, c. 359, § 5, eff. July 1, 1993; Laws 1996, c. 338, § 1, eff. July 1, 1996; Laws 2001, c. 69, § 1, eff. Jan. 1, 2002; Laws 2001, c. 376, § 1, eff. July 1, 2001; Laws 2002, c. 124, § 1, emerg. eff. April 22, 2002; Laws 2002, c. 450, § 1, eff. July 1, 2002; Laws 2003, c. 370, § 1; Laws 2004, c. 5, § 103, emerg. eff. March 1, 2004; Laws 2004, c. 345, § 4, eff. July 1, 2004.

NOTE:  Laws 1990, c. 244, § 7 repealed by Laws 1991, c. 325, § 1, emerg. eff. June 14, 1991.  Laws 2001, c. 306, § 1 repealed by Laws 2002, c. 22, § 34, emerg. eff. March 8, 2002.  Laws 2003, c. 366, § 1 repealed by Laws 2004, c. 5, § 104, emerg. eff. March 1, 2004.

NOTE:  Laws 2001, c. 376, § 1 provides a separate effective date for subsection H of this section of January 1, 2002.

§74-1315.1.  Participation by county election board secretaries.

Upon election and application by the secretary of a county election board and subject to any underwriting criteria that may be established by the State and Education Employees Group Insurance Board, the Board shall extend the benefits of the State and Education Employees Group Health and Life Insurance Plans to the secretary of each county election board, if the county in which the secretary serves is not participating in such plans.

Added by Laws 2002, c. 71, § 1, eff. Nov. 1, 2002.

§74-1316.1.  Continuance or purchase of life insurance benefits - Election.

A.  Any person who retires or who has elected to receive a vested benefit under the provisions of the State of Oklahoma retirement systems or persons who are currently drawing disability benefits under Section 1331 et seq. of this title or who meet each and every requirement of the State Employees Disability Program or the spouse or dependent of any such employee may continue in force the life insurance benefits authorized by this act in a face amount of not less than one-fourth (1/4) of the basic life insurance amount, if such election to continue in force is made within thirty (30) days from the time of severance.  Persons electing to continue in force life insurance benefits shall pay the full cost of the life insurance and under such terms and conditions as established by the Board.  Further, any such retiree may continue in force any additional life insurance that was purchased prior to retirement at an actuarially adjusted rate and under such terms and conditions as established by the Board.

Effective January 1, 2002, nonvested employees may also continue their life insurance benefits as provided in this section following termination of employment, if the employee has completed at least eight (8) years of service with an employer participating in the Oklahoma Public Employees Retirement System or at least ten (10) years of service with an employer participating in the Teachers' Retirement System of Oklahoma.  The election to continue the employee's life insurance in force must be made within thirty (30) days after the date of termination.

B.  Any retired employee who is receiving a benefit or terminates employment with a vested benefit from the Teachers' Retirement System of Oklahoma and who becomes enrolled in the health insurance plan offered by the State and Education Employees Group Insurance Act, pursuant to subsection E of Section 5-117.5 of Title 70 of the Oklahoma Statutes, may elect to purchase life insurance benefits in amounts and at a cost as provided for in this section.

C.  In lieu of subsection A of this section, any person who retires or who has elected to receive a vested benefit under the provisions of the State of Oklahoma retirement systems and who is participating in a health insurance plan, the dental insurance plan, or the life insurance plan offered by the State and Education Employees Group Insurance Board, including such persons who are currently drawing disability benefits under Section 1331 et seq. of this title or who meet each and every requirement of the State Employees Disability Program on or before July 1, 1999, or the spouse of any such person may elect to purchase life insurance benefits authorized by this subsection in a face amount not to exceed Fifty Thousand Dollars ($50,000.00).  Eligible persons pursuant to this subsection shall make an election by January 1, 2000, to purchase the life insurance coverage provided in this subsection.  Life insurance coverage pursuant to this subsection shall depend upon providing satisfactory evidence of insurability for the person who is to be covered.  Life insurance coverage, pursuant to this subsection, shall be purchased in blocks of Five Thousand Dollars ($5,000.00).  The premium for such life insurance coverage shall be at a blended rate and shall be set by the Board.  The Board shall promulgate rules necessary for the implementation of the provisions of this subsection.

Added by Laws 1979, c. 108, § 2, eff. Oct. 1, 1979.  Amended by Laws 1986, c. 150, § 14, emerg. eff. April 29, 1986; Laws 1991, c. 78, § 1, emerg. eff. April 18, 1991; Laws 1997, c. 213, § 1, eff. July 1, 1997; Laws 1999, c. 255, § 2, eff. Nov. 1, 1999; Laws 2000, c. 6, § 29, emerg. eff. March 20, 2000; Laws 2001, c. 197, § 5, eff. Jan. 1, 2002; Laws 2002, c. 127, § 1, eff. July 1, 2002.

NOTE:  Laws 1999, c. 208, § 1 repealed by Laws 2000, c. 6, § 33, emerg. eff. March 20, 2000.

§74-1316.2.  Noneducation employees who have retired or otherwise terminated service - Law enforcement retirement system members killed, injured in line of duty - Continuance of health and dental insurance benefits.

A.  Any employee other than an education employee who retires pursuant to the provisions of the Oklahoma Public Employees Retirement System or who has a vested benefit pursuant to the provisions of the Oklahoma Public Employees Retirement System may continue in force the health and dental insurance benefits authorized by the provisions of the State and Education Employees Group Insurance Act, or other employer insurance benefits if the employer does not participate in the plans offered by the State and Education Employees Group Insurance Board, if such election to continue in force is made within thirty (30) days from the date of termination of service.  Except as otherwise provided for in Section 840-2.27I of this title and subsection H of this section, health and dental insurance coverage may not be reinstated at a later time if the election to continue in force is declined.  Vested employees other than education employees who have terminated service and are not receiving benefits and effective July 1, 1996, nonvested persons who have terminated service with more than eight (8) years of participating service with a participating employer, who within thirty (30) days from the date of termination of service elect to continue such coverage, shall pay the full cost of said insurance premium at the rate and pursuant to the terms and conditions established by the Board.  Provided also, any employee other than an education employee who commences employment with a participating employer on or after September 1, 1991, who terminates service with such employer on or after July 1, 1996, but who otherwise has insufficient years of service to retire or terminate service with a vested benefit pursuant to the provisions of the Oklahoma Public Employees Retirement System or to elect to continue coverage as a nonvested employee as provided in this section, but who, immediately prior to employment with the participating employer was covered as a dependent on the health and dental insurance policy of a spouse who was an active employee other than an education employee, may count as part of his or her credited service for the purpose of determining eligibility to elect to continue coverage under this section, the time during which said terminating employee was covered as such a dependent.

B.  1.  Health insurance benefit plans offered pursuant to this section shall include:

a. indemnity plans offered through the State and Education Employees Group Insurance Board,

b. managed care plans offered as alternatives to the indemnity plans offered through the State and Education Employees Group Insurance Board,

c. Medicare supplements offered pursuant to the State and Education Employees Group Insurance Act,

d. Medicare risk-sharing contracts offered as alternatives to the Medicare supplements offered through the State and Education Employees Group Insurance Board.  All Medicare risk-sharing contracts shall be subject to a risk adjustment factor, based on generally accepted actuarial principles for adverse selection which may occur, and

e. for the Oklahoma Public Employee Retirement System, other employer-provided health insurance benefit plans if the employer does not participate in the plans offered pursuant to the State and Education Employees Group Insurance Act.

2.  Health insurance benefit plans offered pursuant to this section shall provide prescription drug benefits, except for plans designed pursuant to the Medicare Prescription Drug Improvement and Modernization Act of 2003, for which provision of prescription drug benefits is optional, and except for plans offered pursuant to subparagraph e of paragraph 1 of this subsection.

C.  1.  Designated public retirement systems shall contribute a monthly amount towards the health insurance premium of certain individuals receiving benefits from the public retirement system as follows:

a. a retired employee other than an education employee who is receiving benefits from the Oklahoma Public Employees Retirement System after September 30, 1988, shall have One Hundred Five Dollars ($105.00), or the premium rate of the health insurance benefit plan, whichever is less, paid by the Oklahoma Public Employees Retirement System to the Board or other insurance carrier of the employer if the employer does not participate in the plans offered by the State and Education Employees Group Insurance Board in the manner specified in subsection G of this section,

b. a retired employee or surviving spouse other than an education employee who is receiving benefits from the Oklahoma Law Enforcement Retirement System after September 30, 1988, is under sixty-five (65) years of age and is not otherwise eligible for Medicare shall have the premium rate for the health insurance benefit plan or One Hundred Five Dollars ($105.00), whichever is less, paid by the Oklahoma Law Enforcement Retirement System to the Board in the manner specified in subsection G of this section,

c. a retired employee other than an education employee who is receiving benefits from the Oklahoma Law Enforcement Retirement System after September 30, 1988, is sixty-five (65) years of age or older or who is under sixty-five (65) years of age and is eligible for Medicare shall have One Hundred Five Dollars ($105.00), or the premium rate of the health insurance benefit plan, whichever is less, paid by the Oklahoma Law Enforcement Retirement System to the Board in the manner specified in subsection G of this section, and

d. a retired employee other than an education employee who is receiving benefits from the Uniform Retirement System for Justices and Judges after September 30, 1988, shall have One Hundred Five Dollars ($105.00), or the premium rate of the health insurance plan, whichever is less, paid by the Uniform Retirement System for Justices and Judges to the Board in the manner specified in subsection G of this section.

2.  Premium payments made pursuant to this section shall be made subject to the following conditions:

a. the health plan shall be authorized by the provisions of the State and Education Employees Group Insurance Act, except that if an employer from which an employee retired or with a vested benefit pursuant to the provisions of the Oklahoma Public Employees Retirement System does not participate in the plans authorized by the provisions of the State and Education Employees Group Insurance Act, the health plan will be the health insurance benefits of the employer from which the individual retired or vested,

b. for plans offered by the State and Education Employees Group Insurance Act, the amount to be paid shall be determined pursuant to the provisions of this subsection and shall first be applied in whole or in part to the prescription drug coverage premium.  Any remaining amount shall be applied toward the medical coverage premium,

c. for all plans, if the amount paid by the public retirement system does not cover the full cost of the elected coverage, the individual shall pay the remaining premium amount, and

d. payment shall be made by the retirement systems in the manner specified under subsection G of this section.

D.  For any member of the Oklahoma Law Enforcement Retirement System killed in the line of duty, whether the member was killed in the line of duty prior to the effective date of this act or on or after the effective date of this act, or if the member was on a disability leave status at the time of death, the surviving spouse or dependents of such deceased member of the Oklahoma Law Enforcement Retirement System may elect to continue or commence health and dental insurance benefits provided said dependents pay the full cost of such insurance and for deaths occurring on or after July 1, 2002, such election is made within thirty (30) days of the date of death.  The eligibility for said benefits shall terminate for the surviving children when said children cease to qualify as dependents.

E.  Effective July 1, 2004, a retired member of the Oklahoma Law Enforcement Retirement System who retired from the System by means of a personal and traumatic injury of a catastrophic nature and in the line of duty and any surviving spouse of such retired member and any surviving spouse of a member who was killed in the line of duty shall have one hundred percent (100%) of the retired member's or surviving spouse's health care premium cost, whether the member or surviving spouse elects coverage under the Medicare supplement or Medicare risk-sharing contract, paid by the Oklahoma Law Enforcement Retirement System to the Board in the manner specified in subsection H of this section.  For plans offered by the State and Education Employees Group Insurance Board, such contributions will first be applied in whole or in part to the prescription drug coverage premium, if any.

F.  Dependents of a deceased employee who was on active work status or on a disability leave at the time of death or of a participating retardant or of any person who has elected to receive a vested benefit under the Oklahoma Public Employees Retirement System, the Uniform Retirement System for Justices and Judges or the Oklahoma Law Enforcement Retirement System may continue the health and dental insurance benefits in force provided said dependents pay the full cost of such insurance and they were covered as eligible dependents at the time of such death and such election is made within thirty (30) days of date of death.  The eligibility for said benefits shall terminate for the surviving children when said children cease to qualify as dependents.

G.  The amounts required to be paid by the Oklahoma Public Employees Retirement System, the Uniform Retirement System for Justices and Judges and the Oklahoma Law Enforcement Retirement System pursuant to this section shall be forwarded no later than the tenth day of each month following the month for which payment is due by the Oklahoma Public Employees Retirement System Board of Trustees or the Oklahoma Law Enforcement Retirement Board to the State and Education Employees Group Insurance Board for deposit in the Health, Dental and Life Insurance Reserve Fund or to another insurance carrier as provided for in subsection H of Section 1315 of this title.

H.  Upon retirement from employment of the Board of Regents of the University of Oklahoma, any person who was or is employed at the George Nigh Rehabilitation Institute and who transferred employment pursuant to Section 3427 of Title 70 of the Oklahoma Statutes, any person who was employed at the Medical Technology and Research Authority and who transferred employment pursuant to Section 7068 of this title, and any person who is a member of the Oklahoma Law Enforcement Retirement System pursuant to the authority of Section 2-314 of Title 47 of the Oklahoma Statutes may participate in the benefits authorized by the provisions of the State and Education Employees Group Insurance Act for retired participants, including health, dental and life insurance benefits, if such election to participate is made within thirty (30) days from the date of termination of service.  Life insurance benefits for any such person who transferred employment shall not exceed the coverage the person had at the time of such transfer.  Retirees who transferred employment and who participate pursuant to this paragraph shall pay the premium for elected benefits less any amounts paid by a state retirement system pursuant to this section.

Added by Laws 1988, c. 165, § 17, operative Oct. 1, 1988.  Amended by Laws 1988, c. 267, § 37, operative July 1, 1988; Laws 1989, c. 322, § 7, emerg. eff. May 26, 1989; Laws 1990, c. 244, § 8, eff. July 1, 1990; Laws 1991, c. 218, § 1, eff. July 1, 1991; Laws 1996, c. 355, § 2, eff. July 1, 1996; Laws 1997, c. 2, § 22, emerg. eff. Feb. 26, 1997; Laws 1998, c. 256, § 6, eff. July 1, 1998; Laws 2000, c. 377, § 15, eff. July 1, 2000; Laws 2001, c. 5, § 59, emerg. eff. March 21, 2001; Laws 2002, c. 127, § 2, eff. July 1, 2002; Laws 2002, c. 450, § 2, eff. July 1, 2002; Laws 2003, c. 3, § 100, emerg. eff. March 19, 2003; Laws 2003, c. 370, § 2, eff. July 1, 2003; Laws 2004, c. 160, § 1, eff. July 1, 2004; Laws 2004, c. 345, § 5, eff. July 1, 2004; Laws 2005, c. 198, § 2, emerg. eff. May 18, 2005.

NOTE:  Laws 1996, c. 338, § 2 repealed by Laws 1997, c. 2, § 26, emerg. eff. Feb. 26, 1997.  Laws 2000, c. 313, § 2 repealed by Laws 2001, c. 5, § 60, emerg. eff. March 21, 2001.  Laws 2002, c. 399, § 9 repealed by Laws 2003, c. 3, § 101, emerg. eff. March 19, 2003.  Laws 2002, c. 438, § 8 repealed by Laws 2003, c. 3, § 102, emerg. eff. March 19, 2003.

§74-1316.3.  Teachers' Retirement System of Oklahoma participating employees - Retirement or other termination of service - Continuation of health and dental insurance benefits.

A.  Any person who retires pursuant to the provisions of the Teachers' Retirement System of Oklahoma with at least ten (10) years of creditable service or who has a vested benefit with at least ten (10) years of creditable service, pursuant to the provisions of the Teachers' Retirement System of Oklahoma may continue in force the health and dental insurance benefits authorized by the provisions of the State and Education Employees Group Insurance Act if such election to continue in force or begin is made within thirty (30) days from the date of termination of service.  Except as provided in subsection E of Sections 5-117.5 and 14-108.1 of Title 70 of the Oklahoma Statutes and Section 840-2.27I of this title and subsection K of this section, health and dental insurance coverage may not be reinstated at a later time if the election to continue in force or begin coverage is declined.  Vested persons who have terminated service and are not receiving benefits and effective July 1, 1996, nonvested persons who have terminated service with more than ten (10) years of participating service with a qualifying employer, who within thirty (30) days from the date of termination of service, elect to continue such coverage, shall pay the full cost of said insurance premium at the rate and pursuant to the terms and conditions established by the Board.

B.  1.  Health insurance benefit plans offered pursuant to this section shall include:

a. indemnity plans offered through the State and Education Employees Group Insurance Board,

b. managed care plans offered as alternatives to the indemnity plans,

c. Medicare supplements offered through the State and Education Employees Group Insurance Board,

d. Medicare risk-sharing contracts offered as alternatives to the Medicare supplements offered through the State and Education Employees Group Insurance Board, and

e. any other employer-provided health insurance benefit plans if the employer does not participate in the plans offered pursuant to the State and Education Employees Group Insurance Act.

2.  Health insurance benefit plans offered pursuant to this section shall provide prescription drug benefits, except for plans designed pursuant to the Medicare Prescription Drug Improvement and Modernization Act of 2003, which may or may not contain prescription drug benefits, for which provision of prescription drug benefits is optional, and except for plans offered pursuant to subparagraph e of paragraph 1 of this subsection.

C.  A retired person who:

1.  Is receiving benefits from the Teachers' Retirement System of Oklahoma after September 30, 1988, is under sixty-five (65) years of age and is not otherwise eligible for Medicare and pursuant to subsection A of this section elects to begin or to continue the health insurance plan;

2.  Is receiving benefits from the Teachers' Retirement System of Oklahoma after June 30, 1993, is under sixty-five (65) years of age and is not otherwise eligible for Medicare and participates in a health insurance plan provided by a participating education employer of the Teachers' Retirement System of Oklahoma other than a health insurance plan offered pursuant to the State and Education Employees Group Insurance Act or an alternative health plan offered pursuant to the Oklahoma State Employees Benefits Act;

3.  Is receiving benefits from the Teachers' Retirement System of Oklahoma after September 30, 1988, made contributions to the system and is sixty-five (65) years of age or older, or who is under sixty-five (65) years of age and is eligible for Medicare and is a participant in the State and Education Employees Group Insurance Act and elects coverage under the Medicare supplement offered by the State and Education Employees Group Insurance Board; or

4.  Is receiving benefits from the Teachers' Retirement System of Oklahoma after June 30, 1993, made contributions to the system and is sixty-five (65) years of age or older, or who is under sixty-five (65) years of age and is eligible for Medicare and participates in a health insurance plan provided by a participating education employer of the Teachers' Retirement System of Oklahoma other than a health insurance plan offered pursuant to the State and Education Employees Group Insurance Act or an alternative health plan offered pursuant to the Oklahoma State Employees Benefits Act and elects coverage under the Medicare supplement offered by the State and Education Employees Group Insurance Board,

shall have the amount determined pursuant to subsection E of this section, or the premium rate of the health insurance benefit plan, whichever is less, paid by the Teachers' Retirement System of Oklahoma.  If the amount paid by the Teachers' Retirement System of Oklahoma does not cover the full cost of the health insurance premium, the retired person shall pay the remaining amount if the retired person wants to continue the coverage.

D.  The Teachers' Retirement System shall pay the amount due pursuant to the provisions of subsection C of this section as follows:

1.  For those individuals participating in plans provided through the State and Education Employees Group Insurance Act, payment shall be made to the Board pursuant to the provisions of subsection I of this section; or

2.  For those individuals participating in plans provided through a participating education employer of the Teachers' Retirement System of Oklahoma other than a health insurance plan offered pursuant to the State and Education Employees Group Insurance Act, payment shall be made to the education employer.

E.  Beginning July 1, 2000, the maximum benefit payable by the Teachers' Retirement System of Oklahoma on behalf of a retired person toward said person's monthly premium for health insurance shall be determined in accordance with the following schedule:

LESS THAN

25 YEARS BUT GREATER

LESS THAN GREATER THAN THAN 24.99

AVERAGE SALARY 15 YEARS OF 14.99 YEARS OF YEARS OF

USED FOR DETERMINING CREDITABLE CREDITABLE CREDITABLE

RETIREMENT ALLOWANCE SERVICE SERVICE SERVICE

Less than $20,000.00 $103.00 $104.00 $105.00

Less than $30,000.00 but greater than $19,999.99 $102.00 $103.00 $104.00

Less than $40,000.00 but greater than $29,999.99 $101.00 $102.00 $103.00

$40,000.00 or greater $100.00 $101.00 $102.00

For plans offered by the State and Education Employees Group Insurance Board, the amount paid pursuant to this subsection shall first be applied to the prescription drug coverage premium, if any.  Any remaining amounts shall be applied towards the medical coverage premium.

F.  If a person retires and begins to receive benefits from the Teachers' Retirement System of Oklahoma or terminates service and has a vested benefit with the Teachers' Retirement System of Oklahoma, the person may elect, in the manner provided in subsection  A of this section, to participate in the dental insurance plan offered through the State and Education Employees Group Insurance Act.  The person shall pay the full cost of the dental insurance.

G.  Those persons who are receiving benefits from the Teachers' Retirement System of Oklahoma and have health insurance coverage which on the operative date of this section is being paid by the education entity from which the person retired shall make the election required in subsection A of this section within thirty (30) days of the termination of said health insurance coverage.  The person making the election shall give the Board certified documentation satisfactory to the Board of the termination date of the other health insurance coverage.

H.  Dependents of a deceased education employee who was on active work status or on a disability leave at the time of death or of a participating retirant or of any person who has elected to receive a vested benefit under the Teachers' Retirement System of Oklahoma may continue the health and dental insurance benefits in force provided said dependents pay the full cost of such insurance and they were covered as eligible dependents at the time of such death and such election is made within thirty (30) days of date of death.  The eligibility for said benefits shall terminate for the surviving children when said children cease to qualify as dependents.

I.  The amounts required to be paid by the Teachers' Retirement System of Oklahoma pursuant to this section shall be forwarded no later than the tenth day of each month following the month for which payment is due by the Board of Trustees of the Teachers' Retirement System of Oklahoma to the State and Education Employees Group Insurance Board for deposit in the Education Employees Group Insurance Reserve Fund.

J.  The Teachers' Retirement System of Oklahoma shall provide the State and Education Employees Group Insurance Board information concerning the employers of retired and vested members necessary to allow the State and Education Employees Group Insurance Board to track eligibility for continued coverage.

K.  Upon retirement from employment with the Board of Regents of the University of Oklahoma, any person who is or was employed at the George Nigh Rehabilitation Institute and who transferred employment pursuant to Section 3427 of Title 70 of the Oklahoma Statutes, any person who was employed at the Medical Technology and Research Authority and who transferred employment pursuant to Section 7068 of this title, and any person who is a member of the Oklahoma Law Enforcement Retirement System pursuant to the authority of Section 2-314 of Title 47 of the Oklahoma Statutes may participate in the benefits authorized by the provisions of the State and Education Employees Group Insurance Act for retired participants, including health, dental and life insurance benefits, if such election to participate is made within thirty (30) days from the date of termination of employment.  Life insurance benefits for any such person who transferred employment shall not exceed the coverage the person had at the time of such transfer.  Retirees who are persons transferred employment and who participate pursuant to this paragraph shall pay the premium for elected benefits less any amounts paid by the retirement system pursuant to this section.

Added by Laws 1988, c. 165, § 18, operative Oct. 1, 1988.  Amended by Laws 1989, c. 322, § 8, emerg. eff. May 26, 1989; Laws 1990, c. 244, § 9, eff. July 1, 1990; Laws 1991, c. 219, § 9, emerg. eff. May 22, 1991; Laws 1993, c. 359, § 6, eff. July 1, 1993; Laws 1996, c. 355, § 3, eff. July 1, 1996; Laws 1997, c. 2, § 23, emerg. eff. Feb. 26, 1997; Laws 1998, c. 256, § 7, eff. July 1, 1998; Laws 1999, c. 255, § 3, eff. Nov. 1, 1999; Laws 2000, c. 377, § 16, eff. July 1, 2000; Laws 2001, c. 5, § 61, emerg. eff. March 21, 2001; Laws 2002, c. 196, § 4, eff. July 1, 2002; Laws 2002, c. 438, § 9, eff. July 1, 2002; Laws 2003, c. 144, § 1, eff. July 1, 2003; Laws 2003, c. 326, § 3, eff. July 1, 2003; Laws 2004, c. 345, § 6, eff. July 1, 2004; Laws 2005, c. 198, § 3, emerg. eff. May 18, 2005.

NOTE:  Laws 1996, c. 338, § 3 repealed by Laws 1997, c. 2, § 26, emerg. eff. Feb. 26, 1997.  Laws 2000, c. 313, § 3 repealed by Laws 2001, c. 5, § 62, emerg. eff. March 21, 2001.  Laws 2002, c. 127, § 3 repealed by Laws 2002, c. 438, § 11, eff. July 1, 2002.

§74-1317.  Blind vending stand operators and managing operators - Eligibility.

Any legally blind person who is licensed by the Department of Rehabilitation Services as a vending stand operator or managing operator shall be eligible for membership in the Health Insurance Plan, Dental Insurance Plan and Life Insurance Plan referred to in the State and Education Employees Group Insurance Act.  Enrollment in the Plan shall be optional with each operator pursuant to the rules prescribed by the State and Education Employees Group Insurance Board.  Any payments required to be made for enrollees in the Plan shall be payable by the operator in such manner as may be determined by the Department of Rehabilitation Services; provided, that the Department may, in its discretion, make all or a part of such payments.

Added by Laws 1971, c. 166, § 1, emerg. eff. May 27, 1971.  Amended by Laws 1982, c. 333, § 15, emerg. eff. June 1, 1982; Laws 1986, c. 150, § 15, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 19, operative July 1, 1988; Laws 1998, c. 107, § 7, eff. July 1, 1998.

§74-1318.  Maximum for which reemployed former employee may be insured.

No former employee who is reemployed by a participating entity within twenty-four (24) months after the date of termination of previous employment shall be enrolled in the State and Education Employees Group Insurance Plan authorized by Section 1301 et seq. of this title, for a greater amount of life insurance or life benefit than the amount for which the life of the exemployee was insured under said plan at the date of termination of his employment, except upon his furnishing evidence of his insurability, satisfactory to the Board, and any greater amount of benefit or insurance provided him shall be at the exemployee's cost.

Added by Laws 1972, c. 201, § 1, emerg. eff. April 7, 1972.  Amended by Laws 1977, c. 261, § 12, emerg. eff. June 17, 1977; Laws 1986, c. 150, § 16, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 20, operative July 1, 1988; Laws 2001, c. 197, § 6, emerg. eff. May 7, 2001.

§74-1319.  Repealed by Laws 2004, c. 76, § 1, emerg. eff. April 12, 2004.

§741320.  Employment of administrator, director of internal audit, attorneys, actuaries, consultants and other personnel.

A.  The Board is authorized to hire and appoint an administrator who shall be in the unclassified service.

The Board may hire a director of internal audit and one attorney licensed to practice law in this state.  The attorney hired by the Board shall have not less than five (5) years of experience in matters related to the insurance industry.  The Board shall directly supervise the duties of the director of internal audit, and shall not delegate said supervision to the Administrator or any other employee of the Board.  In addition to duties assigned by the Board, the director of internal audit is authorized to audit all records of health providers and pharmacists who enter into any contract with the Board in order to ensure compliance with said contract provisions.

B.  The administrator shall employ such persons as are necessary to administer the provisions of the State and Education Employees Group Insurance Act, the State Employees Flexible Benefits Act and the State Employees Disability Program Act.  The administrator may employ a maximum of two (2) attorneys.  The administrator or one of the deputy administrators shall have not less than seven (7) years of group health insurance administration experience on a senior managerial level.

C.  The Board shall not contract for private legal counsel except for extraordinary situations other than normal day to day situations, and when approved by the Attorney General.  The Board may contract with a nonemployee consulting actuary, a nonemployee medical consultant and a nonemployee dental consultant subject to competitive bid at least every three (3) years.  The Board may contract with health care providers for a level of reimbursement for the payment of claims incurred by the plan participants.  The Board may at its request use the services of the office of the Attorney General and the actuarial services of any actuary employed by the State Board for Property and Casualty Rates and may also seek the advice and counsel of the Insurance Commissioner of the State of Oklahoma or any employee of the Insurance Commissioner's office.

Added by Laws 1977, c. 261, § 2, emerg. eff. June 17, 1977; Laws 1978, c. 306, § 1, emerg. eff. May 10, 1978; Laws 1988, c. 165, § 22, emerg. eff. May 24, 1988; Laws 1989, c. 322, § 9, operative July 1, 1989; Laws 1990, c. 244, § 10, emerg. eff. May 21, 1990; Laws 1991, c. 219, § 10, emerg. eff. May 22, 1991; Laws 1992, c. 400, § 17, eff. July 1, 1992; Laws 1998, c. 285, § 4, emerg. eff. May 27, 1998.

§74-1321.  Determination of rates, benefits, and premiums.

A.  The Board shall have the authority to determine all rates and life, dental and health benefits.  All rates shall be compiled in a comprehensive Schedule of Benefits.  The Schedule of Benefits shall be available for inspection during regular business hours at the office of the State and Education Employees Group Insurance Board.  The Board shall have the authority to annually adjust the rates and benefits based on claim experience.

B.  The premiums for such insurance plans offered for the next plan year shall be established as follows:

1.  For current employees and their dependents, the Board's premium determination shall be made no later than the bid submission date for health maintenance organizations set by the Oklahoma State Employees Benefits Council, which shall be set in August no later than the third Friday of that month; and

2.  For all other covered members and dependents, the Board's and the health maintenance organizations' premium determinations shall be no later than the fourth Friday of September.

C.  The Board may approve a mid-year adjustment provided the need for an adjustment is substantiated by an actuarial determination or more current experience rating.  The only publication or notice requirements that shall apply to the Schedule of Benefits shall be those requirements provided in the Oklahoma Open Meeting Act.  It is the intent of the Legislature that the benefits provided not include cosmetic dental procedures except for certain orthodontic procedures as adopted by the Board.

Added by Laws 1977, c. 261, § 14, emerg. eff. June 17, 1977.  Amended by Laws 1982, c. 333, § 16, emerg. eff. June 1, 1982; Laws 1985, c. 230, § 7, emerg. eff. July 8, 1985; Laws 1986, c. 150, § 18, emerg. eff. April 29, 1986; Laws 1988, c. 165, § 23, operative July 1, 1988; Laws 1997, c. 362, § 2; Laws 1999, c. 255, § 4, eff. Nov. 1, 1999; Laws 2001, c. 197, § 7, emerg. eff. May 7, 2001; Laws 2002, c. 439, § 8, eff. July 1, 2002; Laws 2005, c. 198, § 4, emerg. eff. May 18, 2005.

§741322.  Confidentiality of information  Inspection of files.

Section 1322.  All information, documents, medical reports and copies thereof contained in a member's insurance file shall be treated as confidential information and shall not be released or made available or open to public inspection without the prior written consent and authorization of the individual to whom it pertains, but shall be subject to subpoena or court order.

Laws 1978, c. 306, § 5, emerg. eff. May 10, 1978.  

§74-1323.  Fraud - Penalties - Audits.

Any person who shall knowingly make any false statement, or who shall falsify or permit to be falsified any record necessary for carrying out the intent of the State and Education Employees Group Insurance Act, Section 1301 et seq. of this title, for the purpose of committing fraud, shall be guilty of a misdemeanor, and upon conviction shall be punished by a fine not exceeding Five Thousand Dollars ($5,000.00) or by imprisonment for not exceeding one (1) year or by both the fine and imprisonment.  The State and Education Employees Group Insurance Board shall have the right to audit participating employer groups to verify eligibility for any member and/or dependent and may require proof of eligibility upon demand.

Added by Laws 1986, c. 150, § 19, emerg. eff. April 29, 1986.  Amended by Laws 1988, c. 165, § 24, operative July 1, 1988; Laws 1997, c. 163, § 1, eff. Nov. 1, 1997; Laws 2004, c. 345, § 7, eff. July 1, 2004.

§74-1324.  Coverage for side effects associated with prostate-related conditions.

A.  All health benefit plans that are offered by the State and Education Employees Group Insurance Board shall provide coverage for side effects that are commonly associated with radical retropubic prostatectomy surgery, including, but not limited to impotence and incontinence, and for other prostate related conditions.

B.  The Board shall provide notice to each insured or enrollee under such plan regarding the coverage required by this section in the plan's evidence of coverage, and shall provide additional written notice of the coverage to the insured or enrollee as follows:

1.  In the next mailing made by the plan to the employee; or

2.  As part of the enrollment information packet sent to the enrollee.

C.  The Board shall promulgate any rules or actions necessary to implement the provisions of this section.

Added by Laws 1998, c. 312, § 2, eff. July 1, 1998.

§74-1325.  Changes in reimbursement rates or methodology - Hearing.

The State and Education Employees Group Insurance Board shall schedule a hearing thirty (30) days prior to adopting any major change in the reimbursement rates or methodology.  The Board shall notify health care providers who provide services pursuant to a contract with the Board at least fifteen (15) days prior to the hearing.  The notice shall include proposed changes to the reimbursement rates or methodology.  The Board shall also inform such health care providers at the hearing of any proposed changes to the reimbursement rates or methodology.  At the hearing the Board shall provide an open forum for such health care providers to comment on the proposed changes.

Added by Laws 1999, c. 209, § 2, eff. July 1, 1999.

§74-1326.  Fee schedules.

The State and Education Employees Group Insurance Board shall make available, upon request, copies of relevant fee schedules to participating health care providers.

Added by Laws 1999, c. 209, § 3, eff. July 1, 1999.

§74-1327.  Health benefit plans offered by State and Education Employees Group Insurance Board - Optometrists to be permitted to provide services for vision care or medical diagnosis and treatment for the eye.

A.  All health benefit plans offered by the State and Education Employees Group Insurance Board which provide for services for vision care or medical diagnosis and treatment for the eye shall allow optometrists to be providers of those services.  All such health benefit plans shall also require equal payment for the same services provided by an optometrist if the services are within the scope of practice of optometry.

B.  With respect to optometric services, any health benefit plan offered by the State and Education Employees Group Insurance Board which uses a gatekeeper or equivalent for referrals for services for vision care or for medical diagnosis and treatment of the eye, shall require such covered services be provided on a referral basis within the medical group or network at the request of an enrollee who has a condition requiring vision care or medical diagnosis and treatment of the eye if:

1.  A referral is necessitated in the judgment of the primary care physician; and

2.  Treatment for the condition falls within the licensed scope of practice of an optometrist.

C.  All health benefit plans offered by the State and Education Employees Group Insurance Board shall have a defined set of standards and procedures for selecting providers, including specialists, to serve enrollees.  The standards and procedures shall be drafted in such a manner that they are applicable to all categories of providers and shall be utilized by the health maintenance organization in a manner that is without bias for or discrimination against a particular category or categories of providers.

D.  No health benefit plan specified by this section shall require a provider to have hospital privileges if hospital privileges are not usual and customary for the services the provider provides.

E.  Nothing in this section shall be construed to:

1.  Prohibit a health benefit plan offered by the State and Education Employees Group Insurance Board which provides for services for vision care or medical diagnosis and treatment for the eye from determining the adequacy of the size of its network;

2.  Prohibit an optometrist from agreeing to a fee schedule;

3.  Limit, expand, or otherwise affect the scope of practice of optometry; or

4.  Alter, repeal, modify or affect the laws of this state except where such laws are in conflict or are inconsistent with the express provisions of this section.

F.  Existing health benefit plans offered by the State and Education Employees Group Insurance Board shall comply with the requirements of this section upon issuance or renewal on or after the effective date of this act.

Added by Laws 2000, c. 54, § 4, eff. Nov. 1, 2000.

§74-1328.  Reimbursement of claims within certain time period.

A.  The contracted claims administrator for the State and Education Employees Group Insurance Board shall reimburse all clean claims of an enrollee, an assignee of the enrollee, or a health care provider within forty-five (45) calendar days after receipt of the claim by the entity.

B.  As used in this section, "clean claim" means a claim that has no defect or impropriety, including a lack of any required substantiating documentation, or particular circumstance requiring special treatment that impedes prompt payment.  

C.  1.  If a claim or any portion of a claim is determined to have defects or improprieties, including a lack of any required substantiating documentation, or a particular circumstance requiring special treatment, the enrollee, assignee of the enrollee, or health care provider shall be notified in writing within thirty (30) calendar days after receipt of the claim by the contracted claims administrator for the State and Education Employees Group Insurance Board.  The written notice shall specify the portion of the claim that is causing a delay in processing and explain any additional information or corrections needed.  Failure of the Board's claims administrator to provide the enrollee, assignee of the enrollee, or health care provider with such notice shall constitute prima facie evidence that the claim will be paid in accordance with the terms of the health benefit claims administration contract.

2.  The portion of the claim that is accurate shall be paid within forty-five (45) calendar days after receipt of the claim by the claims administrator for the State and Education Employees Group Insurance Board.

D.  Upon receipt of the additional information or corrections which led to the claim's being delayed and a determination that the information is accurate, the claims administrator for the State and Education Employees Group Insurance Board shall either pay or deny the claim or a portion of the claim within forty-five (45) calendar days.

E.  Payment shall be considered made on:

1.  The date a draft or other valid instrument which is equivalent to the amount of the payment is placed in the United States mail in a properly addressed, postpaid envelope; or

2.  If not so posted, the date of delivery.

F.  An overdue payment shall bear simple interest at the rate of ten percent (10%) per year.

G.  In the event litigation should ensue based upon such a claim, the prevailing party shall be entitled to recover a reasonable attorney's fee to be set by the court and taxed as costs against the party or parties who do not prevail.

Added by Laws 2001, c. 65, § 3, eff. July 1, 2001.  Amended by Laws 2002, c. 155, § 1, eff. July 1, 2002.

§741331.  Short title.

Sections 108 through 111 of this act shall be known and may be cited as the "State Employees Disability Program Act".

Added by Laws 1985, c. 203, § 108, operative July 1, 1985.  

§74-1332.  Establishment of plan - Contents - Participation - Administration - Funding - Coverage - Grievance procedure - Claims administration.

A.  The State and Education Employees Group Insurance Board shall establish a Disability Insurance Program for state employees.  The program shall consist of a longterm disability plan and a shortterm disability plan.  Participation in the program shall be limited to state employees who have been state employees for a period of not less than one (1) month and who are eligible for enrollment in the Health Insurance Plan administered by the Board.  No state employee shall be eligible to receive any benefits from the long-term disability program unless the state employee has used all of the sick leave of the employee.  The Board shall promulgate such rules as are necessary for adoption and administration of the Disability Insurance Program, including but not limited to benefit eligibility requirements, methods for computing benefit amounts, benefits amounts, and verification of medical and health status of employees applying for or receiving benefits.

B.  The Disability Insurance Program shall be funded from appropriations made by the Legislature.  Employees shall not be required to make contributions to participate in the program.

C.  Employee disability insurance coverage shall begin on March 1, 1986.

D.  The Board shall establish a grievance procedure by which a three-member grievance panel established in the same manner as specified in paragraph 6 of Section 1306 of this title shall act as an appeals body for complaints regarding the allowance and payment of claims, eligibility, and other matters.  The grievance procedure provided by this subsection shall be the exclusive remedy available to persons having complaints against the insurer.  Such grievance procedure shall be subject to the Oklahoma Administrative Procedures Act, including provisions for the review of agency decisions by the district court.  The grievance panel shall schedule a hearing regarding the allowance and payment of claims, eligibility and other matters within sixty (60) days from the date the grievance panel receives a written request for a hearing.  Upon written request to the grievance panel received not less than ten (10) days before the hearing date, the grievance panel shall cause a full stenographic record of the proceedings to be made by a licensed or certified court reporter at the insured employee's expense.

E.  The Board may establish a claim processing division for claims administration or may contract for claims administration services with a private insurance carrier or a company that specializes in claims administration of any insurance that the Board may be directed to offer.

Added by Laws 1985, c. 203, § 109, operative July 1, 1985.  Amended by Laws 1986, c. 150, § 20, emerg. eff. April 29, 1986; Laws 1989, c. 322, § 10, operative July 1, 1989; Laws 1991, c. 86, § 1, eff. July 1, 1991; Laws 1992, c. 367, § 9, eff. July 1, 1992; Laws 2000, c. 353, § 49, eff. Nov. 1, 2000; Laws 2001, c. 197, § 8, emerg. eff. May 7, 2001.

§74-1332.1.  Collection of premiums - Deposit - Monthly statement of revenues and disbursements - Annual report - Continuation of dependent health coverage of disability recipients - Deduction of premiums for disability recipients.

A.  The State and Education Employees Group Insurance Board shall collect from state agencies each month, the premium amount, as determined by the Board, for each employee of a state agency that participates in the Disability Insurance Program.  Said sum shall be deposited in the State Employees Disability Insurance Reserve Fund for use in accordance with law.

B.  The State and Education Employees Group Insurance Board shall submit a monthly statement of the revenues and disbursements of the Disability Insurance Program to the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate and the Legislative Service Bureau.  The Legislative Service Bureau shall distribute copies of such monthly statements to the fiscal staff of the House of Representatives and the State Senate.

C.  On or before March 1 of each year, the State and Education Employees Group Insurance Board shall submit a report of the actuariallydetermined future needs of the Disability Insurance Program.  Said report shall be submitted and distributed as provided for in subsection B of this section.

D.  The Board shall provide for the continuation of dependent health coverage to disability recipients for that period of time when the employee is qualified as disabled but not yet received disability benefit income.

E.  The Board shall deduct all dependent health coverage premiums due and owing from the first retroactive disability payment and each payment thereafter.

Added by Laws 1990, c. 204, § 5, emerg. eff. May 10, 1990; Laws 1991, c. 86, § 2, eff. July 1, 1991.

§74-1332.2.  Disability Insurance Program - Election to participate - Continued employee status during disability.

A.  Beginning July 1, 1990, persons who are active employees of the Oklahoma Employment Security Commission may elect to participate in the Disability Insurance Program.  Any election to participate shall be received by the State and Education Employees Group Insurance Board prior to January 1, 1991.  Employees who do not elect to participate in the disability program shall not thereafter be eligible to participate in the State Disability Insurance Program unless their present disability insurance coverage is canceled by the insurer offering said coverage.  In the event of such cancellation, all participants in the agency offered disability plan shall be immediately transferred to the state disability insurance plan.  Any person who does not qualify for the Commission disability plan prior to their transfer to the State Plan shall participate in the state disability insurance program.

B.  Oklahoma Employment Security Commission employees who are or become disabled pursuant to the provisions of the agency disability plan shall retain their status as an employee so long as their disability continues.

Added by Laws 1990, c. 303, § 5, emerg. eff. May 30, 1990.

§741333.  State Employees Disability Insurance Reserve Fund.

A.  There is hereby created in the State Treasury the State Employees DisabilityInsurance Reserve Fund.  All appropriations, dividend payments, and investment income received pursuant to the provisions of the State Employees Disability Insurance Act, Section 1331 et seq. of this title, shall be deposited in the reserve fund.

B.  The monies in said reserve fund shall be invested by the State and Education Employees Group Insurance Board in the manner specified in Section 6 of this act.  The Board shall have responsibility for management of the fund.

C.  Money payable to the claims administrator and all expenses in connection with the Disability Insurance Program shall be paid from the reserve fund.

Added by Laws 1985, c. 203, § 110, operative July 1, 1985. Amended by Laws 1986, c. 150, § 21, emerg. eff. April 29, 1986; Laws 1989, c. 318, § 12, operative July 1, 1989.  

§741335.  County participation.

A county, upon adoption of a resolution by the board of county commissioners, may participate in the Disability Insurance Program administered by the State and Education Employees Group Insurance Board.  Upon the filing of a certified copy of the resolution with the Board, the county shall become a participant on the first day of the second full month following the filing of the resolution.  All employees of any county electing to participate in the Program shall have disability insurance coverage.  The county shall forward to the Board, at such times as determined by the Board, the contributions necessary to pay for the disability insurance coverage of the employees of the county.  The Board shall determine the amount of contribution required for the disability insurance coverage.

§741341.  Short title.

Sections 5 through 10 of this act shall be known and may be cited as the "State Employees Flexible Benefits Act".

§741342.  Definitions.

As used in the State Employees Flexible Benefits Act, Section 1341 et seq. of this title:

1.  "Board" means the State and Education Employees Group Insurance Board;

2.  "Flexible benefits plan" means a written plan providing benefits to eligible employees which meets the requirements of Title 26, Section 125 et seq. of the Internal Revenue Code of the United States and regulations promulgated thereunder;

3.  "Employee" means any person eligible to participate in the State and Education Employees Group Insurance Act, Section 1301 et seq. of this title, or an employee of the Oklahoma Employment Security Commission.  "Employee" shall not include a person who is an employee of the State Regents for Higher Education or any institution under the authority of the State Regents for Higher Education or any person who is an employee of any school district or political subdivision of this state, except as provided for in Section 1348 of this title;

4.  "Employer" means any state agency, board, commission, department, institution, authority, officer, bureau, council, office or other entity created by the Oklahoma Constitution or statutes, but shall not include any school district, or political subdivision of the state, except as provided for in Section 1348 of this title.  Provided the term "employer" shall also mean the State Regents for Higher Education or any institution under the authority of the State Regents for Higher Education upon agreement between the State Regents for Higher Education or the appropriate governing board of an institution under the authority of the State Regents for Higher Education and the Council; and

5. "Salary adjustment agreement" means a written agreement between an eligible employee and an employer whereby the employer agrees to adjust the salary of the employee by a stated amount or an amount equal to the cost of benefits selected under a flexible benefits plan and the employer agrees to contribute such amount to cover certain costs of the benefits selected by the eligible employee.

Added by Laws 1989, c. 370, § 6, operative July 1, 1989.  Amended by Laws 1991, c. 219, § 11, emerg. eff. May 22, 1991; Laws 1992, c. 163, § 1, eff. July 1, 1992; Laws 1993, c. 359, § 7, eff. July 1, 1993.

§741343.  Design, development, implementation or administration of employees flexible benefits plan - Personnel - Contracts.

The Board shall retain qualified agencies, persons or entities to design, develop, communicate, implement or administer the state employees flexible benefits plan.  The Board shall solicit proposals on a competitive bid basis for such agencies, persons or entities according to the standards set out in the Oklahoma Central Purchasing Act, Section 85.1 et seq. of Title 74 of the Oklahoma Statutes.  When requested by the Board, the Office of Public Affairs shall assist the Board in the process of selecting contracts for the design, development, communication or implementation of the state employees flexible benefits plan.

When awarding a contract for services pursuant to this subsection, the Board shall satisfy itself that the contractor has no interests which would impair its ability to perform the tasks and services required and that the contractor will exercise independent judgment when performing its responsibilities under the act and under the agreement.

Added by Laws 1989, c. 370, § 7, operative July 1, 1989.  Amended by Laws 1990, c. 244, § 11, eff. July 1, 1991; Laws 1991, c. 219, § 12, emerg. eff. May 22, 1991.

§74-1344.  Flexible benefits plan - Expenses included - Income exclusions and inclusions - Administration contracts with private firms - Informational meeting.

A.  The Board shall establish a flexible benefits plan.  All state employers as defined in Section 1342 of this title shall offer the flexible benefits plan to employees.

B.  Expenses included in an employee's salary adjustment agreement pursuant to the flexible benefits plan shall be limited to expenses for:

1.  Dependent health insurance pursuant to the provisions of Section 1309 of Title 74 of the Oklahoma Statutes;

2.  Insurance premiums or retirement plan premiums or payments which are supplemental to insurance or retirement programs offered by the State of Oklahoma or which are paid for under salary adjustment agreements pursuant to the provisions of paragraph 1, 3 or 4 of subsection B of Section 7.10 of Title 62 of the Oklahoma Statutes;

3.  Dependent care;

4.  Medical care as defined by the Board; or

5.  All other eligible programs offered under Title 26, Section 125 et seq. of the Internal Revenue Code of the United States.

C.  The amount by which an employee's salary is adjusted pursuant to a salary adjustment agreement shall be excluded from income in computation of income tax withholding, unemployment payments and workers' compensation coverage.  Such amount shall be included as income in computation of state retirement contributions and benefits.  Provided, if the inclusions and exclusions provided in this subsection conflict with the provisions of federal law or regulations pertaining to flexible benefits plans, the Board is authorized to modify or abolish such inclusions and exclusions.

D.  The Administrator of the State and Education Employees Group Insurance Board with approval of the Board shall promulgate rules, regulations and procedures as necessary for implementation and administration of the flexible benefits plan.

E.  The Administrator of the State and Education Employees Group Insurance Board under the direction of the Board shall contract with one or more private firms or organizations to administer the flexible benefits plan.  The contract shall be made at no cost to any employee of the State of Oklahoma.

F.  All employers shall begin offering the flexible benefits plan to employees not later than January 1, 1990.

G.  No less than fifteen (15) working days prior to the annual deadline for making changes to state employees' benefit packages, all state agencies shall provide a one-day employee benefit informational meeting.  Representatives of vendors that have an authorized payroll deduction for state employees pursuant to Section 7.10 of Title 62 of the Oklahoma Statutes or Section 1701 of this title shall be invited and encouraged to attend these meetings to provide benefit information and answer questions of state employees related to health, financial planning and other benefits.  Agencies shall provide vendors with adequate space within which to meet with employees.  Agencies shall provide adequate notice of the meetings to active and retired employees, and shall allow each active employee to spend at least thirty (30) minutes during the workday to attend the meetings.  For those state government facilities that operate twenty-four (24) hours a day, vendors shall be allowed access to each shift.

Added by Laws 1989, c. 370, § 8, operative July 1, 1989.  Amended by Laws 1990, c. 244, § 12, eff. July 1, 1991; Laws 1991, c. 219, § 13, emerg. eff. May 22, 1991; Laws 2005, c. 215, § 1, eff. July 1, 2005.

§74-1344.1.  Enrollment materials from vendors with authorized payroll deductions.

Materials from vendors that have an authorized payroll deduction for state employees pursuant to Section 7.10 of Title 62 of the Oklahoma Statutes or Section 1701 of Title 74 of the Oklahoma Statutes shall be placed in the annual benefit enrollment materials provided to state employees and their dependents.

Added by Laws 2005, c. 215, § 2, eff. July 1, 2005.

§74-1345.  Repealed by Laws 1993, c. 359, § 16, eff. July 1, 1993.

§741346.  Flexible Benefit Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the State and Education Employees Group Insurance Board to be designated the "Flexible Benefit Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of employee payroll deductions and contributions for flexible spending accounts.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the State and Education Employees Group Insurance Board for expenses of the state employees flexible benefits plan and for expenses authorized by law.  The State and Education Employees Group Insurance Board is authorized to pay employee claim costs associated with the state employees flexible benefits plan from monies accrued for said purpose.  Expenditures from said funds shall be pursuant to the laws of the state and statutes relating to the state employees flexible benefits plan.

Added by Laws 1989, c. 370, § 10, operative July 1, 1989.  Amended by Laws 1990, c. 244, § 14, eff. July 1, 1991; Laws 1991, c. 26, § 29, operative July 1, 1991.

NOTE: Laws 1991, c. 26, § 28 repealed by Laws 1993, c. 359, § 16, eff. July 1, 1993.

§74-1347.  Monthly interagency reimbursements for projected employer Social Security (FICA) savings - Deposit.

Beginning April 1, 1991, all monthly interagency reimbursements for projected employer Social Security (FICA) savings made pursuant to the State Employees Flexible Benefits Plan Act shall be deposited into the General Revenue Fund of the State Treasury.

Added by Laws 1991, c. 26, § 30, emerg. eff. April 1, 1991.

§74-1348.  State Regents, counties, municipalities, political subdivisions and school districts - Flexible benefits plan.

A.  The Board shall develop a flexible benefits plan, in accordance with the provisions of Section 1344 of this title, to be made available to the State Regents for Higher Education or any institution under the authority of the State Regents for Higher Education, counties, municipalities, political subdivisions or school districts.  If the State Regents for Higher Education or any institution under the authority of the State Regents for Higher Education, any individual county, municipality, political subdivision or school district chooses to participate in the plan, it must, by a resolution adopted by the governing body, adopt a written flexible benefits plan and notify the Board in order to participate in the program.  All full-time employees of a participating entity shall be given the option of participating in the program.  The Board is authorized to contract with the State Regents for Higher Education or any institution under the authority of the State Regents for Higher Education, any county, municipality, political subdivision or school district within this state for providing a flexible benefits plan and is authorized to assess charges to participating entities to cover the costs associated with administering this program.

B.  Nothing in this section shall prohibit the State Regents for Higher Education or any institution under the authority of the State Regents for Higher Education, counties, municipalities, political subdivisions or school districts from participating in other flexible benefit plans under the same terms and conditions as specified in subsection C of Section 1344 of this title.

Added by Laws 1992, c. 163, § 2, eff. July 1, 1992.  Amended by Laws 1992, c. 400, § 18, eff. July 1, 1992; Laws 1997, c. 362, § 3.

§741351.  Corporations authorized  Manner of incorporation.

Nonprofit associations, foundations, or other organizations may be incorporated in this State for the purpose of promoting, developing and advancing the economic, industrial and business growth, prosperity and welfare of the state, or any political subdivision, or area or region thereof.  Any such corporation may be incorporated in the manner as provided for the incorporation of religious, charitable, educational, benevolent or scientific corporations, and shall be governed and regulated by the provisions of law relating to such corporations.

Laws 1968, c. 123, § 1, emerg. eff. April 4, 1968.  

§741352.  County, city, town incorporation.

Any county, city or town, or any combination thereof, may, jointly or singly, or in cooperation with other persons, organize and incorporate for the purposes above set forth in Section 1 hereof.

Laws 1968, c. 123, § 2, emerg. eff. April 4, 1968.  

§741353.  Purpose and powers.

The purposes of such corporations as authorized herein shall be to promote, aid and, through the united efforts of the governmental entities, institutions and corporations which shall from time to time become members thereof, develop and advance the industrial and business prosperity and welfare of the State of Oklahoma; to encourage new industries; to stimulate and help to expand all kinds of business ventures which tend to promote the growth of the state; to act whenever and wherever deemed by it advisable in conjunction with other organizations, the objects of which are the promotion of industrial, agricultural or recreational developments within the state; and in furtherance of such purposes, and in addition to the powers conferred by the general laws relating to nonprofit corporations, shall, subject to the restrictions and limitations herein contained, have the following powers:

(a) To borrow money on secured or unsecured notes from any banks, banking institution or insurance company, from any financial institution, from any agency established under the Small Business Investment Act of 1958 (Public Law 85699, 85th Congress) or any other federal or state agency that may legally loan to the corporation; and to pledge bonds, notes and other securities as collateral therefor.

(b) To lend money upon secured or unsecured notes; provided, it shall not be the purpose hereof to take from any banking institutions within the state any such loans or commitments as may be desired by such institutions generally in the ordinary course of their business.

(c) To establish and regulate the terms and conditions of any such loans and charges for interest or service connected therewith.

(d) To purchase, hold, lease and otherwise acquire and to convey such real estate as may, from time to time, be acquired by it in satisfaction of debts or may be acquired by it in the foreclosure of mortgages thereon or upon judgments for debts or in settlements to secure debts.

(e) To purchase bonds, stocks, or debentures of any corporation and sell, convert, or otherwise dispose of such evidences of indebtedness.

(f) Contract with the United States of America, the State of Oklahoma, or any of the agencies, subdivisions, or entities thereof, and other persons for developing and operating antipoverty programs, economic development programs, and area redevelopment programs in the state.

(g) Make application for, accept, acquire, receive, take and hold by bequest, devise, grant, gift, purchase, exchange, lease, transfer, judicial order or decree, or otherwise, for any of its objects and purposes, any property, both real and personal, of whatever kind, nature or description, or wherever situated, for use in the furtherance of the purpose for which such corporation is organized. Own, develop, plat, dedicate lands and construct thereon, maintain manufacturing or industrial buildings, dwelling houses, apartment houses, hotels and other buildings and improvements of every kind and equip and manage, rent, lease, either as lessor or lessee, sell, exchange or otherwise dispose of the same, to enter into contracts with others for the construction, repair and maintenance in their behalf of manufacturing and industrial buildings, dwelling houses, apartment houses, hotels and other buildings and improvements of every kind, all in furtherance of the objects and purposes of the corporation.

Laws 1968, c. 123, § 3, emerg. eff. April 4, 1968.  

§74-1361.  Short title.

This act shall be known and may be cited as the "Oklahoma State Employees Benefits Act".

Added by Laws 1992, c. 400, § 1, eff. July 1, 1992.

§74-1362.  Purpose.

It is hereby declared that the purpose of Section 1361 et seq. of this title is:

1.  To recognize that the employee benefit needs of individual state employees differ, depending on the age, salary and family status of the employee, and that it is needful to permit participating employees to select and tailor the benefits they receive in a manner calculated to best meet the particular needs of themselves and their families;

2.  To furnish state employees with choices among various employee benefits or cash compensation;

3.  To provide state employees and their dependents with basic group health insurance, basic group term life insurance, and basic long-term disability insurance;

4.  To provide state employees and their dependents with optional employee benefits, to include, but not be limited to, enhanced health insurance coverage, health maintenance organization services, life insurance, dental insurance and enhanced long-term disability insurance;

5.  To provide state employees with reimbursement for qualifying dependent care expenses for which a dependent care tax credit is not taken, reimbursement for qualifying health care expenses not reimbursed by any other insurance plan or taken as a tax deduction, additional benefits which are currently taxable, additional benefits which are not currently taxable, and cash compensation;

6.  To provide state employees with tax sheltered income deferment plans;

7.  To provide uniform benefit options for all state employees regardless of their place of residence within this state;

8.  To manage the provision of health care benefits in a manner that allows for the long term control of costs;

9.  To provide for the coordination and design, in accordance with applicable law, of all employee benefits offered to state employees so as to increase the efficient delivery and effectiveness of those benefits;

10.  To enable the state to attract and retain qualified employees by providing employee benefits which are competitive with those provided private industry;

11.  To offer uniformity in those benefits that are offered to both state employees and those eligible for participation in the State and Education Employees Group Insurance Act, Section 1301 et seq. of this title;

12.  To recognize and protect the state's investment in each employee by promoting and preserving good health and longevity among state employees;

13.  To recognize the service to the state by elected and appointed officials by extending to them the same benefits as are provided under the flexible benefits program to state employees; and

14.  To recognize long and faithful service, and to encourage employees to remain in state service until eligible for retirement by providing employee benefits.

Added by Laws 1992, c. 400, § 2, eff. July 1, 1992.  Amended by Laws 1993, c. 359, § 8, eff. July 1, 1993; Laws 1997, c. 48, § 1, eff. Nov. 1, 1997.

§74-1363.  Definitions.

The following words and phrases as used in this act, unless a different meaning is clearly required by the context, shall have the following meanings:

1.  "Authority" means the Oklahoma Health Care Authority;

2.  "Basic plan" means the plan that provides the least amount of benefits each participant is required to purchase pursuant to the provisions of the plan.  The basic plan shall include only health, dental, disability and life benefits;

3.  "Benefit" means any of the benefits which may be purchased or is required to be purchased under the plan;

4.  "Benefit plan" means the specific terms and conditions regarding a benefit which may be purchased under the plan, including the terms and conditions of any separate plan document, group insurance policy or administrative services contract entered into by the Council;

5.  "Benefit price" means the number of flexible benefit dollars needed to purchase a benefit under the plan;

6.  "Board" means the State and Education Employees Group Insurance Board, as created by the State and Education Employees Group Insurance Act;

7.  "Code" means the Internal Revenue Code of 1986, as amended, from time to time;

8.  "Compensation" means the remuneration directly paid to a participating employee by a participating employer exclusive of overtime pay, and longevity pay, calculated prior to and without regard to adjustments arising out of an employee's participation in the plan authorized pursuant to this act, or amounts deferred under the tax sheltered income deferment plans as authorized by Section 1701 et seq. of this title;

9.  "Council" means the Oklahoma State Employees Benefits Council, as created by this act;

10.  "Default benefit" means any benefit a participant who fails to make a proper election under the plan shall be deemed to have purchased;

11.  "Dependent" means a participant's spouse or any of his or her dependents as defined in Code Section 152 and regulations promulgated thereunder;

12.  "Flexible benefit allowance" means the annual amounts credited by the participating employer for each participant for the purchase of benefits under the plan;

13.  "Flexible benefit dollars" means the sum of the flexible benefit allowance and pay conversion dollars allocated by a participant pursuant to provisions of the plan;

14.  "Participant" means any officer or employee of a participating employer who is a member of the Oklahoma Law Enforcement Retirement System, the Oklahoma Public Employees Retirement System or the Uniform Retirement System for Justices and Judges, any officer or employee of a participating employer, whose employment is not seasonal or temporary and whose employment requires at least one thousand (1,000) hours of work per year and whose salary and wage is equal to or greater than the hourly wage for state employees as provided in Section 284 of this title, and any employee of a participating employer who is a member of the Teachers' Retirement System of Oklahoma;

15.  "Participating employer" means any state agency, board, commission, department, institution, authority, officer, bureau, council, office or other entity created by the Oklahoma Constitution or statute that is a participating employer of the Oklahoma Law Enforcement Retirement System, the Oklahoma Public Employees Retirement System or the Uniform Retirement System for Justices and Judges, but shall not include any county, county hospital, city or town, conservation district, any private or public trust in which a county, city or town participates and is the primary beneficiary,  any school district or technology center school district, or political subdivision of the state, but shall include the State Department of Education, the Oklahoma Department of Wildlife Conservation, the Oklahoma Employment Security Commission, the Teachers' Retirement System of Oklahoma and the Oklahoma Department of Career and Technology Education.  Provided the term "participating employer" shall also mean the State Regents for Higher Education or any institution under the authority of the State Regents for Higher Education upon agreement between the State Regents for Higher Education or the appropriate governing board of an institution under the authority of the State Regents for Higher Education and the Council;

16.  "Pay conversion dollars" means amounts by which a participant elects to reduce his compensation to purchase benefits under the plan;

17.  "Plan" means the flexible benefits plan authorized pursuant to the State Employees Flexible Benefits Act as modified by the provisions of this act;

18.  "Plan year" means for the plan year beginning July 1, 2001, the six-month period commencing on July 1 and ending on the following December 31.  The next plan year shall begin January 1, 2002.  It shall mean the twelve-month period commencing on January 1 and ending on the following December 31;

19.  "Salary Adjustment Agreement" means a written agreement between a participant and participating employer whereby the employer agrees to adjust the salary of the participant by a stated amount or an amount equal to the cost of benefits selected under the plan and the participating employer agrees to contribute such amount to cover certain costs of the benefits selected by the participant to the Council; and

20.  "Termination" means the termination of a participant's employment as an employee of a participating employer, whether by reasons of discharge, voluntary termination, retirement, death or reduction-in-force.

Added by Laws 1992, c. 400, § 3, eff. July 1, 1992.  Amended by Laws 1993, c. 359, § 9, eff. July 1, 1993; Laws 1994, c. 2, § 32, emerg. eff. March 2, 1994; Laws 1999, c. 255, § 5, eff. Nov. 1, 1999; Laws 2001, c. 33, § 178, eff. July 1, 2001.

NOTE:  Laws 1993, c. 332, § 22 repealed by Laws 1994, c. 2, § 34, emerg. eff. March 2, 1994.

§74-1364.  Oklahoma State Employees Benefits Council.

A.  There is hereby created the Oklahoma State Employees Benefits Council.

B.  The Oklahoma State Employees Benefits Council shall be composed of the five (5) following individuals:

1.  The Administrator of the Office of Personnel Management;

2.  Two members appointed by the Governor;

3.  One member appointed by the President Pro Tempore of the Senate; and

4.  One member appointed by the Speaker of the House of Representatives.

C.  The members appointed by the Governor shall serve a term of office of four (4) years which is coterminous with the term of office of the office of the appointing authority.  The members appointed by the Speaker of the House of Representatives and the President Pro Tempore of the State Senate shall serve a term of office of four (4) years.

D.  No member of the Council shall be a lobbyist registered in this state as provided by law, or be employed, directly or indirectly, by any firm or health care provider under contract to the Council or Board, or any benefit program under its jurisdiction, for any goods or services whatsoever.

E.  Any vacancy that occurs on the Council shall be filled for the unexpired term in the same manner as the office was previously filled.

F.  The general administration and responsibility for the proper design, selection or operation of the benefits offered under the plan and for making effective the provisions of Section 1361 et seq. of this title are hereby vested in the Council.

G.  The Council shall elect one of its members as chair.  The chair shall preside over meetings of the Council and perform such other duties as may be required by the Council.  The Council shall elect one of its members to serve as vice-chair who shall perform the duties of the chair in the absence of the latter or upon the inability or refusal of the chair to act.  The Council shall elect one of its members to serve as secretary.

H.  The Council and staff shall act in accordance with the provisions of the Oklahoma Open Meeting Act, the Oklahoma Open Records Act and the Administrative Procedures Act.  The Council shall, in July of each year, hold a regular meeting which shall be the annual meeting, at which meeting it shall elect officers.

I.  Special meetings may be called upon written notice by the chair or by agreement of any three members of the Council.  Notice of a special meeting shall be delivered to all members in person or by registered or certified United States mail not less than seven (7) days prior to the date fixed for the meeting; provided, however, that notice of such meeting may be waived by any member either before or after such meeting and attendance at such meeting shall constitute a waiver of notice of such meeting, unless a member participates therein solely to object to the transaction of any business because the meeting has not been legally called or convened.

J.  The majority of the members of the Council shall constitute a quorum for the transaction of business.  Each Council member shall be entitled to one vote on the Council.  Any official action of the Council must have three votes of the members of the Council present.

K.  All resolutions, proceedings, acts and determinations of the Council shall be recorded and all such records, together with such documents and instruments as may be necessary for the administration of the plan, shall be preserved in the custody of the executive director.

L.  Each member of the Council shall serve without compensation except that each of the Council members shall receive travel expenses in accordance with the State Travel Reimbursement Act.

M.  The Council shall not be subject to the provisions of the Oklahoma Sunset Law, Section 3901 et seq. of this title.

Added by Laws 1992, c. 400, § 4, eff. July 1, 1992.  Amended by Laws 1993, c. 332, § 23; Laws 1997, c. 48, § 2, eff. Nov. 1, 1997; Laws 1999, c. 87, § 3, emerg. eff. April 13, 1999.

§74-1365.  Oklahoma State Employees Benefits Council - Duties, responsibilities and authority - Fiduciary duties.

A.  The Oklahoma State Employees Benefits Council shall have the following duties, responsibilities and authority with respect to the administration of the plan:

1.  To construe and interpret the plan, and decide all questions of eligibility in accordance with this act and the Code;

2.  To select those benefits which shall be made available to participants under the plan, according to this act, and other applicable laws and rules;

3.  To retain or employ qualified agencies, persons or entities to design, develop, communicate, implement or administer the plan;

4.  To prescribe procedures to be followed by participants in making elections and filing claims under the plan;

5.  To prepare and distribute information communicating and explaining the plan to participating employers and participants.  The State and Education Employees Group Insurance Board, Health Maintenance Organizations, or other third-party insurance vendors may be directly or indirectly involved in the distribution of communicated information to participating state agency employers and state employee participants subject to the following conditions:

a. the Council shall verify all marketing and communications information for factual accuracy prior to distribution,

b. the Board or vendors shall provide timely notice of any marketing, communications, or distribution plans to the Council and shall coordinate the scheduling of any group presentations with the Council, and

c. the Board or vendors shall file a brief summary with the Council outlining the results following any marketing and communications activities;

6.  To receive from participating employers and participants such information as shall be necessary for the proper administration of the plan, and any of the benefits offered thereunder;

7.  To furnish the participating employers and participants such annual reports with respect to the administration of the plan as are reasonable and appropriate;

8.  To keep reports of benefit elections, claims and disbursements for claims under the plan;

9.  To appoint an executive director who shall serve at the pleasure of the Council.  The executive director shall employ or retain such persons in accordance with this act and the requirements of other applicable law, including but not limited to actuaries and certified public accountants, as he or she deems appropriate to perform such duties as may from time to time be required under this act and to render advice upon request with regard to any matters arising under the plan subject to the approval of the Council.  The executive director shall have not less than seven (7) years of group insurance administration experience on a senior managerial level or not less than three (3) years of flexible benefits experience on a senior managerial level.  Any actuary or certified public accountant employed or retained under contract by the Council shall have not less than three (3) years' experience in group insurance or employee benefits administration.  The compensation of all persons employed or retained by the Council and all other expenses of the Council shall be paid at such rates and in such amounts as the Council shall approve, subject to the provisions of applicable law;

10.  To negotiate for best and final offer through competitive negotiation and contract with federally qualified health maintenance organizations under the provisions of 42 U.S.C., Section 300e et seq. or with Health Maintenance Organizations licensed by the State Department of Health pursuant to Sections 2501 through 2510 of Title 63 of the Oklahoma Statutes for consideration by participants as an alternative to the health plans offered by the Board, and to transfer to the health maintenance organizations such funds as may be approved for a participant electing health maintenance organization alternative services.  The Council may also select and contract with a vendor to offer a point-of-service plan.  An HMO may offer coverage through a point-of-service plan, subject to the guidelines established by the Council.  However, if the Council chooses to offer a point-of-service plan, then a vendor that offers both an HMO plan and a point-of-service plan may choose to offer only its point-of-service plan in lieu of offering its HMO plan.

The Oklahoma State Employees Benefits Council may, however, renegotiate rates with successful bidders after contracts have been awarded if there is an extraordinary circumstance.  An extraordinary circumstance shall be limited to insolvency of a participating health maintenance organization or point-of-service plan, dissolution of a participating health maintenance organization or point-of-service plan or withdrawal of another participating health maintenance organization or point-of-service plan at any time during the calendar year.  Nothing in this section of law shall be construed to permit either party to unilaterally alter the terms of the contract;

11.  To retain as confidential information the initial Request For Proposal offers as well as any subsequent bid offers made by the health plans prior to final contract awards as a part of the best and final offer negotiations process for the benefit plan;

12.  To promulgate administrative rules for the competitive negotiation process;

13.  To require vendors offering coverage through the Council, including the Board, to provide such enrollment and claims data as is determined by the Council.  The Oklahoma State Employees Benefits Council with the cooperation of the Department of Central Services acting pursuant to Section 85.1 et seq. of this title, shall be authorized to retain as confidential, any proprietary information submitted in response to the Council's Request For Proposal.  Provided, however, that any such information requested by the Council from the vendors shall only be subject to the confidentiality provision of this paragraph if it is clearly designated in the Request For Proposal as being protected under this provision.  All requested information lacking such a designation in the Request For Proposal shall be subject to Section 24A.1 et seq. of Title 51 of the Oklahoma Statutes.  From health maintenance organizations, data provided shall include the current Health Plan Employer Data and Information Set (HEDIS);

14.  To purchase any insurance deemed necessary for providing benefits under the plan including indemnity dental plans, provided that the only indemnity health plan selected by the Council shall be the indemnity plan offered by the Board, and to transfer to the Board such funds as may be approved for a participant electing a benefit plan offered by the Board.  All indemnity dental plans, including the one offered by the Oklahoma State and Education Group Insurance Board, must meet or exceed the following requirements:

a. they shall have a statewide provider network,

b. they shall provide benefits which shall reimburse the expense for the following types of dental procedures:

(1) diagnostic,

(2) preventative,

(3) restorative,

(4) endodontic,

(5) periodontic,

(6) prosthodontics,

(7) oral surgery,

(8) dental implants,

(9) dental prosthetics, and

(10) orthodontics, and

c. they shall provide an annual benefit of not less than One Thousand Five Hundred Dollars ($1,500.00) for all services other than orthodontic services, and a lifetime benefit of not less than One Thousand Five Hundred Dollars ($1,500.00) for orthodontic services;

15.  To communicate deferred compensation programs as provided in Section 1701 of this title;

16.  To assess and collect reasonable fees from the Board, and from such contracted health maintenance organizations and third party insurance vendors to offset the costs of administration as determined by the Council.  The Council shall have the authority to transfer income received pursuant to this subsection to the Board for services provided by the Board;

17.  To accept, modify or reject elections under the plan in accordance with this act and the Code;

18.  To promulgate election and claim forms to be used by participants;

19.  Beginning with the plan year which begins on January 1, 2006, to select and contract with one or more providers to offer a group TRICARE Supplement product to eligible employees who are eligible TRICARE beneficiaries.  Any membership dues required to participate in a group TRICARE Supplement product offered pursuant to this paragraph shall be paid by the employee.  As used in this paragraph, "TRICARE" means the Department of Defense health care program for active duty and retired uniform service members and their families;

20.  To take all steps deemed necessary to properly administer the plan in accordance with this act and the requirements of other applicable law; and

21.  To manage, license or sell software developed for and acquired by the Council, whether or not such software is patented or copyrighted.  The Council shall have the authority to license and sell such software or any rights to such software without declaring such property to be surplus.  All proceeds from any such sale shall be deposited in the Benefits Council Administration Revolving Fund and used to defray the costs of administration.

B.  The Council members shall discharge their duties as fiduciaries with respect to the participants and their dependents of the plan, and all fiduciaries shall be subject to the following definitions and provisions:

1.  A person or organization is a fiduciary with respect to the Council to the extent that the person or organization:

a. exercises any discretionary authority or discretionary control respecting administration or management of the Council,

b. exercises any authority or control respecting disposition of the assets of the Council,

c. renders advice for a fee or other compensation, direct or indirect, with respect to any participant or dependent benefits, monies or other property of the Council, or has any authority or responsibility to do so, or

d. has any discretionary authority or discretionary responsibility in the administration of the Council;

2.  The Council may procure insurance indemnifying the members of the Council from personal loss or accountability from liability resulting from a member's action or inaction as a member of the Council;

3.  Except for a breach of fiduciary obligation, a Council member shall not be individually or personally responsible for any action of the Council;

4.  Any person who is a fiduciary with respect to the Council shall be entitled to rely on representations made by participants, participating employers, third party administrators and beneficiaries with respect to age and other personal facts concerning a participant or beneficiaries, unless the fiduciary knows the representations to be false;

5.  Each fiduciary shall discharge his or her duties and responsibilities with respect to the Council and the plan solely in the interest of the participants and beneficiaries of the plan according to the terms hereof, for the exclusive purpose of providing benefits to participants and their beneficiaries, with the care, skill, prudence and diligence under the circumstances prevailing from time to time that a prudent person acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of like character and with like aims; and

6.  The duties and responsibilities allocated to each fiduciary by this act or by the Council shall be the several and not joint responsibility of each, and no fiduciary shall be liable for the act or omission of any other fiduciary unless:

a. by his or her failure to properly administer his or her specific responsibility he or she enabled such other person or organization to commit a breach of fiduciary responsibility, or

b. he or she knowingly participates in, or knowingly undertakes to conceal, an act or omission of another person or organization, knowing such act or omission to be a breach, or

c. having knowledge of the breach of another person or organization, he or she fails to make reasonable efforts under the circumstances to remedy said breach.

Added by Laws 1992, c. 400, § 5, eff. July 1, 1992.  Amended by Laws 1993, c. 359, § 10, eff. July 1, 1993; Laws 1997, c. 78, § 1, eff. Nov. 1, 1997; Laws 1997, c. 362, § 4; Laws 1999, c. 403, § 2; Laws 2000, c. 322, § 3, emerg. eff. June 5, 2000; Laws 2002, c. 439, § 9, eff. July 1, 2002; Laws 2003, c. 3, § 103, emerg. eff. March 19, 2003; Laws 2004, c. 405, § 2, eff. July 1, 2004; Laws 2005, c. 1, § 144, emerg. eff. March 15, 2005; Laws 2005, c. 450, § 2, eff. July 1, 2005.

NOTE:  Laws 1997, c. 48, § 3 repealed by Laws 1997, c. 362, § 8.  Laws 1997, c. 128, § 1 repealed by Laws 1997, c. 362, § 8.  Laws 2002, c. 196, § 5 repealed by Laws 2003, c. 3, § 104, emerg. eff. March 19, 2003.  Laws 2004, c. 373, § 2 repealed by Laws 2005, c. 1, § 145, emerg. eff. March 15, 2005.

§74-1366.  Flexible benefits plan - Awarding of contracts - Employee's salary adjustment agreement.

A.  The Oklahoma State Employees Benefits Council shall establish a flexible benefits plan in accordance with the provisions of Section 1361 et seq. of this title.  All participating employers shall offer the plan to their eligible employees.

B.  The Council shall interpret the plan and decide any matters arising thereunder and may adopt such rules and procedures as it deems necessary, desirable or appropriate in the administration of the plan subject to the Administrative Procedures Act.  All rules and decisions of the Council shall be uniformly and consistently applied to all participants in similar circumstances and shall be conclusive and binding on all persons having an interest in the plan.  When making any decision or determination, the Council shall be entitled to rely upon such information as may be furnished to it by a participant, a participating employer, legal counsel, third party administrator or the management of any individual benefit plan which is incorporated in the plan.

C.  The executive director, under the direction of the Council, may contract with one or more firms or organizations to administer or provide consulting services in regard to all or any portion of the plan.

The Council shall solicit proposals on a competitive bid basis.  Contracts for the flexible benefits plan shall not be subject to the provisions of the Oklahoma Central Purchasing Act, Section 85.1 et seq. of this title.  The Council shall promulgate rules establishing appropriate competitive bidding criteria and procedures for contracts awarded for flexible benefits plans.  When requested by the Council, the Department of Central Services shall assist the Council in the process of selecting any contracts for the design, development, communication or implementation of the plan.

When awarding a contract for services pursuant to this subsection, the Council shall satisfy itself that the contractor has no interests which would impair its ability to perform the tasks and services required and that the contractor will exercise proper independent judgment when performing its responsibilities under Section 1361 et seq. of this title and under the contract.

D.  Expenses included in an employee's salary adjustment agreement pursuant to the flexible benefits plan shall be limited to expenses for:

1.  Premiums for any health insurance, health maintenance organization, life insurance, long term disability insurance, dental insurance or high deductible health benefit plan offered to employees and their dependents;

2.  Insurance premiums or retirement plan premiums or payments which are supplemental to insurance or retirement programs offered by  this state or which are paid for under salary adjustment agreements pursuant to the provisions of Section 7.10 of Title 62 of the Oklahoma Statutes;

3.  Dependent care;

4.  Medical care, as defined by the Council; and

5.  All other eligible benefit programs offered under 26 United States Code Section 125.

E.  The amount by which an employee's salary is adjusted pursuant to a salary adjustment agreement shall be excluded from income in computation of income tax withholding, federal insurance contributions act taxes, unemployment payments and workers' compensation coverage.  Such amount shall be included as income in computation of state retirement contributions and benefits.  Provided, if the inclusions and exclusions provided in this subsection conflict with the provisions of federal law or regulations pertaining to flexible benefits plans, the Council is authorized to modify or abolish such inclusions and exclusions.

F.  1.  Legal representation shall be provided by the Office of the Attorney General.

2.  The executive director shall be the appointing authority and agency head.  All other positions and employees shall be classified and subject to the provisions of the Merit System of Personnel Administration except actuaries and other personnel and positions in the unclassified service as provided in Section 840-5.5 of this title.

Added by Laws 1992, c. 400, § 6, eff. July 1, 1992.  Amended by Laws 1996, c. 183, § 3, eff. July 1, 1996; Laws 1997, c. 257, § 2, eff. Nov. 1, 1997; Laws 1997, c. 362, § 5.

NOTE:  Laws 1997, c. 48, § 4 repealed by Laws 1997, c. 362, § 8.

§74-1366.1.  Contracts relating to plan year beginning January 1, 2003 - Duties of Council and Board.

Notwithstanding any other provision of law to the contrary, for contracts relating to the plan year beginning January 1, 2003, and for each plan year thereafter, the Oklahoma State Employees Benefits Council and the State and Education Employees Group Insurance Board shall:

a. develop geographic service areas and list the zip codes contained in such service areas.  Each participating health maintenance organization shall not be required to offer enrollment in every service area as  a condition to participation in the State Account,

b. not require participating health maintenance organizations to offer a Medicare supplement plan.  However, if the participating health maintenance organization offers a Medicare supplement plan to other entities within this state then it shall be required to offer a Medicare supplement plan,

c. require participating health maintenance organizations to meet the standardized benefit plan as required by the Oklahoma State Employees Benefits Council.  However, participating health maintenance organizations may offer enhancements in an effort to make their plans more attractive and competitive, and

d. ensure that all premiums are paid to participating health maintenance organizations within sixty (60) calendar days from receipt of the bill.

Added by Laws 2002, c. 439, § 10, eff. July 1, 2002.

§74-1366.2.  Development of service areas - Medicare supplement plans not required to be offered - Standardized benefit plan - Payment of collected premiums.

Notwithstanding any other provision of law to the contrary, for contracts relating to the plan year beginning January 1, 2003, and for each plan year thereafter, the Oklahoma State Employees Benefits Council and the State and Education Employees Group Insurance Board shall:

a. develop geographic service areas and list the zip codes contained in such service areas.  Each participating health maintenance organization shall not be required to offer enrollment in every service area as a condition to participation in the State Account,

b. not require participating health maintenance organizations to offer a Medicare supplement plan; provided, however, any participating health maintenance organization that offers a Medicare supplement plan to other entities within this state shall be required to offer a Medicare supplement plan,

c. require participating health maintenance organizations to meet the standardized benefit plan as required by the Oklahoma State Employees Benefits Council; provided, however, participating health maintenance organizations may offer enhancements in an effort to make their plans more attractive and competitive, and

d. ensure that all premiums collected are paid to participating health maintenance organizations within sixty (60) calendar days of receipt.

Added by Laws 2002, c. 489, § 3, eff. Nov. 1, 2002.

NOTE:  Editorially renumbered from § 1366.1 of Title 74 to avoid a duplication in numbering.

§74-1367.  Repealed by Laws 1997, c. 49, § 4, eff. Nov. 1, 1997 and Laws 1997, c. 362, § 8.

NOTE:  Laws 1997, c. 362, § 8 repealed this section as last amended by Laws 1997, c. 48, § 5.

§74-1368.  Benefits Council Administration Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma State Employees Benefits Council to be designated the "Benefits Council Administration Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies properly credited and paid to the Oklahoma State Employees Benefits Council other than flexible benefit dollars.  Disbursements from the fund shall be limited to the direct operation of the Oklahoma State Employees Benefits Council and the Wellness Program as authorized by the Council.

Added by Laws 1992, c. 400, § 8, eff. July 1, 1992.  Amended by Laws 1997, c. 49, § 1, eff. Nov. 1, 1997; Laws 1997, c. 362, § 6.

NOTE:  Laws 1997, c. 48, § 6 repealed by Laws 1997, c. 362, § 8.

§74-1369.  Eligibility to participate.

A.  A state employee shall be eligible to participate in the plan commencing July 1 of the plan year beginning July 1, 2001, and commencing January 1 for any plan year beginning after January 1, 2002, provided such employee qualifies as a participant as provided in this act.

B.  Except to the extent a benefit plan provides otherwise, each participant's eligibility to participate in the plan and each benefit plan shall terminate on the participant's termination.

C.  Each of the benefit plans incorporated in the plan may have its own eligibility requirements for participation which differ from those set forth in the plan to govern participation in the plan.  The eligibility requirements set forth in the plan relate only to participation in the plan and shall have no effect on such eligibility requirements.

Added by Laws 1992, c. 400, § 9, eff. July 1, 1992.  Amended by Laws 1999, c. 255, § 6, eff. Nov. 1, 1999; Laws 2001, c. 197, § 9, emerg. eff. May 7, 2001.

§74-1370.  Flexible benefit allowance.

A.  Subject to the requirement that a participant must elect the default benefits, the basic plan, or is a person who has retired from a branch of the United States military and has been provided with health care through a federal plan and provides proof of this coverage, flexible benefit dollars may be used to purchase any of the benefits offered by the Oklahoma State Employees Benefits Council under the flexible benefits plan.  A participant who has provided proof of other coverage as described in this subsection shall not receive flexible benefit dollars if the person elects not to purchase any benefits.  A participant's flexible benefit dollars for a plan year shall consist of the sum of (1) flexible benefit allowance credited to a participant by the participating employer, and (2) pay conversion dollars elected by a participant.

B.  Each participant shall be credited annually with a specified amount as a flexible benefit allowance which shall be available for the purchase of benefits.  The amount of the flexible benefit allowance credited to each participant shall be communicated to him or her prior to the enrollment period for each plan year.

C.  Except as provided in subsection D of this section, for the plan year ending December 31, 2001, and each plan year thereafter, the amount of a participant's benefit allowance, which shall be the total amount the employer contributes for the payment of insurance premiums or other benefits, shall be:

1.  The greater of Two Hundred Sixty-two Dollars and nineteen cents ($262.19) per month or an amount equal to the sum of the average monthly premiums of all high option health insurance plans, excluding the point-of-service plans, the average monthly premiums of the dental plans, the monthly premium of the disability plan, and the monthly premium of the basic life insurance plan offered to state employees or the amount determined by the Council based on a formula for determining a participant's benefit credits consistent with the requirements of 26 U.S.C., Section 125(g)(2) and regulations thereunder; or

2.  The greater of Two Hundred Twenty-four Dollars and sixty-nine cents ($224.69) per month or an amount equal to the sum of the average monthly premiums of all high option health insurance plans, excluding the point-of-service plans, the average monthly premiums of the dental plans, the monthly premium of the disability plan, and the monthly premium of the basic life insurance plan offered to state employees plus one of the additional amounts as follows for participants who elect to include one or more dependents:

a. for a spouse, seventy-five percent (75%) of the average price of all high option benefit plans, excluding the point-of-service plans, available for coverage of a spouse,

b. for one child, seventy-five percent (75%) of the average price of all high option benefit plans available, excluding the point-of-service plans, for coverage of one child,

c. for two or more children, seventy-five percent (75%) of the average price of all high option benefit plans available, excluding the point-of-service plans, for coverage of two or more children,

d. for a spouse and one child, seventy-five percent (75%) of the average price of all high option benefit plans available, excluding the point-of-service plans, for coverage of a spouse and one child, or

e. for a spouse and two or more children, seventy-five percent (75%) of the average price of all high option benefit plans available, excluding the point-of-service plans, for coverage of a spouse and two or more children.

D.  For the plan year beginning January 1, 2006, and each plan year thereafter, for an employee who is an eligible TRICARE beneficiary and has opted not to purchase health care coverage and who purchases a group TRICARE Supplemental product, the amount of the participant's benefit allowance shall be equal to the sum of the monthly premium of the group TRICARE Supplemental product purchased by the participant, if any, the average monthly premiums of the dental plans, the monthly premium of the disability plan, and the monthly premium of the basic life insurance plan offered to state employees or the amount determined by the Council based on a formula for determining a participant's benefit credits consistent with the requirements of 26 U.S.C., Section 125(g)(2) and regulations thereunder.  For the plan year beginning January 1, 2006, and each plan year thereafter, for each eligible dependent of an employee who is an eligible TRICARE beneficiary and has opted not to purchase health care coverage, if the employee purchases a group TRICARE Supplemental product on behalf of the dependent, the benefit allowance shall be equal to seventy-five percent (75%) of the monthly premium of the group TRICARE Supplemental product purchased by the participant on behalf of the dependent.

E.  This section shall not prohibit payments for supplemental health insurance coverage made pursuant to Section 1314.4 of this title or payments for the cost of providing health insurance coverage for dependents of employees of the Grand River Dam Authority.

F.  If a participant desires to buy benefits whose sum total of benefit prices is in excess of his or her flexible benefit allowance, the participant may elect to use pay conversion dollars to purchase such excess benefits.  Pay conversion dollars may be elected through a salary reduction agreement made pursuant to the election procedures of Section 1371 of this title.  The elected amount shall be deducted from the participant's compensation in equal amounts each pay period over the plan year.  On termination of employment during a plan year, a participant shall have no obligation to pay the participating employer any pay conversion dollars allocated to the portion of the plan year after the participant's termination of employment.

G.  If a participant elects benefits whose sum total of benefit prices is less than his or her flexible benefit allowance, he or she shall receive any excess flexible benefit allowance as taxable compensation.  Such taxable compensation will be paid in substantially equal amounts each pay period over the plan year.  On termination during a plan year, a participant shall have no right to receive any such taxable cash compensation allocated to the portion of the plan year after the participant's termination.  Nothing herein shall affect a participant's obligation to elect the minimum benefits or to accept the default benefits of the plan with corresponding reduction in the sum of his or her flexible benefit allowance equal to the sum total benefit price of such minimum benefits or default benefits.

Added by Laws 1992, c. 400, § 10, eff. July 1, 1992.  Amended by Laws 1993, c. 221, § 1, eff. July 1, 1993; Laws 1997, c. 384, § 11, eff. July 1, 1997; Laws 1998, c. 257, § 3, eff. July 1, 1998; Laws 1999, c. 397, § 15, emerg. eff. June 10, 1999; Laws 2001, c. 213, § 2, eff. July 1, 2001; Laws 2003, c. 453, § 5, eff. July 1, 2003; Laws 2004, c. 405, § 3, eff. July 1, 2004; Laws 2005, c. 450, § 3, eff. July 1, 2005.

NOTE:  Laws 1999, c. 255, § 7 repealed by Laws 2001, c. 395, § 2, eff. July 1, 2001.

§74-1371.  Election of benefit plans - Plans offered by health maintenance organizations - Default benefits.

A.  All participants must purchase at least the basic plan unless the participant is a person who has retired from a branch of the United States military and has been provided with health coverage through a federal plan and that participant provides proof of that coverage.  On or before January 1 of the plan year beginning July 1, 2001, and July 1 of any plan year beginning after January 1, 2002, the Oklahoma State Employees Benefits Council shall design the basic plan for the next plan year to insure that the basic plan provides adequate coverage to all participants.  All benefit plans, whether offered by the State and Education Employees Group Insurance Board, a health maintenance organization or other vendors shall meet the minimum requirements set by the Council for the basic plan.

B.  The Board shall offer health, disability, life and dental coverage to all participants and their dependents.  For health, dental, disability and life coverage, the Board shall offer plans at the basic benefit level established by the Council, and in addition, may offer benefit plans that provide an enhanced level of benefits.  The Board shall be responsible for determining the plan design and the benefit price for the plans that they offer.  In setting health insurance premiums for active employees and for retirees under sixty-five (65) years of age, the Board shall set the monthly premium for active employees at a maximum of Ninety Dollars ($90.00) less than the monthly premium for retirees under sixty-five (65) years of age.

Nothing in this subsection shall be construed as prohibiting the Board from offering additional medical plans, provided that any medical plan offered to participants shall meet or exceed the benefits provided in the medical portion of the basic plan.

C.  In lieu of electing any of the preceding medical benefit plans, a participant may elect medical coverage by any health maintenance organization made available to participants by the Council.  The benefit price of any health maintenance organization shall be determined on a competitive bid basis.  Contracts for said plans shall not be subject to the provisions of the Oklahoma Central Purchasing Act, Section 85.1 et seq. of this title.  The Council shall promulgate rules establishing appropriate competitive bidding criteria and procedures for contracts awarded for flexible benefits plans.  All plans offered by health maintenance organizations meeting the bid requirements as determined by the Council shall be accepted.  The Council shall have the authority to reject the bid or restrict enrollment in any health maintenance organization for which the Council determines the benefit price to be excessive.  The Council shall have the authority to reject any plan that does not meet the bid requirements.  All bidders shall submit along with their bid a notarized, sworn statement as provided by Section 85.22 of this title.  In setting health insurance premiums for active employees and for retirees under sixty-five (65) years of age, HMOs, self-insured organizations and prepaid plans shall set the monthly premium for active employees at a maximum of Ninety Dollars ($90.00) less than the monthly premium for retirees under sixty-five (65) years of age.

D.  Nothing in this section shall be construed as prohibiting the Council from offering additional qualified benefit plans or currently taxable benefit plans.

E.  Each employee of a participating employer who meets the eligibility requirements for participation in the flexible benefits plan shall make an annual election of benefits under the plan during an enrollment period to be held prior to the beginning of each plan year.  The enrollment period dates will be determined annually and will be announced by the Council, providing the enrollment period shall end no later than thirty (30) days before the beginning of the plan year.

Each such employee shall make an irrevocable advance election for the plan year or the remainder thereof pursuant to such procedures as the Council shall prescribe.  Any such employee who fails to make a proper election under the plan shall, nevertheless, be a participant in the plan and shall be deemed to have purchased the default benefits described in this section.

F.  The Council shall prescribe the forms that participants will be required to use in making their elections, and may prescribe deadlines and other procedures for filing the elections.

G.  Any participant who, in the first year for which he or she is eligible to participate in the plan, fails to make a proper election under the plan in conformance with the procedures set forth in this section or as prescribed by the Council shall be deemed automatically to have purchased the default benefits.  The default benefits shall be the same as the basic plan benefits.  Any participant who, after having participated in the plan during the previous plan year, fails to make a proper election under the plan in conformance with the procedures set forth in this section or prescribed by the Council, shall be deemed automatically to have purchased the same benefits which the participant purchased in the immediately preceding plan year, except that the participant shall not be deemed to have elected coverage under the health care reimbursement account plan or the dependent care reimbursement account plan.

H.  Benefit plan contracts with the Board, health maintenance organizations, and other third party insurance vendors shall provide for a risk adjustment factor for adverse selection that may occur, as determined by the Council, based on generally accepted actuarial principles.

I.  1.  For the plan year ending December 31, 2004, employees covered or eligible to be covered under the State and Education Employees Group Insurance Act and the State Employees Flexible Benefits Act who are enrolled in a health maintenance organization offering a network in Oklahoma City, shall have the option of continuing care with a primary care physician for the remainder of the plan year if:

a. that primary care physician was part of a provider group that was offered to the individual at enrollment and later removed from the network of the health maintenance organization, for reasons other than for cause, and

b. the individual submits a request in writing to the health maintenance organization to continue to have access to the primary care physician.

2.  The primary care physician selected by the individual shall be required to accept reimbursement for such health care services on a fee-for-service basis only.  The fee-for-service shall be computed by the health maintenance organization based on the average of the other fee-for-service contracts of the health maintenance organization in the local community.  The individual shall only be required to pay the primary care physician those co-payments, coinsurance and any applicable deductibles in accordance with the terms of the agreement between the employer and the health maintenance organization and the provider shall not balance bill the patient.

3.  Any network offered in Oklahoma City that is terminated prior to July 1, 2004, shall notify the health maintenance organization, Oklahoma State Employees Benefits Council and State and Education Employees Group Insurance Board by June 11, 2004, of the network's intentions to continue providing primary care services as described in paragraph 2 of this subsection offered by the health maintenance organization to state and public employees.

Added by Laws 1992, c. 400, § 11, eff. July 1, 1992.  Amended by  Laws 1993, c. 359, § 11, eff. July 1, 1993; Laws 1996, c. 183, § 4, eff. July 1, 1996; Laws 1996, c. 288, § 8, eff. July 1, 1996; Laws 1997, c. 271, § 1, emerg. eff. May 27, 1997; Laws 1997, c. 362, § 7; Laws 1999, c. 255, § 8, eff. Nov. 1, 1999; Laws 2001, c. 196, § 2, eff. July 1, 2001; Laws 2001, c. 395, § 1, eff. July 1, 2001; Laws 2003, c. 453, § 6, eff. July 1, 2003; Laws 2004, c. 414, § 1, emerg. eff. June 4, 2004.

NOTE:  Laws 1996, c. 139, § 3 repealed by Laws 1996, c. 288, § 10, eff. July 1, 1996.  Laws 1997, c. 48, § 7 repealed by Laws 1997, c. 362, § 8.  Laws 1997, c. 128, § 2 repealed by Laws 1997, c. 362, § 8.  Laws 1997, c. 257, § 3 repealed by Laws 1997, c. 362, § 8.

§74-1372.  Claims for flexible spending account benefits - Notice of denial - Hearing.

The Oklahoma State Employees Benefits Council shall be responsible for making all determinations as to the rights of any participant or any beneficiary of a participant to receive amounts under the flexible spending account benefits plan.  The Council shall prescribe forms and procedures for making claims for flexible spending account benefits under the plan.  Each person making a claim for benefits under the flexible spending account benefits plan shall also furnish the Council with such documents, evidence, data or information in support of such claim as the Council considers necessary or desirable.  If any claim for the flexible spending account benefits plan is wholly or partially denied, the claimant shall be given notice in writing of such denial within a reasonable period of time, but no later than forty-five (45) days after the claim is filed.  A claimant whose claim is denied shall have the right to a hearing before the Council's executive director or hearing officer designated by the executive director.  Written notification by a claimant for a hearing must be received by the executive director within ten (10) business days of notification of claim denial.  The hearing shall be conducted within thirty (30) days in accordance with the provisions of the Administrative Procedures Act.  The Council shall promulgate administrative rules establishing policies and procedures specific to the notice of denial, request for explanation, and hearing for flexible spending account benefit claims denial.

Added by Laws 1992, c. 400, § 12, eff. July 1, 1992.  Amended by Laws 2003, c. 369, § 1, eff. July 1, 2003.

§74-1373.  Coverage for side effects associated with prostate-related conditions.

A.  All health benefit plans that are offered by the Oklahoma State Employees Benefits Council shall provide coverage for side effects that are commonly associated with radical retropubic prostatectomy surgery, including, but not limited to impotence and incontinence, and for other prostate related conditions.

B.  The Council shall provide notice to each insured or enrollee under such plan regarding the coverage required by this section in the plan's evidence of coverage, and shall provide additional written notice of the coverage to the insured or enrollee as follows:

1.  In the next mailing made by the plan to the employee; or

2.  As part of the enrollment information packet sent to the enrollee.

C.  The Council shall promulgate any rules or actions necessary to implement the provisions of this section.

Added by Laws 1998, c. 312, § 3, eff. July 1, 1998.

§74-1374.  Vision plans.

For the plan year beginning January 1, 2005, and for each year thereafter, it shall be the fiduciary responsibility of the Oklahoma State Employees Benefits Council and the State and Education Employees Group Insurance Board to ensure that participants have the option to choose which vision plan best meets their individual needs by offering every vision plan that notifies the Employees Benefits Council and the State and Education Employees Group Insurance Board of their desire to participate no later than July 1 of each year and meets or exceeds the following criteria:

1.  Has in place a statewide network of at least one hundred fifty providers.  "Providers", for purposes of this section, means Optometrists (OD), Ophthalmologists (MD), and Ophthalmologists (DO) which shall be counted once regardless of the number of locations where they may practice.  Optical shops and retail optical locations shall not be listed as providers.  The company offering the vision plan must have a direct relationship with each provider on its panel, and may not lease, borrow, or otherwise obtain use of a provider panel from another company.  This would not prevent a company from offering their plan through one corporate entity and administering the plan or provider panel through another legal entity of the same organization.  Providers must be actively engaged in providing the services offered under the vision plan they represent;

2.  Has operated in Oklahoma for at least five (5) years;

3.  Is licensed by the Insurance Department, certified by the State Department of Health, or licensed as a third-party administrator by the Insurance Department.  Vision plans must be offered by the company administering the plan, not by an agent or third party.  A company shall offer only one vision plan and rate schedule for each plan year;

4.  Presents accurate product information in a reproducible format not to exceed two pages;

5.  Requires anyone electing a vision plan to submit an annual election form thereby prohibiting default enrollment; and

6.  Vision plans must provide an examination, frames and lenses, and/or contact lenses and some form of indemnified payment to the contracted providers for each component of the benefits, i.e., the exam, frames and lenses and/or contact lenses.  This does not eliminate discounted supplementary benefits under a qualified plan.

Any administrative fees imposed by the Oklahoma State Employees Benefits Council or the State and Education Employees Group Insurance Board shall be applied equally to all qualified vision plans.  There shall be no additional requirements imposed on a vision plan other than the proper licensing or certification by the appropriate state agency.

Added by Laws 2002, c. 501, § 1, eff. July 1, 2002.  Amended by Laws 2003, c. 113, § 1, eff. July 1, 2003.

§74-1381.  Short title.

This act shall be known and may be cited as the "Wellness Program Act".

Added by Laws 1994, c. 99, § 1, eff. Sept. 1, 1994.

§74-1382.  Wellness Council.

A.  There is hereby created within the Oklahoma State Employee Benefits Council, the Wellness Council, to continue until July 1, 2006, in accordance with the provisions of the Oklahoma Sunset Law, Section 3901 et seq. of this title.

B.  The Wellness Council shall be composed of one representative from every state agency which has designated a person to serve on the Council as the wellness coordinator for their respective state agency and one representative of the Oklahoma Governor's Council on Physical Fitness and Sports.

C.  Each state agency with two hundred (200) or more full-time-equivalent employees shall appoint a wellness coordinator.  All wellness coordinators shall be appointed by October 1, 1994.  Each wellness coordinator shall be appointed for a term of two (2) years.  If a wellness coordinator can no longer serve for any reason the appointing agency shall fill the vacancy for the unexpired term.

D.  The first meeting of the Council shall be called by the Executive Director of the Employee Benefits Council.  The Employee Benefits Council shall designate a person to serve as the State Government Wellness Coordinator.  The State Government Wellness Coordinator shall serve as the chairman of the Wellness Council.  The chairman shall preside over meetings of the Council and perform such other duties as may be required by the Council.  The Council shall elect one of its members to serve as vice-chairman who shall perform the duties of the chairman in the absence of the chairman or upon the inability or refusal of the chairman to act.

E.  The Council shall meet at least once quarterly, and may meet more often as necessary.

F.  The members of the Council shall serve without compensation.

G.  A majority of the members of the Council shall constitute a quorum for the transaction of business.

Added by Laws 1994, c. 99, § 2, eff. Sept. 1, 1994.  Amended by Laws 2000, c. 21, § 1

§74-1383.  Wellness Council - Duties - Wellness Coordinating Committee.

A.  The Wellness Council shall coordinate and develop wellness programs in state government.  The Council shall work to encourage participation in wellness programs by state employees.  The Wellness Council may provide programs to state agencies for quarterly health and safety training as required by the Department of Labor according to the provisions of Section 403 of Title 40 of the Oklahoma Statutes.  In addition the Council shall establish methods and a plan of action for receiving money through grants from federal and private funds to implement wellness programs in this state.

B.  The chair of the Wellness Council shall appoint a Wellness Coordinating Committee.  The members of the Committee shall be selected from among the members of the Council.  The Committee shall be responsible for meeting and coordinating wellness efforts with the State and Education Employees Group Insurance Board, the Oklahoma State Employees Benefits Council, the State Employee Assistance Program and the Oklahoma Health Care Authority.  In addition the Committee shall be responsible for developing a plan of action to solicit public and private funds for wellness programs.

Added by Laws 1994, c. 99, § 3, eff. Sept. 1, 1994.  Amended by Laws 1997, c. 49, § 2, eff. Nov. 1, 1997.

§74-1384.  Wellness Program Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma State Employees Benefits Council to be designated the "Wellness Program Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations and shall consist of all monies received by the Wellness Council division of the Oklahoma State Employees Benefits Council from money received through grants, donations, contributions and gifts from any public or private source and transfer of funds from the Benefits Council Administration Revolving Fund as approved by the Oklahoma State Employees Benefits Council.  The Wellness Council may expend funds as provided for by law.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1994, c. 99, § 4, eff. Sept. 1, 1994.  Amended by Laws 1997, c. 49, § 3, eff. Nov. 1, 1997.

§741412.  Opinion of Attorney General to Legislator.

When any legislator is in doubt as to the application of this act as to himself, he may submit to the Attorney General a full written statement of the facts and any questions he may have.  The Attorney General shall then render an opinion to such legislator and may publish these opinions, or abstracts thereof, with the use of the name of the legislator advised unless such legislator requests otherwise in writing.

§741561.  Priority for fire protection training and education programs.

In conducting fire protection training and education programs, the Commission shall give priority to volunteer fire departments and, when possible, shall require funded fire departments to pay a fee, as determined by the Commission, for said programs.

Added by Laws 1984, c. 1, § 17, emerg. eff. Jan. 30, 1984.  

§74-1701.  State and political subdivision employees and employees of duly constituted authorities or instrumentalities - Participation in plan - Time limit for transfers of investment options.

A.  The State of Oklahoma, its agencies and the political subdivisions thereof and the employees of a duly constituted authority or instrumentality of the State of Oklahoma, its agencies and the political subdivisions thereof, municipalities and any local governmental entity may enter into a written agreement to defer a portion of any employee's compensation which is derived from a state or local government.  The compensation to be deferred shall be subject to any federal limitations imposed by the Internal Revenue Code, Sections 1 et seq. of Title 26 of the United States Code.  The state or local governments may, under a written agreement, invest the deferred compensation in life insurance, annuities, United States Agency or Treasury Bills, Notes or Bonds, savings accounts and/or mutual funds with a company licensed or eligible to do business in the state or in a contract or commingled trust or program.  Deferred compensation programs shall exist and be in addition to, and not be a part of, any existing retirement, pension or Social Security system provided for the benefit of state and local government employees.

B.  The Oklahoma Public Employees Retirement System Board shall offer a deferred compensation program and shall be responsible for establishing rules and regulations and participation agreement forms for said program.  The Oklahoma State Employee Benefits Council shall communicate this program with eligible participants.

C.  The Office of the Attorney General of this state shall be responsible for interpreting all applicable laws and fiduciary responsibilities for the deferred compensation programs of state and local governments if the programs do not maintain in-house counsel.

D.  Prior to January 1, 1991, the Board of Trustees of the Oklahoma Public Employees Retirement System, the Plan Administrator, and the Office of State Finance shall jointly develop a system that provides for state employee participation amounts in the deferred compensation plan be posted and transferred to the investment option selected by the state employee within ten (10) business days of the payday, the end of the payroll period, or the process date for supplemental payrolls, whichever is later.

Added by Laws 1972, c. 64, § 2, emerg. eff. March 28, 1972.  Amended by Laws 1974, c. 23, § 1, emerg. eff. April 8, 1974; Laws 1975, c. 138, § 1, emerg. eff. May 19, 1975; Laws 1977, c. 186, § 1; Laws 1978, c. 297, § 3, emerg. eff. May 10, 1978; Laws 1979, c. 133, § 1, emerg. eff. May 3, 1979; Laws 1979, c. 241, § 15, operative July 1, 1979; Laws 1979, c. 290, § 1, emerg. eff. July 5, 1979; Laws 1990, c. 291, § 1, eff. Sept. 1, 1990; Laws 1993, c. 359, § 12, eff. July 1, 1993; Laws 2001, c. 192, § 3, eff. July 1, 2001.

§74-1701.1.  Untimely posting of contributions - Payment of lost interest.

The Plan Administrator and the Office of State Finance shall identify those participants of the deferred compensation program whose contributions to the program were not posted in a timely manner during the 1991 fiscal year pursuant to procedures implemented for the program.  The Plan Administrator and the Office of State Finance shall determine the amount of interest, if any, that such participants did not receive because of any such untimely posting of contributions.  From any monies made available for this purpose, the Office of State Finance shall individually pay to such identified participants an amount equal to any lost interest as determined pursuant to this section.

Added by Laws 1991, c. 163, § 1, emerg. eff. May 7, 1991.

§741705.  The Oklahoma State Employees Deferred Compensation Plan Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma State Employees Deferred Compensation Plan.  The fund shall be designated "The Oklahoma State Employees Deferred Compensation Plan Fund."  The revolving fund shall be a continuing fund and shall consist of all monies other than appropriated funds received by the Oklahoma State Employees Deferred Compensation Plan pursuant to statutory authority.  Monies accruing to the fund may be expended by the Oklahoma Public Employees Retirement System pursuant to the laws of this state.  Disbursements from the fund created herein shall be made on warrants issued by the State Treasurer against claims submitted to the Director of State Finance for payment.

Laws 1976, c. 52, § 3, emerg. eff. April 13, 1976; Laws 1979, c. 47, § 102, emerg. eff. April 9, 1979.  

§741706.  Separate employee pension plans.

Any agency of the state and any county, county hospital, city or town, substate planning district and any public or private trust in which the state or a county, city or town participates or is the primary beneficiary and which is not funded by state appropriations or eligible for participation or participating in any state retirement system, by action of its governing body, may agree to provide for discretionary contributions in each calendar year to the Individual Retirement Accounts or Individual Retirement Annuities (IRA) of all eligible employees as such standards of eligibility may be determined by the governing body.  The standards of eligibility and other characteristics of the Separate Employee Pension Plan (SEP) adopted or to be adopted by the governing body shall conform to the requirements of the Federal Internal Revenue Code and the rules and regulations promulgated thereunder, all as interpreted and administered both now and in the future, by the Internal Revenue Service, which pertain to Simplified Employee Pension Plans and Individual Retirement Accounts Contribution Agreements as previously provided for under Section 308(k) of the Internal Revenue Code, and all future amendments, supplements, and substitutions thereto.

Added by Laws 1986, c. 238, § 9, operative July 1, 1986.  

§74-1707.  Oklahoma state employees deferred savings incentive plan.

A.  Effective January 1, 1998, for each qualified participant as defined in this section who is a state employee as defined in this section, the Oklahoma Public Employees Retirement System shall pay each month from funds appropriated or deposited to the Oklahoma State Employees Deferred Savings Incentive Plan Fund created pursuant to this section the sum of Twenty-five Dollars ($25.00) to a plan established pursuant to the Internal Revenue Code, Section 401(a), for the benefit of the employee; provided, if monies in the fund are insufficient to fully fund the contributions in any month, payments shall be suspended until such time as sufficient monies are available.  Employees receiving payroll other than monthly shall have an amount contributed which is equivalent to Twenty-five Dollars ($25.00) per month.

B.  For the purposes of this section, "qualified participant" means a state employee as defined in this section who is an active participant in the Oklahoma State Employees Deferred Compensation Plan making deferrals of at least Twenty-five Dollars ($25.00) per month.  Effective July 1, 2000, each qualified participant shall be eligible for a contribution of Twenty-five Dollars ($25.00) to the Oklahoma State Employees Deferred Savings Incentive Plan beginning with the first employee deferral into the Oklahoma State Employees Deferred Compensation Plan.  The Administrator of the Office of Personnel Management and the Director of State Finance shall be responsible for the provision of such information and assistance as may be necessary to determine which employees are qualified participants and shall provide for appropriate payroll transactions to accomplish contributions to the Oklahoma State Employees Deferred Savings Incentive Plan and the Oklahoma State Employees Deferred Compensation Plan.  The Oklahoma Public Employees Retirement System shall be responsible for establishing rules and plan documents for administration of such contributions.  Funds so credited shall be held and invested in the same manner as the Oklahoma State Employees Deferred Compensation Plan, as provided in Section 1701 of this title.

C.  For the purposes of this section, "state employee" means any officer or employee of the executive, legislative, or judicial branches of the government of this state who is an active member of a public retirement system of this state, but does not include:

1.  Employees of the public elementary, secondary, or area vocational school districts;

2.  Employees of The Oklahoma State System of Higher Education except employees of the Oklahoma State Regents of Higher Education, employees of the governing boards and employees of the Board of Regents of the University of Oklahoma who are participating members of the Oklahoma Public Employees Retirement System;

3.  Persons on temporary, student, internship, or other limited-term appointments except for Executive Fellows in the Carl Albert Public Internship Program created in Section 840-3.4 of this title; or

4.  Persons employed pursuant to Section 1.6a of Title 53 of the Oklahoma Statutes or Section 1806.1 of this title.

D.  No public official shall be able to make contributions to the Section 401(a) plan described by this section during a term of office which commenced prior to July 1, 1997.  A public official may make contributions to the Section 401(a) plan described by this section during a term of office which commences after July 1, 1997.  No legislator shall be eligible to make contributions to the Section 401(a) plan described by this section until such contributions have been approved by the Board on Legislative Compensation.  The provisions of this subsection shall be applicable only in the event that the Plan permits employee contributions.

E.  There is hereby created in the State Treasury a revolving fund to be designated the "Oklahoma State Employees Deferred Savings Incentive Plan Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies the Legislature may appropriate or transfer to the fund and any monies contributed for the fund from any other sources, public or private.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Oklahoma Public Employees Retirement System for the matching of deferred compensation contributions pursuant to this section and in accordance with rules promulgated by the Oklahoma Public Employees Retirement System and for reimbursement of expenses for administration of the Deferred Savings Incentive Plan and the Oklahoma State Employees Deferred Compensation Plan.  Expenditures from the fund shall be made by warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

F.  Effective July 1, 2000, every employer which has state employees participating in the Oklahoma State Employees Deferred Savings Incentive Plan shall pay to the Fund an amount equal to Twenty-five Dollars ($25.00) each month for each qualified participant as defined in this section, along with an amount to reimburse the cost of administration of the Oklahoma State Employees Deferred Savings Incentive Plan and the Oklahoma State Employees Deferred Compensation Plan for each qualified participant, as determined by the Board.

1.  The Board shall certify each year to the Office of State Finance the determined amount for the administrative cost of the Oklahoma State Deferred Savings Incentive Plan and the Oklahoma State Employees Deferred Compensation Plan which will be required to be paid for each qualified participant.  The Board of Trustees shall promulgate such rules as are necessary to implement the provisions of this subsection and provide the methodology for the determination.

2.  Each employer shall pay at least monthly to the Fund the sum sufficient to satisfy the obligation under this section as certified by the Board.

3.  Each employer is hereby authorized to pay the employer's contribution from the same fund that the compensation for which said contribution is paid from or from any other funds available to it for such purpose.

Added by Laws 1997, c. 384, § 15, eff. July 1, 1997.  Amended by Laws 1998, c. 96, § 1, eff. July 1, 1998; Laws 1999, c. 376, § 1, eff. Sept. 1, 1999; Laws 2000, c. 359, § 1, eff. July 1, 2000; Laws 2002, c. 438, § 10, eff. July 1, 2002.

NOTE:  Laws 1999, c. 257, § 45 repealed by Laws 2000, c. 313, § 5, emerg. eff. June 5, 2000, and Laws 2000, c. 359, § 2, eff. July 1, 2000.  Laws 2000, c. 313, § 4 repealed by Laws 2001, c. 5, § 63, emerg. eff. March 21, 2001.

§74-1801.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1802.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1803.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1803.1.  Repealed by Laws 2001, c. 347, § 7, eff. Jan. 1, 2002.

§74-1803.1a.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1803.1b.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1803.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1803.3.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1804.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1805.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1805.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1806.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1806.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1807.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1808.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1808.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1809.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1810.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1810.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1810.3.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1811.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1811.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1811.1a.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1811.1b.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1811.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1811.3.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1811.4.  State Capitol Park - Definition - Maintenance and operation.

A.  "State Capitol Park" shall consist of all portions of the State Capitol grounds and within such boundaries as are located in the State Capitol Complex, including the Governor's Mansion and all properties within the public rightofway along Lincoln Boulevard north from the north boundary line of Northeast 13th Street to the south boundary line of Northeast 28th Street and along Business Route 66, known as Northeast 23rd Street, from the east edge of Santa Fe Street east to the west edge of Kelley Avenue in Oklahoma City, Oklahoma, as designated on the amended plat filed in the office of the Secretary of State as File Number 155 in the State Property Records.

B.  The Department of Central Services shall be responsible for the maintenance and operation of the State Capitol Park.

C.  The Department of Central Services may contract with the Oklahoma Capitol Improvement Authority, the Oklahoma Department of Transportation, the City of Oklahoma City, or any other entity for the purpose of landscaping, beautification, capital improvement, operation, and maintenance of the State Capitol Park.

Added by Laws 1976, c. 247, § 23, emerg. eff. June 17, 1976.  Amended by Laws 1981, c. 280, § 3, emerg. eff. June 26, 1981; Laws 1983, c. 304, § 148, eff. July 1, 1983; Laws 1984, c. 1, § 212, emerg. eff. Jan. 30, 1984; Laws 2001, c. 347, § 4, eff. July 1, 2001.

§741811.4A.  Cowboy Hall of Fame Park  Acquisition of land  Designation  Operation and maintenance.

A.  The Oklahoma Tourism and Recreation Commission is hereby authorized to lease, purchase, or otherwise acquire the land between Kelley Avenue and Eastern Avenue within the boundary of Northeast 63rd Street on the north and Deep Fork Creek on the south and extending along the public rightofway of Interstate Highway Number 240 to the junction of Interstate Highway Number 35, threequarters (3/4) of a mile east of Eastern Avenue in Oklahoma City, Oklahoma. Such land shall be used to establish a state park to be designated and known as the "Cowboy Hall of Fame Park".  The Commission shall be responsible for the establishment, operation, and maintenance of such park.

B.  The Commission may contract with the Oklahoma Capitol Improvement Authority, the Oklahoma Department of Transportation, the Office of Public Affairs, the City of Oklahoma City, the National Cowboy Hall of Fame Foundation, or any other entity for the purpose of landscaping, beautification, capital improvement, operation, and maintenance of the "State Capitol Park" and the "Cowboy Hall of Fame Park".

Amended by Laws 1983, c. 304, § 149, eff. July 1, 1983.  

§74-1811.4B.  Repealed by Laws 2002, c. 481, § 5.

§74-1811.4C.  Provisions of Title 47 applicable to certain streets and highways - Primary law enforcement agency in certain parks and State Capitol Complex.

The provisions of Title 47 of the Oklahoma Statutes shall be applicable to all streets and highways within "State Capitol Park" and the "State Capitol Complex" in Tulsa.  The Department of Public Safety shall be the primary law enforcement agency within the "State Capitol Park" and the "State Capitol Complex" in Tulsa upon its establishment, and shall enforce and supervise the enforcement of all parking, traffic and criminal laws therein.  This section shall not be construed to divest the Cities of Oklahoma City or Tulsa of jurisdiction relating to the enforcement of any law or ordinance within said parks except the enforcement of laws regarding vehicle parking which shall be vested exclusively in the Department of Public Safety.

Added by Laws 1981, c. 280, § 6, emerg. eff. June 26, 1981.  Amended by Laws 1982, c. 117, § 3, eff. July 1, 1982; Laws 2003, c. 279, § 12, emerg. eff. May 26, 2003.

§74-1811.4E.  Renumbered as § 2-140 of Title 47 by Laws 1998, c. 32,

§ 4, emerg. eff. April 1, 1998 and Repealed by Laws 1998, c. 245, § 11, eff. Jan. 1, 1999.

§74-1811.5A.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1811.6.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1811.7.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1181.8.  Repealed by Laws 2001, c. 355, § 22, emerg. eff. June 1, 2001.

§74-1811.9.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1811.10.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1812.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1813.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1813.2.  Repealed by Laws 1992, c. 259, § 5, emerg. eff. May 22, 1992.

§74-1813.3.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1813.4.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1813.5.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1816.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1817.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1820.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1822.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1823.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1824.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1824.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1825.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1825.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1826.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1827.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1828.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1829.1.  Repealed by Laws 1991, c. 303, § 6, operative July 1, 1991.

§74-1829.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1830.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1830.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1831.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1832.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1833.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1834.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1836.  Repealed by Laws 2001, c. 355, § 23, emerg. eff. June 1, 2001.

§74-1837.  Renumbered as § 47.8 of Title 53 by Laws 2005, c. 363, § 88, eff. Nov. 1, 2005.

§74-1838.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1839.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1840.  Renumbered as § 3315 of this title by Laws 2002, c. 199, § 5, emerg. eff. May 6, 2002.

§74-1841.  Renumbered as § 3315.1 of this title by Laws 2002, c. 199, § 5, emerg. eff. May 6, 2002.

§74-1842.  Repealed by Laws 1993, c. 155, § 4, eff. July 1, 1993.

§74-1843.  Renumbered as § 3315.2 of this title by Laws 2002, c. 199, § 5, emerg. eff. May 6, 2002.

§74-1844.  Renumbered as § 3315.3 of this title by Laws 2002, c. 199, § 5, emerg. eff. May 6, 2002.

§74-1845.  Renumbered as § 3315.4 of this title by Laws 2002, c. 199, § 5, emerg. eff. May 6, 2002.

§74-1846.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1846.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1846.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1846.3.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1846.4.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1847.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1847.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1847.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1847.3.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1847.4.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1847.5.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1847.6.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1847.7.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1847.8.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1848.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1848.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1848.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1848.3.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.3.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.4.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.5.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.6.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.7.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.8.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.9.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.10.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.11.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.12.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.13.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.14.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.15.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1849.16.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1850.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1850.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1851.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1851.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1851.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1852.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1852.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1852.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1852.3.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1853.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1854.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1855.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1856.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1857.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1858.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1859.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1860.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1861.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1861.1.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1861.2.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1861.2A.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1861.3.  Repealed by Laws 1995, c. 334, § 10, emerg. eff. June 8, 1995.

§74-1862.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1863.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1864.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1865.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1867.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1868.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1869.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1870.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1871.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1872.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1873.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1874.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1875.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1881.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1882.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1883.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1884.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1885.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1886.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1891.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1892.  Repealed by Laws 2005, c. 363, § 90, eff. Nov. 1, 2005.

§74-1901.  Renumbered as § 2286 of Title 74 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-1902.  Renumbered as § 2287 of Title 74 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-1903.  Renumbered as § 2288 of Title 74 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-1904.  Renumbered as § 2289 of Title 74 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-1905.  Renumbered as § 2290 of Title 74 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-1906.  Renumbered as § 2291 of Title 74 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-1907.  Renumbered as § 2292 of Title 74 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-1908.  Renumbered as § 2293 of Title 74 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-1910.  Oklahoma Jazz Hall of Fame Board of Directors.

A.  There is hereby created the Oklahoma Jazz Hall of Fame Board of Directors.  The Board shall be permanently housed in the Greenwood Cultural Center located in Tulsa.  The Oklahoma Jazz Hall of Fame will be governed by the Oklahoma Jazz Hall of Fame Board of Directors as it is constituted on the effective date of this act.  The facility and properties shall be managed by the Greenwood Cultural Center Board of Directors, except those under the jurisdiction of the Oklahoma Jazz Hall of Fame.

B.  The Oklahoma Tourism and Recreation Department is hereby directed to include the Oklahoma Jazz Hall of Fame and the Greenwood Cultural Center in their various promotions of cultural activities in Oklahoma.

Added by Laws 2000, c. 362, § 1, emerg. eff. June 6, 2000.

§742007.2.  Supervision of international activities of state agencies.

The Governor is hereby authorized to supervise the international activities of all state agencies.

Added by Laws 1985, c. 254, § 3, emerg. eff. July 15, 1985.  

§742007.3.  Lieutenant Governor  Participation in international activities.

A.  The Lieutenant Governor is hereby authorized to participate in international activities related to the economic development of this state.

B.  The Lieutenant Governor may negotiate contracts related to international activities, subject to the approval of the Governor.

Added by Laws 1985, c. 254, § 4, emerg. eff. July 15, 1985. Amended by Laws 1986, c. 207, § 72, operative July 1, 1986.  

§742009.1.  International development  Travel expenses.

The Governor, Lieutenant Governor and their staffs shall be reimbursed for actual and necessary travel expenses when incurred in implementing duties relating to international development. Employees of other state agencies designated by the Governor shall be reimbursed for actual and necessary travel expenses as authorized by the Governor, when incurred in implementing duties relating to international development.

Added by Laws 1985, c. 254, § 5, emerg. eff. July 15, 1985.  

§74-2050.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2051.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2052.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2053.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§742054.  Board of Directors.

A.  The governing and administrative powers of the Oklahoma World Trade Development Authority shall be vested in a Board of Directors consisting of nine (9) members, four of whom shall be appointed by the Governor, two of whom shall be appointed by the Speaker of the House of Representatives, and two of whom shall be appointed by the President Pro Tempore of the Senate, with the advice and consent of the Senate.  At least one member shall be appointed from each congressional district.  The remaining member, who shall be chairman of the Authority, shall be the Governor of the State of Oklahoma.  Members shall be qualified electors of the state and actual residents of the congressional district from which they are appointed.  Members shall annually elect a secretary, a treasurer and a vicechairman.  Should a vacancy occur within the Office of the Governor of this state, the vicechairman shall serve as acting chairman of the Authority.  The Board may elect such other officers as it deems proper.  Appointments to fill a vacancy of one of the appointed members shall be made in the same manner as the original appointment.

B.  Each member of the Board shall be a person of recognized ability and experience in one of the following areas:  finance; international trade; business management; economics; agriculture; livestock management; and Oklahoma international organization leadership.

C.  The Governor shall appoint two members of the Board who shall hold office until the third Monday in June, 1988; the Governor, the Speaker, and the President Pro Tempore shall each appoint one member of the Board who shall hold office until the third Monday in June, 1989; and the Governor, the Speaker, and the President Pro Tempore shall each appoint one member of the Board who shall hold office until the third Monday in June, 1990.  Their respective successors shall be appointed for terms of three (3) years from the third Monday in June of the year of appointment.  Members shall serve until successors are appointed, confirmed and qualified.

D.  Each member before entering upon his duties shall take and subscribe to the oath or affirmation required by the Oklahoma Constitution.  A record of each such oath or affirmation shall be filed in the office of the Secretary of State.

E.  No member shall receive compensation for his service on the Board directly or indirectly; provided that each appointive member may receive reimbursement for travel expense pursuant to the procedures established by the Board of Directors of the Authority.

F.  Five members of the Board shall constitute a quorum and the affirmative vote of the majority of members present at a meeting of the Board shall be necessary and sufficient for any action taken by the Board, except that the affirmative vote of at least five members shall be required for the approval of any resolution authorizing the issuance of any bonds pursuant to this act.

G.  No vacancy in the membership of the Board shall impair the right of a quorum to exercise all rights and perform all the duties of the Board.  Any action taken by the Board may be authorized by resolution at any regular or special meeting and shall take effect upon the date the chairman certifies the action of the Authority by affixing his signature to the resolution unless some other date is otherwise provided in the resolution.

H.  The Board may delegate to one or more of its members or to its officials, agents, or employees such powers and duties as it may deem proper; however, the officials, agents, or employees of the Authority shall not be considered employees of the state for any reason.

Added by Laws 1986, p. 1595, H.J.R. No. 1050, § 5, operative Jan. 1, 1987.  Amended by Laws 1992, c. 364, § 11, emerg. eff. June 4, 1992.

§74-2055.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2056.  Renumbered as § 5008.1 of this title by Laws 1992, c. 313, § 7, emerg. eff. May 27, 1992.

§74-2056.1.  Renumbered as § 5008.2 of this title by Laws 1992, c. 313, § 7, emerg. eff. May 27, 1992.

§74-2057.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2058.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2059.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2060.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2061.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2062.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2063.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2064.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2065.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2066.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2067.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§74-2068.  Repealed by Laws 1992, c. 313, § 8, emerg. eff. May 27, 1992.

§742101.  Short title.

Sections 1 through 9 of this act shall be known and may be cited as the "Export Trading Company Act".

Added by Laws 1987, c. 214, § 1, eff. Nov. 1, 1987.  

§742102.  Purposes of act.

The purposes of the Export Trading Company Act shall be:

1.  to provide an incentive for creating new companies and transactions to export Oklahoma goods and services to foreign markets; and

2.  to promote, encourage and advance economic prosperity and employment throughout the state by fostering the expansion of exports of Oklahoma manufactured goods and services to foreign purchasers; and

3.  to create a more favorable regulatory and tax climate for businesses which qualify as export trading companies in Oklahoma.

Added by Laws 1987, c. 214, § 2, eff. Nov. 1, 1987.  

§742103.  Definitions.

As used in the Export Trading Company Act:

1.  "Export trade" means trade or commerce in goods or services produced in the United States which are exported, or in the course of being exported, from the United States to any other country;

2.  "Goods" include, but are not limited to, manufactured products, natural resources, and agricultural products;

3.  "Services" include, but are not limited to, accounting, amusement, architectural, automatic data processing, business, communications, construction, franchising and licensing, consulting, engineering, financial, insurance, legal, management, repair, tourism, training, and transportation services;

4.  The term "export trade services" includes, but is not limited to, consulting, international market research, advertising, marketing, insurance, product research and design, legal assistance, transportation, including trade documentation and freight forwarding, communication and processing of foreign orders to and for exporters and foreign purchasers, warehousing, foreign exchange, and financing, when provided in order to facilitate the export of goods or services produced in the United States;

5.  "Export trading company" means a corporation, whether operated for profit or as a nonprofit organization, which does business under the laws of this state and which is organized and operated principally for purposes of facilitating the export of goods or services produced in the United States by unaffiliated persons by providing one or more export trade services.  Any company with a significant portion of their business involving domestic sales or services shall not be construed to be an export trading company within the provisions of the Export Trading Company Act;

6.  "Bank" means any bank authorized by the laws of this state to engage in the banking business;

7.  "Director" means the Director of the Oklahoma Department of Commerce; and

8.  "Commission" means the Oklahoma Tax Commission.

Added by Laws 1987, c. 214, § 3, eff. Nov. 1, 1987.  Amended by Laws 1992, c. 313, § 2, emerg. eff. May 27, 1992.

§742104.  Director  Powers and duties.

The Director may:

1.  establish a network of contacts among those public and private organizations which provide information, technical assistance and financial support for exporting;

2.  assemble, publish and disseminate information to exporters, located within this state, regarding export opportunities, techniques of exporting, sources of public and private export assistance and sources of export related financing;

3.  organize, host and participate in seminars and other forums designed to disseminate information and technical assistance regarding exporting and export related financing to exporters located within this state; and

4.  provide individual firms and agricultural enterprises with information and technical assistance related to exporting and export financing.

Added by Laws 1987, c. 214, § 4, eff. Nov. 1, 1987.  Amended by Laws 1992, c. 313, § 3, emerg. eff. May 27, 1992.

§742105.  Investments and participation by banks.

Banks may invest or otherwise participate in the capital development and financing of, management, direction and advising of export trading companies as defined and to the extent permitted by federal law in Sections 4001 through 4053 of Title 17 of the United States Code, as hereafter amended.

Added by Laws 1987, c. 214, § 5, eff. Nov. 1, 1987.  

§742106.  Tax exemptions.

A.  An export trading company, with a registered office or other office in this state, shall be exempt from state corporate income tax and franchise tax for a period of two (2) years from the date the Commission certifies the export trading company as a qualified export trading company.  A copy of such certificate shall be filed with the Oklahoma Tax Commission which shall verify compliance with this act prior to allowing the tax exemption provided for herein.  For purposes of the Export Trading Company Act, an export trading company shall be deemed to have an office in Oklahoma if it performs export trade services in this state.

B.  Export trading companies shall not qualify for the tax exemptions of this section for sales made within the United States.

C.  A subsidiary or affiliate of a qualified export trading company shall not be entitled to the tax exemptions provided for in this section unless such subsidiary or affiliate is certified as a qualified export trading company pursuant to Section 2107 of this title.

Added by Laws 1987, c. 214, § 6, eff. Nov. 1, 1987.  Amended by Laws 1992, c. 313, § 4, emerg. eff. May 27, 1992.

§742107.  Qualification as expert trading company  Procedure  Rules and regulations  Orders  Violation of act.

A.  Any corporation proposing to qualify as an export trading company pursuant to the provisions of the Export Trading Company Act shall file an application for approval with the Commission.  The application shall contain the names of the shareholders and principal officers of the applicant and such other information as the Commission may by regulation require, and shall specifically acknowledge the applicant's agreement to be bound by the conditions set forth in the rules and regulations issued pursuant to this section.

B.  1.  In determining whether to approve an application for qualification as an export trading company and to certify such export trading company as a qualified export trading company, the Commission shall consider whether:

a. the stated purposes of the corporation satisfy the basic aim of encouraging and expanding export trade;

b. the activities undertaken in this state will be a significant factor in, or contribute significantly to encouraging export trade;

c. the tax exemptions provided for in Section 6 of this act will serve as a significant incentive and aid to encouraging export trade; and

d. export trade opportunities will be improved and initiated, particularly for small and mediumsized producers, by creation of an export trading company.

2.  No successor corporation of a qualified export trading company shall be certified as a qualified export trading company if the names of the shareholders and the principal officers of such successor corporation are the same as those of the qualified export trading company.

C.  1.  The Oklahoma Tax Commission shall promulgate such rules and regulations as may be necessary to implement the provisions of the Export Trading Company Act and to safeguard against abuses of the Export Trading Company Act.  Such rules and regulations shall include a prohibition against the stacking of tax exemptions provided for in Section 2106 of this title.

2.  The Commission may issue orders pursuant to the provisions of the Export Trading Company Act in order to:

a. prescribe information or forms required in connection with an application; and

b. establish procedures in connection with approvals and the filing of required reports.

D.  The Commission, upon the determination that any export trading company is in violation of any provisions of the Export Trading Company Act or regulations, rules, or orders issued pursuant to the Export Trading Company Act, may order the export trading company to take steps to remedy such violation or disqualify said company as an export trading company.

Added by Laws 1987, c. 214, § 7, eff. Nov. 1, 1987.  Amended by Laws 1992, c. 313, § 5, emerg. eff. May 27, 1992.

§742108.  Federal remedies.

The remedies and causes of action provided pursuant to the laws of the United States, to the exclusion of any remedies provided pursuant to Sections 1 through 36 of Title 79 of the Oklahoma Statutes concerning restraint of trade, shall apply to any export traderelated conduct or activity of an export trading company.

Added by Laws 1987, c. 214, § 8, eff. Nov. 1, 1987.  

§742109.  Reports.

On or before March 1 of each year, the Commission shall provide a report to the Speaker of the House of Representatives and the President Pro Tempore of the Senate which shall include, but not be limited to:

1.  the number of applications for export trading companies submitted;

2.  the number of applications for export trading companies approved; and

3.  the number of jobs created by each export trading company and the dollar value of export trade generated by each export trading company.

Added by Laws 1987, c. 214, § 9, eff. Nov. 1, 1987.  Amended by Laws 1992, c. 313, § 6, emerg. eff. May 27, 1992.

§74-2118.  Renumbered as § 5008.3 of this title by Laws 1992, c. 313, § 7, emerg. eff. May 27, 1992.

§74-2121.  International trade processing - Definitions.

As used in this act:

1.  "International trade processing authority" means a public trust heretofore created pursuant to Section 176 of Title 60 of the Oklahoma Statutes with powers to construct, acquire, equip and operate an international trade processing center;

2.  "International trade processing center" means a facility  constructed and operated for the purpose of facilitating the export of goods or services produced in the United States and the import of goods or services to the United States that are produced in other countries;

3.  "Other governmental entities" means the State of Oklahoma, its agencies and political subdivisions, public trusts other than an international trade processing authority, other states and their agencies and political subdivisions, and the federal government and agencies thereof; and

4.  "Project" or "projects" means any facility constructed or improvements made under the provisions of this act by an international trade processing authority for the purpose of acquiring, constructing, equipping and operating an international trade processing center, including rail, water, air, highway intermodal facilities, and commercial support facilities, and shall include all buildings, structures, landscaping, infrastructure, utilities, roadways, railways, parking structures, parking lots, sidewalks, personal property and fixtures, equipment and machinery, and other improvements which an international trade processing authority may deem necessary for the operation of such project, together with all property, rights, easements and interests which may be acquired by an international trade processing authority for the construction or operation of such.

Added by Laws 2003, c. 386, § 1, eff. July 1, 2003.

§74-2122.  International trade processing authority - Exercise of powers an essential government function.

The exercise of powers by an international trade processing authority under the provisions of this act are hereby authorized and shall be deemed and held to be the performance of an essential governmental function.

Added by Laws 2003, c. 386, § 2, eff. July 1, 2003.

§74-2123.  Lease, loan, grant, or conveyance of property to international trade processing authority - Development of international trade processing center.

A.  Notwithstanding any other provision of law, other governmental entities are hereby authorized and empowered to lease, lend, grant, or convey to an international trade processing authority at its request, upon such terms and conditions as the proper authorities of such other governmental entities may deem reasonable and fair, and without the necessity for any other action or formality other than the regular and formal action of authorities concerned, any property which may be necessary or convenient to the effectuation of the authorized purposes of the international trade processing authority, including property already devoted to public use.

B.  Each project, when constructed, shall be maintained and kept in good condition and repair by the international trade processing authority.

C.  The Oklahoma Department of Commerce is authorized to aid an international trade processing authority in developing an international trade processing center.

Added by Laws 2003, c. 386, § 3, eff. July 1, 2003.

§74-2200.  Short title.

This act shall be known and may be cited as the "Oklahoma Tourism, Parks and Recreation Enhancement Act".

Added by Laws 2005, c. 363, § 1, eff. Nov. 1, 2005.

§74-2201.  Creation of Commission and Department.

There is hereby created the Oklahoma Tourism and Recreation Commission, hereinafter referred to as the "Commission," and the Oklahoma Tourism and Recreation Department, hereinafter referred to as the "Department".  Whenever, in the Oklahoma State Statutes reference is made to the Governor's Economic Development Commission, the State Department of Commerce and Industry, the Oklahoma Planning and Resources Board, the Oklahoma Industrial Development and Park Commission or the Oklahoma Industrial Development and Park Department, it shall mean hereafter the Oklahoma Tourism and Recreation Commission created by this act, or the Oklahoma Department of Commerce, as the context may require.

Added by Laws 2005, c. 363, § 2, eff. Nov. 1, 2005.

§74-2202.  Purpose of Commission and Department.

A.  It shall be the purpose of the Commission and the Department to:

1.  Conserve and protect the parkland under the control of the Commission;

2.  Oversee the operation and maintenance of the state's lodges and golf courses;

3.  Promote tourism by publicity and dissemination of information;

4.  Assist in promotion of events sponsored by municipalities, associations, and organizations commemorating special events of local or historical interest;

5.  Educate the public on the people, places, events, culture, and history of Oklahoma; and

6.  Function in an advisory capacity to the Governor, State Legislature, state agencies, municipalities, and to private organizations on matters pertaining to tourism and recreation.

B.  The Commission shall determine or set policy for the Department and shall determine the broad plans and programs necessary to accomplish the duties and responsibilities in the Commission.

Added by Laws 2005, c. 363, § 3, eff. Nov. 1, 2005.

§74-2203.  Commission membership - Appointment and tenure - Organization - Meetings.

A.  The Commission shall consist of eight (8) members who shall serve a term of six (6) years.  No more than one Commission member shall be from any one county.  The Lieutenant Governor shall serve as an ex officio voting member of the Commission.

B.  One member shall be appointed from each congressional district, who shall be a resident and a qualified elector in the district from which appointed, and the remaining members shall be appointed from the state at large.  If congressional districts are redrawn each member appointed shall complete the current term of office at which time a new appointment shall be made in compliance with the redrawn congressional district.

C.  Commission members shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve at the pleasure of the Governor.  Whenever a vacancy on the Commission occurs by death, resignation, or otherwise, the Governor shall fill the same by appointment, with the advice and consent of the Senate, and the appointee shall hold office during the unexpired term.  Each member shall hold office until a successor has been appointed and qualified.  Five members of the Commission shall constitute a quorum, and the vote of the majority of members present shall be necessary for any action to be taken by the Commission.  No vacancy in the membership of the Commission shall impair the rights of a quorum to exercise and perform all the rights and duties of the Commission.

D.  No member of the Commission shall seek election to a federal, state, or county office while serving on the Commission.

E.  Each member of the Commission, before serving on the Commission, shall take and subscribe to the constitutional and statutory oaths of office and file said oaths with the Secretary of State.  Members of the Commission shall be reimbursed for travel expenses to Commission meetings as provided in the State Travel Reimbursement Act of the Oklahoma Statutes.

F.  The Commission shall be organized by the Governor who shall appoint from the Commission the Chair, the Vice Chair, and the Secretary.  The Commission is authorized and directed to adopt rules pursuant to the provisions of the Administrative Procedures Act to execute the powers and duties of the Commission and Department.

G.  The Commission may meet monthly and shall meet at least quarterly.  The Commission may meet at such other times as it deems necessary for effectively performing its duties and responsibilities.  Special meetings may be called by the Chair or by any three members of the Commission.  The meetings of the Commission shall be subject to the Oklahoma Open Meeting Act.

H.  The Commission is hereby declared to be a governmental agency and instrumentality of the State of Oklahoma with authority to exercise, in addition to those it now has, the rights, privileges and functions hereinafter specified.

Added by Laws 2005, c. 363, § 4, eff. Nov. 1, 2005.

§74-2204.  Powers, rights and duties of Commission.

There are hereby granted to and imposed in the Commission, and in any commission or body which may hereafter succeed to the powers, rights and duties of the Commission, the following additional powers, rights and duties:

1.  Sue and be sued;

2.  Adopt, use, and alter an official seal;

3.  Make bylaws for the management and regulation of its affairs;

4.  Appoint, prescribe the duties, and fix the compensation for officers, agents, and employees;

5.  Make contracts and execute instruments as in the judgment of the Commission are necessary or convenient to the exercise of the powers conferred upon it by law; and

6.  Promulgate rules and policies necessary and convenient to the exercise of the powers conferred upon it by law.

Added by Laws 2005, c. 363, § 5, eff. Nov. 1, 2005.

§74-2205.  Report on activities of Department.

The Commission shall prepare and submit to the Governor and to the Legislature on the first day of each legislative session a report of the activities of the Department, together with all information and data in the possession of the Department as the Commission shall deem of value to the Governor, the Legislature and the people of the State of Oklahoma.  Each report may contain recommendations for legislation as the Commission may deem necessary to give full effect to all the provisions of the Oklahoma Tourism, Parks and Recreation Enhancement Act.

Added by Laws 2005, c. 363, § 6, eff. Nov. 1, 2005.

§74-2206.  Executive Director as chief executive officer.

The chief executive officer of the Department shall be the Executive Director, who shall be appointed by the Commission and who shall serve at the pleasure of said Commission.  The Executive Director shall be chosen with regard to knowledge, training, experience, and ability to administer the functions of the Department.  The Commission shall establish the salary of the Executive Director.

Added by Laws 2005, c. 363, § 7, eff. Nov. 1, 2005.

§74-2207.  Duties of Executive Director.

Subject to the policies and rules of the Commission, the Executive Director shall:

1.  Organize the Department in a manner to efficiently achieve the objectives of the Commission;

2.  Prepare and submit plans for administering the programs of the Commission;

3.  Prepare a personnel schedule, employ personnel, define duties, appoint technicians and consultants, and fix salaries or compensation;

4.  Administer all policies formulated and adopted by the Commission;

5.  Enter into leases, grant easements and execute such instruments as in the judgment of the Commission are necessary or convenient to the exercise of those powers and duties of the Commission pursuant to the Oklahoma Tourism, Parks and Recreation Enhancement Act.  The Executive Director shall provide a monthly report to the Commission of actions taken as a result of such delegation;

6.  Develop and implement a pay incentive plan for employees of the Department.  Incentive pay shall not be included in the base salary of an employee, and shall be based on the goals and eligibility established by the Commission on an annual basis.  Incentive pay shall not exceed ten percent (10%) of the salary of each eligible employee or the total change in improved financial performance for each facility over the previous fiscal year.  Such compensation shall not be subject to the requirements of Section 840-2.17 of Title 74 of the Oklahoma Statutes.  The Commission shall promulgate rules for the implementation of the plan; and

7.  Authorize any division of the Department to sell advertising in any of the publications of the division, on division property on which advertising is sold in the tourism industry, or on its web site, provided that such advertising shall be approved by the Division Director or designee prior to acceptance for publication.  The sale of advertising and negotiation of rates for the advertising shall not be subject to the Central Purchasing Act or the Administrative Procedures Act.

Added by Laws 2005, c. 363, § 8, eff. Nov. 1, 2005.

§74-2208.  Use of revolving fund.

The Executive Director may authorize the use of revolving fund income for entertainment and promotion expenses of the Department, provided that the expenses are directly related to business development for state-operated or state-owned facilities and the furtherance of tourism in Oklahoma.  In all cases, the expenses shall be approved in advance by the Executive Director, be audited by the fiscal officer for the Department on a monthly basis, and submitted to the Commission as an item for information.

Added by Laws 2005, c. 363, § 9, eff. Nov. 1, 2005.

§74-2209.  Aid and assistance for development of community recreation programs.

The Executive Director may authorize the provision of aid and assistance to the governmental units of Oklahoma or to any nongovernmental agency or organization in planning for the development of community recreation programs.  The Department may act jointly with other state agencies, institutions, departments, boards or commissions, to coordinate the park and recreational functions at the state level of government.

Added by Laws 2005, c. 363, § 10, eff. Nov. 1, 2005.

§74-2210.  Employment of attorney - Duty of Attorney General.

The Executive Director is hereby authorized to employ an attorney as needed, within the total employee limit authorized for the operation of the Department, on a full- or part-time basis, to advise the Commission, the Executive Director and other department personnel on legal matters and to appear for and represent the Commission and the Executive Director in administrative hearings and other legal actions and procedures related to their official duties.  Upon the request of the Commission or the Executive Director, it shall be the duty of the Office of the Attorney General to give an official opinion, prosecute, and defend actions of the Commission or Department.

Added by Laws 2005, c. 363, § 11, eff. Nov. 1, 2005.

§74-2211.  Divisions created.

There are hereby created within the Department the Division of State Parks, the Division of Travel and Tourism, "Oklahoma Today Magazine", and the Division of Administrative Services; provided, however, the Commission shall have authority, by resolution, to create other divisions and may, by resolution, combine or abolish any or all such divisions, as deemed to be necessary to carry out its duties under the Oklahoma Tourism, Parks and Recreation Enhancement Act.

Added by Laws 2005, c. 363, § 12, eff. Nov. 1, 2005.

§74-2212.  Powers, rights and privileges of Commission.

The Commission shall have the authority to exercise the following powers, rights and privileges related to state parks:

1.  Have the exclusive possession and control of, and to operate and maintain for the benefit of the people of the State of Oklahoma all state parks and all lands and other properties now or hereafter owned or leased by the state or Commission for park or recreational purposes;

2.  Acquire by purchase, exchange, lease, gift, condemnation, or in any other manner and to maintain, use and operate any and all property, real, personal or mixed, necessary or convenient to the exercise of the powers, rights, privileges and functions conferred upon it by the Oklahoma Tourism, Parks and Recreation Enhancement Act.  Title to all such property shall be vested in the State of Oklahoma, although such property is sometimes herein referred to as property "of the Commission".  The power of condemnation herein granted shall be exercised in the manner provided by the general laws of the state for the condemnation of property by the state;

3.  Subject to the provisions of the Oklahoma Tourism, Parks and Recreation Enhancement Act, from time to time lease, without restriction as to term, any property which the Commission shall determine to be necessary or convenient to more fully carry into effect the duties and powers of said Commission; and

4.  Acquire, conserve, protect, construct, extend, reduce, improve, maintain and operate any and all facilities of all kinds which in the judgment of the Commission will provide recreational or other facilities for the benefit of the public, or which are necessary or convenient to the exercise of the powers of the Commission.

Added by Laws 2005, c. 363, § 13, eff. Nov. 1, 2005.

§74-2213.  Contracts for feasibility study of property.

The Commission may contract for the study, analysis, and planning as reasonably necessary to aid in determining the feasibility of leasing, selling or privately managing or developing the property or facilities under the control of the Commission.  The Commission shall be exempt from the competitive bidding requirements of the Competitive Bidding Act for the purpose of soliciting, negotiating, and effectuating such a contract or contracts.

Added by Laws 2005, c. 363, § 14, eff. Nov. 1, 2005.

§74-2214.  Contractors - Lessees - Performance bonds.

A.  Any person, natural or corporate, who submits a bid on a contract for work or services, or for the furnishing of materials, equipment, or supplies, or for the sale of any other thing of value where a contract is involved, shall submit, at the time of contract execution, a performance bond in such form and amount as may be required by the Commission, or any existing statutory provision.  Any lessee leasing any portion of a state park, lake, or recreation area under the authority of any law shall submit a performance bond in such form and amount as may be required by the Commission.  All such bonds shall be in such form as is approved by law for other performance bonds made to the State of Oklahoma, and shall be deposited with the Secretary of State.  This section is cumulative to existing law, and is intended to require performance security for contracts and leases involving state parks, lakes, and recreation areas in those instances where no such bonds or other securities are presently required by law.

B.  For the purpose of this section, performance bonds shall include, but not be limited to, cash payments, cashier's checks and irrevocable letters of credit.

Added by Laws 2005, c. 363, § 15, eff. Nov. 1, 2005.

§74-2215.  Division of State Parks - Duties.

The Division of State Parks shall, subject to the policies and rules of the Commission:

1.  Conserve, preserve, plan, supervise, construct, enlarge, reduce, improve, maintain, equip and operate parkland and public recreation facilities including, but not limited to, lodges, cabins, camping sites, scenic trails, picnic sites, golf courses, boating, and swimming facilities under the jurisdiction and control of the Commission.  All facilities in state parks shall be reasonably necessary and useful in promoting the public use of state parks and shall be in accord with the resource management plan for the respective park;

2.  Supervise the management and use of state properties and facilities under the jurisdiction of the Commission, with an emphasis on conserving, protecting, and enhancing the natural, ecological, historic, cultural, and other resources contained in each park and to provide for the public enjoyment of and access to these resources in a manner which will protect them for future generations;

3.  Formulate, establish, maintain, and periodically review with public participation a resource management plan for each state park.  The resource management plan, upon approval by the Commission, shall be considered a guide for the development, utilization, protection, and management of the state park and its natural, cultural, historic, and recreational resources;

4.  Authorize those employees in the Park Manager job family classification series, as established by the Oklahoma Office of Personnel Management, to maintain administrative control over all facilities, programs, operations, services, and employees in the park to which they are assigned; and

5.  Enforce the rules and policies governing the use of and conduct of patrons in all recreational facilities and properties of the Commission.  The Commission may adopt rules to lease concessions in any state-owned facility if the Commission deems it feasible.

Added by Laws 2005, c. 363, § 16, eff. Nov. 1, 2005.

§74-2216.  Park rangers - Duties.

Park Rangers, subject to the policies of the Commission, shall:

1.  Obtain a commission as an officer or employee pursuant to the certification specified in Section 3311 of Title 70 of the Oklahoma Statutes and by the Division of State Parks;

2.  Secure the parks and property of the Department and maintain law and order therein;

3.  Maintain the powers of peace officers except the serving or execution of civil process, have in all parts of the state the same powers with respect to criminal matters and enforcement of the laws relating thereto as sheriffs, highway patrolmen and police officers in their respective jurisdictions and possess all immunities and matters of defense now available or hereafter made available to sheriffs, the highway patrol, and police officers in any suit brought against them resulting from acts done in the course of their employment;

4.  Possess law enforcement jurisdiction over state parks, including all facilities located therein;

5.  Serve a probationary period of twelve (12) months.  The Division of State Parks Director may extend the probationary period for up to three (3) additional months provided that the employee and the Office of Personnel Management are notified in writing as to such action and the reasons therefor.  At any time during a probationary period the employment of a park ranger may be terminated in accordance with Department procedure and at the discretion of the Director of State Parks.  Retention of the employee, after expiration of the probationary period, shall entitle the employee to be classified as a permanent employee;

6.  Provide law enforcement protection and enforcement pursuant to the terms of interlocal agreements authorized by the Commission with other entities of government or federally recognized tribes in the state; and

7.  Remain in the Oklahoma Law Enforcement Retirement System if promoted to the Park Manager job family classification series, provided they maintain their certification specified in Section 3311 of Title 70 of the Oklahoma Statutes, perform the requisite training required by the Chief Park Ranger, and meet all other requirements, policies, and rules of the Department and laws of the state.

Added by Laws 2005, c. 363, § 17, eff. Nov. 1, 2005.

§74-2217.  Public access and use of state parks - Prohibitions.

The public shall have the right to access and use the facilities, services, and programs provided within state parks.

1.  Notwithstanding any other provision of law, no person may:

a. discharge fireworks in any area of a state park unless specified otherwise by the Division of State Parks Director,

b. possess any glass container in a designated and posted swim or beach area within a state park,

c. build a fire within a state park in areas posted as prohibited by the Department,

d. solicit or demand gifts, money, goods or services within a state park,

e. enter a state park with a dog, unless the dog is on a leash, or permit any dog to enter a state park or recreation area under the jurisdiction of the Commission.  It is further provided that any authorized member of the Department or any authorized employee of the Oklahoma Department of Wildlife Conservation may kill any vicious dog found running loose in any state park which poses imminent threat to humans or other animals, or which may be chasing or running any game in the state park.  Any such authorized employees of the Departments shall not be held liable for the killing of said dog,

f. injure, destroy, mutilate or deface any building, structure, sign, rock, tree, shrub, vine, or property, or dispose of any matter which will likely contaminate any swimming pool or other waters on the state park, or take, kill, injure, pursue, hunt, or molest, any wild game animal, or mar or rifle the nest of any bird or the den or nest or abode of any wild animal within any of the state parks, recreational grounds or state monuments now created or which may be hereafter acquired or designated,

g. use or operate motor vehicles, including motorcycles, motorbikes or motor scooters, in areas not specifically posted by the Department, or

h. sell, hawk, or peddle within a state park any goods, wares, merchandise, liquids, edibles, or any item of value, without having a contract or lease agreement approved by the Commission.

2.  Any such violation of the provisions of this section shall be punishable as a misdemeanor, and subject to a fine of not less than Fifty Dollars ($50.00) and no more than Five Hundred Dollars ($500.00), or imprisonment in the county jail for not more than thirty (30) days, or by both such fine and imprisonment.

3.  Fifty percent (50%) of all monies collected pursuant to this section shall be deposited in the Oklahoma Tourism and Recreation Department Revolving Fund and fifty percent (50%) shall be remitted to the county in which the violation is made.

Added by Laws 2005, c. 363, § 18, eff. Nov. 1, 2005.

§74-2218.  Regulation of waterways.

Authorized park personnel are authorized to inspect boats, issue permits for the operation of watercraft of all kinds, charge and collect fees for the inspection and for the operation of such craft, prescribing the type, style, location and equipment of all wharves, docks and anchorages, pavilions, restaurants and other structures or buildings which may be constructed along shores or upon the waters of any body of water or upon other property controlled by the Commission and providing for the licensing, inspection and supervision of same, and granting and imposing charges for permits and for all commercial uses or purposes to which any of the properties of the Commission or any structures or buildings located on property of the Commission may be used.

Added by Laws 2005, c. 363, § 19, eff. Nov. 1, 2005.

§74-2219.  Oil and gas leases - Mining leases - Sale and execution.

A.  The Commission may offer for sale, sell and execute oil and gas leases, and other mineral and mining leases, on any of the lands of the state under the control and supervision of the Commission, provided, the development of land for the purpose leased shall not unduly interfere with the purpose for which the land is being used by the state.

B.  The Commission may promulgate additional rules, as are necessary and for the best interest of the state to facilitate the sale of the leases.  The Chair of the Commission shall execute the leases for and on behalf of the Commission, and the Chair shall be liable on the official bond for failure to faithfully discharge such duties.  The sale of leases shall be made upon the basis of a retained royalty of not less than one-eighth (1/8) of all oil, gas, casinghead gas, and other minerals produced from the lands covered by the leases and any additional cash bonus procured.  Provided, however, if the state owns less than one hundred percent (100%) of the oil, gas, casinghead gas and other minerals covered by any such lease, the royalty retained shall not be less than oneeighth (1/8) of the mineral interest.

C.  All leases shall contain a provision that in the event of the discovery of natural gas, the gas shall be furnished free of charge to any state institution now or hereafter located upon the lands covered by the lease.  Leases shall be sold only after advertisement for a period of three (3) weeks in a legal newspaper published and of general circulation in the county in which the lands are located.  A sale shall be made to the highest and best bidder and all bids shall be in sealed envelopes which shall be opened and considered at the same time.  The Commission may reject any and all bids and readvertise any leases for sale.

D.  Revenues derived from the sale of oil and gas leases and other mineral leases shall be dedicated to the improvement of state park facilities and property to include, but not limited to, the conservation, protection, and rehabilitation of state parkland, the preservation of historic properties under the jurisdiction of the Commission, and master planning of state park properties.

Added by Laws 2005, c. 363, § 20, eff. Nov. 1, 2005.

§74-2220.  Rates and fees for services, facilities and commodities.

A.  The Commission may prescribe and collect reasonable rates and fees pursuant to the provisions of this section for the services, facilities and commodities rendered by all property of the Commission.

1.  The Commission may establish maximum rates for rooms at the state lodges and cabins, for recreational activities, for recreational vehicles and camping sites, and for community facilities under control of the Commission.  The method whereby the rates are determined shall be promulgated pursuant to Article I of the Administrative Procedures Act.  At least twenty (20) days prior to the adoption or approval of any rate changes by the Commission, the Department shall submit a copy of the proposed rates, for informational purposes, to the Governor, Speaker of the House of Representatives and President Pro Tempore of the Senate.  Any change in the rates during the year when the Legislature is not in session shall be reported in writing to the Governor, Speaker of the House of Representatives and President Pro Tempore of the Senate within five (5) business days of such Commission action.

2.  The Commission may establish maximum charges for all activities at state-owned golf courses.  The charges may vary among the different golf courses according to the practices of the golf industry.  The method whereby the maximum charges are determined shall be in accordance with rules promulgated pursuant to Article I of the Administrative Procedures Act.  At least twenty (20) days prior to the adoption or approval of any rate changes by the Commission, the Department shall submit a copy of such proposed charges, for informational purposes, to the Governor, Speaker of the House of Representatives and President Pro Tempore of the Senate.

3.  The Commission may establish entrance or day-use charges for the state park system.  All monies collected from entrance or day-use charges shall be used for the capital improvements at the state parks where the charges were collected.  The Commission may establish an annual pass for visitors.  The method whereby the maximum charges are determined, sold, and collected shall be in accordance with rules promulgated pursuant to Article I of the Administrative Procedures Act.  At least twenty (20) days prior to the adoption or approval of any rate changes by the Commission, the Department shall submit a copy of such proposed charges, for informational purposes, to the Governor, Speaker of the House of Representatives and President Pro Tempore of the Senate.

4.  Fees shall be promulgated pursuant to Article I of the Administrative Procedures Act.

5.  Fees may reflect the seasonal usage of the parks and facilities and for promotional purposes and goals.

B.  All fees, licenses and other charges shall be posted in a convenient place in each park.  Every person using any of the facilities in a park shall be charged the same fees, licenses and every other charge except:

1.  Residents of this state sixty-two (62) years of age and over and their spouses, and nonresidents sixty-two (62) years of age and over and their spouses.  The Commission may promulgate rules establishing different fees for residents and nonresidents specified in this paragraph.  Identification may be established by presentation of proof of age, residency, a state driver license, a state license for identification only, birth certificate or any other form of identification authorized by the Commission;

2.  Individuals who have been certified as totally disabled under state or federal law and their spouses shall be entitled to a fifty percent (50%) reduction of fees which apply to recreational use facilities;

3.  Children's groups, volunteer groups as specified by the Commission, or governmental entities that provide beneficial services at the facility for which the fee may be reduced or waived; and

4.  Special discount rates as authorized in this section may be waived for individuals who are members of a group being provided a special group rate as allowed by law.

C.  The failure to collect such fees, licenses and other charges shall subject an employee of the Commission to a fine of Twenty-five Dollars ($25.00) for each and every violation.

Added by Laws 2005, c. 363, § 21, eff. Nov. 1, 2005.

§74-2221.  Promotion of state facilities.

A.  The Commission, through the Department, is authorized to promote state-owned, leased, or operated facilities.  The Department may utilize specific promotion programs such as the provision of complimentary rooms, package-rate plans, group rates, guest incentive sales programs, entertainment of prospective guests, employee-information programs, golf promotional programs as well as other sales and promotion programs considered acceptable in the hospitality industry, in the travel industry, or the regional magazine industry are approved as necessary advertising and promotion expenses.

B.  In order to best carry out the duties and responsibilities of the Department and to serve the people of the state in the promotion of tourism and tourism economic development, the Department may enter into partnerships for promotional programs and projects with a private person, firm, corporation, organization or association.  The Department may enter into contracts or agreements under terms to be mutually agreed upon to carry out the promotional programs and projects, excluding the advertising contract by the Department which utilizes the Tourism Promotion Tax or acquisition of land or buildings.  The contracts or agreements may be negotiated and shall not be subject to the provisions of the Oklahoma Central Purchasing Act or the Public Competitive Bidding Act of 1974.

C.  All contracts or agreements entered into as partnerships for promotional projects or programs by the Department shall be approved by the Commission.

Added by Laws 2005, c. 363, § 22, eff. Nov. 1, 2005.

§74-2222.  Sale of surplus real estate within Cedar Creek area of Hochatown State Park.

A.  The Commission may sell real estate owned by the State of Oklahoma or the Department that is surplus to its use and under the jurisdiction of the Commission located within McCurtain County and situated within the Cedar Creek area of Hochatown State Park.

B.  The Commission and Department shall not be subject to the provisions of Section 129.4 of Title 74 of the Oklahoma Statutes for the sale.  All monies received from the sale of the property, except those monies necessary to pay the expenses incurred pursuant to the sale, shall be deposited in the Oklahoma Tourism and Recreation Department Revolving Fund 215 ("215 Fund").  Revenue derived from such real estate sale deposited to the fund shall be utilized for the benefit of Hochatown State Park or Beavers Bend State Park.  Such real estate sale shall not be subject to the provisions of Section 456.7 of Title 74 of the Oklahoma Statutes.

Added by Laws 2005, c. 363, § 23, eff. Nov. 1, 2005.

§74-2223.  Sale of property within Texoma State Park - Replacement of campground land.

A.  The Commission may sell real estate and personal property owned or acquired by the State of Oklahoma or the Department, now or in the future, and under the jurisdiction of the Commission located within Marshall County and situated within Texoma State Park.

B.  The sale of real estate and personal property authorized pursuant to subsection A of this section shall be subject to all existing easements and reservations of record.  The Commission or Department shall transfer any interests held including, but not limited to licenses, operating permits and leasehold interests to a subsequent purchaser.

C.  The Commission and Department shall not be subject to the provisions of Section 129.4 of Title 74 of the Oklahoma Statutes for such sale.  All monies received from the sale of these properties, except those monies necessary to pay the expenses incurred pursuant to the sale, shall be deposited in the Oklahoma Tourism and Recreation Department Revolving Fund 215 ("215 Fund").  Revenue derived from such real estate and personal property sale deposited to the fund shall be utilized for the benefit of the state park system.  Such real estate and personal property sale shall not be subject to the provisions of Section 456.7 of Title 74 of the Oklahoma Statutes.

D.  For every developed acre of land containing recreational vehicle campgrounds and other campgrounds that is sold pursuant to this section, an equivalent amount of replacement land shall be selected by the Oklahoma Tourism and Recreation Department in a suitable area at Lake Texoma or in the vicinity, and developed to provide comparable outdoor public recreation facilities for operation as part of the Oklahoma state park system.

Added by Laws 2005, c. 363, § 24, eff. Nov. 1, 2005.

§74-2224.  Transfer of property to cities, counties or agencies.

The Commission may transfer to any city, county, or other agency of government, which is a willing recipient, its interest in real and personal property owned by the State of Oklahoma or the Department and operated and maintained under the jurisdiction of the Commission.  Such real estate transfers shall not be subject to Section 456.7 or 129.4 of Title 74 of the Oklahoma Statutes or any provision of state law relative to disposition of real estate.  Such real estate transfers shall be subject to the following provisions:

1.  The city, county or other agency recipient shall agree to accept the interest transferred by the state, accept responsibility for the property, and use the real estate for public recreation purposes in accordance with the Land and Water Conservation Fund Act of 1965, Public Law 88-578, 78 U.S.C., Section 897;

2.  The city, county or other agency recipient shall not dispose of the property unless substitute property is provided that is equivalent in value and usefulness;

3.  The Commission shall transfer the property to the recipient by quit claim deed or other instrument as may be appropriate;

4.  The consideration for the property transfer shall be the agreement of the recipient to continue public recreation use of the property and to manage the property without an operating subsidy from the Department or Commission;

5.  The real estate transfer shall be subject to all existing easements and reservations of record; and

6.  The Commission shall provide written notice to the President Pro Tempore of the Senate and the Speaker of the House of Representatives detailing any such proposed transfer agreement to be entered into pursuant to this section no later than thirty (30) days prior to the first day of the legislative session.  The Commission shall approve such proposed transfer during the legislative session to be effective at the beginning of the next fiscal year, contingent upon the approval of the proposed transfer by the Legislature.

Added by Laws 2005, c. 363, § 25, eff. Nov. 1, 2005.

§74-2225.  Not-for-profit foundations - Support of state parks.

A.  The Oklahoma Tourism and Recreation Commission is encouraged to explore the potential benefits of not-for-profit foundations for support of state parks.  Such support from a not-for-profit foundation shall not substitute for the obligation of the state to support the natural resources infrastructure of the state, but shall serve only as a supplement to state funding and as a means to further assist the Oklahoma Tourism and Recreation Department in preserving the natural resources and historical, educational, and cultural facilities of significance in the state.

B.  There is hereby authorized the establishment of a not-for-profit state park foundation for the purpose of encouraging contributions by private individuals, companies, foundations, corporations, and others in the private and public sectors.  Contributions shall be utilized for the support, preservation, and development of state park properties.  This support, preservation, and development shall include, but is not limited to, preservation of historic facilities, development of educational and interpretive programs, materials, and other means of support.

C.  As used in this section, a "state park foundation" means any company, trust, corporation, or association:

1.  That solicits money or property in the name of any state park under the jurisdiction of the Commission; and

2.  Which is exempt from federal income taxes.

D.  The Commission may refuse to accept any grant, award, or donation of real or personal property offered by or through a state park foundation.

E.  No employee of the Department shall be a voting member of a state park foundation board.  Members of the Commission may serve on the board of a state park foundation, but shall not constitute a majority of the members of the board of the foundation.  No member of the Commission serving on the board or an employee of the Department serving as an ex officio member of the board shall be compensated by the foundation for service as a member of the foundation board.

F.  A state park foundation created pursuant to this section shall not be an entity of state government.  No state funds shall be deposited in any account owned or controlled by a state park foundation.

Added by Laws 2005, c. 363, § 26, eff. Nov. 1, 2005.

§74-2226.  Roads and parking areas.

The Oklahoma Transportation Commission shall construct, maintain and repair those roads and parking areas in state parks as specified by the Commission.

Added by Laws 2005, c. 363, § 27, eff. Nov. 1, 2005.

§74-2227.  State parks as state game refuges.

All state parks are hereby declared to be a state game refuge and the Oklahoma Wildlife Conservation Commission shall stock all state parks with game and fish in the same manner as other state game refuges.

Added by Laws 2005, c. 363, § 28, eff. Nov. 1, 2005.

§74-2228.  Hunting in designated state parks.

The Oklahoma Wildlife Conservation Commission and the Oklahoma Tourism and Recreation Commission may authorize, by written agreement or agreements between the Commissions, hunting in designated state parks or designated portions of state parks under the administrative control of the Oklahoma Tourism and Recreation Commission, excluding Lake Murray State Park.  The agreement or agreements shall be made with the advice of the Attorney General's office and shall contain the duration, terms and conditions of the hunting authorization, a list of species to be hunted and permitted firearms, a map designating the specific land areas to be open to hunting and shall provide for the administration of the designated area or areas by the Oklahoma Wildlife Conservation Commission for so long as hunting is authorized under the provisions of the agreement or agreements.  All areas to be open to hunting shall be clearly marked by signs to designate the open and closed areas.

Added by Laws 2005, c. 363, § 29, eff. Nov. 1, 2005.

§74-2229.  Turner Falls State Park.

The Commission is authorized to negotiate with the duly constituted authorities of the municipal corporation of Davis, in Murray County, to purchase from the municipal corporation the property now owned by it and known as Turner Falls, and other contiguous properties in Murray County, for a state park, provided that said municipal authorities shall, by resolution, declare said property no longer suitable for municipal park purposes and beyond the fiscal means of the corporation properly to maintain as such.  In the event of said purchase, the property shall be known as Turner Falls State Park.

Added by Laws 2005, c. 363, § 30, eff. Nov. 1, 2005.

§74-2230.  Division of Travel and Tourism.

A.  The Division of Travel and Tourism shall:

1.  Encourage the orderly growth and development of tourism to and within the state by preparing and maintaining a comprehensive five-year travel development master plan and supporting marketing plan jointly with the private sector;

2.  Create and convey an accurate, responsible, and elevated image of the state and its natural, cultural, historical, and recreational attractions and events;

3.  Organize, coordinate, and conduct state, regional, national, and international marketing programs to increase the number of domestic and international travelers to Oklahoma;

4.  Create, develop, produce, distribute, implement, and evaluate the effectiveness of public information programs, including publicity, brochures, public relations activities, film and slide production, still and audio visual photography, digital and electronic media, public service programs, advertising, and other informational aids for the promotion of tourism to the general public and the media;

5.  Coordinate, advise and provide technical assistance to cities, counties, and regional tourism organizations in the state in the planning, development, and execution of tourism programs;

6.  Cooperate and participate with neighboring states and the federal government to promote travel from domestic and international markets;

7.  Develop and partner with other entities of government and private entities to obtain timely research data to measure traveler volume and economic impact, determine traveler profiles, evaluate, and analyze market and advertising effectiveness;

8.  Plan, coordinate, and conduct statewide conferences, seminars, and workshops to inform and educate representatives from the public and private sector in the state about programs and travel trends which affect the tourism industry;

9.  Provide organization and coordination assistance to public and private tourism promotion organizations for participation in cooperative advertising and promotion opportunities with the Department, including travel trade marketplaces, consumer sport, travel, and recreation shows within and outside the state;

10.  Administer matching grant programs to multicounty organizations which promote travel and tourism to their areas of the state that are consistent and coordinated with the statewide travel marketing plan; and

11.  Assist other state agencies with special tourism promotion projects, development of professional training opportunities and other projects which provide services to travelers.

B.  The Division may facilitate travel to and within the state by encouraging development of a tourism industry infrastructure which provides investment incentives to tourism businesses and tourism product development.

C.  The Division may contract with professionally qualified companies or individuals for services to assist in the development and production of advertising, promotion, publicity, and public relations programs, primary and secondary research data collection including analysis of state travel marketing programs and economic impact information.

D.  The Division may plan, construct, lease, operate, and maintain state-of-the-art tourism information centers and a central fulfillment warehouse.  The centers shall be utilized for the purpose of providing services, selling merchandise, and distributing information to travelers on the tourism facilities and opportunities in the state.

E.  The Division may, upon approval of the Commission, lease for a reasonable rate, retail and advertising space in state-operated tourism information centers.  A performance bond, certificate of deposit, letter of credit, or cash equivalent, may be required by the Commission on any such lease.

Added by Laws 2005, c. 363, § 31, eff. Nov. 1, 2005.

§74-2231.  Confidential lists and information.

The Department may keep confidential prospect lists, booking lists, subscriber lists, permission marketing lists, or personal information provided to the Department.

Added by Laws 2005, c. 363, § 32, eff. Nov. 1, 2005.

§74-2232.  Annual statewide tourism and recreation industry conference.

The Commission, through the Department, may sponsor, promote and implement an annual statewide tourism and recreation industry conference to promote the tourism and recreation industry.  The Department is authorized to partner with private entities for the administration and execution of the conference.  The Department is hereby authorized to charge registration and exhibit space fees necessary to cover the costs of the conference and shall deposit the fees plus any other conference proceeds, including donated funds, into an agency special account to be created by the Special Agency Account Board.  Expenditure of monies from the agency special account shall be for purposes incidental to the tourism and recreation industry conference, and be approved by the Commission.

Added by Laws 2005, c. 363, § 33, eff. Nov. 1, 2005.

§74-2233.  Preparation and distribution of publicity, advertising and informational materials.

All state agencies and state-owned information centers may:

1.  Distribute publicity, advertising and informational materials about state-owned, local government-owned, tribally owned, or privately owned museums, buildings, sites, attractions and points of interest within the State of Oklahoma, whether agencies be industrial, commercial, governmental, educational, cultural, recreational, agricultural or business in nature; and

2.  Assist public and private agencies in the preparation of informational and publicity programs designed to inform and attract business, industry and tourism to the state.

Added by Laws 2005, c. 363, § 34, eff. Nov. 1, 2005.

§74-2234.  Administration of matching funds for allowable expenses of multicounty organizations.

A.  The Department, with the approval of the Commission, shall develop rules to administer any of the matching funds derived from the Department for the allowable expenditures of multicounty organizations.  The rules shall be developed in accordance with this section and shall be adopted by the Commission.  As used in the Oklahoma Tourism, Parks and Recreation Enhancement Act:

1.  "Multicounty organization" means a nonprofit organization which satisfies the following requirements:

a. its primary purpose is to promote the tourism attributes of a multiple-county region which is identified as a tourism "country" or "lake" area, or any other organization participating in the matching funds program on July 1, 2001,

b. it is governed by a board of directors elected by the membership of the organization,

c. it is governed by a board of directors which equitably represents the counties within the multiple-county region,

d. it has an administrator of operations position who is not an elected director,

e. it utilizes income from private sector sources as the basis for funding its administrative and promotion expenses, and

f. it has provided to the Department an independent and certified financial-related audit for the preceding fiscal year;

2.  "Administrative expenditure" means expenditures for the administration of fund raising and tourism promotion.  Administrative expenditures shall include salaries, payroll taxes, insurance, personal services contracts, travel expenses not to exceed the amounts provided in the State Travel Reimbursement Act, rent, lease or purchase of facilities, office supplies, telephone and electronic communications and multicounty organization audit costs;

3.  "Allowable expenditures" means expenditures by a multicounty organization submitted to the Department for matching funds in accordance with the provisions of this section and the rules promulgated by the Commission;

4.  "Discretionary expenditure" means those expenditures by multicounty organizations for which matching funds are not requested.  Discretionary expenditures are not subject to the limiting provisions of this section and the rules promulgated by the Commission;

5.  "Independent and certified audit" means a financial-related audit performed in accordance with Generally Accepted Government Auditing Standards, issued by the Comptroller General of the United States.  The scope of the audit shall, at a minimum, consist of a statement of revenue and expenditures and shall include the specific requirements identified in this section and the rules promulgated by the Commission; and

6.  "Tourism promotion expenditure" means an expenditure for the preparation, printing, publication and distribution of media advertising in brochures, news and publicity materials, travel posters, mailing pieces, newspapers, magazines, television, radio, billboards, advertising and promotional specialties, exhibit space and displays at trade shows and conventions and the expenses for operating such exhibits, including travel expenses, not to exceed amounts provided for in the State Travel Reimbursement Act, the cost of a travel writer, travel agent, tour broker and tour operator familiarization tours into the State of Oklahoma, and registration fees for an annual tourism and recreation industry conference with the purpose of attracting tourists or generating travel or tourism activity within the state or multicounty organization areas.  The amount expended within the multicounty organization area for tourism promotion shall not exceed fifty percent (50%) of the total of allowable expenditures and allocated matching funds.

B.  It is the intent of the Legislature to encourage the promotion of tourism by multicounty organizations in cooperation with the statewide program of the Department.  Allowable administrative expenditures by multicounty organizations shall not exceed forty percent (40%) of the lesser of either the total amount allocated, including reallocations, to the organization from appropriations made by the Legislature or the total of the matched expenditures.  The limitation on administrative expenditures applies only to those expenditures submitted for matching with state-appropriated funds.

C.  With the exception of those organizations identified as "country" or "lake" associations participating in the matching funds program on July 1, 2001, not more than one organization representing a recognized "country" or "lake" area shall be eligible to receive matching funds.

D.  Matching funds for the allowable expenditures shall be based upon actual expenditures by the multicounty organization less any discount, refund, or rebate to the multicounty organization.  Multicounty organizations shall use a State of Oklahoma Notarized Claim Form with all applicable statements and affidavits to request matching funds for the allowable expenditures.

E.  In order for a multicounty organization to receive matching funds for expenditures incurred to publish and distribute a promotional periodical emphasizing the attractions, landmarks, activities, geographical features and other characteristics of counties within the multicounty organization's area of responsibility, the multicounty organization shall be subject to the following requirements:

1.  Maintain an account with a financial institution subject to the regulatory control of a state or federal financial regulatory entity for the deposit and withdrawal of all funds collected by or on behalf of the multicounty organization;

2.  Prepare an annual Statement of Income and Expense showing all deposits to the account maintained with the financial institution and all withdrawals from the account with the financial institution for the period covered by the annual income and expense statement;

3.  May enter into a contract with a person or legally organized business entity for the solicitation of advertising revenue in a promotional periodical publication and for the publication and distribution of the periodical emphasizing the attributes of sites, scenes, businesses and attractions located within the area for which the multicounty organization is responsible if:

a. the person or legally organized business entity provides a detailed written disclosure to the multicounty organization of its actual costs incurred in performance of the contract on a periodic basis during the period prescribed in the contract for performance which disclosure shall be at least quarterly,

b. the multicounty organization ensures that the actual cost of publication for the promotional periodical is printed in at least 10-point type somewhere in the body of the publication,

c. the multicounty organization ensures that the person or legally organized business entity performing services on behalf of the multicounty organization identifies to the multicounty organization each purchaser of advertising in the multicounty organization promotional periodical, the amount of money paid for advertising in the promotional periodical, and the size or other relevant characteristics of the material purchased for publication in the promotional periodical,

d. the person or legally organized business entity soliciting advertising revenue may not advance or deposit their own funds as a means of securing matching state funds, and such acts shall be deemed as fraud, subject to prosecution, and

e. the multicounty organization and the person or legally organized business entity acting on behalf of the multicounty organization both execute a statement, upon a form to be prescribed by the State Auditor and Inspector, under oath, that any funds being requested from the Department for matching of an allowable expenditure as authorized by this section represent an amount of money equal to an amount of money that has previously been deposited into the account maintained by the multicounty organization as of the date the request for matching funds is made.  The statement shall include the identity of each purchaser of advertising in the multicounty organization promotional periodical and the amount of money paid for advertising in the periodical together with the other information required by subparagraph c of this paragraph.  The statement shall also include a verification that the funds collected by or on behalf of the multicounty organization were expended for:

(1) a legitimate operational expense of the multicounty organization,

(2) the purpose of obtaining matching funds as authorized by this section, or

(3) a promotional event sponsored, conducted or organized by the multicounty organization for attracting attention to a specific location or occasion in furtherance of a purpose of the multicounty organization.

F.  1.  Each multicounty organization shall prepare and submit appropriate plans, including a budget work program, for the ensuing fiscal year to the Commission.  Expenditures for obligations incurred before the Commission approves the multicounty organizations' plans and budget work programs and any changes thereto, and expenditures not in accordance with the multicounty organizations' plans and budget work programs, shall not be allowable expenditures.  The approval by the Commission of a multicounty organization budget work program constitutes a firm commitment of the multicounty organization's appropriated funds, subject to any fiscal year limitation, except that the Commission may reallocate unobligated funds as provided by law.

2.  Any funds collected on behalf of the multicounty organization for advertisements in the promotional periodical shall be paid to the multicounty organization within twenty (20) working days after collection by any entity acting on behalf of the multicounty organization for solicitation of advertising revenue.  The multicounty organization shall deposit any funds paid to it within five (5) working days of receipt.

G.  Each multicounty organization shall be required to submit an annual independent and certified audit of the multicounty organization.  The audits shall encompass all funds available to the multicounty organization.  The audit report shall include a statement of Income and Expense and, at a minimum, encompass all monies received by the multicounty organization and all matched expenditures reimbursed to the multicounty organization.  Revenue reported shall include all advertising revenue received and define all other individual sources of revenue.  The names and addresses of and amounts received from each advertiser shall be included as an unaudited supplemental schedule to the audit report.

H.  The person or entity engaged to perform the audit required by subsection G of this section shall:

1.  Not be the same person or entity that performs bookkeeping, controllership or management functions, or other accounting services for the multicounty organization;

2.  Be registered with the Oklahoma Accountancy Board and possess a license to practice; and

3.  File a copy of the audit performed on behalf of a multicounty organization with the State Auditor and Inspector.

I.  Failure to submit an audit report shall be cause for withholding of matching funds to a multicounty organization.  Audit reports showing matching by any amount in excess of the allowable expenditures, matching for unallowable expenditures, or noncompliance with statutes, procedures prescribed herein, or in rules promulgated by the Commission shall be cause for withholding of matching funds until such time as restitution is made to the Department.

J.  The State Auditor and Inspector shall conduct an office examination of the audits filed pursuant to paragraph 3 of subsection H of this section on an annual basis.  The examination shall include analysis of the quality of the audit performed and shall include written recommendations for modifications in future audits conducted on behalf of a multicounty organization.

Added by Laws 2005, c. 363, § 35, eff. Nov. 1, 2005.

§74-2235.  Deduction of obligations to state from multicounty organization matching funds.

Prior to the expenditure of matching funds to any multicounty organization pursuant to the Oklahoma Tourism, Parks and Recreation Enhancement Act, the Department shall deduct from the matching funds the amount of any and all obligations due and owing to the state by the multicounty organization.

Added by Laws 2005, c. 363, § 36, eff. Nov. 1, 2005.

§74-2236.  Office of the Oklahoma Film and Music Commission.

A.  There is hereby created within the Department, the Office of the Oklahoma Film and Music Commission.  The Office shall have the primary responsibility in state government for promoting the state as a location for producing motion pictures, television programs, videos and recording or performing music.  The Office shall assist the motion picture, television and video film and music industries by providing production contacts in the state, suggesting possible filming, performing, publishing, and recording locations, and other activities that may be required to promote the state as a filming and music center.  The Office shall develop resource guides, a database, and a web site.  The Office shall develop listings of music festivals and music events being held in Oklahoma.

B.  1.  There is hereby established within the Department, the Oklahoma Film and Music Commission which shall consist of the Lieutenant Governor, who shall serve as an ex officio member and as chair of the Commission, and eleven (11) members appointed by the Director of the Department.  Appointed members shall serve two-year terms.  Five appointed members shall have experience in the development and implementation of economic development programs.  Three appointed members shall possess a broad working knowledge of the film industry.  Three appointed members shall possess a broad working knowledge of the music industry.

2.  The Oklahoma Film and Music Commission shall have the following responsibilities:

a. focus the film-and-music-industry-related activities and functions of the Office of the Oklahoma Film and Music Commission to provide the maximum economic development impact to the State of Oklahoma,

b. promote the film and music industries to local communities,

c. solicit input annually from a cross section of the public including industry, business, and community leaders,

d. along with the Oklahoma Music Hall of Fame, serve as a clearinghouse for the Oklahoma music industry using databases which it develops and maintains,

e. along with the Oklahoma Music Hall of Fame, promote Oklahoma music and musicians to a national and international audience,

f. assist the Office of the Oklahoma Film and Music Commission in developing a marketing plan and a production manual, and

g. assist the Office of the Oklahoma Film and Music Commission in the preparation of the annual report.

C.  The Office of the Oklahoma Film and Music Commission shall cooperate with other state and local offices as required to promote the film and music industries in this state.

D.  The Office of the Oklahoma Film and Music Commission shall submit an annual report to the Governor, the Speaker of the House of Representatives, and the President Pro Tempore of the Senate prior to July 1 of each year regarding the activities of the Office.  The report shall state the number of filming productions that the Office has helped bring to the state and the economic impact of those productions, and provide similar information concerning the efforts of the Office to promote the music industry in this state.

Added by Laws 2005, c. 363, § 37, eff. Nov. 1, 2005.

§74-2237.  Sale of advertising.

A.  "Oklahoma Today Magazine" is hereby authorized to sell advertising.  All advertising shall be approved by the appropriate division director prior to acceptance for publication.

B.  In addition to a regular salary, any employee of the "Oklahoma Today Magazine" who obtains advertising, bulk subscription, newsstand, or ancillary product sales, for "Oklahoma Today Magazine", at the discretion of the Executive Director, may be awarded additional compensation in the form of a commission on net sales by the employee.  The commission shall not exceed twenty-five percent (25%), with the commission percentage to be determined by the Executive Director.  In no case shall the additional compensation, when combined with the salary of the employee, exceed ninety-five percent (95%) of the salary of the Executive Director.  Commission payments shall be paid monthly, based on collected revenues from sales by the employee.

C.  The sale of advertising and negotiation of rates for the advertising shall not be subject to the Public Competitive Bidding Act of 1974 or the Administrative Procedures Act.

D.  "Oklahoma Today Magazine" articles, and photographs produced by or for "Oklahoma Today Magazine", shall be available for public inspection during Department business hours.  The Department shall not be required to provide copies or allow copying of the magazine, articles, or photographs other than as the Department provides copies of "Oklahoma Today Magazine" for newsstand and subscription sales.

Added by Laws 2005, c. 363, § 38, eff. Nov. 1, 2005.

§74-2238.  Oklahoma Today Magazine Foundation.

A.  The Oklahoma Today Magazine Foundation is hereby created to encourage contributions by private individuals, companies, foundations, corporations and others in the private and public sectors by cooperating with a public, nonprofit foundation.  The foundation shall operate for the exclusive purpose of receiving, investing and expending privately donated nonstate funds for educational, cultural, historical and eleemosynary activities and functions which relate to the support, promotion, development and growth of literacy and awareness of Oklahoma history and culture through "Oklahoma Today Magazine" and its ancillary products and activities.

B.  The Foundation shall make all its financial records and documents, including work papers, except for the names of donors, available to auditors who are performing audits of the Department.

Added by Laws 2005, c. 363, § 39, eff. Nov. 1, 2005.

§74-2239.  Resale merchandise and certain service payments exempt from Central Purchasing Act.

Merchandise for resale purchased for and sold through "Oklahoma Today Magazine" or in Department retail outlets, such as golf course pro shops, marinas, restaurants, and other support facilities which are necessary for the efficient and economical operation of Department-operated facilities and programs and production of merchandise for resale, are exempt from the Central Purchasing Act.  Payment for services of writers, artists, photographers or others involved in the artistic production of "Oklahoma Today Magazine" and other products produced by the magazine such as separators, prepress houses, film houses and shippers of artistic and resale merchandise shall also be exempt from the Central Purchasing Act.

Added by Laws 2005, c. 363, § 40, eff. Nov. 1, 2005.

§74-2240.  Cost and revenue reporting system - Department audit - Prohibited acts and penalties.

A.  The Oklahoma Tourism and Recreation Department shall establish a cost and revenue reporting system for all budget activities and subactivities of the Department.

B.  1.  The State Auditor and Inspector or a designated agent of the State Auditor and Inspector shall perform an independent audit of the Department annually.  The audit shall be conducted in accordance with the Generally Accepted Government Auditing Standards as issued by the Comptroller General of the United States.  The cost of the audit shall be borne by the Department.

2.  Matters to be considered in determining the types of activities to be audited and the scope of the audit shall be based on an analysis of:

a. the date and results of prior audits, reviews, and/or independent studies,

b. financial exposure,

c. potential loss and risk,

d. requests by the Commission and/or executive management of the Department,

e. major changes in operations, programs, systems, and controls, and

f. opportunities to achieve operating benefits.

The audit may be conducted in accordance with Section 213.2 of Title 74 of the Oklahoma Statutes.

3.  The internal auditors of the Department shall conduct internal audits of Department facilities and programs pursuant to the provisions of Section 228 of Title 74 of the Oklahoma Statutes.

4.  The audits required by this section shall be completed on or before December 31 of each year and shall, upon distribution, become public record.

C.  Any person who intentionally alters or destroys records needed for the performance of an audit as provided for in this section or intentionally causes or directs a subordinate to do such acts, shall be subject to immediate removal from office or employment.

D.  The Commission shall provide notice to Department employees affected by this section of the prohibited acts and the penalties pursuant to the provisions of this section.

Added by Laws 2005, c. 363, § 41, eff. Nov. 1, 2005.

§74-2241.  Seasonal employees.

A.  For the purposes of the Oklahoma Tourism, Parks and Recreation Enhancement Act, seasonal employees shall be unclassified employees working less than one thousand two hundred (1,200) hours in any twelve-month period.  This category of employee may be employed on an intermittent, provisional, temporary, seasonal, or emergency basis.

B.  The Department may employ seasonal employees throughout the calendar year.  Project labor employed by the Department for a period of time necessary to complete a project shall be in the unclassified service of the state as provided by the Oklahoma Personnel Act of the Oklahoma Statutes.  Such employees shall not be entitled to paid leave, paid holidays, retirement, health, dental or life insurance, and shall be exempt from any laws, rules or practices providing for such benefits.

C.  The Department, in its annual budget request, shall include a summary of the use of project labor, which shall include the number of workers employed under the provisions of this section and the total wages paid to these employees.

Added by Laws 2005, c. 363, § 42, eff. Nov. 1, 2005.

§74-2242.  Positions in unclassified service.

A.  The offices and positions of the Executive Director, the Deputy Director, Directors of the Divisions of the Department herein created, and administrative assistant of each shall be in the unclassified service and shall not be subject to the Merit System of Personnel Administration.

B.  The following positions in the Travel and Tourism Division within the Department filled after the effective date of the Oklahoma Tourism, Parks and Recreation Enhancement Act shall be in the unclassified service:

1.  All positions in the Traveler Response Information Program;  

2.  All professional or managerial positions in the Division, except those in the tourism information centers;  

3.  Any position associated with the development and production of "Oklahoma Today Magazine"; and

4.  Any position in the Division of State Parks utilized in the operation and administration of state resorts, cabins, lodges, and golf courses.

Added by Laws 2005, c. 363, § 43, eff. Nov. 1, 2005.

§74-2243.  Limitation on fund expenditures.

Expenditure of funds for all purchases in excess of Twenty-five Thousand Dollars ($25,000.00) shall not be contracted except upon approval of a majority of the Commission.  The amount exempted by paragraph 1 of subsection A of Section 85.7 of Title 74 of the Oklahoma Statutes shall apply to each separate department facility as identified by the annual budget submitted to the Office of State Finance pursuant to Section 41.7 of Title 62 of the Oklahoma Statutes.

Added by Laws 2005, c. 363, § 44, eff. Nov. 1, 2005.

§74-2244.  Purchases exempt from statewide contract requirement.

A.  The Department shall be exempt from any provision of Sections 85.1 through 85.45k of Title 74 of the Oklahoma Statutes requiring purchases to be made pursuant to a statewide contract for individual purchases of less than Two Thousand Five Hundred Dollars ($2,500.00) when the following conditions are met:

1.  The Department documents a cost savings to the state resulting from the purchase of the item(s) from a vendor not on the statewide contract;

2.  The exempted purchase is made in the county where the purchasing facility, as identified in subsection B of this section, is located or in an adjacent county; and

3.  The exempted purchase is approved by the Executive Director or a designee prior to the purchase.

B.  The Commission shall promulgate rules, procedures, and forms necessary to adequately document the dollar savings resulting from the application of this section.

C.  The exemption provided for in this section shall apply to individual department entities identified by the annual budget submitted to the Office of State Finance.

D.  The Department shall not be required to purchase furniture, fixtures and equipment, and soft goods associated with the decor of the state parks, lodges, golf, and tourism information center facilities from Oklahoma prisons or reformatories.

E.  Nothing in this section shall be construed to authorize bid splitting as prohibited by the Oklahoma Central Purchasing Act.

Added by Laws 2005, c. 363, § 45, eff. Nov. 1, 2005.

§74-2245.  Uncollectible accounts receivable.

A.  The Department may place uncollectible accounts receivable in a special account for accounting and budgetary purposes.  An "uncollectible account receivable" shall have been uncollectible or due for at least one (1) year and possess at least one of the following characteristics:

1.  The debtor has been discharged from bankruptcy or is insolvent;

2.  The debtor cannot be found or is deceased; or

3.  A collection agency has indicated its inability to collect the debt.

B.  If uncollectible accounts receivable are placed in a special account, the following procedures shall be observed:

1.  The proposed uncollectible accounts shall be forwarded to the Department by the appropriate divisions.  The Department shall then submit the accounts to the Commission and to the State Auditor and Inspector once each fiscal year for placement into the special uncollectible account; and

2.  The Commission and the State Auditor and Inspector shall certify those accounts which meet the requirements of this section as "uncollectible accounts receivable" and shall place those accounts in the special account created by this section.

C.  The special uncollectible accounts receivable account shall not be used for budgetary purposes in determining the assets of the Department or any of its divisions.  The Department shall take all reasonable steps to collect all accounts, including those placed in the special account by operation of this section.

Added by Laws 2005, c. 363, § 46, eff. Nov. 1, 2005.

§74-2246.  Liability insurance.

The Department may purchase, with public funds, insurance to protect against civil liability on the part of the Department, officers, employees and administrators of the Department.  This section shall not be construed as waiving the governmental immunity of the state.

Added by Laws 2005, c. 363, § 47, eff. Nov. 1, 2005.

§74-2247.  Lessee contract performance bond - Waiver.

The contract performance bond requirement for lessees of Department facilities, wherein the estimated obligation of the lessee for a one-year period is less than Five Thousand Dollars ($5,000.00), is hereby waived.

Added by Laws 2005, c. 363, § 48, eff. Nov. 1, 2005.

§74-2248.  Treasurer - Resolutions.

The State Treasurer of Oklahoma shall be ex officio Treasurer of the Commission for all purposes of the Oklahoma Tourism, Parks and Recreation Enhancement Act.  All official action taken by the Commission shall be taken through the adoption of appropriate resolutions.

Added by Laws 2005, c. 363, § 49, eff. Nov. 1, 2005.

§74-2249.  Disbursement of monies - Bond of officers, agents and employees.

The monies of the Commission, except monies appropriated by the Legislature, shall be disbursed only by checks, drafts, orders or other instruments signed by such persons as shall be authorized to sign the same by the bylaws or by appropriate resolution.  The general manager, if any, and all other officers, agents and employees of the Commission who shall be charged with the collection, custody, or payment of any funds of the Commission shall give bond conditioned on the faithful performance of their duties and an accounting for all funds and properties of the Commission coming into their respective hands.  Each bond, or if a blanket bond shall be prescribed, shall be in a form, amount, and with a surety approved by the Commission, and the premiums on the bonds shall be paid by the Commission and charged as an operating expense.

Added by Laws 2005, c. 363, § 50, eff. Nov. 1, 2005.

§74-2250.  Contracts, documents and records - Public inspection.

The Commission shall keep complete and accurate accounts of all transactions and affairs of the Commission, conforming to approved methods of bookkeeping.  Such accounts and the contracts, documents and records of the Commission shall be kept at its principal office and shall be open to public inspection at all reasonable times.

Added by Laws 2005, c. 363, § 51, eff. Nov. 1, 2005.

§74-2251.  Oklahoma Tourism and Recreation Department Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Department to be designated the "Oklahoma Tourism and Recreation Department Revolving Fund".  The fund shall consist of all monies received by the Department pursuant to the provisions of this act, monies derived from the sale or conveyance of real property under the jurisdiction of the Commission, and interest attributable to investment of money in the fund.  The revolving fund shall be a continuing fund not subject to fiscal year limitations and shall be under the administrative direction of the Department.  Expenditures from the fund created by this section shall be for the administration, operation, and maintenance expenses of the Department, for purchase of real property, and shall be made pursuant to the laws of this state and the statutes relating to the Department.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 2005, c. 363, § 52, eff. Nov. 1, 2005.

§74-2252.  Oklahoma Today Magazine Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Department to be designated the "Oklahoma Today Magazine Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Department from donations, gifts and bequests by individuals, corporations, organizations, associations and foundations specifying that such monies be expended on "Oklahoma Today Magazine" and its ancillary products and activities.  No state monies shall be deposited in this fund.  From monies deposited in this fund, the Executive Director may reimburse the publisher of "Oklahoma Today Magazine" and its staff for all actual and necessary expenses for travel, subsistence and entertainment in order to gain advertising and promotion for "Oklahoma Today Magazine", pursuant to Section 500.18 of Title 74 of the Oklahoma Statutes.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Department for the purpose of supporting and promoting "Oklahoma Today Magazine" and its ancillary products and activities, and for soliciting contributions for other expenses for "Oklahoma Today Magazine", so that the magazine can become self-supporting and not dependent on state-appropriated funds in the future.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 2005, c. 363, § 53, eff. Nov. 1, 2005.

§74-2253.  Tourism and Recreation Environmental Loan Proceeds Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Tourism and Recreation Department to be designated the "Tourism and Recreation Environmental Loan Proceeds Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received from the State Revolving Fund loan programs as administered by the Oklahoma Water Resources Board designated specifically for the purposes of reimbursements, construction, repair, remediation, or improvement of eligible facilities under the jurisdiction of the Oklahoma Tourism and Recreation Commission.  The fund shall be under the administrative direction of the Oklahoma Tourism and Recreation Department.  All monies accruing to the credit of the fund may be budgeted and expended by the Oklahoma Tourism and Recreation Department for the purpose of constructing, repairing, remediating, improving loan eligible projects, reimbursing the Department for eligible planning and design expenses, or paying for associated loan financing requirements.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 2005, c. 363, § 54, eff. Nov. 1, 2005.

§74-2254.  State Park System Improvement Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Tourism and Recreation Department to be designated the "State Park System Improvement Revolving Fund".  The fund shall be a continuing fund not subject to fiscal year limitations.  The fund shall consist of all monies that are received by the Department, from all entrance or day-use charges for the state park system, including charges for an annual pass for visitors to the state parks.  All monies accruing to the fund are hereby appropriated and may be expended by the Department for the exclusive purpose of capital improvements at the state park where the charges were collected.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 2005, c. 363, § 55, eff. Nov. 1, 2005.

§74-2255.  Petty cash funds.

A.  There is hereby created a petty cash fund in the revolving fund of each of the properties or activities with sales under the control of the Department.  The petty cash funds shall be such amounts as are determined to be necessary by the Director of State Finance and the Executive Director of the Department.  Petty cash funds may be expended for the payment of emergency purchases, for postage due, for bank charges, for resale merchandise and firewood purchases under One Hundred Dollars ($100.00), for refund of charges for returned merchandise, for refund of advance deposits, to reimburse lease concessions, for purchases charged to guests' statement of account, to reimburse employees for gratuities charged to guests' statement of accounts, to pay artisans the net proceeds resulting from the sale of consignment arts and crafts products, to purchase beverage and vending licenses, and to purchase low-point beer.

B.  The petty cash funds may be reimbursed by the State Treasurer upon the filing of a claim with the proper receipts or from the agency clearing account if the petty cash disbursement was a refund of erroneous or excessive collections or credits.  Petty cash funds may be reimbursed from the agency clearing account for shortages accruing to the account.  Reimbursements are to be made from the revolving fund.  The Director of State Finance shall prescribe all forms, systems and procedures for administering the petty cash funds of the various properties or activities with sales of the Department.

Added by Laws 2005, c. 363, § 56, eff. Nov. 1, 2005.

§74-2256.  Authority to issue negotiable bonds - Resolution - Interest rate - Covenants - Trust indentures - Monies deemed trust funds.

A.  The Commission shall have the power and is authorized to issue negotiable bonds in anticipation of the collection of all or any part of its revenues, not to exceed Five Million Dollars ($5,000,000.00), for the purpose of constructing, reconstructing, improving, bettering or extending any properties which it is authorized to maintain or operate hereunder.  The Commission shall pledge all or any part of the revenues derived from the operation of the parks controlled and operated by the Commission to the payment of the interest and principal of such bonds.

B.  The bonds authorized by this section shall be authorized by resolution of the Commission and may, as provided in such resolution:

1.  Be issued in one or more series;

2.  Bear such date or dates and may mature at such time not exceeding twenty-five (25) years from their respective dates;

3.  Bear interest at a rate or rates not exceeding ten percent (10%) per annum; and

4.  Contain such terms, covenants and conditions.

C.  The bonds authorized by this section may be sold in a manner and upon terms as determined by the Commission.  The interest cost yield to maturity of any issue of bonds shall not exceed ten percent (10%) per annum, payable semiannually.

D.  Any resolution authorizing the issuance of bonds under this act may contain covenants including, but not limited to:

1.  The purpose or purposes to which the proceeds of the sale of bonds may be applied, and the deposit, use, and disposition thereof;

2.  The use, deposit, securing of deposits, and disposition of the revenues of the Commission, including the creating and maintenance of reserves;

3.  The issuance of additional bonds payable from revenues of the Commission;

4.  The operation and maintenance of properties of the Commission;

5.  The insurance to be carried thereon, and the use, deposit and disposition of insurance monies;

6.  Books of account and the inspection and audit thereof and the accounting methods of the Commission;

7.  The nonrendering of any free service by the Commission except for promotional activities as deemed in this act; and

8.  The preservation of the properties of the Commission so long as any of the bonds remain outstanding, from any mortgage, sale, lease or other encumbrances not specifically permitted by the terms of the resolution.

E.  At the discretion of the Commission, any bonds issued under the provisions of this act may be secured by a trust indenture by and between the Commission and a corporate trustee, which may be any trust company or bank having the powers of a trust company within the state.  Any trust indenture may pledge or assign the revenues from the operation of properties of the Commission, but shall not convey or mortgage any properties, except such revenues.  Any trust indenture or any resolution providing for the issuance of such bonds may contain provisions for protecting and enforcing the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law, including covenants setting forth the duties of the Commission in relation to:

1.  The construction, improvement, maintenance, repair, operation and insurance of the improvements in connection with which such bonds shall have been authorized;

2.  The custody, safeguarding and application of all monies; and

3.  The employment of consulting engineers in connection with the construction or operation of such improvements.

F.  It shall be lawful for any bank or trust company incorporated under the laws of the state, which may act as depository of the proceeds of bonds or of revenues, to furnish indemnifying bonds or to pledge securities as may be required by the Commission.  Any trust indenture may set forth the rights and remedies of the bondholders and of the trustee, and may restrict the individual right of action by bondholders as is customary in trust agreements or trust indentures securing bonds and debentures of corporations.  In addition to the foregoing, any trust indenture may contain other provisions as the Commission may deem reasonable and proper for the security of the bondholders.  All expenses incurred in carrying out the provisions of any trust indenture may be treated as a part of the cost of operation of the improvements for which the bonds are authorized.

G.  Monies received pursuant to the authority of this act, whether as proceeds from the sale of bonds or as revenues from the operations of the properties which have been identified for bond repayment purposes, shall be deemed to be trust funds, to be held and applied solely as provided in this act.  The resolution authorizing the issuance of bonds of any issue, or the trust indenture securing such bonds, shall provide that any officer to whom, or any bank or trust company to which, the monies shall be paid, shall act as trustee of the monies and shall hold and apply the same for the purpose hereof, subject to such regulations as this act and such resolution or trust indenture may provide.

Added by Laws 2005, c. 363, § 57, eff. Nov. 1, 2005.

§74-2257.  Refund of outstanding series of revenue bonds.

The Commission shall have the power and is authorized to refund the outstanding series of the revenue bonds authorized by this act.  The Commission shall pledge to the payment of the principal and interest of the refunded bonds all or any part of the revenues derived from the operation of the parks and lodges controlled and operated by the Commission.  If not prohibited by the terms of the revenue bonds, interest earnings on construction funds may be utilized by the Commission as provided by law.

Added by Laws 2005, c. 363, § 58, eff. Nov. 1, 2005.

§74-2258.  Validity of bonds - Signatures.

Bonds bearing the signatures of Commission officers on the date of the signing thereof shall be valid and binding obligations, notwithstanding that before the delivery of the bonds, any or all the persons whose signatures appear thereon shall have ceased to be officers of the Commission.  The validity of the bonds shall not be dependent upon nor affected by the validity or regularity of any proceedings relating to the construction, reconstruction, improvement, betterment or extension of the properties for which the bonds are issued.  The resolution authorizing the bonds may provide that the bonds shall contain a recital that they are issued pursuant to this act, which recital shall be conclusive evidence of their validity and of the regularity of their issuance.

Added by Laws 2005, c. 363, § 59, eff. Nov. 1, 2005.

§74-2259.  Revenues for payment of bonds - Improvement bonds - Tourism information center bonds.

A.  The Commission shall prescribe and collect reasonable rates, fees, tolls or charges for the services, facilities and commodities rendered by all property of the Commission, a portion of which, may be pledged to the payment of bonds issued pursuant to this act.  The Commission shall revise the rates, fees, tolls or charges from time to time whenever necessary to ensure that the revenues to be derived therefrom shall be fully sufficient to pay principal of and interest on such bonds.  The gross revenues derived by the Commission from the operation of any part or parts of the properties of the Commission, but no revenues derived by the Commission through legislative appropriation or from sources other than operation of the properties of the Commission, may be pledged to the payment of principal and interest.  Notwithstanding any other provisions of law, the Commission may use money derived from annual legislative appropriations on a year-to-year basis, as authorized by the Legislature, to repay any obligations to the Oklahoma Water Resources Board pursuant to Sections 1085.51 and 1085.71 et seq. of Title 82 of the Oklahoma Statutes.

B.  The Commission is hereby authorized to construct improvements in several parks and authorize the issuance of bonds for all such improvements, and to pledge for the payment of the bonds and the interest thereon, revenues derived by the Commission from the operation of any or all of the parks in which any consolidated bond issue has been authorized.

C.  The Commission is further authorized to construct state-of-the-art tourism information centers on interstate highways including, but not limited to, entry points near the borders of the state and major metropolitan areas, and authorize the issuance of bonds for all construction projects, and to pledge for the payment of such bonds and the interest thereon, revenues derived by the Commission from the lease or operation of any or all of the tourism information centers for which any such consolidated bond issue has been authorized.

D.  Any revenues which may be received by the Commission for the use of such buildings or improvements, in whole or in part, shall be regarded as all other revenues of the Commission and shall be subject to be pledged to the payment of bonds issued hereunder.  Each bond shall recite in substance that such bond and the interest thereon is payable solely from the revenues pledged to the payment thereof, and that such bond does not constitute a debt of the Commission or of the state within the meaning of any constitutional or statutory limitation.

Added by Laws 2005, c. 363, § 60, eff. Nov. 1, 2005.

§74-2260.  Default - Remedies - Jurisdiction of courts.

A.  It may be provided in any resolution authorizing bonds under this act that, in the event of a default in the payment of principal or interest on the bonds or in the performance of any agreement or covenant contained in the resolution, and if such default shall have continued for a prescribed period, then the holders of a specified percentage of the outstanding bonds, or a trustee acting in their behalf, may for the equal and proportional benefit of the holders of all of the bonds and with or without possession thereof:

1.  By mandamus or other suit, action or proceeding at law or in equity, enforce all rights of the holders of the bonds;

2.  Bring suit upon the defaulted bonds or coupons;

3.  By action or suit in equity to require the Commission to act as if it were the trustee or an express trust for the bondholders;

4.  By action or suit in equity to enjoin any acts or things which may be unlawful or in violation of the rights of the holders of the bonds;

5.  After notice to the Commission as the resolution may provide, declare the principal of all of the bonds due and payable; or

6.  Apply as a matter of right for the appointment of a receiver who may enter and take possession of all or any part of the properties of the Commission and operate and maintain the same and fix, collect and receive fees and charges for the use thereof and services rendered thereby sufficient to provide revenues adequate to carry out all of the provisions of the bond resolution and the costs and disbursements of the proceeding and of the receiver.

B.  Subject to the provisions of the Constitution of the State of Oklahoma, the courts of the county in which any of the real estate controlled and operated by the Commission may be located and the courts of Oklahoma County shall have jurisdiction of any suit, action or proceeding and of all property involved therein.

Added by Laws 2005, c. 363, § 61, eff. Nov. 1, 2005.

§74-2261.  Issuance of bonds - Attorney General approval and certificate.

Unless an action shall be filed in the Supreme Court for validation of the bonds in the manner hereinafter provided, no bonds shall be issued hereunder until a certified copy of the proceedings authorizing the issuance thereof, together with any other information which the Attorney General may require, shall be submitted to the Attorney General.  If the Attorney General finds that such bonds have been authorized in accordance with law, the Attorney General shall approve the bonds and shall execute a certificate to that effect, which shall be filed in the office of the State Auditor and Inspector.  All bonds so approved by the Attorney General, registered by the State Auditor and Inspector, and issued in accordance with the approved proceedings shall be valid and binding obligations of the Commission, and the bonds and all of the provisions securing the bonds shall be incontestable for any cause in any court in Oklahoma unless suit thereon shall be brought in a court having jurisdiction within thirty (30) days from the date of the approval.

Added by Laws 2005, c. 363, § 62, eff. Nov. 1, 2005.

§74-2262.  Mortgages and encumbrances not authorized.

Nothing in this act shall be construed to authorize the Commission to mortgage or otherwise encumber any of its property of any kind, except that the revenues thereof may be pledged as herein provided.

Added by Laws 2005, c. 363, § 63, eff. Nov. 1, 2005.

§74-2263.  Commission property - Exemption from forced sale.

All property controlled and operated by the Commission shall at all times be exempted from forced sale and nothing in this act shall authorize the sale of any property under any judgment rendered in any suit, and such sales are hereby prohibited.

Added by Laws 2005, c. 363, § 64, eff. Nov. 1, 2005.

§74-2264.  Exemption from taxation.

All of the property controlled and operated by the Commission and all bonds issued hereunder and the interest thereon shall be exempt from taxation by the State of Oklahoma or by any municipal corporation, county or other political subdivision or taxing district of the state, except that the bonds shall be subject to the payment of inheritance taxes.

Added by Laws 2005, c. 363, § 65, eff. Nov. 1, 2005.

§74-2265.  Bond certificate.

All bonds issued hereunder shall have on the backs the certificate required by Section 29 of Article X of the Constitution of the State of Oklahoma.

Added by Laws 2005, c. 363, § 66, eff. Nov. 1, 2005.

§74-2266.  Institutions permitted to invest in bonds - Bonds as collateral security.

Any bank, trust or insurance company organized under the laws of Oklahoma may invest its capital, and surplus and reserves in bonds issued under the provisions of this act.  Such bonds are also approved as collateral security for the deposit of any public funds and for the investment of trust funds.

Added by Laws 2005, c. 363, § 67, eff. Nov. 1, 2005.

§74-2267.  Refunding bonds.

The Commission may issue bonds under this act for the purpose of refunding any obligations of the Commission previously issued under this act, or may authorize and deliver a single issue of bonds hereunder, in part for the purpose of refunding such obligations and in part for the acquisition of additional properties or improvements.  Where bonds are issued under this section solely for refunding purposes, such bonds may either be sold as above provided or delivered in exchange for the outstanding obligations.  If sold, the proceeds may be either applied to the payment of the obligations, refunded or deposited in escrow for the retirement of the bond obligations.  Nothing contained in this act shall be construed to authorize the refunding of any outstanding obligations which are not either maturing, callable for redemption under their terms or voluntarily surrendered by their holders for cancellation.  All bonds issued under this section shall in all respects be authorized, issued, and secured in the manner provided for other bonds issued under this act and shall have all of the attributes of such bonds.  The Commission may provide that any refunding bonds shall have the same priority of lien on the revenues pledged for their payment as was enjoyed by the obligations which are refunded.

Added by Laws 2005, c. 363, § 68, eff. Nov. 1, 2005.

§74-2268.  Application for approval of bonds - Jurisdiction of Supreme Court - Notice and hearing - Incontestability.

The Commission is authorized in its discretion to file an application with the Supreme Court of Oklahoma for the approval of any series of bonds to be issued hereunder, and exclusive original jurisdiction is hereby conferred upon the Supreme Court to hear and determine each such application.  It shall be the duty of the Court to give such applications precedence over the other business of the Court and to consider and pass upon the applications any protests which may be filed thereto as speedily as possible.  Notice of the hearing on each application shall be given by a notice published in a newspaper of general circulation in the state informing that, on a day named, the Commission will ask the Court to hear its application and approve bonds.  Such notice shall inform all persons interested that they may file protest against the issuance of the bonds and be present at the hearing and contest the legality thereof.  Such notice shall be published one time not less than ten (10) days prior to the date named for the hearing, and the hearing may be adjourned from time to time in the discretion of the Court.  If the Court shall be satisfied that the bonds have been properly authorized in accordance with this act and that when issued they will constitute valid obligations in accordance with their terms, the Court shall render its written opinion approving the bonds and shall fix the time within which a petition for rehearing may be filed.  The decision of the Court shall be a judicial determination of the validity of the bonds and shall be conclusive as to the Commission, its officers and agents.  Thereafter, the bonds so approved and the revenue pledged to their payment and the provision and agreements contained in the bond resolution for the security of such bonds shall be incontestable in any court in the State of Oklahoma.

Added by Laws 2005, c. 363, § 69, eff. Nov. 1, 2005.

§74-2269.  Deposit of revenues - Separate fund.

All revenues collected or received by the Commission under the provisions hereof shall be held in a separate fund or funds and deposited in a bank or banks as the Commission may direct, from time to time, and need not be paid into the Oklahoma Tourism and Recreation Department Revolving Fund.  All revenues shall be subjected to payment out of such fund or funds from time to time as the Commission may direct.

Added by Laws 2005, c. 363, § 70, eff. Nov. 1, 2005.

§74-2270.  Annual audit.

The Office of the State Auditor and Inspector shall perform an annual audit of any accounts of funds or expenditures from funds raised through bond issues.

Added by Laws 2005, c. 363, § 71, eff. Nov. 1, 2005.

§74-2271.  Authority to issue revenue notes and bonds - Guaranties and insurance.

The Commission is hereby authorized to:

1.  Make and issue notes and bonds, and pledge revenues of the Commission subject to the Oklahoma Bond Oversight and Reform Act.  The Commission revenue notes and bonds issued under the provisions of this act shall not at any time be deemed to constitute a debt of the state or of any political subdivision thereof or a pledge of the faith and credit of the state or of any political subdivision.  Such notes and bonds shall be payable solely from the revenues of the Department and any other funds as may be provided by law for such payments and shall contain on their face a statement to that effect; and

2.  Arrange for guaranties or insurance of its notes and bonds by the federal government or by any private insurer, and to pay any premiums therefrom.

Added by Laws 2005, c. 363, § 72, eff. Nov. 1, 2005.

§74-2272.  Issuance of revenue notes and bonds - Credit enhancement - Interest rate and maturity - Form - Signatures - Sale - Issuance of refunding notes and bonds.

A.  The Commission may provide by resolution, from time to time, for the issuance of revenue notes and bonds for its lawful purposes, in such amount or amounts as are necessary, incidental, or convenient to the exercise of powers, rights, privileges, and functions conferred upon it by this act or other law.  The principal of and interest on any indebtedness shall be payable solely from the revenues of the Department and such other funds as may be provided by law for such payments.  The Commission may provide for credit enhancement as additional security or liquidity for its notes and bonds and enter into such agreements as may be necessary or appropriate to provide for the repayment of any funds advanced by the provider of any such credit enhancement including the payment of any fees and expenses incurred in connection therewith.  The notes and bonds of each issue shall bear interest at fixed or variable rates and shall bear an average interest rate comparable to other revenue notes and bonds of like credit quality and maturity as prescribed by the State Bond Advisor and shall mature at such time or times not exceeding thirty (30) years from the date or dates of issue, as may be determined by the Commission.  The notes and bonds may be made redeemable before maturity at the option of the Commission, at such time or times and at such price or prices and pursuant to such terms and conditions as may be fixed by the Commission prior to the issuance of the notes and bonds.  The Commission shall determine the form of the notes and bonds and the manner of execution thereof and shall fix the denominations of the notes and bonds and the place or places of payment of principal and interest.  If any officer whose signature or facsimile of whose signature appears on any notes and bonds shall cease to hold the office before the delivery of the notes and bonds, the signature or the facsimile shall nevertheless be valid and sufficient for all purposes, the same as if the person had remained in the office until delivery.  All notes and bonds issued pursuant to the provisions of this act shall have all the qualities and incidences of negotiable instruments subject to the laws of this state.  The Commission may sell the notes and bonds in such amounts and in such manner, either at public or private sale, and for such price, as it may determine to be in the best interests of the state.  If the notes and bonds are not sold by competitive bid, the sale must be approved by the State Bond Advisor.

B.  The Commission may, by resolution, provide for the issuance of notes and bonds for the purpose of refunding notes and bonds then outstanding, including the payment of any redemption premium, any interest accrued to the date of redemption of the notes and bonds, and for incurring additional indebtedness for its lawful purposes.  The issuance of such notes and bonds shall be governed by the provisions of this act and the Oklahoma Bond Oversight and Reform Act.

C.  The Commission shall promulgate rules governing the issuance of revenue bonds authorized pursuant to this act.

Added by Laws 2005, c. 363, § 73, eff. Nov. 1, 2005.

§74-2273.  Certified copy of issuance proceedings to be submitted to Attorney General.

Before any bond shall be issued and delivered by the Commission, a certified copy of the proceedings for the issuance thereof, together with any other information which the Attorney General of the State of Oklahoma may require shall be submitted to the Attorney General.  If the Attorney General shall find that the notes and bonds have been issued in accordance with the law, the Attorney General shall approve the notes and bonds and execute a certificate to that effect.  The Attorney General shall file the certificates in the Office of the State Auditor and Inspector, and the certificates shall be recorded in a record kept for that purpose.  All notes and bonds approved by the Attorney General and issued in accordance with the approved proceedings shall be valid and binding obligations of the Commission and shall be incontestable from and after the date of such approval.

Added by Laws 2005, c. 363, § 74, eff. Nov. 1, 2005.

§74-2274.  Notes and bonds not to be debt of state or any political subdivision.

Revenue notes and bonds of the Commission issued pursuant to the provisions of this act shall not constitute a debt of the state or of any political subdivision thereof, or a pledge of the full faith and credit of the state, or of any political subdivision thereof, but such notes and bonds shall be payable solely from the funds provided therefrom.  The forms of the notes and bonds so issued shall contain on the face thereof a statement to the effect that neither the state nor the Commission shall be obligated to pay the same or the interest thereon except from the revenues of the Department pledged to the payment of such notes and bonds and that neither the faith and credit nor the taxing power of the state or any political subdivision thereof is pledged, or may hereafter be pledged, to the payment of the principal of or interest on the notes and bonds.  The notes and bonds so issued shall be exempt from taxation by the State of Oklahoma and any political subdivision thereof, including the income therefrom, and any gain from the sale thereof.  Notwithstanding any other provisions of law, the Commission may use money derived from annual legislative appropriations on a year-to-year basis, as authorized by the Legislature, to repay any obligations to the Oklahoma Water Resources Board pursuant to Sections 1085.51 and 1085.71 et seq. of Title 82 of the Oklahoma Statutes.

Added by Laws 2005, c. 363, § 75, eff. Nov. 1, 2005.

§74-2275.  Notes and bonds as investment securities - Collateral security.

Notes and bonds issued pursuant to provisions of this act are hereby made securities in which all public officers and public boards, agencies and instrumentalities of the state and its political subdivisions, all banks, trust companies, trust and loan associations, investment companies and others carrying on a banking business, and all insurance companies and insurance associations, and others carrying on an insurance business may legally and properly invest.  These notes and bonds are also approved as collateral security for the deposit of any public funds and for the investment of trust funds.

Added by Laws 2005, c. 363, § 76, eff. Nov. 1, 2005.

§74-2276.  Blanket bond coverage.

The Commission shall be subject to blanket bond coverage as provided in Sections 85.26 through 85.31 of Title 74 of the Oklahoma Statutes; provided, the Commission shall be authorized to purchase increased amounts of fidelity bond coverage for those employees deemed necessary by the Commission.  When the amount listed in Section 85.29 of Title 74 of the Oklahoma Statutes is deemed inadequate, the cost of increased coverage shall be borne by the Department.

Added by Laws 2005, c. 363, § 77, eff. Nov. 1, 2005.

§74-2277.  Short title.

Sections 79 through 84 of this act shall be known and may be cited as the "Oklahoma Trails System Act".

Added by Laws 2005, c. 363, § 78, eff. Nov. 1, 2005.

§74-2278.  Definitions.

As used in the Oklahoma Trails System Act:

1.  "Commission" means the Oklahoma Tourism and Recreation Commission; and

2.  "Political subdivision" means any county, municipality or other subdivision of state or local government.

Added by Laws 2005, c. 363, § 79, eff. Nov. 1, 2005.

§74-2279.  Purpose.

The purpose of the Oklahoma Trails System Act is to provide public access to, and enjoyment and appreciation of, the Oklahoma outdoors in order to foster the conservation, development and wise use of the natural and historic resources of the state.  It is the intent and purpose of the Oklahoma Trails System Act to encourage hiking, bicycling, horseback riding and other recreational activities and, because trail use by motorized vehicles is incompatible with some other trail uses, it is intended to provide separate trails and facilities for motorized vehicles whenever necessary and feasible.

Added by Laws 2005, c. 363, § 80, eff. Nov. 1, 2005.

§74-2280.  State trails system - Uniform marker - Planning and designation.

A.  There is hereby created a state trails system composed of:

1.  State nature trails, which shall be trails designed to deepen the public's awareness and understanding of various ecological, geological or cultural qualities within the state by means of an interpretive service program;

2.  State hiking trails, which shall be extensive trails and will serve to connect parks, scenic areas, historical points and neighboring communities;

3.  State special-use trails, which shall be trails designed to provide for those trail activities which require special trail definition and will include trails for bicycling, public riding and motorcycle and minibike activities, as well as trails designed to meet the needs of the handicapped, the blind and the elderly; and

4.  State heritage trails, which shall be trails designed to promote the identification and interpretation of significant cultural and historic sites throughout the state.

B.  The Commission, in accordance with appropriate federal, state and local governmental organizations, shall establish a uniform marker for the trails system.

C.  In the planning and designation of trails, the Commission shall give due regard to the interest of federal or state agencies, all political subdivisions, private land owners, interested individuals and citizen groups.  Furthermore, the Commission encourages citizen participation in trail acquisition, construction, development and maintenance where such activities will not conflict with the purposes of the Oklahoma Trails System Act.

Added by Laws 2005, c. 363, § 81, eff. Nov. 1, 2005.

§74-2281.  Duties and powers of Commission.

A.  The Commission shall be vested with the responsibility and authority to:

1.  Plan, purchase, develop, construct, maintain, operate and protect the state trails system and shall prescribe the uses and limits of each designated trail; and

2.  Acquire, by lease, deed or contract, rights-of-way or easements of trails across private, municipal, county, state or federal lands.  In selecting the rightsofway, every effort will be made to minimize any adverse effects on the adjacent landowner or user and his operations.  Acquisition shall be, whenever possible, in the form of an easement obtained by gift, exchange or purchase with donated funds.  In cases where these attempts fail, the Commission may authorize the expenditure of state trail funds for acquisition in fee.  Any agreement for acquisition of rights in land shall be for terms of not less than twentyfive (25) years whenever possible.

B.  The Commission may abandon any portion or all of a trail or easement acquired for trail purposes; or it may transfer any trail or easement to a local government having jurisdiction over the area in which the trail or easement is located, provided that such local government agrees to maintain and operate the trail.

C.  The Commission shall notify the owner of the land, through which any trail or easement passes, prior to entering into any agreement with local government for the operation of a trail and shall secure the consent of the landowner prior to the transfer of any trail or easement to a local government.

D.  The Commission shall review all formal declarations of railroad rights-of-way abandonment for possible inclusion into the state trails system.

E.  Within the boundaries of a right-of-way, the Commission may acquire, on behalf of the state, lands in fee title, any interest in lands in the form of scenic or other easements or any interest in lands under cooperative or other agreement.  Acquisition of land or of any interest in land may be by gift, purchase or exchange. Acquisition may be through the use of funds obtained by donation, federal grants, legislative appropriation or otherwise.  In acquiring real property or any interest therein, the power of eminent domain shall not be used.

F.  1.  The Commission shall encourage the provision of bicycle routes within the rights-of-way of federal aid system highways and on or along county and city roadways.  These bicycle routes shall be composed of three types of pathways:  bicycle trails, bicycle lanes and bicycle routes.  Bicycle trails shall be distinct pathways which separate bicycles from motorized vehicular traffic by means of an open space or barrier.  Bicycle lanes shall use designated portions of existing roadways and will be clearly marked and separated from automobile lanes.  Bicycle routes shall be existing, low-volume roads and will be designated by clearly marked signs.

2.  Prior to the designation and construction of the bicycle pathway system, the Commission shall authorize the development of a bicycle master plan.  The plan shall be comprised of a set of clearly defined goals, a statement of current and projected demands, a proposed layout of routes, construction specifications, cost projections and the scheduling of implementation.  The plan shall likewise devote serious consideration to those design criteria which will help to ensure the safety of bicyclist, pedestrian and motorist alike.

3.  Funds received for this pathway program shall be expended in amounts deemed reasonable and necessary by the Commission for the establishment of the bicycle pathway system.

Added by Laws 2005, c. 363, § 82, eff. Nov. 1, 2005.

§74-2282.  State trails on federal lands - Coordination with National Trails System.

A.  The Commission may establish and designate state trails on lands under the jurisdiction of a federal agency when, in the opinion of the federal agency, such lands may be so developed under the provisions of federal law.

B.  Nothing in the Oklahoma Trails System Act shall prevent a segment of the state trails system from being a part of the National Scenic or Recreation Trails System.  The Commission shall coordinate the state trails system with the National Trails System and will encourage and assist any federal studies for inclusion of state trails into the National Trails System.

Added by Laws 2005, c. 363, § 83, eff. Nov. 1, 2005.

§74-2283.  Prohibitions and restrictions - Penalties.

A.  No hunting of wild game or the shooting of firearms shall be permitted along the trail, with the exception of those portions of the trail which traverse public hunting areas.  Such portions of the trail shall be closed to trail use, as listed in the Oklahoma Trails System Act, during hunting season.

B.  All horseback riding and motorcycling activities shall be restricted to their designated specialuse trails.  Foot travel on specialuse trails shall be permitted; however, the specialuse activities shall have the rightofway on the trails.

C.  Each person is guilty of a misdemeanor, who shall:

1.  Willfully mutilate, deface or destroy any guidepost, notice, tablet or other work for the protection or ornamentation of any state trail;

2.  Place along any trail or affix to any object in the rightofway, without a written license from the Commission, any word, character or device designed to advertise any business, trade, profession, article, thing, matter or event; or

3.  Willfully cause any damage to lands within or adjacent to the state trails system.

Added by Laws 2005, c. 363, § 84, eff. Nov. 1, 2005.

§74-2284.  Oklahoma Tourism Signage Advisory Task Force.

A.  There is hereby established the Oklahoma Tourism Signage Advisory Task Force for the purpose of screening and issuing recommendations to the Department of Transportation concerning directional signs for tourist and travelerrelated attractions and enterprises in this state.

B.  The task force shall be composed of ten (10) members as follows:

1.  One person appointed by the Governor;

2.  The Chairman of the Senate Tourism and Wildlife Committee or designee;

3.  The Chairman of the House of Representatives Tourism and Recreation Committee or designee;

4.  A representative from each of the following organizations or state agencies to be selected by the organization or agency:

a. Oklahoma Department of Transportation,

b. Oklahoma Tourism and Recreation Department,

c. Oklahoma Historical Society,

d. Oklahoma Museums Association,

e. Oklahoma Lakes and Countries Association, and

f. Oklahoma Travel Industry Association; and

5.  The Director of the Oklahoma Arts Council or designee.

Added by Laws 2005, c. 363, § 85, eff. Nov. 1, 2005.

§74-2285.  Design, construction, erection and location of guide signs - Jurisdiction of Department of Transportation.

The Department of Transportation, acting on the recommendations of the Oklahoma Tourism Signage Advisory Task Force, established in Section 85 of this act, may design, construct, erect and select the location of guide signs along the highways in this state.  However, each person, firm, organization or entity approved for a guide sign shall be responsible for furnishing all materials for said signs in accordance with a general design and guidelines to be issued by the Oklahoma Department of Transportation.  All signs shall be uniform in structure, style and design.  All signs shall comply with the Manual on Uniform Traffic Control Devices, as published by the Federal Highway Administration Division of the U.S. Department of Transportation.

All signs will be under the jurisdiction of the Oklahoma Department of Transportation.  Maintenance and replacement of all signs, for whatever reason, shall be the sole responsibility of the entity sponsoring the sign.

Added by Laws 2005, c. 363, § 86, eff. Nov. 1, 2005.

§74-2286.  Short title.

This act shall be known and may be cited as the "Oklahoma Recreation and Development Act".

Added by Laws 1996, c. 90, § 1, eff. July 1, 1996..  Renumbered from Title 74, § 1901 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-2287.  Definitions.

As used in the Oklahoma Recreation and Development Act:

1.  "Board" means the Oklahoma Recreation and Development Revolving Fund Advisory Board;

2.  "Department" means the Oklahoma Tourism and Recreation Department;

3.  "Commission" means the Oklahoma Tourism and Recreation Commission;

4.  "Local government" means a county, municipality or any authority within this state composed of counties, municipalities, or any combination thereof, which authority is legally constituted to provide for public recreation and tourism;

5.  "Sponsor" means a state agency, a nonprofit organization, a local government, or an Indian tribe which is eligible for funding or other assistance through this act;

6.  "State agency" means a department, commission or authority of this state which is legally constituted to provide for public recreation and tourism;

7.  "Recipient" means the beneficiary of a project, not necessarily a sponsor.  A recipient shall be a public entity, tribe or private entity.  If the recipient is a private entity, project lands and improvements shall be leased or otherwise dedicated to a public purpose for not less than twenty-five (25) years;

8.  "Nonprofit organization" means a corporation, trust or association which is duly recognized as an exempt organization under the Internal Revenue Code and which is legally constituted to provide public facility support;

9.  "Indian tribe" means a Native American government, council or nation which is legally constituted to provide for public recreation and tourism;

10.  "Total expenditures" means the amounts actually expended from the fund as authorized by this act;

11.  "Fund" means the Oklahoma Recreation and Development Revolving Fund; and

12.  "Project" means any scope of work eligible for funding under the Oklahoma Recreation and Development Act.

Added by Laws 1996, c. 90, § 2, eff. July 1, 1996..  Renumbered from Title 74, § 1902 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-2288.  Revolving Fund - Creation - Deposits to and expenditures from.

There shall be created in the State Treasury a revolving fund to be designated the "Oklahoma Recreation and Development Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of monies designated for the fund by statute, monies the Legislature may appropriate or transfer to the fund, monies contributed for the fund from any other sources public or private, and income from investment of the fund.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Oklahoma Tourism and Recreation Commission, with advice from the Oklahoma Recreation and Development Revolving Fund Advisory Board.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1996, c. 90, § 3, eff. July 1, 1996.  Renumbered from Title 74, § 1903 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-2289.  Revolving fund - Specified expenditures - Grants - Total expenditures.

A.  The Oklahoma Recreation and Development Revolving Fund and income from investment of the monies of the fund may be expended for the following purposes:

1.  The development of public recreation and tourism facilities;

2.  The major maintenance and retrofitting of public recreation and tourism facilities for compliance with federal accessibility requirements;

3.  The preparation of planning and research documents for public recreation and tourism facilities or products;

4.  The protection or preservation of lands or rights in land for public recreational and tourism use or for environmental importance or scenic beauty;

5.  The implementation of special demonstration projects which show merit for recreation and tourism, but do not fit explicitly into another category of eligibility;

6.  The development of facilities which have a historical purpose and which utilize historical resources, such as reenactments, interpretive exhibits and public accessibility; and

7.  Costs of administering the fund, which shall not exceed the greater of Fifty Thousand Dollars ($50,000.00) or two percent (2%) of the funds allocated to projects in a fiscal year.

B.  Expenditures authorized in subsection A of this section may be made in the form of grants to sponsors legally constituted to provide public tourism or recreation, provided:

1.  The grant is used for a purpose authorized by subsection A of this section; and

2.  The grant is matched by the recipient entity to the extent of at least twenty-five percent (25%) of the total cost of the project, of which at least fifty percent (50%) of the match is in cash.  A waiver of the match requirements is allowable with approval of the Oklahoma Tourism and Recreation Commission.

C.  The total expenditures from the Recreation and Development Revolving Fund in any fiscal year for the development of public recreation and tourism facilities, planning studies and other eligible projects shall be allotted in accordance with rules developed and adopted by the Commission.  In no case shall greater than forty percent (40%) of the available funds be allocated to the Oklahoma Tourism and Recreation Department for project grants received either as a sponsor or as a recipient.

Added by Laws 1996, c. 90, § 4, eff. July 1, 1996.  Amended by Laws 2001, c. 163, § 3, eff. July 1, 2001.  Renumbered from Title 74, § 1904 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-2290.  Advisory board - Establishment - Technical assistance and support - Membership.

A.  The Oklahoma Recreation and Development Revolving Fund Advisory Board shall be established within the Oklahoma Tourism and Recreation Department.  The Division of Planning and Development within the Department shall provide technical assistance and support to the Board in performing its duties and functions.

B.  The Board shall consist of five (5) members.  The members shall include the Director of the Oklahoma Tourism and Recreation Department, or a designee, as determined by the Commission; the President of the Oklahoma Historical Society or a designee; the Director of the Department of Wildlife Conservation or a designee; the President of the Oklahoma Recreation and Parks Society; and one member selected by the general membership of the Oklahoma Recreation and Parks Society.

Added by Laws 1996, c. 90, § 5, eff. July 1, 1996.  Renumbered from Title 74, § 1905 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-2291.  Advisory board - Chairperson - Administrative procedures and rules - Meetings - Yearly operations report.

A.  The Oklahoma Recreation and Development Revolving Fund Advisory Board shall elect a chairperson and establish proposed administrative procedures and rules for fund disbursement to be adopted by the Oklahoma Tourism and Recreation Commission in accordance with the Administrative Procedures Act.  The business which the Board may perform shall be conducted at a public meeting of the Board held in compliance with the Open Meeting Act.  The Board shall meet not less than once every quarter of the year and shall record its proceedings.

B.  On or before February 14 of each year, the Board shall report to the Commission detailing the operations of the Board for the preceding one-year period.

Added by Laws 1996, c. 90, § 6, eff. July 1, 1996.  Renumbered from Title 74, § 1906 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-2292.  Priority list of projects.

A.  The Oklahoma Recreation and Development Revolving Fund Advisory Board shall determine and shall recommend to the Oklahoma Tourism and Recreation Commission projects within the state that should be performed with money from the Oklahoma Recreation and Development Revolving Fund, and shall submit to the Commission no later than February of each year a list of those projects that the Board has determined should be performed with money from the revolving fund, compiled in order of priority.

B.  The list shall be accompanied by estimates of total costs for the proposed projects.

C.  The Board shall supply with each list a statement of the guidelines used in listing and assigning the priority of the proposed projects.

D.  The Commission shall review the recommendations of the Board and shall determine, from the list provided by the Board, the projects to be funded.

Added by Laws 1996, c. 90, § 7, eff. July 1, 1996.  Renumbered from Title 74, § 1907 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-2293.  Monies available for distribution on projects - Unexpended project monies.

A.  All appropriated monies, interest, earnings and other monies appropriated to or monies deposited in the Oklahoma Recreation and Development Revolving Fund shall be designated as proceeds of the revolving fund which are available for distribution on projects.

B.  Upon completion of a project funded with proceeds of the revolving fund, any unexpended balance remaining after completion of the project for which the money was authorized shall be deposited in the revolving fund and may be allocated for other projects.

Added by Laws 1996, c. 90, § 8, eff. July 1, 1996.  Renumbered from Title 74, § 1908 by Laws 2005, c. 363, § 89, eff. Nov. 1, 2005.

§74-2900.  Short title.

This act shall be known and may be cited as the "Oklahoma Homeless Prevention Act".

Added by Laws 1990, c. 129, § 1, emerg. eff. April 25, 1990.

§74-2900.1.  Definitions - Cooperation of state housing agencies with federal government - Leasing of vacant housing units.

A.  As used in the Oklahoma Homeless Prevention Act:

1.  "Comprehensive case management" means:

a. the assessment of the needs of an individual or family,

b. the development and implementation of an employability plan for the individual that accounts for family circumstances,

c. the coordination and monitoring of service delivery,

d. the evaluation of service effectiveness, and

e. the reassessment of the needs of the individual or the family.

2.  "Homeless individual or family" means any person or family who:

a. lacks a fixed, regular and adequate nighttime residence, or

b. has as a primary nighttime residence a publicly or privately operated shelter designed to provide temporary living accommodations, or

c. has as a primary nighttime residence a public or private place not designed for, or ordinarily used as, a regular sleeping accommodation for human beings.  The term includes those families and persons who do not have access to normal accommodations as a result of violence or the threat of violence from a cohabitant, or

d. is in imminent danger of becoming homeless.

3.  "Mentally ill person" means a mentally ill person as defined by Section 1103 of Title 43A of the Oklahoma Statutes.

4.  "Self-sufficiency program" means a job opportunity and basic skills training program designed to ensure that persons receiving housing assistance obtain the education, training, and employment that will help such persons avoid long-term dependency on such assistance.

5.  "Committee" means the Oklahoma Homeless Prevention Committee, created in Section 2 of this act.

B.  The Department of Human Services, the Department of Mental Health and Substance Abuse Services, the Oklahoma Department of Commerce, the Oklahoma Housing Finance Agency and any state agency with housing services may cooperate with federal government programs or any other public or private entity or person in providing housing or assistance for housing to homeless individuals or families, and mentally ill persons who are in need of housing.

C.  As funds are available, all state agencies specified in this section and any other state agency with housing services, in accordance with state and federal law, may provide resources to local government agencies, local housing authorities or nonprofit agencies to lease vacant housing units which are subject to government control or which have been donated by any public or private entity for use by homeless individuals or families and mentally ill persons who are in need of housing.  Funds available pursuant to this section shall be used to guarantee coverage of utility costs, repairs, insurance, and building and yard maintenance of leased properties.  Homes which have been temporarily donated by private entities shall not be eligible for any monies so received for repairs to such homes.

D.  Any agreement entered into pursuant to this section between a state agency and a local public or private nonprofit agency or housing authority shall require the local agency or authority to supervise the person to be served and secure an enforceable agreement requiring the person to be served to maintain the leased property.  A violation of this agreement may result in termination of the agreement and eviction from such leased property pursuant to Section 132 of Title 41 of the Oklahoma Statutes.

E.  In accordance with state and federal law, state agencies specified in this section and any other state agency with housing services may solicit government funds and grants, seek private resources, and receive and distribute private, state and federal funds to local public or private nonprofit agencies or housing authorities to provide housing or assistance for housing or housing services as provided for in this section.  The local agency or authority may require the person residing in the leased property to participate in the payment of utilities, repair and maintenance to the extent possible.

F.  The State of Oklahoma, or any agency or subdivision thereof, shall not be liable for utility costs, repairs, insurance, building or yard maintenance, or other costs associated with any house to which this section pertains, in excess of the amount specifically appropriated therefore, allocated thereto by the agency or subdivision, and not encumbered for any other purpose.

Added by Laws 1989, c. 307, § 1, emerg. eff. May 25, 1989.  Amended by Laws 1990, c. 129, § 2, emerg. eff. April 25, 1990; Laws 1990, c. 337, § 25; Laws 1994, c. 230, § 1, eff. July 1, 1994.

NOTE:  Laws 1990, c. 51, § 144 repealed by Laws 1990, c. 337, § 26.

§74-2900.1a.  Repealed by Laws 2000, c. 23, § 1, eff. July 1, 2000.

§74-2900.2.  Rent assistance programs - Funding.

A.  The Department of Human Services, the Department of Mental Health, the Oklahoma Department of Commerce, the Oklahoma Housing Finance Agency and any state agency with housing services may develop, administer, and conduct programs assisting eligible homeless families, homeless individuals, and mentally ill persons who are in need of housing to participate successfully in the private housing market and pay the amount of rent charged by the private sector for providing decent, safe, and sanitary housing.  Provided, however, that any rent assistance available under such a program be combined with comprehensive case management and a self-sufficiency program.

B.  All state agencies specified in this section and any other state agency with housing services, in accordance with state and federal law, may solicit government funds and grants and seek private resources, to operate programs pursuant to subsection A of this section.

C.  As funds are available, all state agencies specified in this section and any other state agency with housing services, in accordance with state and federal law, may provide resources to local government agencies, local housing authorities or nonprofit agencies to operate programs established pursuant to subsection A of this section.  The local agency or authority may require the person participating in such a program to participate in the cost of the program to the extent possible.

Added by Laws 1990, c. 129, § 3, emerg. eff. April 25, 1990.

§74-2900.3.  Reports.

A.  Each member of the Committee shall submit a report as specified in this section to the Chairperson upon request of the Chairperson.  The Chairperson shall give notice to each member of the Committee to provide such report at least fifteen (15) days prior to each meeting.  The report shall provide all information on any grants, donations, appropriated funds and any other funds received by that agency concerning providing housing services to the homeless.  The report shall provide detailed information concerning the expenditure of any of the funds specified in this subsection which were expended on providing housing services to the homeless.  The Chairperson shall send a copy of each report to the other members of the Committee.  The Chairperson shall also provide a copy of such reports to any member of the public upon written request and the payment of any copying fee authorized by the Oklahoma Open Records Act.

B.  On or before February 1 of each year, the Chairperson of the Committee created in Section 2 of this act shall provide a written report to the Speaker of the House of Representatives, the President Pro Tempore of the Senate and the Governor specifying in detail the assistance provided, the agency or program pursuant to which such assistance was provided, any funds provided to and any expenditures made from such funds provided to each agency specifically for providing housing services to the homeless, any other relevant information related to such programs, and any recommendations for legislation the Committee deems necessary for the best and most efficient housing services for the homeless.

Added by Laws 1990, c. 129, § 4, emerg. eff. April 25, 1990.  Amended by Laws 1994, c. 230, § 3, eff. July 1, 1994.

§74-2901.  Repealed by Laws 1994, c. 100, § 5, eff. Sept. 1, 1994.

§74-2901.1.  Limited access to safe, decent and affordable housing - Legislative finding and declaration.

A.  The Legislature finds that current economic conditions, federal housing policies, and declining resources at the federal, state, and local level adversely affect the ability of moderate- and low-income persons to obtain safe, decent, and affordable housing.  The Legislature also finds that the lack of affordable housing in rural communities of this state is an impediment to economic development and business expansion in these areas.

B.  The Legislature declares that it is therefore in the public interest to provide for a continuously renewable resource known as a housing trust fund to assist moderate- and low-income citizens in meeting their basic housing needs, and that the needs of low-income citizens should be given priority.

Added by Laws 1995, c. 337, § 18, eff. Nov. 1, 1995.  Amended by Laws 1998, c. 163, § 1, eff. Nov. 1, 1998.

§74-2901.2.  Oklahoma Housing Trust Fund.

There is hereby created the "Oklahoma Housing Trust Fund" to be administered by the Oklahoma Housing Finance Agency.  The fund shall be a continuing fund, not subject to fiscal year limitations, and may consist of private monies and federal and state funds.  A minimum of sixty-five percent (65%), but not to exceed seventy-five percent (75%) of all annual expenditures from the Oklahoma Housing Trust Fund shall be made for the purpose of providing affordable housing in counties with a population of less than four hundred ninety thousand (490,000) according to the latest federal decennial census.

Added by Laws 1995, c. 337, § 19, eff. Nov. 1, 1995.  Amended by Laws 1998, c. 163, § 2, eff. Nov. 1, 1998.

§74-2901.3.  Oklahoma Housing Trust Fund - Advisory committee - Rules.

A.  The Executive Director of the Oklahoma Housing Finance Agency shall appoint an advisory committee to assist in policy development for administration of the Oklahoma Housing Trust Fund.  Members of the advisory committee shall be appointed from the housing development, sales, and finance industries; nonprofit housing development organizations; and economic development agencies or organizations.

B.  The Oklahoma Housing Finance Agency shall promulgate rules for the operation of the Oklahoma Housing Trust Fund.

Added by Laws 1998, c. 163, § 3, eff. Nov. 1, 1998.

§74-2901.4.  Statewide affordable housing strategy - Annual Reports.

A.  1.  The Oklahoma Department of Commerce and the Oklahoma Housing Finance Agency shall develop a statewide affordable housing strategy and update such strategy periodically.

2.  The strategy shall include the real-time data collected and analyzed on the current condition of affordable housing in Oklahoma.

3.  The strategy shall identify needs for affordable housing particularly in nonmetropolitan areas of the state and in areas experiencing growth.

4.  The strategy shall be coordinated with federal, state, and local housing providers to leverage new resources for affordable housing in Oklahoma.

B.  An initial report on such housing strategy shall be provided to the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, and the Secretary of Commerce no later than January 1, 1999, and shall be updated no later than January 1 of each year.

Added by Laws 1998, c. 163, § 4, eff. Nov. 1, 1998.

§74-2902.  Repealed by Laws 2001, c. 277, § 9, eff. July 1, 2001.

§74-3001.  Creation - Members - Officers - Terms of private citizen members - Conflict of interest.

A.  There is hereby created in the Department of Central Services a committee to be known as the "State Use Committee".  The Committee shall consist of five (5) members and one nonvoting member as follows:

1.  A private citizen conversant with the employment needs of people with severe disabilities who shall be appointed by and serve at the pleasure of the Governor to act as an advocate for the employment needs of people with severe disabilities;

2.  The Director of the Department of Central Services or designee;

3.  The Director of Visual Services, or designee;

4.  The past president of Oklahoma Community-Based Providers or designee to serve for a one-year period, who may be reappointed by the succeeding president;

5.  An individual or a parent or guardian of an individual with severe disabilities who participates in vocational programming through a sheltered environment facility, to be selected by the Committee; and

6.  As a nonvoting member, a person employed by the Department of Central Services as a contracting officer in the purchasing division, appointed by the State Purchasing Director with the advice of the Committee and designated specifically to solicit, develop, and negotiate contracts with agencies and individuals.

B.  The Committee shall elect from among its membership a Chair and a Vice Chair who shall both serve for a period of one year.

C.  The four private citizens on the Committee shall serve for a period of two (2) years and may be reappointed by the appointing authority.  Any private citizen appointed pursuant to this section to fill a vacancy occurring prior to the expiration of the term for which the predecessor was appointed shall be appointed only for the remainder of the term.

D.  Any member of the Committee shall be prohibited from voting on any issue in which the member has an interest.

Added by Laws 1973, c. 20, § 1, operative July 1, 1973.  Amended by Laws 1982, c. 29, § 1, operative Oct. 1, 1982; Laws 1983, c. 304, § 151, eff. July 1, 1983; Laws 1987, c. 22, § 1, emerg. eff. April 16, 1987; Laws 1988, c. 225, § 22; Laws 1991, c. 141, § 1, eff. Sept. 1, 1991; Laws 1994, c. 110, § 1, eff. July 1, 1994; Laws 1996, c. 322, § 1, emerg. eff. June 12, 1996; Laws 2000, c. 95, § 1; Laws 2004, c. 93, § 2.

§74-3003.  Definitions.

As used in this act:

1.  "Blind person" means a person having a visual acuity not to exceed 20/200 in the better eye, with correcting lenses, or visual acuity greater than 20/200 but with limitation in the field of vision such that the widest diameter of visual field subtends an angle no greater than twenty (20) degrees;

2.  "Committee" means the State Use Committee;

3.  "Qualified nonprofit agency for the severely handicapped" means a nonprofit agency which is certified as a sheltered workshop by the wage and hour division of the U.S. Department of Labor and employing severely disabled persons who constitute at least seventyfive percent (75%) of the personnel engaged in direct production of products or services offered by the agency for procurement by this state;

4.  "Severely disabled person" means an individual with a physical or mental disability constituting a substantial handicap to employment and preventing the person from engaging in normal competitive employment and includes any blind person; and

5.  "Qualified organization" means a blind person, qualified nonprofit agency for the severely handicapped, or severely disabled person contracting to supply goods or services.

Added by Laws 1973, c. 20, § 3, operative July 1, 1973.  Amended by Laws 1996, c. 322, § 2, emerg. eff. June 12, 1996; Laws 2004, c. 404, § 2, eff. Nov. 1, 2004.

§743004.  Procurement schedule.

The Committee shall designate by regulation a schedule, hereinafter referred to as the procurement schedule, of the products directly manufactured, produced, processed or assembled or services directly performed, offered or provided by any severely disabled person or qualified nonprofit agency for the severely disabled, as defined by this act, which the Committee determines are suitable for procurement by the state.  No state agency shall purchase, pursuant to Section 3007 of this title, products or services purporting to be made by severely disabled persons in workshops which are not certified by the Committee or by severely disabled individuals who are not certified by the Committee.

Added by Laws 1973, c. 20, § 4, operative July 1, 1973.  Amended by Laws 1996, c. 322, § 3, emerg. eff. June 12, 1996.

§74-3004.1.  Contracts for products or services - Assessment.

A one-percent fee of any contract for products or services of the severely disabled shall be assessed against the qualified organization and deposited in the State Use Committee Revolving Fund, as created in Section 3004.2 of this title, for the salary, administrative costs, and other expenses incurred by the Purchasing Division of the Department of Central Services for promoting goods and services provided by qualified organizations.

Added by Laws 1993, c. 175, § 2, emerg. eff. May 10, 1993.  Amended by Laws 1996, c. 322, § 4, emerg. eff. June 12, 1996; Laws 2004, c. 404, § 3, eff. Nov. 1, 2004.

§74-3004.2.  State Use Committee Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Department of Central Services to be designated the "State Use Committee Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all proceeds from the one-percent fee on contracts for purchases of products or services of the severely disabled, as provided in Section 3004.1 of this title.  The fund shall be invested in any of the types of instruments in which the State Treasurer is authorized by law to invest.  Interest earned shall be retained by the fund.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Department of Central Services for the salary and other administrative expenses of the buyer and clerical and technical support in the Purchasing Division of the Department of Central Services responsible for contracts for the products and services of the severely disabled and expenses the Department incurs to support Committee operations.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1993, c. 175, § 3, emerg. eff. May 10, 1993.  Amended by Laws 1996, c. 322, § 5, emerg. eff. June 12, 1996; Laws 2003, c. 372, § 13, eff. July 1, 2003; Laws 2004, c. 404, § 4, eff. Nov. 1, 2004.

§743005.  Determination of fair market price.

The Committee shall determine the fair market price of all products and services included in the procurement schedule and shall revise such prices in accordance with changing market conditions; provided, however, a change in price shall not be effective prior to the expiration of fifteen (15) days from the date on which such change is made by the Committee.

Laws 1973, c. 20, § 5, operative July 1, 1973.  

§743006.  Distribution agency.

The Committee may designate a central nonprofit agency to facilitate the distribution of orders of the state for products or services on the procurement schedule among qualified nonprofit agencies for people with severe disabilities.

Added by Laws 1973, c. 20, § 6, operative July 1, 1973.  Amended by Laws 1996, c. 322, § 6, emerg. eff. June 12, 1996.

§74-3007.  State or agency to procure a product or service at fair market price.

A.  Whenever the State of Oklahoma or any of its agencies intends to procure any product or service included in the procurement schedule, that entity shall secure the product or service from a qualified nonprofit agency providing employment to people with severe disabilities at the fair market price determined by the Committee if the product or service is available within the period required by the entity.

B.  An agency of this state shall not evade the intent and meaning of this section by slight variations from standards adopted by the Department of Central Services.

C.  Provided, the requirements of this section shall not apply to the procurement of janitorial services by the Oklahoma State Bureau of Investigation.  The Bureau shall conduct background investigations and national criminal history record checks on companies and individuals with which it contracts to provide janitorial services.

Added by Laws 1973, c. 20, § 7, operative July 1, 1973.  Amended by Laws 1987, c. 22, § 2, emerg. eff. April 16, 1987; Laws 1996, c. 322, § 7, emerg. eff. June 12, 1996; Laws 1999, c. 277, § 2, eff. Sept. 1, 1999.

§743008.  Exceptions  Competitive bid requirement not applicable.

Nothing in Sections 3001 et seq. of this title pursuant to purchases of products and services from people with severe disabilities shall be construed to prohibit any department or agency of the state from manufacturing or supplying its own products or services for its own use.  Procurements made pursuant to this act shall not be subject to the competitive bid requirements of the Oklahoma Central Purchasing Act, Section 85.1 et seq. of this title.

Added by Laws 1973, c. 20, § 8, operative July 1, 1973.  Amended by Laws 1984, c. 159, § 2, eff. Nov. 1, 1984; Laws 1996, c. 322, § 8, emerg. eff. June 12, 1996.

§74-3009.  Rules - Requirements - Reporting of violations of intent of laws - Annual Report to Legislature.

A.  The State Use Committee shall prescribe rules to carry out the purposes of the provisions of Sections 3001 through 3009 of this title.

B.  The rules shall include requirements for:

1.  Publishing a catalog listing goods and services and jobs that workshops can provide the state, annually;

2.  Conducting a minimum of six meetings per year, in compliance with the Oklahoma Open Meeting Act, Section 301 et seq. of Title 25 of the Oklahoma Statutes;

3.  Making available to contractors the minutes of all meetings;

4.  Notifying contractors at least ten (10) days prior to meeting dates.  Meetings shall be called by the Committee Chair; and

5.  Establishing guidelines by which a vendor may file a grievance.

C.  The Committee shall report any violations of the intent of the laws to the Attorney General's office within thirty (30) days of their determination of such violations.

D.  The Committee shall file an Annual Report within sixty (60) days after the close of the legislative year with the President Pro Tempore of the Senate, the Speaker of the House of Representatives and the Governor.

Added by Laws 1973, c. 20, § 9, operative July 1, 1973.  Amended by Laws 1983, c. 304, § 152, eff. July 1, 1983; Laws 1991, c. 141, § 2, eff. Sept. 1, 1991; Laws 1996, c. 322, § 9, emerg. eff. June 12, 1996.

§743010.  Municipalities or county agencies  Purchases from sheltered workshops  Exemption from competitive bid requirements.

Any municipality or county agency of this state is authorized to purchase products and services from any qualified nonprofit agency providing employment to persons with severe disabilities which is certified as a sheltered workshop by the Wage and Hour Division of the United States Department of Labor.  Procurements made pursuant to the provisions of this section shall not be subject to competitive bid requirements.  To participate, a qualified nonprofit agency for the severely disabled must be able to meet the needs and specifications for the products or services required by the purchasing body at a fair market price.

Added by Laws 1987, c. 22, § 3, emerg. eff. April 16, 1987.  Amended by Laws 1991, c. 141, § 3, eff. Sept. 1, 1991; Laws 1996, c. 322, § 10, emerg. eff. June 12, 1996.

§743101.  Briefing of newly appointed members of governing bodies as to duties and responsibilities.

The chief executive officer of any state agency, board, commission, council or other governing body of any department, system or authority is required, as part of his duties, to brief any newly appointed member of such governing body within two (2) weeks from the date of the member's appointment regarding his duties and responsibilities and those of the body to which he has been appointed, providing the new member with a copy of the statute or Constitutional provision pertaining thereto, a copy of the last twelve (12) monthly operating budgets showing all disbursements and receipts of such department or agency, and a copy of all rules and regulations existing in said agency, and other pertinent information that will assure that the new appointee is advised of such duties and responsibilities.  The briefing may be delegated in part to the executive director or other managing officer of any department, system or authority under supervision of the governing body, the responsibility for its accomplishment remaining that of the chief executive officer.

Laws 1973, c. 113, § 1, emerg. eff. May 4, 1973.  

§743102.  Penalty.

Failure of compliance with provisions of Section 1 of this act may be grounds for removal from office of the officer so failing.

Laws 1973, c. 113, § 2, emerg. eff. May 4, 1973.  

§743103.  Reports published by State agencies, departments, boards, commissions and institutions  Elimination of unnecessary expense.

That all state agencies, departments, boards, commissions and institutions are instructed to make every effort to use the most inexpensive and brief means of publication of this material.

Laws 1974, p. 717, S.J.R.No.20, § 1, emerg. eff. April 19, 1974.  

§743104.  Filing and distribution of reports.

Every agency, board, department, commission, or institution of this state shall deposit a maximum of twentyfive copies of its annual, semiannual, or biennial reports with the Publications Clearinghouse of the Department of Libraries for distribution and depository system purposes as required by the provisions of Section 3114 of Title 65 of the Oklahoma Statutes and shall distribute said reports only to legislators and other parties specifically requesting said reports.  The Publications Clearinghouse shall notify the members of the Legislature of the receipt of said reports.

Amended by Laws 1984, c. 13, § 6, eff. Nov. 1, 1984.  

§743105.  Information to be included in certain reports.

A.  Unless otherwise provided by law, every agency, department, board, commission or institution of the State of Oklahoma shall list the following information at a prominent place near the beginning of each publication issued by them:

1.  Name of the issuing agency, department, board, commission or institution;

2.  Authorization for publication.  If such publication is not specifically authorized by statute the name of the person or persons so authorizing shall be stated;

3.  The number of copies printed;

4.  Name of printing firm doing printing; and

5.  Assurance of compliance with Section 3114 of Title 65 of the Oklahoma Statutes.

B.  The information shall be set forth in a separate paragraph and shall conform as nearly as practical to the following format:

"This publication, printed by (name of printing firm) is issued by (here list the agency, department, board, commission or institution) as authorized by______________.  ______ copies have been prepared and distributed at a cost of $_______.  Copies have been deposited with the Publications Clearinghouse of the Oklahoma Department of Libraries."

C.  State promotion and informational publications produced by the Oklahoma Tourism and Recreation Department, Division of Travel and Tourism, and the Oklahoma Department of Commerce shall be exempt from the provisions of this section.

Laws 1974, p. 717, S.J.R. No. 20, § 3, emerg. eff. April 19, 1974; Laws 1978, c. 165, § 11; Laws 1985, c. 30, § 1, eff. Nov. 1, 1985; Laws 1987, c. 188, § 23, operative July 1, 1987; Laws 1991, c. 308, § 8, eff. July 1, 1991; Laws 1992, c. 259, § 3, emerg. eff. May 22, 1992.

§74-3106.1.  Publications officers for state agencies.

A.  Every state agency shall designate one of its employees as the publications officer for the agency and shall notify the Publications Clearinghouse of the Department of Libraries of the name of the publications officer and of the name of any new publications officer should a change occur.

B.  Each publications officer of a state agency shall have the duty to provide the Publications Clearinghouse with copies of all state publications of the agency, to compile and forward to the Publications Clearinghouse required lists of the state publications of the agency, and to provide other related information which may be requested by the Publications Clearinghouse for the collection of state publications and the depository library system.

C.  Upon release of a state publication by an agency, the publications officer shall deposit a maximum of twenty-five copies of the publication with the Publications Clearinghouse for record and depository system purposes.

D.  The publications officer shall notify the Publications Clearinghouse of the production of audiotapes, videotapes, films, filmstrips, slides, or other audiovisual publications.  Every state agency shall preserve one copy of each audiovisual publication or the publications officer shall deposit one copy of each audiovisual publication with the Publications Clearinghouse for preservation.

E.  Every state agency including all institutions of higher education shall provide to the Publications Clearinghouse a complete list of its state publications published during the prior calendar year in accordance with the rules of the Publications Clearinghouse.

Added by Laws 1978, c. 165, § 7.  Amended by Laws 1984, c. 13, § 7, eff. Nov. 1, 1984; Laws 1998, c. 364, § 34, emerg. eff. June 8, 1998.

§74-3106.2.  Public meetings - Posting of schedules and agenda on Internet.

A.  On or before January 1, 2002, or within six (6) months of the establishment of an Internet website, whichever is later, public bodies shall make available on their Internet website or on a general website if a public body uses a general website, a schedule and information about the regularly scheduled meetings of the public bodies or their governing bodies.  The information made available shall include the date, time, place and agenda of each meeting.  When reasonably possible, public bodies shall also provide information about the date, time, place and agenda of any special or emergency meetings of the public body.

B.  The provisions of subsection A of this section shall not be construed to amend or alter the requirements of the Oklahoma Open Meeting Act.

C.  On or before January 1, 2002, or within six (6) months of the establishment of an Internet website, whichever is later, public bodies shall make available on their Internet website the names of members of their governing bodies and such other information about the members as the public body may choose to include.

D.  For purposes of this section, "public body" is defined as provided by paragraph 1 of Section 304 of Title 25 of the Oklahoma Statutes and shall include each institution within The Oklahoma State System of Higher Education.

Added by Laws 2001, c. 125, § 1, eff. Nov. 1, 2001.

§74-3109.  Repealed by Laws 2005, c. 472, § 19, eff. July 1, 2005.

§743110.  Utility bills exempt.

This act shall not apply to monthly billings submitted to the state or any county or local subdivision of the state for public utility companies, electric cooperatives or telephone companies, whose services are regulated by the Oklahoma Corporation Commission nor to said utility companies, electric cooperatives or telephone companies for billings pertaining to installations or changes in service, where tariffs for such charges or billings by said companies are on file with the Oklahoma Corporation Commission. Laws 1974, c. 133, Section 2; Laws 1975, c. 330, Section 2. Emergency eff. June 12, 1975.

Laws 1974, c. 133, § 2, emerg. eff. May 3, 1974; Laws 1975, c. 330, § 2, emerg. eff. June 12, 1975.  

§74-3111.  Use of social security numbers by state or subdivisions prohibited - Exceptions.

A.  No state agency, board, commission or other unit or subdivision of state government shall request or require, except as otherwise required by law, that any person reveal the social security number of such person in order to obtain services or assistance, nor shall any state agency, board, commission or other unit or subdivision of state government use, for any purpose, numbers which correspond to the social security number of any person, except as otherwise required by law.  Provided that any state agency, board, commission, unit or subdivision of state government using social security numbers for a particular purpose prior to January 1, 1974, may continue to use and require social security numbers for that purpose only and provided, further, that the provisions of Section 3101 et seq. of this title shall not be construed to prohibit the use or requirement of disclosure of one's social security number if the use of the number is related to the Social Security Administration or benefits thereunder, or, subject to the provisions of Section 1-311.1 of Title 63 of the Oklahoma Statutes, to prohibit the use or requirement of disclosure of the social security numbers of the mother and father by the Vital Records Section of the State Department of Health in the administration of the issuance of birth records.

B.  The provisions of this section shall not be construed to prohibit the Oklahoma Tax Commission from requiring the disclosure by any person of his or her social security number in order to administer any state tax law, as defined by Section 202 of Title 68 of the Oklahoma Statutes or in order for the State Treasurer to administer any provision of the Uniform Unclaimed Property Act, if such administration requires the Tax Commission or State Treasurer to obtain the social security number of any person.

C.  The provisions of this section shall not prohibit the State Department of Education or a board of education of a school district from requesting any student who wishes to enroll in or is enrolled in any public school in this state to disclose the social security account number of the student in order for the Department to administer any provision of the Oklahoma School Testing Program Act,  for the collection of appropriate and necessary data pursuant to the Oklahoma Educational Indicators Program, for the purpose of determining student enrollment, to establish a mobility rate or for the allocation of State Aid Formula and midyear adjustment in funding for student growth.  The State Department of Education or a board of education of a school district shall not deny to any student any right, benefit, or privilege provided by law because of the refusal by the student to disclose the social security account number of the student.  If the State Department of Education or a board of education of a school district requests a student to disclose the student's social security account number, the State Department of Education or a board of education of a school district shall inform the student by what statutory or other authority such number is solicited and what uses will be made of the number.

D.  The State Board of Education is authorized to develop an alternative accountability system for tracking students to administer any provision of the Oklahoma School Testing Program Act, for the collection of appropriate and necessary data pursuant to the Oklahoma Educational Indicators Program, for the purpose of determining student enrollment, to establish a mobility rate or for the allocation of State Aid Formula and midyear adjustment in funding for student growth.  The accountability system shall be developed only if, in the determination of the Board, the provisions of subsection C of this section are not sufficient to allow for the adequate implementation of the provisions of the Oklahoma School Testing Program Act or the Oklahoma Educational Indicators Program.

Added by Laws 1974, c. 147, § 1.  Amended by Laws 1989, c. 249, § 36, eff. July 1, 1989; Laws 1990, c. 309, § 20, eff. Sept. 1, 1990; Laws 1991, c. 280, § 76, eff. July 1, 1991; Laws 1996, c. 215, § 7, eff. July 1, 1996; Laws 1999, c. 10, § 38, eff. July 1, 1999; Laws 2000, c. 189, § 12, eff. July 1, 2000.

NOTE:  Laws 1990, c. 263, § 66 repealed by Laws 1991, c. 280, § 86, eff. July 1, 1991.

§74-3112.  Repealed by Laws 2000, c. 189, § 15, eff. July 1, 2000.

§743113.  Disclosure of information indexed by social security numbers prohibited  Exceptions.

No state agency, board, commission or other unit or subdivision of state government may furnish any information indexed by social security number unless required by law or specifically authorized to do so by the holder of said social security number.  Provided that this section shall not apply to a report produced by a state agency of monetary payments made to any state official or employee from State Treasury funds or accounts.

Laws 1974, c. 147, § 3.  

§743114.  State officials and employees prohibited from soliciting or accepting contributions for candidates.

No elected or appointed state official, his employees or others in behalf and for said elected or appointed state official, shall, directly or indirectly, solicit or accept contributions from employees in said department or agency for the benefit of or in behalf of any person who is a candidate for other political office.

(a)  Violation of this section, upon resolution of the Legislature or either house thereof, shall be prosecuted by the appropriate district attorney, provided the appropriate district attorney shall have authority on his own motion to prosecute said violation in the absence of legislative resolution.

Upon conviction for violation of this section, the state official or any employee adjudged guilty, shall be immediately removed from office or position and shall be subject to bond forfeiture or so much thereof as necessary to reimburse the State of Oklahoma for monies wrongfully expended because of said violation. In event the Legislature or the appropriate District Attorney fails to act within a reasonable time, then any citizen taxpayer may institute suit and upon successful prosecution of the violation, like penalties are to attach.

Laws 1974, c. 293, § 5, emerg. eff. May 29, 1974.  

§74-3116.  Heroic Oklahoman Award.

There is hereby established the Heroic Oklahoman Award to recognize any citizen of the State of Oklahoma who distinguishes himself by conspicuous and extraordinary heroism which may have involved personal hazard or danger and the voluntary risk of life.  The Heroic Oklahoman Award shall not be made solely on the basis of having saved a life.  Said award shall be presented by the Governor of the State of Oklahoma upon recommendation from a member of the Senate or House of Representatives.

The Heroic Oklahoman Award shall take the form of a public recognition of the heroic efforts of the recipient, but shall not be monetary in nature.  The design of the award shall be left to the discretion of the Governor.

Added by Laws 1990, c. 159, § 1, emerg. eff. May 1, 1990.

§74-3117.  Increase of fees by state agencies - When permitted - Notice - Justification and documentation.

No agency, constitutionally or statutorily created state board, bureau, commission, office, authority, public trust in which the state is a beneficiary, or interstate commission, except governing boards for entities within The Oklahoma State System of Higher Education, shall establish or increase fees, except during such times as the Legislature is in session, unless specifically mandated by the Legislature or federal legislation, or when the failure to establish or increase fees would conflict with an order issued by a court of law.

Prior to the establishment or increase of a fee, the agency, constitutionally or statutorily created state board, bureau, commission, office, authority, public trust in which the state is a beneficiary, or interstate commission, except governing boards for entities within The Oklahoma State System of Higher Education for which fees are reported pursuant to Section 3218.2 of Title 70 of the Oklahoma Statutes, shall notify, in writing, the Governor, the Speaker of the House of Representatives, the Government Operations, Agency Oversight and Administrative Rules Committee and the President Pro Tempore of the Senate of the intended action.  The notice shall include justification for the fee or fee increase and all supportive documentation.

Added by Laws 1998, c. 239, § 18, eff. Nov. 1, 1998.  Amended by Laws 2003, c. 4, § 7, emerg. eff. March 28, 2003.

§74-3118.  Written response at time of denial of permit, license or tax exemption.

Every state agency that has authority to deny a permit, license, or tax exemption shall provide a written response to the applicant at the time of denial that states the reason for the denial, any applicable appeals procedure for the applicant, and any time limitation for filing an appeal.

Added by Laws 2004, c. 290, § 1, eff. Nov. 1, 2004.

§743301.  "Agency" defined.

As used in this act, "agency" means any board, commission, department, authority, bureau, office or other entity created with authority to make rules or formulate orders as defined in the Administrative Procedures Act.

Laws 1973, c. 153, § 1, emerg. eff. May 14, 1973.  

§743302.  Legislature as sole creating authority during session.

During the time the Legislature is in session, it is the sole authority for the creation of an agency.

Laws 1973, c. 153, § 2, emerg. eff. May 14, 1973.  

§743303.  Creation by Executive Order during interim.

Agencies may be created by Executive Order of the Governor during the interim between sessions of the Legislature.

Laws 1973, c. 153, § 3, emerg. eff. May 14, 1973.  

§743304.  Requisites of Executive Order.

An Executive Order creating an agency shall clearly define its purpose and the duties, responsibilities and qualifications of agency officials, salaries of the officials, projected number of employees and the maximum permissible expenditures of the agency.

Laws 1973, c. 153, § 4, emerg. eff. May 14, 1973.  

§743305.  Continuation of agency created by Executive Order  Legislation.

Continuation of an agency created by Executive Order is conditioned upon the Governor's submitting proposed legislation, upon convening of the Legislature, for creation of the agency by statute, the proposal to contain detailed provisions regarding the purpose of the agency, its manner of operation, the duties, responsibilities and qualification requirements of its officials, salaries of its officials, projected number of employees and projected costs of its operation.  If legislation establishing the agency is not enacted, it shall not continue operation beyond sine die adjournment of the Legislature for that session.

Laws 1973, c. 153, § 5, emerg. eff. May 14, 1973.  

§74-3315.  Short title.

This act shall be known and may be cited as the "Oklahoma State Register of Natural Heritage Areas Act".

Added by Laws 1984, c. 48, § 1, eff. Nov. 1, 1984.  Amended by Laws 2002, c. 199, § 1, emerg. eff. May 6, 2002.  Renumbered from Title 74, § 1840 by Laws 2002, c. 199, § 5, emerg. eff. May 6, 2002.

§74-3315.1.  State Register of Natural Heritage Areas - Creation - Listing of sites - Private property.

A.  There is hereby created a "State Register of Natural Heritage Areas".

B.  The Oklahoma Biological Survey shall establish a listing of sites, districts, areas, or objects above or below the surface of the earth whether on land or in the waters of this state, which have unique and diverse ecological, geological, or other special natural characteristics of significant scientific, educational, or passive recreational value to the citizens of this state.  The listing shall constitute the State Register of Natural Heritage Areas.

C.  Listing a privately owned property in the State Register shall in no way violate or abridge the right of the landowner to use, modify, or dispose of the property.

Added by Laws 1984, c. 48, § 2, eff. Nov. 1, 1984.  Amended by Laws 2002, c. 199, § 2, emerg. eff. May 6, 2002.  Renumbered from Title 74, § 1841 by Laws 2002, c. 199, § 5, emerg. eff. May 6, 2002.

§74-3315.2.  Potential areas for inclusion in State Register - Characteristics.

Any potential natural area recommended for inclusion in the State Register shall possess one or more of the following characteristics:

1.  Rare, threatened, or endangered plant or animal species habitat;

2.  Outstanding plant community type which is representative of the natural diversity of this state;

3.  Outstanding geological element which is representative of the geological history or processes of this state;

4.  Outstanding aquatic elements which are representative of the aquatic diversity of this state; or

5.  Unusual natural features, such as vegetation types, virgin stands, or other unique biological or ecological phenomena.

Added by Laws 1984, c. 48, § 4, eff. Nov. 1, 1984.  Renumbered from Title 74, § 1843 by Laws 2002, c. 199, § 5, emerg. eff. May 6, 2002.

§74-3315.3.  Duties of Oklahoma Biological Survey.

In performing its duties pursuant to the provisions of the Oklahoma State Register of Natural Heritage Areas Act, the Oklahoma Biological Survey shall:

1.  Identify potential natural areas for inclusion in the State Register.  Any person or organization may recommend the inclusion of any area within this state to the Survey;

2.  Notify the landowners of a potential natural area of the recommendation of the area, explain the scope and intent of the State Register, and request permission to evaluate the site of the area;

3.  Evaluate the site of the potential natural area, upon receiving permission from the landowners, to determine whether the area satisfies the criteria listed in Section 4 of this act;

4.  Invite the landowners of a natural area site which satisfies  the criteria to register the site in the State Register.  To register a site, a nonbinding agreement stating the intent of the landowners to protect the characteristics of the natural area site is signed by the landowners and the Director of the Oklahoma  Biological Survey.  Upon the signing of the agreement, the Director shall present a plaque and a certificate of registration to the landowners acknowledging their generosity and civicmindedness;

5.  Protect the rights of the landowners by publicly listing a registered natural area only with the consent of the landowners and by removing a natural area from the State Register at the request of the landowners;

6.  Assist the landowners of registered natural areas by providing information concerning such areas and by providing or arranging for technical assistance and resource planning which may be requested;

7.  Review periodically each registered natural area and remove from the State Register any area which has had its natural character or quality degraded through significant natural or manmade changes; and

8.  Publish an annual report on the state and condition of the registered natural areas which shall be available to the public.

Added by Laws 1984, c. 48, § 5, eff. Nov. 1, 1984.  Amended by Laws 1993, c. 155, § 1, eff. July 1, 1993; Laws 2002, c. 199, § 3, emerg. eff. May 6, 2002.  Renumbered from Title 74, § 1844 by Laws 2002, c. 199, § 5, emerg. eff. May 6, 2002.

§74-3315.4.  Evaluation of recommended areas - Criteria.

All potential natural areas recommended for inclusion in the State Register shall be evaluated by the Oklahoma  Biological Survey, as required by Section 3 of this act, according to the following criteria:

1.  The diversity of flora and fauna;

2.  The quality and viability of the occurrence of the element of natural diversity;

3.  The absence of damaging land uses and the extent of historic disturbances;

4.  The potential for sustained protection and management of the element of natural diversity;

5.  The presence of additional elements of natural diversity not adequately represented in other registered natural areas; and

6.  The significance of the educational and scientific values of the element of natural diversity.

Added by Laws 1984, c. 48, § 6, eff. Nov. 1, 1984.  Amended by Laws 1993, c. 155, § 2, eff. July 1, 1993; Laws 2002, c. 199, § 4, emerg. eff. May 6, 2002.  Renumbered from Title 74, § 1845 by Laws 2002, c. 199, § 5, emerg. eff. May 6, 2002.

§743361.1.  Abolition of Department of Energy.

The Oklahoma Department of Energy is hereby abolished.  The Corporation Commission shall review and evaluate all federal programs being administered by the Department and shall continue those programs the Commission determines to be beneficial to Oklahoma.  All unexpended funds, outstanding financial obligations or encumbrances, contractual obligations, equipment, files, materials and fixtures of the Department of Energy are hereby transferred to the Corporation Commission, provided that those unexpended funds, supplies and equipment utilized by the Department to support the state fuel setaside, allocation and emergency energy planning programs are hereby transferred to the Office of Civil Defense.

Laws 1981, c. 285, § 5, eff. Oct. 1, 1981.  

§743401.  Short title.

This act shall be known and may be cited as "The AntiKickback Act of 1974". Laws 1974, c. 32, Section 1.  Emerg. eff April 10, 1974.

Laws 1974, c. 32, § 1, emerg. eff. April 10, 1974.  

§743402.  Definitions.

As used in this act:

1.  Kickback means the giving of money or any other thing of value either directly or indirectly by or on behalf of any person, or the agent of any person, holding a contract or bidding to obtain a contract with the state for the furnishing of goods or services of any kind to any state employee or any person holding a higher tier contract with the state for the furnishing of goods or services, when the giving of which is for the purpose of acquiring or holding such contract with the state;

2.  Person means an individual, firm, partnership, foreign or domestic corporation or association or any employee thereof;

3.  State means the State of Oklahoma or any office, department, board, bureau, commission, committee, authority or any other entity or political subdivision of the state which includes, but is not limited to municipalities, counties and school boards; and

4.  State employee means any elected or appointed officer or employee of the state. Laws 1974, c. 32, Section 2.  Emerg. eff April 10, 1974.

Laws 1974, c. 32, § 2, emerg. eff. April 10, 1974.  

§743403.  Giving of kickback by holder of contract prohibited.

No person, holding a contract with the state for the furnishing of goods or services of any kind, shall give or offer to give a kickback to any person holding a higher tier contract with the state or to any state employee. Laws 1974, c. 32, Section 3.  Emerg. eff April 10, 1974.

Laws 1974, c. 32, § 3, emerg. eff. April 10, 1974.  

§743404.  Making or receiving a kickback prohibited  Penalty.

Any person who shall knowingly make or receive, either directly or indirectly, a kickback shall be guilty of a felony, and upon conviction shall be fined not more than Ten Thousand Dollars ($10,000.00) or double the amount of the financial gain or be imprisoned for not more than five (5) years, or both.

Added by Laws 1974, c. 32, § 4, emerg. eff. April 10, 1974.  Amended by Laws 1997, c. 133, § 590, eff. July 1, 1999; Laws 1999, 1st Ex.Sess., c. 5, § 427, eff. July 1, 1999.

NOTE:  Laws 1998, 1st Ex.Sess., c. 2, § 23 amended the effective date of Laws 1997, c. 133, § 590 from July 1, 1998, to July 1, 1999.

§743405. Recovery of kickback.

The cost of any kickback shall not be recompensed either directly or indirectly as a part of the contract price charged to the state.  The amount of any kickback shall be recoverable in treble on behalf of the state from the person giving the kickback or the person receiving the kickback by a civil suit in a court of competent jurisdiction or by setoff on any claim for payment of monies due under the contract price.

Laws 1974, c. 32, § 5, emerg. eff. April 10, 1974.  

§743406.  Presumptions  Exemplary damages.

Upon a showing that a contractor or subcontractor gave a kickback in connection with the award of any state contract or subcontract, it shall be conclusively presumed that the cost of the kickback was included in the price of the contract or subcontract and was ultimately borne by the state and in addition to any other penalty or liability, such person shall be liable for exemplary damages. Laws 1974, c. 32, Section 6.  Emerg. eff. April 10, 1974.

Laws 1974, c. 32, § 6, emerg. eff. April 10, 1974.  

§743407.  Attorney General to appear for state.

The Attorney General of the State of Oklahoma shall appear for the state and prosecute and defend all actions and proceedings in which the state is an interested party under this act. Laws 1974, c. 32, Section 7.  Emerg. eff. April 10, 1974.

Laws 1974, c. 32, § 7, emerg. eff. April 10, 1974.  

§743458.  Limitation of liability of owners of land used for recreational purposes.

No person or corporation, or their successors in interest, who has granted a rightofway or easement across his land to the Commission for use in the state trails system shall be liable to any user of the trail for injuries suffered on said rightofway or easement unless the injuries are caused by the willful or wanton misconduct of the grantor.  Laws 1974, c. 241, Section 8.

Laws 1974, c. 241, § 8.  

§743501.  Text of Agreement

The Southern Growth Policies Agreement is hereby entered into by this state with all other states legally joining therein in accordance with its terms in the form substantially as follows:

SOUTHERN GROWTH POLICIES AGREEMENT

ARTICLE I.  FINDINGS AND PURPOSES

(a)  The party states find that the South has a sense of community based on common social, cultural and economic needs and fostered by a regional tradition.  There are vast potentialities for mutual improvement of each state in the region by cooperative planning for the development, conservation and efficient utilization of human and natural resources in a geographic area large enough to afford a high degree of flexibility in identifying and taking maximum advantage of opportunities for healthy and beneficial growth.  The independence of each state and the special needs of subregions are recognized and are to be safeguarded.  Accordingly, the cooperation resulting from this Agreement is intended to assist the states in meeting their own problems by enhancing their abilities to recognize and analyze regional opportunities and take account of regional influences in planning and implementing their public policies.

(b)  The purposes of this Agreement are to provide:

1.  Improved facilities and procedures for study, analysis and planning of governmental policies, programs and activities of regional significance.

2.  Assistance in the prevention of interstate conflicts and the promotion of regional cooperation.

3.  Mechanisms for the coordination of state and local interests on a regional basis.

4.  An agency to assist the states in accomplishing the foregoing.

ARTICLE II.  THE BOARD

(a)  There is hereby created the Southern Growth Policies Board, hereinafter called the "Board."

(b)  The Board shall consist of five (5) members from each party state, as follows:

1.  The Governor.

2.  Two members of the State Legislature, one appointed by the presiding officer of each house of the Legislature or in such other manner as the Legislature may provide.

3.  Two residents of the state who shall be appointed by the Governor to serve at his pleasure.

(c)  In making appointments pursuant to paragraph (b) 3, a Governor shall, to the greatest extent practicable, select persons who, along with the other members serving pursuant to paragraph (b), will make the state's representation on the Board broadly representative of the several socioeconomic elements within his state.

(d)  1.  A Governor may be represented by an alternate with power to act in his place and stead, if notice of the designation of such alternate is given to the Board in such manner as its bylaws may provide.

2.  A legislative member of the Board may be represented by an alternate with power to act in his place and stead, unless the laws of his state prohibit such representation and if notice of the designation of such alternate is given to the Board in such manner as its bylaws may provide.  An alternate for a legislative member of the Board shall be selected by the member from among the members of the legislative house in which he serves.

3.  A member of the Board serving pursuant to paragraph (b) 3 of this article may be represented by another resident of his state who may participate in his place and stead, except that he shall not vote:  provided that notice of the identity and designation of the representative selected by the member is given to the Board in such manner as its bylaws may provide.

ARTICLE III.  POWERS

(a)  The Board shall prepare and keep current a Statement of Regional Objectives, including recommended approaches to regional problems.  The Statement may also identify projects deemed by the Board to be of regional significance.  The Statement shall be available in its initial form two (2) years from the effective date of this Agreement and shall be amended or revised no less frequently than once every six (6) years.  The Statement shall be in such detail as the Board may prescribe.  Amendments, revisions, supplements or evaluations may be transmitted at any time.  An annual Commentary on the Statement shall be submitted at a regular time to be determined by the Board.

(b)  In addition to powers conferred on the Board elsewhere in this Agreement, the Board shall have the power to make or commission studies, investigations and recommendations with respect to:

1.  The planning and programming of projects of interstate or regional significance.

2.  Planning and scheduling of governmental services and programs which would be of assistance to the orderly growth and prosperity of the region, and to the wellbeing of its population.

3.  Effective utilization of such federal assistance as may be available on a regional basis or as may have an interstate or regional impact.

4.  Measures for influencing population distribution, land use, development of new communities and redevelopment of existing ones.

5.  Transportation patterns and systems of interstate and regional significance.

6.  Improved utilization of human and natural resources for the advancement of the region as a whole.

7.  Any other matters of a planning, data collection or informational character that the Board may determine to be of value to the party states.

ARTICLE IV.  AVOIDANCE OF DUPLICATION

(a)  To avoid duplication of effort and in the interest of economy, the Board shall make use of existing studies, surveys, plans and data and other materials in the possession of the governmental agencies of the party states and their respective subdivisions or in the possession of other interstate agencies. Each such agency, within available appropriations and if not expressly prevented or limited by law, is hereby authorized to make such materials available to the Board and to otherwise assist it in the performance of its functions. At the request of the Board, each such agency is further authorized to provide information regarding plans and programs affecting the region, or any subarea thereof, so that the Board may have available to it current information with respect thereto.

(b)  The Board shall use qualified public and private agencies to make investigations and conduct research, but, if it is unable to secure the undertaking of such investigations or original research by a qualified public or private agency, it shall have the power to make its own investigations and conduct its own research.  The Board may make contracts with any public or private agencies or private persons or entities for the undertaking of such investigations or original research within its purview.

(c)  In general, the policy of paragraph (b) of this article shall apply to the activities of the Board relating to its Statement of Regional Objectives, but nothing herein shall be construed to require the Board to rely on the services of other persons or agencies in developing the Statement of Regional Objectives or any amendment, supplement or revision thereof.

ARTICLE V.  ADVISORY COMMITTEES

The Board shall establish a Local Governments Advisory Committee. In addition, the Board may establish advisory committees representative of subregions of the South, civic and community interests, industry, agriculture, labor or other categories or any combinations thereof.  Unless the laws of a party state contain a contrary requirement, any public official of the party state or a subdivision thereof may serve on an advisory committee established pursuant hereto and such service may be considered as a duty of his regular office or employment.

ARTICLE VI.  INTERNAL MANAGEMENT OF THE BOARD

(a)  The members of the Board shall be entitled to one vote each. No action of the Board shall be binding unless taken at a meeting at which a majority of the total number of votes on the Board are cast in favor thereof.  Action of the Board shall be only at a meeting at which a majority of the members or their alternates are present.  The Board shall meet at least once a year.  In its Bylaws, and subject to such directions and limitations as may be contained therein, the Board may delegate the exercise of any of its powers relating to internal administration and management to an Executive Committee or the Executive Director.  In no event shall any such delegation include final approval of:

1.  A budget or appropriation request.

2.  The Statement of Regional Objectives or any amendment, supplement or revision thereof.

3.  Official comments on or recommendations with respect to projects of interstate or regional significance.

4.  The annual report.

(b)  To assist in the expeditious conduct of its business when the full Board is not meeting, the Board shall elect an Executive Committee of not to exceed twentythree (23) members, including at least one member from each party state.  The Executive Committee, subject to the provisions of this Agreement and consistent with the policies of the Board, shall be constituted and function as provided in the bylaws of the Board.  Onehalf of the membership of the Executive Committee shall consist of Governors, and the remainder shall consist of other members of the Board, except that, at any time when there is an odd number of members on the Executive Committee, the number of Governors shall be one less than half of the total membership.  The members of the Executive Committee shall serve for terms of two (2) years, except that members elected to the first Executive Committee shall be elected as follows:  one less than half of the membership for two (2) years and the remainder for one (1) year.  The Chairman, ChairmanElect, Vice Chairman and Treasurer of the Board shall be members of the Executive Committee and anything in this paragraph to the contrary notwithstanding shall serve during their continuance in these offices. Vacancies in the Executive Committee shall not affect its authority to act, but the Board at its next regularly ensuing meeting following the occurrence of any vacancy shall fill it for the unexpired term.

(c)  The Board shall have a seal.

(d)  The Board shall elect, from among its members, a Chairman, a ChairmanElect, a Vice Chairman and a Treasurer.  Elections shall be annual.  The ChairmanElect shall succeed to the office of Chairman for the year following his service as ChairmanElect.  For purposes of the election and service of officers of the Board, the year shall be deemed to commence at the conclusion of the annual meeting of the Board and terminate at the conclusion of the next annual meeting thereof.  The Board shall provide for the appointment of an Executive Director.  Such Executive Director shall serve at the pleasure of the Board, and together with the Treasurer and such other personnel as the Board may deem appropriate shall be bonded in such amounts as the Board shall determine.  The Executive Director shall be Secretary.

(e)  The Executive Director, subject to the policy set forth in this Agreement and any applicable directions given by the Board, may make contracts on behalf of the Board.

(f)  Irrespective of the civil service, personnel or other merit system laws of any of the party states, the Executive Director, subject to the approval of the Board, shall appoint, remove or discharge such personnel as may be necessary for the performance of the functions of the Board, and shall fix the duties and compensation of such personnel.  The Board in its bylaws shall provide for the personnel policies and programs of the Board.

(g)  The Board may borrow, accept or contract for the services of personnel from any party jurisdiction, the United States, or any subdivision or agency of the aforementioned governments, or from any agency of two or more of the party jurisdictions or their subdivisions.

(h)  The Board may accept for any of its purposes and functions under this Agreement any and all donations, and grants of money, equipment, supplies, materials and services, conditional or otherwise, from any state, the United States, or any other governmental agency, or from any person, firm, association, foundation, or corporation, and may receive, utilize and dispose of the same.  Any donation or grant accepted by the Board pursuant to this paragraph or services borrowed pursuant to paragraph (g) of this article shall be reported in the annual report of the Board. Such report shall include the nature, amount and conditions, if any, of the donation, grant, or services borrowed, and the identity of the donor or lender.

(i)  The Board may establish and maintain such facilities as may be necessary for the transacting of its business.  The Board may acquire, hold, and convey real and personal property and any interest therein.

(j)  The Board shall adopt bylaws for the conduct of its business and shall have the power to amend and rescind these bylaws. The Board shall publish its bylaws in convenient form and shall file a copy thereof and a copy of any amendment thereto, with the appropriate agency or officer in each of the party states.

(k)  The Board annually shall make to the Governor and Legislature of each party state a report covering the activities of the Board for the preceding year.  The Board at any time may make such additional reports and transmit such studies as it may deem desirable.

(l)  The Board may do any other or additional things appropriate to implement powers conferred upon it by this Agreement.

ARTICLE VII.  FINANCE

(a)  The Board shall advise the Governor or designated officer or officers of each party state of its budget of estimated expenditures for such period as may be required by the laws of that party state. Each of the Board's budgets of estimated expenditures shall contain specific recommendations of the amount or amounts to be appropriated by each of the party states.

(b)  The total amount of appropriation requests under any budget shall be apportioned among the party states.  Such apportionment shall be in accordance with the following formula:

1.  Onethird (1/3) in equal shares,

2.  Onethird (1/3) in the proportion that the population of a party state bears to the population of all party states, and

3.  Onethird (1/3) in the proportion that the per capita income in a party state bears to the per capita income in all party states.

In implementing this formula, the Board shall employ the most recent authoritative sources of information and shall specify the sources used.

(c)  The Board shall not pledge the credit of any party state. The Board may meet any of its obligations in whole or in part with funds available to it pursuant to Article VI(h) of this Agreement, provided that the Board takes specific action setting aside such funds prior to incurring an obligation to be met in whole or in part in such manner.  Except where the Board makes use of funds available to it pursuant to Article VI(h), or borrows pursuant to this paragraph, the Board shall not incur any obligation prior to the allotment of funds by the party states adequate to meet the same. The Board may borrow against anticipated revenues for terms not to exceed two (2) years, but in any such event the credit pledged shall be that of the Board and not of a party state.

(d)  The Board shall keep accurate accounts of all receipts and disbursements.  The receipts and disbursements of the Board shall be subject to the audit and accounting procedures established by its bylaws.  However, all receipts and disbursements of funds handled by the Board shall be audited yearly by a certified or licensed public accountant, and the report of the audit shall be included in and become part of the annual report of the Board.

(e)  The accounts of the Board shall be open at any reasonable time for inspection by duly constituted officers of the party states and by any persons authorized by the Board.

(f)  Nothing contained herein shall be construed to prevent Board compliance with laws relating to audit or inspection of accounts by or on behalf of any government contributing to the support of the Board.

ARTICLE VIII.  COOPERATION WITH THE FEDERAL GOVERNMENT

AND OTHER GOVERNMENTAL ENTITIES

Each party state is hereby authorized to participate in cooperative or joint planning undertakings with the federal government, and any appropriate agency or agencies thereof, or with any interstate agency or agencies.  Such participation shall be at the instance of the Governor or in such manner as state law may provide or authorize.  The Board may facilitate the work of state representatives in any joint interstate or cooperative federalstate undertaking authorized by this article, and each such state shall keep the Board advised of its activities in respect of such undertakings, to the extent that they have interstate or regional significance.

ARTICLE IX.  SUBREGIONAL ACTIVITIES

The Board may undertake studies or investigations centering on the problems of one or more selected subareas within the region: provided that, in its judgment, such studies or investigations will have value as demonstrations for similar or other areas within the region.  If a study or investigation that would be of primary benefit to a given state, unit of local government, or intrastate or interstate area is proposed, and if the Board finds that it is not justified in undertaking the work for its regional value as a demonstration, the Board may undertake the study or investigation as a special project.  In any such event, it shall be a condition precedent that satisfactory financing and personnel arrangements be concluded to assure that the party or parties benefited bear all costs which the Board determines that it would be inequitable for it to assume.  Prior to undertaking any study or investigation pursuant to this article as a special project, the Board shall make reasonable efforts to secure the undertaking of the work by another responsible public or private entity in accordance with the policy set forth in Article IV(b).

ARTICLE X.  COMPREHENSIVE LAND USE PLANNING

If any two or more contiguous party states desire to prepare a single or consolidated comprehensive land use plan, or a land use plan for any interstate area lying partly within each such state, the Governors of the states involved may designate the Board as their joint agency for the purpose.  The Board shall accept such designation and carry out such responsibility:  provided that the states involved make arrangements satisfactory to the Board to reimburse it or otherwise provide the resources with which the land use plan is to be prepared.  Nothing contained in this Article shall be construed to deny the availability for use in the preparation of any such plan of data and information already in the possession of the Board or to require payment on account of the use thereof in addition to payments otherwise required to be made pursuant to other provisions of this Agreement.

ARTICLE XI.  COMPACTS AND AGENCIES UNAFFECTED

Nothing in this Agreement shall be construed to:

1.  Affect the powers or jurisdiction of any agency of a party state or any subdivision thereof.

2.  Affect the rights or obligations of any governmental units, agencies or officials, or of any private persons or entities conferred or imposed by any interstate or interstatefederal compacts to which any one or more states participating herein are parties.

3.  Impinge on the jurisdiction of any existing interstatefederal mechanism for regional planning or development.

ARTICLE XII.  ELIGIBLE PARTIES; ENTRY INTO AND WITHDRAWAL

(a)  This Agreement shall have as eligible parties the states of Alabama, Arkansas, Delaware, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi, Missouri, North Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia, West Virginia, the Commonwealth of Puerto Rico and the Territory of the Virgin Islands, hereinafter referred to as party states.

(b)  Any eligible state may enter into this Agreement and it shall become binding thereon when it has adopted the same:  provided that in order to enter into initial effect, adoption by at least five states shall be required.

(c)  Adoption of the Agreement may be either by enactment thereof or by adherence thereto by the Governor; provided that in the absence of enactment, adherence by the Governor shall be sufficient to make his state a party only until December 31, 1973. During any period when a state is participating in this Agreement through gubernatorial action, the Governor may provide to the Board an equitable share of the financial support of the Board from any source available to him.  Nothing in this paragraph shall be construed to require a Governor to take action contrary to the constitution or laws of his state.

(d)  Except for a withdrawal effective on December 31, 1973, in accordance with paragraph (c) of this article, any party state may withdraw from this Agreement by enacting a statute repealing the same, but no such withdrawal shall take effect until one (1) year after the Governor of the withdrawing state has given notice in writing of the withdrawal to the Governors of all other party states.  No withdrawal shall affect any liability already incurred by or chargeable to a party state prior to the time of such withdrawal.

ARTICLE XIII.  CONSTRUCTION AND SEVERABILITY

This Agreement shall be liberally construed so as to effectuate the purposes thereof.  The provisions of this Agreement shall be severable and if any phrase, clause, sentence or provision of this Agreement is declared to be contrary to the constitution of any state or of the United States, or the application thereof to any government, agency, person or circumstance is held invalid, the validity of the remainder of this Agreement and the applicability thereof to any government, agency, person or circumstance shall not be affected thereby.  If this Agreement shall be held contrary to the constitution of any state participating therein, the Agreement shall remain in full force and effect as to the state affected as to all severable matters.

§743502.  Filing Bylaws and amendments with Secretary of State.

Copies of Bylaws and amendments to be filed pursuant to Article VI(j) of the Agreement shall be filed with the Secretary of State.

Laws 1974, c. 254, § 2.  

§74-3601.  Repealed by Laws 2002, c. 17, § 4, emerg. eff. Feb. 15, 2002.

§74-3601.1.  Employee defined - Maximum number of full-time-equivalent employees.

A.  For purposes of Sections 3601.1 through 3603 of this title, the term "employee" means a full-time employee or any number of part-time employees whose combined weekly hours of employment equal those of a full-time employee, but shall not include temporary employees working on a seasonal basis between May 1 and October 31.

B.  Beginning July 1, 2004, the maximum number of full-time-equivalent employees for each of the following agencies, boards, commissions, departments, or programs shall not exceed the numbers specified in this section, except as may be authorized pursuant to the provisions of Section 3603 of this title.

MAXIMUM NUMBER OF

FULL-TIME-EQUIVALENT

EMPLOYEES

Board of Managers of the State Insurance Fund 591

Oklahoma Employment Security Commission 1150

Oklahoma Accountancy Board 9

The Board of Governors of the Licensed Architects and Landscape Architects of Oklahoma 4

Board of Chiropractic Examiners 3

State Board of Cosmetology 16

Board of Dentistry 5

Oklahoma Funeral Board 5

State Board of Registration for Professional Engineers and Land Surveyors 8

State Board of Medical Licensure and Supervision/ Board of Podiatric Medical Examiners/State Board of Examiners of Perfusionists 29

Commission on Marginally Producing Oil and Gas Wells 5

Oklahoma Motor Vehicle Commission 4

Oklahoma Board of Nursing 25

Oklahoma State Board of Examiners for Nursing Home Administrators 4

Board of Examiners in Optometry 3

State Board of Osteopathic Examiners 7

Oklahoma Peanut Commission 2

Oklahoma State Board of Pharmacy 9

State Board of Examiners of Psychologists 2

Oklahoma Real Estate Commission 26

Board of Examiners for Speech-Language Pathology and Audiology 2

Oklahoma Used Motor Vehicle and Parts Commission 12

State Board of Veterinary Medical Examiners 6

Oklahoma Wheat Utilization, Research and Market Development Commission 7

Oklahoma Firefighters Pension and Retirement System 13

Oklahoma Police Pension and Retirement System 11

Teachers' Retirement System of Oklahoma 52

Oklahoma Public Employees Retirement System 63

Oklahoma Student Loan Authority 68

Oklahoma Industrial Finance Authority 10

State and Education Employees Group Insurance Board 178

Oklahoma Capital Investment Board 4

State Board of Licensed Social Workers 1

Oklahoma State Employees Benefits Council 31

Oklahoma State Banking Department 46

Liquefied Petroleum Gas Administration 10

C.  The duties and compensation of employees, not otherwise prescribed by law, necessary to perform the duties imposed upon the Oklahoma Public Employees Retirement System Board of Trustees by law shall be set by the Board of Trustees.

D.  Temporary employees of the Oklahoma Used Motor Vehicle and Parts Commission between the dates of November 1 and January 31 annually shall not be counted toward the maximum number of full-time-equivalent employees provided for in this section.

Added by Laws 2002, c. 17, § 1, emerg. eff. Feb. 15, 2002.  Amended by Laws 2003, c. 398, § 1, eff. July 1, 2003; Laws 2004, c. 463, § 1, eff. July 1, 2004; Laws 2005, c. 408, § 1, eff. July 1, 2005.

§74-3601.2.  Chief executive officers - Minimum and maximum salaries.

A.  Beginning January 1, 2005, the agency, board, commission, department or program shall establish the salary of each of the chief executive officers for which they have appointing authority.  Such salary shall be set between the minimum and maximum of the range specified below, for full-time employees only, per annum, payable monthly, pursuant to the limitations outlined below:

1.  If the chief executive officer's salary is below the minimum annual salary then it can not be raised to more than the minimum annual salary in one (1) fiscal year.  If the chief executive officer's salary is at or above the minimum annual salary then the salary may not be increased above the midpoint in one (1) fiscal year.

2.  Such increases shall not occur more than once in a fiscal year; and

3.  The salary of the incumbent chief executive officer shall not be increased if the officer's salary exceeds the maximum of the range.

MINIMUM MIDPOINT MAXIMUM

ANNUAL ANNUAL ANNUAL

SALARY SALARY SALARY

CompSource Oklahoma $82,034.00 $96,511.00 $110,987.00

Oklahoma Employment Security Commission $88,752.00 $104,414.00 $120,076.00

Oklahoma Accountancy Board $53,093.00 $62,462.00 $71,832.00

The Board of Governors of the Licensed Architects and Landscape Architects of Oklahoma $43,346.00 $52,423.00 $60,286.00

Board of Chiropractic Examiners $44,560.00 $52,423.00 $60,287.00

State Board of Cosmetology $44,560.00 $52,423.00 $60,287.00

Board of Dentistry $44,560.00 $52,423.00 $60,287.00

Oklahoma Funeral Board $44,560.00 $52,423.00 $60,287.00

State Board of Registration for Professional Engineers and Land Surveyors $53,093.00 $62,462.00 $71,832.00

State Board of Medical Licensure and Supervision, Board of Podiatric Medical Examiners/State Board of Examiners of Perfusionists $64,334.00 $75,687.00 $87,040.00

Commission on Marginally Producing Oil and Gas Wells $53,093.00 $62,462.00 $71,832.00

Oklahoma Motor Vehicle Commission $53,093.00 $62,462.00 $71,832.00

Oklahoma Board of Nursing $64,334.00 $75,687.00 $87,040.00

Oklahoma State Board of Examiners for Nursing Home Administrators $44,560.00 $52,423.00 $60,287.00

State Board of Osteopathic Examiners $44,560.00 $52,423.00 $60,287.00

Oklahoma Peanut Commission $43,346.00 $52,423.00 $60,286.00

Oklahoma State Board of Pharmacy $53,093.00 $62,462.00 $71,832.00

State Board of Examiners of Psychologists $44,560.00 $52,423.00 $60,287.00

Oklahoma Real Estate Commission $64,334.00 $75,687.00 $87,040.00

Board of Examiners for Speech-Language Pathology and Audiology $36,191.00 $42,577.00 $48,964.00

Oklahoma Used Motor Vehicle and Parts Commission $53,093.00 $62,462.00 $71,832.00

State Board of Veterinary Medical Examiners $44,560.00 $52,423.00 $60,287.00

Oklahoma Wheat Utilization, Research and Market Development Commission $53,093.00 $62,462.00 $71,832.00

Oklahoma Firefighters Pension and Retirement System $76,888.00 $90,457.00 $104,025.00

Oklahoma Police Pension and Retirement System $76,889.00 $90,458.00 $104,026.00

Teachers' Retirement System of Oklahoma $82,034.00 $96,511.00 $110,987.00

Oklahoma Public Employees Retirement System $82,034.00 $96,511.00 $110,987.00

Oklahoma Student Loan Authority $79,800.00 $96,511.00 $110,987.00

Oklahoma Industrial Finance Authority $76,887.00 $90,456.00 $104,024.00

State and Education Employees Group Insurance Board $82,034.00 $96,511.00 $110,987.00

Oklahoma Capital Investment Board $76,887.00 $90,456.00 $104,024.00

State Board of Licensed Social Workers $44,560.00 $52,423.00 $60,287.00

Oklahoma State Employees Benefits Council $76,887.00 $90,456.00 $104,024.00

Grand River Dam Authority $96,607.00 $113,656.00 $130,704.00

Oklahoma State Banking Department $96,607.00 $113,656.00 $130,704.00

Liquefied Petroleum Gas Administration $53,093.00 $62,462.00 $71,832.00

Oklahoma Securities Commission $96,607.00 $111,400.00 $130,704.00

B.  All increases require certification of the appointing authority that said action can be implemented for the current fiscal year and subsequent fiscal year without the need for additional funding.  The agency, board, commission, department or program shall report increases granted under this section to the Office of Personnel Management on an annual basis by August 1 of each year.  The Office of Personnel management shall forward a report of such increases to the Governor, President Pro Tempore of the Senate, and Speaker of the House of Representatives no later than September 1 of each year.

C.  Every two (2) years starting FY-05, the Office of Personnel Management shall review these salary ranges and report on and make recommendations on proposed salary ranges in their annual compensation reports mandated by paragraph 5 of Section 840-1.6A of Title 74 of the Oklahoma Statutes by no later than December 1.

D.  Every three (3) years the Legislature shall review the salary ranges specified in subsection A of this section.

Added by Laws 2004, c. 463, § 2, eff. Jan. 1, 2005.  Amended by Laws 2005, c. 408, § 2, eff. July 1, 2005.

§743602.  Reports

The following agencies, boards, commissions, departments and institutions shall file a quarterly report with the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate, showing the increase or decrease in employees employed by them during the fiscal quarter immediately preceding the filing of the report:

1.  Oklahoma State Regents for Higher Education;

2.  Board of Regents of Oklahoma Colleges; and

3.  Every institution comprising the Oklahoma State System of Higher Education.

Laws 1975, c. 126, § 2, emerg. eff. May 13, 1975; Laws 1976, c. 285, § 2, emerg. eff. June 17, 1976.  

§743603.  Increase in personnel or expenditure of funds.

A.  No agency, board, commission, department, program or office of the state government listed in Sections 3601 through 3604 of this title or whose number of personnel is fixed in any appropriation act or other law of the state, shall increase its personnel above the total number set forth in the provisions of Sections 3601 through 3604 of this title or such appropriation act or other law of the state, unless approval is first granted by the Contingency Review Board.  No board, commission, department, program or office whose expenditure of funds for salaries and wages has been limited by legislative action shall exceed the amount unless approval is first granted by the Contingency Review Board.

B.  The Board shall meet at the call of the Governor for the purpose of reviewing requests for increasing personnel by those agencies, boards, commissions, departments, programs or offices referred to in subsection A of this section.  All meetings of the Board shall be preannounced and open to the public.  A majority vote of the total membership of the Board shall be necessary to approve a request for an increase in personnel.  For any additional employees authorized by the Board, the Board shall be empowered to make a corresponding adjustment in the amount of monies any board, agency, department, commission, program or office is authorized to expend for salaries and wages.

C.  The Board shall approve a request for increasing personnel only if an emergency exists within the requesting entity which could not have been foreseen during the preceding Legislative Session and only if such increase in personnel is needed to perform new or additional duties and services required of such agency, board, commission, department, program or office.  All requests for a personnel increase shall be submitted in writing to each member of the Contingency Review Board with a specific explanation of the existing emergency which could not have been foreseen and the new or additional duties or services to be performed.

D.  Any action to increase the number of employees in any agency involved herein shall be compiled in a report by December 31 each year, and said report transmitted to each member of the Legislature.

E.  The Board, by majority vote, is authorized to determine and approve the transfer of funds, encumbrances, obligations, personnel spaces and associated salary limits, relevant records and equipment, within the limits previously established by legislative action, that are essential in the implementation of those governmental reorganization measures that are adopted by the Legislature.  The transfer of funds accomplished by the Board shall be exempt from the provisions of Section 41.12 of Title 62 of the Oklahoma Statutes.

Laws 1975, c. 126, § 3, emerg. eff. May 13, 1975; Laws 1976, c. 285, § 3, emerg. eff. June 17, 1976; Laws 1979, c. 279, § 2, emerg. eff. June 6, 1979; Laws 1980, c. 155, § 5, emerg. eff. April, 1980.  

§74-3605.  Contingency Review Board.

A.  There is hereby re-created, the Contingency Review Board consisting of the following ex officio voting members:

1.  The Governor;

2.  The Speaker of the House of Representatives;

3.  The President Pro Tempore of the Senate;

4.  The Director of State Finance shall be an ex officio nonvoting member of the Board.

B.  The Governor shall act as Chair of the Board.  The Director of State Finance shall be the Executive Secretary of the Board and shall perform all the duties pertaining to such position.

C.  A simple majority of the total voting membership shall be required to constitute a quorum and shall be necessary for any official action of the Board.

D.  The Board shall hold such meetings as are necessary to carry out the purposes of this act.  The Board shall meet at the call of the Governor.

Laws 1980, c. 155, § 1, emerg. eff. April 1, 1980; Laws 1986, c. 15, § 2, eff. July 1, 1986; Laws 1992, c. 96, § 1, emerg. eff. April 17, 1992; Laws 1998, c. 41, § 1.

§743805.  Education Council  Abolition  Transfer of funds and property.

Effective July 1, 1979, the Oklahoma Education Council is hereby abolished and all unexpended funds, property, records, employees, and any outstanding financial obligations, are hereby transferred to the Office of the Governor.

Laws 1979, c. 186, § 5, emerg. eff. May 17, 1979.  

§743901.  Short title.

This act shall be known as the "Oklahoma Sunset Law."

Laws 1977, c. 9, § 1, emerg. eff. March 10, 1977.  

§74-3902.  Definitions.

As used in the Oklahoma Sunset Law:

1.  "Statutory entity" means any department, agency, commission, board or other regulatory instrumentality of state government enumerated in the Oklahoma Sunset Law; and

2.  "Termination date" means the date provided for termination of legislative authority for the existence of a particular entity as provided for in this act.

Added by Laws 1977, c. 9, § 2, emerg. eff. March 10, 1977.  Amended by Laws 1983, c. 333, § 1, emerg. eff. June 29, 1983; Laws 1995, c. 31, § 2.

§74-3902.1.  Repealed by Laws 1995, c. 31, § 7.

§74-3903.  Termination of certain statutory entities July 1, 2008 - Abolition of powers, duties and functions.

The following statutory entities and their successors shall be terminated on July 1, 2008, and all powers, duties and functions shall be abolished one (1) year thereafter:

1.  Oklahoma State Committee of Plumbing Examiners as created by Section 1004 of Title 59 of the Oklahoma Statutes;

2.  Waterworks and Wastewater Works Advisory Council as created by Section 1103 of Title 59 of the Oklahoma Statutes;

3.  Special Agency Account Board as created by Section 7.2 of Title 62 of the Oklahoma Statutes;

4.  State Board of Examiners of Certified Shorthand Reporters as created by Section 1501 of Title 20 of the Oklahoma Statutes;

5.  Oklahoma EMS Advisory Council as created by Section 1-2516 of Title 63 of the Oklahoma Statutes;

6.  Advisory Council on Alcohol and Drug Abuse as created by Section 3-407 of Title 43A of the Oklahoma Statutes; and

7.  Oklahoma Educational Television Authority as created by Section 23-105 of Title 70 of the Oklahoma Statutes.

Added by Laws 1977, c. 9, § 3, emerg. eff. March 10, 1977.  Amended by Laws 1983, c. 333, § 3, emerg. eff. June 29, 1983; Laws 1986, c. 296, § 1, eff. July 1, 1986; Laws 1989, c. 254, § 1; Laws 1992, c. 1, § 1, emerg. eff.  March 10, 1992; Laws 1997, c. 26, § 1, emerg. eff. April 1, 1997; Laws 2002, c. 331, § 1.

§74-3904.  Termination of certain statutory entities July 1, 2009 - Abolition of powers, duties and functions.

The following statutory entities and their successors shall be terminated on July 1, 2009, and all powers, duties and functions shall be abolished one (1) year thereafter:

1.  State Board of Cosmetology as created by Section 199.2 of Title 59 of the Oklahoma Statutes;

2.  State Barber Advisory Board as created by Section 61.4 of Title 59 of the Oklahoma Statutes;

3.  Oklahoma Real Estate Commission as created by Section 858-201 of Title 59 of the Oklahoma Statutes;

4.  State Board of Examiners of Psychologists as created by Section 1354 of Title 59 of the Oklahoma Statutes;

5.  Scenic River Commission as created by Section 1461 of Title 82 of the Oklahoma Statutes;

6.  Domestic Violence and Sexual Assault Advisory Committee as created by Section 3-312 of Title 43A of the Oklahoma Statutes;

7.  State Board of Medical Licensure and Supervision as created by Section 481 of Title 59 of the Oklahoma Statutes;

8.  Group Homes for Persons with Developmental or Physical Disabilities Advisory Board as created by Section 1430.4 of Title 10 of the Oklahoma Statutes; and

9.  Ottawa Reclamation Authority as created by Section 801 of Title 45 of the Oklahoma Statutes.

Added by Laws 1977, c. 9, § 4, emerg. eff. March 10, 1977.  Amended by Laws 1983, c. 333, § 4, emerg. eff. June 29, 1983; Laws 1986, c. 296, § 2, eff. July 1, 1986; Laws 1991, c. 194, § 1; Laws 1997, c. 34, § 1; Laws 2000, c. 33, § 2; Laws 2003, c. 26, § 1.

§74-3905.  Termination of certain statutory entities July 1, 2010 - Abolition of powers, duties and functions.

The following statutory entities and their successors shall be terminated on July 1, 2010, and all powers, duties and functions shall be abolished one (1) year thereafter:

1.  State Board of Registration for Professional Engineers and Land Surveyors as created by Section 475.3 of Title 59 of the Oklahoma Statutes;

2.  Oklahoma Accountancy Board as created by Section 15.2 of Title 59 of the Oklahoma Statutes;

3.  The Board of Governors of the Licensed Architects and Landscape Architects of Oklahoma as created by Section 46.4 of Title 59 of the Oklahoma Statutes;

4.  Oklahoma Funeral Board as created by Section 396 of Title 59 of the Oklahoma Statutes;

5.  Long-Term Care Facility Advisory Board as created by Section 1-1923 of Title 63 of the Oklahoma Statutes;

6.  Commission on Marginally Producing Oil and Gas Wells as created by Section 700 of Title 52 of the Oklahoma Statutes; and

7.  Minority Teacher Recruitment Advisory Committee as created by Section 6-129.1 of Title 70 of the Oklahoma Statutes.

Added by Laws 1977, c. 9, § 5, emerg. eff. March 10, 1977.  Amended by Laws 1979, c. 115, § 2; Laws 1983, c. 333, § 5, emerg. eff. June 29, 1983; Laws 1986, c. 296, § 3, eff. July 1, 1986; Laws 1987, c. 236, § 195, emerg. eff. July 20, 1987; Laws 1992, c. 343, § 1, eff. July 1, 1992; Laws 1995, c. 252, § 3, emerg. eff. May 25, 1995; Laws 1998, c. 205, § 1; Laws 2004, c. 93, § 1.

§743906.  Termination of certain statutory entities July 1, 2011  Abolition of powers, duties and functions.

The following statutory entities and their successors shall be terminated on July 1, 2011, and all powers, duties and functions shall be abolished one (1) year thereafter:

1.  Polygraph Examiners Board as created by Section 1455 of Title 59 of the Oklahoma Statutes;

2.  State Board of Osteopathic Examiners as created by Section 624 of Title 59 of the Oklahoma Statutes;  

3.  Board of Podiatric Medical Examiners as created by Section 137 of Title 59 of the Oklahoma Statutes; and

4.  Oklahoma Professional Boxing Commission as created by Section 604.1 of Title 3A of the Oklahoma Statutes.

Added by Laws 1977, c. 9, § 6, emerg. eff. March 10, 1977.  Amended by Laws 1983, c. 333, § 6, emerg. eff. June 29, 1983; Laws 1986, c. 150, § 23, emerg. eff. April 29, 1986; Laws 1986, c. 251, § 56, eff. Nov. 1, 1986; Laws 1988, c. 225, § 23; Laws 1992, c. 147, § 11, eff. July 1, 1992; Laws 1993, c. 145, § 357, eff. July 1, 1993; Laws 1993, c. 196, § 1; Laws 1999, c. 238, § 1; Laws 2005, c. 24, § 1.

§74-3907.  Termination of certain statutory entities July 1, 2006 - Abolition of powers, duties, and functions.

The following statutory entities and their successors shall be terminated on July 1, 2006, and all powers, duties and functions shall be abolished one (1) year thereafter:

1.  Board of Examiners for Speech-Language Pathology and Audiology as created by Section 1607 of Title 59 of the Oklahoma Statutes;

2.  State Board of Veterinary Medical Examiners as created by Section 698.3 of Title 59 of the Oklahoma Statutes;

3.  Board of Tests for Alcohol and Drug Influence as created by Section 759 of Title 47 of the Oklahoma Statutes;

4.  State Anatomical Board as created by Section 91 of Title 63 of the Oklahoma Statutes;

5.  Oklahoma Peanut Commission as created by Section 18-52 of Title 2 of the Oklahoma Statutes;

6.  Sheep and Wool Utilization, Research and Market Development Commission as created by Section 18-181 of Title 2 of the Oklahoma Statutes;

7.  Oklahoma Wheat Utilization, Research and Market Development Commission as created by Section 18-301 of Title 2 of the Oklahoma Statutes;

8.  Board of Examiners in Optometry as created by Section 582 of Title 59 of the Oklahoma Statutes;

9.  State Capitol Preservation Commission as created by Section 4102 of this title;

10.  Commission on County Government Personnel Education and Training as created by Section 130.1 of Title 19 of the Oklahoma Statutes;

11.  Oklahoma Climatological Survey as created by Section 245 of this title;

12.  The State Board of Licensed Social Workers as created by Section 1253 of Title 59 of the Oklahoma Statutes;

13.  Child Death Review Board as created by Section 1150.2 of Title 10 of the Oklahoma Statutes;

14.  State Agency Review Committee as created by Section 7005 of this title;

15.  The Wellness Council as created by Section 1382 of this title;

16.  Oklahoma Liquefied Petroleum Gas Research, Marketing and Safety Commission as created by Section 420.22 of Title 52 of the Oklahoma Statutes;  

17.  Board of Chiropractic Examiners as created by Section 161.4 of Title 59 of the Oklahoma Statutes; and

18.  State Board of Registration for Foresters as created by Section 1203 of Title 59 of the Oklahoma Statutes.

Added by Laws 1977, c. 9, § 7, emerg. eff. March 10, 1977.  Amended by Laws 1983, c. 333, § 7, emerg. eff. June 29, 1983; Laws 1987, c. 108, § 6, eff. July 1, 1987; Laws 1988, c. 225, § 24; Laws 1989, c. 210, § 4, emerg. eff. May 8, 1989; Laws 1991, c. 168, § 11, eff. July 1, 1991; Laws 1993, c. 195, § 4, eff. July 1, 1993; Laws 1994, c. 219, § 1; Laws 1994, c. 334, § 1, eff. July 1, 1994; Laws 1999, c. 19, § 2; Laws 2000, c. 158, § 1; Laws 2004, c. 93, § 3; Laws 2005, c. 168, § 6, emerg. eff. May 13, 2005; Laws 2006, c. 16, § 87, emerg. eff. March 29, 2006.

NOTE:  Laws 2005, c. 24, § 2 repealed by Laws 2006, c. 16, § 88, emerg. eff. March 29, 2006.

§74-3908.  Termination of certain statutory entities July 1, 2007 - Abolition of powers, duties and functions.

The following statutory entities and their successors shall be terminated on July 1, 2007, and all powers, duties and functions shall be abolished one (1) year thereafter:

1.  State Accrediting Agency as created by Section 241 of Title 72 of the Oklahoma Statutes;

2.  Public Employees Relations Board as created by Section 51-104 of Title 11 of the Oklahoma Statutes;

3.  Capitol-Medical Center Improvement and Zoning Commission as created by Section 83.1 of Title 73 of the Oklahoma Statutes;

4.  Archives and Records Commission as created by Section 305 of Title 67 of the Oklahoma Statutes;

5.  Oklahoma Prison Industry Marketing Development Advisory Task Force as created by Section 549.2 of Title 57 of the Oklahoma Statutes;

6.  Oklahoma Energy Resources Board as created by Section 288.3 of Title 52 of the Oklahoma Statutes;

7.  Advisory Committee on Pedorthics as created by Section 5 of Enrolled Senate Bill No. 166 of the 1st Session of the 48th Oklahoma Legislature; and

8.  Advisory Committee on Orthotics and Prosthetics as created by Section 5 of Enrolled Senate Bill No. 189 of the 1st Session of the 48th Oklahoma Legislature.

Added by Laws 1977, c. 9, § 8, emerg. eff. March 10, 1977.  Amended by Laws 1983, c. 333, § 8, emerg. eff. June 29, 1983; Laws 1987, c. 118, § 58, operative July 1, 1987; Laws 1989, c. 254, § 2; Laws 1989, c. 343, § 41, operative July 1, 1989; Laws 1995, c. 31, § 1; Laws 2001, c. 276, § 1.

§743909.  Oneyear period for ceasing affairs  Abolition  Transfer of funds to General Revenue Fund  Payment of debts  Equipment and supplies  Other obligations.

A.  Except as otherwise provided by law, any statutory entity listed in Sections 3903 through 3908 of this title which is terminated shall have a period of one (1) year after its termination date for the purpose of ceasing its affairs and termination shall not reduce or otherwise limit the powers, duties, or functions of said entity.  Upon the expiration of the oneyear period, the entity and its personnel positions shall be abolished.

B.  Except as otherwise provided by law, one (1) year after the termination date of a statutory entity, the State Treasurer shall transfer all funds of that entity to the General Revenue Fund.  All debts of that entity shall be paid by the State Treasurer from the funds of that statutory entity.  All equipment, files, fixtures, furniture, and supplies of the terminated entity shall be transferred to the Office of Public Affairs to be stored or disposed of as specified by law.  Any other outstanding obligations or functions remaining to be performed after termination of an entity shall be performed by the Office of Public Affairs until provisions are made for such obligations or functions by the Legislature.

Amended by Laws 1983, c. 304, § 160, eff. July 1, 1983; Laws 1985, c. 92, § 1, eff. July 1, 1985.  

§743911.  Recreation of statutory entity  Status of members.

After a statutory entity has been recreated by the Legislature, it shall not be necessary to reappoint any member of the governing board or commission of said statutory entity, and said members shall complete their original terms without reappointment or reconfirmation.

Amended by Laws 1983, c. 333, § 10, emerg. eff. June 29, 1983.  

§74-3912.  Repealed by Laws 1995, c. 31, § 7.

§743913.  Continutation of orders, rules, regulations, licenses, etc.  Revenue bonds  Actions and judicial proceedings  Continuation of proceedings.

A.  All orders, determinations, rules, regulations, permits, certificates, licenses, contracts, rates and privileges which have been issued, made, granted or allowed to become effective by a statutory entity abolished by this act or by any provision of law affected by this act, shall continue in effect according to their terms until terminated or modified by operation of law.

B.  Notwithstanding any other provisions of this act any revenue bonds heretofore or hereafter issued or sold by a statutory entity shall remain in full force and effect, and no such statutory entity shall be terminated under the terms of this act until such outstanding revenue bonded indebtedness has been satisfied.

C.  No suit, action or other judicial proceeding lawfully commenced by or against any officer or agency in his or its official capacity, or in relation to the exercise of his or its official functions, shall abate by reason of the taking effect of any provision of this act, but the court, unless it determines that the survival of such suit, action or other proceedings is not necessary for purposes of settlement of the questions involved, shall allow the same to be maintained, with such substitutions as to parties as are appropriate.

D.  No administrative action or any judicial proceeding lawfully commenced shall abate solely by reason of the taking effect of any provision of this act.  Any such cause of action pending on the date the entity is terminated or that is commenced during the termination period shall be prosecuted or defended in the name of the state by the Attorney General if it would have been his duty to so prosecute or defend had the statutory entity been recreated.

Laws 1977, c. 9, § 13, emerg. eff. March 10, 1977.  

§74-3914.  Hearings - Burden of establishing public need - Information to be provided.

When any statutory entities are under review for sunset, said entities shall bear the burden of establishing that a sufficient public need is present which justifies their continued existence.  All said entities shall provide the appropriate House and Senate sunset committees with the following information:

1.  A zero-based operating budget review and analysis, including a summary of all income and expenditures;

2.  The identity of all units and subunits under the direct or advisory control of the statutory entity under review;

3.  All powers, duties and functions currently performed by the statutory entity under review;

4.  All statutory or other authority under which said powers, duties and functions of the statutory entity are carried out;

5.  Any powers, duties or functions which, in the opinion of the statutory entity under review, are being performed and duplicated by another statutory entity within the state including the manner in which, and the extent to which, this duplication of efforts is occurring and any recommendations as to eliminating such a situation;

6.  Any powers, duties or functions which, in the opinion of the statutory entity under review, are inconsistent with current and projected public demands and should be terminated or altered; and

7.  Any other information which the appropriate House or Senate sunset committee, in its discretion, feels is necessary and proper in carrying out its duties.

Added by Laws 1977, c. 9, § 14, emerg. eff. March 10, 1977.  Amended by Laws 1983, c. 333, § 12, emerg. eff. June 29, 1983; Laws 1995, c. 31, § 3.

§74-3915.  Evaluation criteria.

In evaluating each statutory entity the appropriate House or Senate sunset committee may consider factors including, but not limited to:

1.  The extent to which statutory changes have been recommended which would benefit the statutory entity;

2.  The extent to which operation of the statutory entity has been efficient and responsive to public needs;

3.  The extent to which the public has been encouraged to participate in rule- and decision-making as opposed to participation solely by persons regulated;

4.  The extent to which complaints have been expeditiously processed to completion in the public interest;

5.  The extent to which affirmative action requirements of state and federal statutes and constitutions have been complied with by the agency or the industry it regulates;

6.  An identification of other statutory entities having the same or similar objectives along with a comparison of the cost and effectiveness of said statutory entities and any duplication of the statutory entity under review;

7.  An examination of the extent to which the objectives of the statutory entity have been achieved in comparison with the objectives as initially set forth in the enabling legislation and an analysis of any significant variance between project and actual performance;

8.  A specification, to the extent feasible, in quantitative terms, of the objectives of said statutory entity for the next six (6) years; and

9.  An examination of the impact of said statutory entity on the economy of the state.

Added by Laws 1977, c. 9, § 15, emerg. eff. March 10, 1977.  Amended by Laws 1995, c. 31, § 4.

§74-3916.  Information to be provided by State Auditor and Inspector.

The State Auditor and Inspector shall furnish, upon request of the appropriate House or Senate sunset committee, any relevant information, including the results of prior audits and reviews of any statutory entity under sunset review.

Added by Laws 1977, c. 9, § 16, emerg. eff. March 10, 1977.  Amended by Laws 1983, c. 333, § 13, emerg. eff. June 29, 1983; Laws 1995, c. 31, § 5.

§74-3917.  Term of statutory entity - Monitoring new statutory entities.

A.  Any statutory entity enumerated in the Oklahoma Sunset Law shall, if re-created, be placed in this act to be terminated or re-created not more than six (6) years thereafter.

B.  The Oklahoma Department of Libraries shall monitor actions of the State Legislature and maintain a list of all agencies, boards, commissions, committees or other entities created or authorized by law, and all entities created by a Governor's Executive Order.  The updated list shall be provided to the Governor, the President Pro Tempore of the Oklahoma Senate, the Speaker of the Oklahoma House of Representatives, and the chairs of the appropriate House or Senate sunset committee within thirty (30) days after sine die adjournment of each legislative session.

Added by Laws 1977, c. 9, § 17, emerg. eff. March 10, 1977.  Amended by Laws 1983, c. 333, § 14, emerg. eff. June 29, 1983; Laws 1995, c. 31, § 6; Laws 2005, c. 24, § 3.

§743918.  Authority to terminate at earlier date.

Nothing in this act shall be construed to prohibit the Legislature from terminating a statutory entity covered by these provisions at a date earlier than that provided herein, nor to prohibit the Legislature from considering any other legislation relative to such statutory entity.

Laws 1977, c. 9, § 18, emerg. eff. March 10, 1977.  

§743920.  Status and compensation of employees of terminated statutory entity.

All persons employed by any statutory entity which has been terminated by operation of the Oklahoma Sunset Law, but has been recreated within one (1) year after the final termination date shall be deemed employees of the Office of Public Affairs for not more than one (1) year after such final termination date.  Salaries and benefits of such employees shall continue from the final termination date until the effective date recreating the statutory entity, and shall be paid from the funds of the recreated statutory entity as soon as available.  For the purpose of this section "final termination date" shall mean the date on which a statutory entity's powers, duties and functions are to be abolished pursuant to the provisions of the Oklahoma Sunset Law.

After the effective date of the act recreating the statutory entity the employees shall resume their positions with the entities they were employed by on the final termination date.

The provisions of this section shall have prospective and retrospective application.

Added by Laws 1988, c. 225, § 25.  

§74-3921.  Termination of advisory bodies.

A.  1.  Any joint resolution or bill enacted after February 1, 1993, creating or establishing advisory bodies including, but not limited to, task forces, boards, commissions, and councils, which creation or establishment is not codified in the Oklahoma Statutes, shall terminate the first day of the first regular session of the next Oklahoma Legislature unless the joint resolution or bill specifies an earlier or later termination date.

2.  Any advisory bodies created by bill or joint resolution prior to February 1, 1993, which creation or establishment is not codified in the Oklahoma Statutes, shall be terminated unless the advisory body is codified in the next decennial compilation of Oklahoma laws.

B.  1.  Effective January 1, 1994, except as otherwise provided by this subsection, advisory bodies including, but not limited to, task forces, boards, commissions and councils created or established by simple resolutions or concurrent resolutions passed by the Legislature or either house thereof shall terminate the first day of the first regular session of the next Oklahoma Legislature, unless such simple or concurrent resolution specifies an earlier termination date.

2.  Any such advisory body created prior to January 1, 1991, by a simple or concurrent resolution passed by the Legislature or either house thereof is hereby terminated.

Added by Laws 1992, c. 310, § 16, eff. July 1, 1992.  Amended by Laws 1993, c. 155, § 3, eff. July 1, 1993; Laws 1999, c. 59, § 1, eff. July 1, 1999.  Renumbered from § 11b of Title 75 by Laws 1999, c. 59, § 23, eff. July 1, 1999.

§744101.  Definitions.

As used in Sections 4101 through 4108 of this title:

1.  "Public areas" means those areas in the Capitol open to the general public for general visitation; and

2.  "Art" means fine art of museum quality representing the highest quality of art objects available to include paintings, graphic arts, art photography and sculpture, aesthetically aligned with recognized values, created by the conscious use of skill and creative imagination.

Added by Laws 1982, c. 75, § 1, operative July 1, 1982; Laws 1983, c. 304, § 153, eff. July 1, 1983.  

§74-4102.  Creation - Responsibilities.

There is hereby re-created, to continue until July 1, 2006, in accordance with the provisions of the Oklahoma Sunset Law, the State Capitol Preservation Commission which shall be responsible for planning and supervising the preservation and restoration of the interior and exterior of the State Capitol Building, hereinafter referred to as the Capitol, and the Governor's Mansion.  The Commission shall control the display of art objects in public areas of the Capitol and the Governor's Mansion.

Added by Laws 1982, c. 75, § 2, operative July 1, 1982.  Amended by Laws 1983, c. 304, § 154, eff. July 1, 1983; Laws 1988, c. 12, § 1, operative July 1, 1988; Laws 1994, c. 13, § 1; Laws 2000, c. 96, §1.

§744103.  Membership  Term  Officers  Support services.

A.  The State Capitol Preservation Commission shall be composed of fifteen (15) members as follows:

1.  Three members shall be appointed by the Governor;

2.  Three members shall be appointed by the President Pro Tempore of the Senate;

3.  Three members shall be appointed by the Speaker of the House of Representatives;

4.  One member shall be appointed by the Chief Justice of the Oklahoma Supreme Court; and

5.  The following shall be ex officio members:

a. Chairman of the Oklahoma Arts Council,

b. President of the Oklahoma Historical Society,

c. Capitol Architect and Curator,

d. Superintendent of the Capitol, and

e. Director of Public Affairs or a designee.

B.  The initial term of office of the appointed members shall be as follows:

1.  One of the members appointed by the Governor, the President Pro Tempore of the Senate, the Speaker of the House of Representatives, and the member appointed by the Chief Justice of the Oklahoma Supreme Court shall serve a oneyear term;

2.  One of the members appointed by the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives shall serve a threeyear term; and

3.  One of the members appointed by the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives shall serve a fiveyear term.

The term of office for each successor shall be for five (5) years.  Any member of the Legislature who is appointed to the Commission shall serve only as long as he is a member of the respective house from which he was appointed.

C.  The Commission shall elect a chairman and a vicechairman from its membership to serve for a period of two (2) years.  Members of the Commission shall not be compensated except for reimbursement as provided in the State Travel Reimbursement Act.

D.  The Department of Central Services shall make the necessary arrangements for support services for the State Capitol Preservation Commission.

Added by Laws 1982, c. 75, § 3, operative July 1, 1982.  Amended by Laws 1983, c. 304, § 155, eff. July 1, 1983; Laws 1996, c. 348, § 15, eff. July 1, 1996.

§744104.  Powers and responsibilities of Commission.

The State Capitol Preservation Commission shall:

1.  Research, plan, and have control of modifications and decor of the interior and exterior of the Capitol and the Governor's Mansion; and

2.  Establish in conjunction with the Office of Public Affairs, such annual operating and capitol construction budgets as necessary for the operation, restoration, and preservation of the Capitol and the Governor's Mansion and for providing such works of art as are considered desirable and suitable; and

3.  Establish standards for the acquisition and display of works of art for public display in the Capitol and the Governor's Mansion and select such works.  Such works of art shall be directly related to the history and culture of the State of Oklahoma; and

4.  Establish procedures by which private contributions of suitable art can be accepted for the Capitol and the Governor's Mansion.  The Commission is authorized to accept and make proper disposition of works of art as may be donated to the Commission and this state; and

5.  Have final approval authority for any proposed modification, alteration, renovation, repair, or construction on any part of the Capitol and the Governor's Mansion or any plans or programs for the restoration, preservation, or display of fine art programs in and surrounding the Capitol and the Governor's Mansion.

Added by Laws 1982, c. 75, § 4, operative July 1, 1982. Amended by Laws 1983, c. 304, § 156, eff. July 1, 1983.  

§744105.  Capitol Architect and Curator  Duties  Compensation.

There is hereby established the position of the Capitol Architect and Curator who shall:

1.  Develop the technical plans and programs for consideration by the State Capitol Preservation Commission with regard to restoration, renovation, and preservation of the Capitol and the Governor's Mansion; and

2.  Develop and enforce standards adopted for acquisition and display of works of art in and surrounding the Capitol and the Governor's Mansion; and

3.  Coordinate space demands of the various agencies in the Capitol and the Governor's Mansion; and

4.  Maintain a record of all structural and decor changes made in the Capitol and the Governor's Mansion; and

5.  Make recommendations to the Commission of necessary action on proposed modifications in decor or design to ensure preservation and maintenance of the cultural and historic integrity of the Capitol and the Governor's Mansion.

The Director of Public Affairs may contract for the services of a Capitol Architect and Curator or employ such an individual on either a full or parttime basis.  Compensation for the position will be in accord with similar professional positions in state government.

Added by Laws 1982, c. 75, § 5, operative July 1, 1982. Amended by Laws 1983, c. 304, § 157, eff. July 1, 1983.  

§744106.  Cooperation between Commission and branches of state government.

The State Capitol Preservation Commission is directed to maintain close coordination with the executive, legislative and judicial branches of government to ensure that the needs of each branch of government are considered in all planned development and modifications of the Capitol and the Governor's Mansion.

Added by Laws 1982, c. 75, § 6, operative July 1, 1982. Amended by Laws 1983, c. 304, § 158, eff. July 1, 1983.  

§744107.  Accomplishment of work and acquisitions  Compliance with administrative requirements.

All work and acquisitions planned and developed by the State Capitol Preservation Commission shall be accomplished or contracted through the appropriate administrative agencies of the state.  The Commission shall comply with all approved administrative requirements placed on separate agencies of state government except as it may be exempted therefrom by appropriate legislative action.

Added by Laws 1982, c. 75, § 7, operative July 1, 1982.  

§744108.  Application of act.

The provisions of Sections 4101 through 4107 of this title shall apply to all modifications in the structure or decor of the Capitol and the Governor's Mansion except for those immediate emergency repairs needed to prevent loss or damage to property or to protect the public during use of the building.

Added by Laws 1982, c. 75, § 8, operative July 1, 1982. Amended by Laws 1983, c. 304, § 159, eff. July 1, 1983.  

§74-4109.  State Capitol Building and Governor's Mansion restoration and preservation projects - Competitive bidding exemption.

By the order of the Director of the Department of Central Services, restoration and preservation projects of the State Capitol Building or of the Governor's Mansion may be exempted from the provisions of the Public Competitive Bidding Act, Section 101 et seq. of Title 61 of the Oklahoma Statutes.  For exempted State Capitol Building or Governor's Mansion construction projects, the Department of Central Services shall select among contractors qualified by past experience to conduct historical preservation projects.

Added by Laws 1985, c. 312, § 50, emerg. eff. July 25, 1985.  Amended by Laws 1997, c. 123, § 1, eff. Nov. 1, 1997.

§744111.  Short title.

Sections 1 through 10 of this act shall be known and may be cited as the "Incentive Awards for State Employees Act".

Added by Laws 1984, c. 269, § 1, operative July 1, 1984.  

§744112.  Committee for Incentive Awards for State Employees  Creation  Membership  Compensation and expenses.

There is hereby created within the Office of Personnel Management the Committee for Incentive Awards for State Employees, referred to in the Incentive Awards for State Employees Act as the "Committee".

The Committee shall consist of seven (7) members as follows:

1.  The Director of Central Services or designee who shall be the chairperson;

2.  The Director of State Finance or designee;

3.  The Administrator of the Office of Personnel Management or designee;

4.  The chief administrative officer of a state executive agency, department, commission, or office who shall be appointed by the Governor;

5.  A state employee who does not occupy a supervisory position, to be appointed by the Governor;

6.  A person who is not a state officer or employee, to be appointed by the President Pro Tempore of the Senate; and

7.  A person who is not a state officer or employee, to be appointed by the Speaker of the House of Representatives.

Each member who is appointed by the Governor shall serve on the Committee at the pleasure of the Governor.  Those members not appointed by the Governor shall serve on the Committee at the pleasure of their respective appointing authority.  Each member who is not a state officer or employee shall have experience in administering employee incentive programs as such programs are used in private industry or in the public sector.  Each member shall serve on the Committee without receiving compensation for said service or any reimbursement pursuant to the provisions of the State Travel Reimbursement Act.

Added by Laws 1984, c. 269, § 2, emerg. eff. May 30, 1984.  Amended by Laws 2000, c. 336, § 11, eff. July 1, 2000.

§744113.  Implementation of awards program  Rules and regulations  Policies and procedures.

The Committee shall promulgate rules and regulations and adopt policies and procedures to implement an incentive awards program for state employees pursuant to the provisions of the Incentive Awards for State Employees Act.

Added by Laws 1984, c. 269, § 3, emerg. eff. May 30, 1984.  

§744114.  Agencies authorized to participate in incentive awards program.

With the exception of agencies and offices within the Legislature, the Office of the Governor, the Office of the Lieutenant Governor, and the Office of the State Auditor and Inspector, any agency, department, commission, or office of state government may participate in the incentive awards program provided for in Section 5 of this act.

Added by Laws 1984, c. 269, § 4, operative July 1, 1984.  

§744115.  Contents of incentive awards program.

The incentive awards program provided for in the Incentive Awards for State Employees Act shall consist of:

1.  individual productivity incentive awards, individual incentive compensation,and unit incentive pay for contributions resulting in increased productivity, cost curtailment, improved safety, efficiency, or morale, or better services to the citizens of this state; and

2.  individual longevity incentive awards for length of service to the state.

Added by Laws 1984, c. 269, § 5, operative July 1, 1984. Amended by Laws 1989, c. 344, § 4.  

§744115A.  Longevity awards.

Pursuant to rules and regulations promulgated by the Committee for Incentive Awards for State Employees, state employees shall be recognized for their length of service to the state. Recognition shall consist of certificates and lapel pins.  The longevity award shall be made at fiveyear intervals during the month following the anniversary date of the employee to recognize years of service as defined in Section 805.2 of Title 74 of the Oklahoma Statutes.  The cost of the incentive award shall be billed to the employing agency.

§744116.  Nominations  Awards.

Pursuant to rules and regulations promulgated by the Committee, any state employee occupying a supervisory position in an agency, department, commission, or office eligible to participate in the incentive awards program provided for in Section 4115 of this title, monthly, may nominate for an incentive award those employees who have demonstrated excellence by making an exceptional contribution to their respective work unit, to their agency or to state government in general resulting in increased productivity, cost curtailment, improved safety, efficiency, or morale or better services to the citizens of this state.  The nomination of such employees shall be made to the Committee on forms prescribed and provided by the Committee.  If, after reviewing such nominations, it is the decision of the Committee that a nominated employee made a contribution as provided in this subsection, the Committee shall approve the nomination of said employee and appropriately award said employee with a certificate and lapel pin provided by the Committee. State agency supervisors, managers and agency directors may also be nominated for noncash incentive awards for making similar contributions.  The Committee may promulgate rules and establish procedures to delegate the receipt and review of nominations, and the awarding of certificates and lapel pins to participating agencies, boards, commissions, and offices.  The cost of the certificates and lapel pins shall be reimbursed to the Committee by the agency, board, commission, or office that made the nomination.

Added by Laws 1984, c. 269,§ 6, operative July 1, 1984. Amended by Laws 1989, c. 344, § 6.  

§744117.  Individual incentive compensation.

Pursuant to rules promulgated by the Committee, any state employee occupying a supervisory position in an agency, department, commission, or office eligible to participate in the incentive awards program provided for in Section 4115 of this title, monthly, may nominate employees for individual incentive compensation.  Nominations for such compensation shall be made in the same manner as provided for in Section 4116 of this title concerning nominations for individual incentive awards.  Those nominated for such compensation, at a minimum must have made an exceptional contribution similar to, but greater than, that required by the provisions of Section 4116 of this title.  Employees determined by the Committee to be deserving of individual incentive compensation pursuant to the provisions of this section may be awarded an increase in compensation in a sum at least equal to twentyfive percent (25%) of the amount determined by the Committee to be the total unit dollar savings to the state for the level of services rendered, but not to exceed the sum of Ten Thousand Dollars ($10,000.00).  Said incentive compensation shall be paid in one lump sum if the twelve-month period mirrors the fiscal year, or two single payments from any funds available to the nominating agency, department, commission, or office.  The calculation for two payments shall be based on the number of months in the first fiscal year of implementation for the first payment.  The second payment shall come at the end of the first twelve (12) months of implementation, which falls in the second fiscal year.  No nominations for an individual incentive compensation award shall be made until the nominating agency, department, commission, or office assures that funds for said award are available.  Funds for the payment of individual incentive compensation awards shall be considered encumbered to the extent said awards are approved by the committee.

Added by Laws 1984, c. 269, § 7, operative July 1, 1984.  Amended by Laws 1985, c. 46, § 8, emerg. eff. April 23, 1985; Laws 2001, c. 381, § 20, eff. July 1, 2001; Laws 2005, c. 61, § 1, eff. Nov. 1, 2005.

§744118.  Unit incentive pay.

The Committee, in addition to individual incentive awards and individual incentive compensation, may award unit incentive pay in accordance with the provisions of this section.

A.  To qualify for the award of unit incentive pay to its employees, an agency, department, commission, or office shall demonstrate to the satisfaction of the Committee that said agency, department, commission, office, work unit or work team identified by the respective agency, department, commission or office has met both of the following two criteria in its operations, after adjustment for inflation or deflation:

1.  Operated at a lower unit cost.  "Unit cost" shall be defined as expenditures in dollars to complete a measurable unit of work.

a. For firsttime participants the unit cost for the participating year shall be compared to either the unit cost for the immediately preceding twelve-month period or a standard unit cost approved by the Committee, or

b. For participants with one or more years in the program, the unit cost for the participating year shall be compared to either the average unit cost of prior successful participating years in the program or a standard unit cost approved by the Committee; and

2.  Operated at no greater total dollar expenditures, except:

a. in a case where unit costs are reduced but total expenditures increased due to the agency or office maintaining its level of service; or

b. in a case where the Legislature or department head specifically mandates an increase in the workload.

B.  The Committee shall satisfy itself that the claimed unit dollar cost of operation is real and not merely apparent, and that it is not, in whole or in part, the result of any of the following:

1.  A lowering of the level or quality of the service rendered; or

2.  Reduced passthrough on transfer expenditures; or

3.  Receipts realized in excess of amounts budgeted; or

4.  Nonrecurrence of expenditures which were single outlay, or onetime expenditures, in the preceding fiscal year; or

5.  Failure to reward deserving employees through promotions, reclassification, award of merit salary increments, or salary increases authorized by salary range revisions; or

6.  Postponement of normal purchases and repairs to a future fiscal year; or

7.  Stockpiling inventories in the immediately preceding fiscal year so as to reduce requirements in the eligible fiscal year; or

8.  Substitution of federal funds or any funds which are not state funds for state appropriations; or

9.  Unreasonable postponement of payments of accounts payable until the fiscal year immediately following the eligible fiscal year; or

10.  Shifting of expenses to another agency, department, commission, or office of government; or

11.  Any other practice, event, or device which the Committee decides has caused a distortion which misrepresents that a savings or increase in level of services has occurred.

C.  The Committee may consider but is not limited to considering as legitimate savings those reductions in expenditures made possible by such items as the following:

1.  Reductions in overtime; or

2.  Elimination of consultant fees; or

3.  Less temporary help; or

4.  Elimination of budgeted positions; or

5.  Improved methods of communication; or

6.  Improved systems and procedures; or

7.  Better development and utilization of manpower; or

8.  Elimination of unnecessary travel; or

9.  Elimination of unnecessary printing and mailing; or

10.  Elimination of unnecessary payments for advertising, memberships, dues, and subscriptions; or

11.  Elimination of waste, duplication, and operations of doubtful value; or

12.  Improved space utilization; or

13.  Proven costreduction techniques; or

14.  Any other items considered by the Committee as representing true savings.

Added by Laws 1984, c. 269, § 8, operative July 1, 1984.  Amended by Laws 1992, c. 126, § 1, eff. July 1, 1992; Laws 2005, c. 61, § 2, eff. Nov. 1, 2005.

§744119.  Amount of unit dollar savings  Additional award of incentive compensation  Retirement benefits  Forfeiture of unit share  Funding source.

At the conclusion of the eligible fiscal year, subject to the rules and regulations promulgated by the Committee, the Committee shall compare the unit dollar expenditures for that year of each agency, department, commission, office, or defined work unit or work teams against the base year data and, after making such adjustments as in the judgment of the Committee are required to eliminate distortions, shall determine the amount, if any, that the agency, department, commission, office, or defined work unit or work teams has reduced its unit dollar cost of operations or increased its level of services in the eligible fiscal year.  Adjustments to eliminate distortions may include any legislative increases in employee compensation and inflationary increases in the cost of services, materials, or supplies.  If the Committee shall determine an agency, department, commission, or office qualifies for award, it may award, after consultation with the Office of State Finance, to the employees of that agency, department, commission, office, defined work unit or work teams a sum not in excess of twentyfive percent (25%) of the amount determined to be the total unit dollar savings to the state for the level of services rendered.  Incentive pay awards provided pursuant to the provisions of the Incentive Awards for State Employees Act shall be exempt from retirement contributions and shall not be included for the purpose of computing a retirement allowance pursuant to any public retirement system of this state.  The amount awarded shall be divided and distributed in equal shares to the employees of the agency, department, commission, office, defined work unit or work teams except that employees who have worked for the agency, department, commission, office, defined work unit or work teams less than the full twelve (12) months of the fiscal year shall receive only a pro rata share based on the fraction of the year said employees have worked for that agency, department, commission, office, defined work unit or work teams.  Employees voluntarily leaving the employment of state government or employees dismissed for cause shall forfeit their share.  Funds for this incentive pay shall be drawn from the operating expenses of the agency, department, commission, or office for the eligible fiscal year.  No nominations for a unit incentive compensation award shall be made until the nominating agency, department, commission, or office assures that funds for said award are available.  Funds for the payment of unit incentive compensation awards shall be considered encumbered to the extent said awards are approved by the Committee.

Added by Laws 1984, c. 269, § 9, operative July 1, 1984.  Amended by Laws 1985, c. 46, § 9, emerg. eff. April 23, 1985; Laws 1992, c. 126, § 2, eff. July 1, 1992.

§74-4120.  Reports.

The Administrator of the Office of Personnel Management shall include a status report on the employee incentive award program in the annual report for the Office of Personnel Management required by Section 840-1.6A of this title.

Added by Laws 1984, c. 269, § 10, operative July 1, 1984.  Amended by Laws 1998, c. 364, § 35, emerg. eff. June 8, 1998.

§74-4121.  On-the-job employee performance recognition program.

A.  In order to establish a public employee benefit program to encourage outstanding performance in the workplace, the Administrator of the Office of Personnel Management is hereby directed to establish an on-the-job employee performance recognition program which encourages outstanding job performance and productivity.

B.  In order to promote excellence in job performance and provide recognition for work units with exceptional performance, state agencies are authorized to expend from monies available in the agency's operating funds so much thereof as may be necessary for the purchase of recognition awards for presentation to the members of work units or individual employees with exceptional job performance records or for other significant contributions to the operation of the agency.

C.  Recognition awards may be presented to members of work units or individual employees having exceptional job performance records or other significant contributions and such awards may be presented at a formal or informal ceremony, banquet or reception, the cost of which may be expended from monies available in the agency's operating funds.

D.  1.  Recognition awards may consist of distinctive wearing apparel, service pins, plaques, writing pens, or other distinguished awards of a value not exceeding One Hundred Fifty Dollars ($150.00) per recognized employee each fiscal year to recognize the achievement of the work unit or individual employee.

2.  In addition to recognition awards listed in paragraph 1 of this subsection, the agency may establish an employee performance and conduct cash recognition program not to exceed Two Hundred Fifty Dollars ($250.00) per recognized employee each fiscal year for cash awards to recognize outstanding performance in the workplace by the employees of the agency.

Added by Laws 1999, c. 396, § 29, emerg. eff. June 10, 1999.  Amended by Laws 2001, c. 50, § 1, emerg. eff. April 10, 2001; Laws 2001, c. 348, § 1, eff. Nov. 1, 2001.  Renumbered from § 162.6 of Title 56 by Laws 2001, c. 348, § 5, eff. Nov. 1, 2001.  Amended by Laws 2002, c. 325, § 1, eff. Nov. 1, 2002.

§74-4122.  Employee productivity program.

A.  State agencies may establish employee productivity programs designed to enhance their quality improvement efforts and employee productivity.  Employee productivity programs shall include a process that enables employees to make recommendations to agencies that would improve employee productivity or reduce agency service costs and that provides recognition to employees whose recommendations lead to improved productivity or agency cost savings.

B.  State agencies may expend monies available to them for the purchase of employee productivity program recognition awards for employees whose exceptional recommendations result in improved productivity or agency cost savings.  Recognition awards shall include distinctive wearing apparel, service pins, or United States Savings Bonds, the value of which shall not exceed One Hundred Dollars ($100.00) per employee per award.

Added by Laws 2001, c. 362, § 1, eff. Nov. 1, 2001.

NOTE:  Editorially renumbered from § 4121 of this title to avoid a duplication in numbering.

§74-4190.  Child care centers - Administration - Priority in eligibility - Rates.

A.  The Administrator of the Office of Personnel Management is authorized to approve and administer child care centers for minor dependents of state employees, and may provide consultation to state agencies regarding child care centers.

B.  1.  The Administrator shall appoint an advisory committee to review the child care needs of state employees, recommend suitable sites for centers, monitor and evaluate the operation of centers.

2.  The advisory body shall report annually on the progress of the centers to the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives.

C.  The Department of Central Services, the Department of Human Services, and the Oklahoma State Department of Health are directed to assist the Administrator of the Office of Personnel Management in the implementation of Sections 4190 through 4192 of this title.

D.  The Administrator is authorized to promulgate any rules necessary for the establishment and implementation of Sections 4190 through 4192 of this title.

E.  Licensed spaces in the child care centers shall be open to all eligible children, including those individuals not employed by the State of Oklahoma and those financially eligible for Department of Human Services child care assistance.  However, minor dependents of state employees shall be given highest priority and children financially eligible for Department of Human Services child care assistance second priority for all vacant spaces.

F.  The Administrator shall approve rates for child care consistent with the rates of the industry within the geographic area.

Added by Laws 1989, c. 344, § 7.  Amended by Laws 1990, c. 281, § 1, emerg. eff. May 29, 1990; Laws 1992, c. 367, § 12, eff. July 1, 1992; Laws 1994, c. 242, § 49; Laws 1995, c. 309, § 7, eff. July 1, 1995; Laws 2001, c. 381, § 21, eff. July 1, 2001.

§74-4191.  Child care - Contracts - Required provider qualifications - Parental responsibility.

A.  The Administrator of the Office of Personnel Management shall establish and administer child care centers with funds available for that purpose.

B.  The Administrator of the Office of Personnel Management may approve a consortium, partnership, cooperative or agreement to provide child care centers with other public or private employers.

C.  The child care centers shall be operated through a contract with child care providers.  Specifications for a contract shall be developed with the assistance of, and subject to the approval of, the Administrator of the Office of Personnel Management.  Any such contract shall be made through the Central Purchasing Division of the Department of Central Services.  The low bid will not be the single qualifier.  Any child care provider shall be required to carry sufficient liability insurance coverage which will pay damages incurred as a result of the negligent acts or omissions of an employee of the child care provider within the scope of the employment of such person.  Any child care provider shall meet or exceed applicable state child care facilities licensure standards.

D.  Nothing in this section shall prevent the Administrator from utilizing paragraph 13 of Section 85.5 of this title and paragraph 3 of subsection A of Section 85.7 of this title to continue the operation of a child care center with emergency contracts when the service provider's contract is canceled or terminated before another qualified service provider is procured.  The employees of the Office of Personnel Management shall not be employed to operate the centers.

E.  Any parent utilizing the services of a child care center shall be responsible for the charges assessed by the child care provider for child care services.

Added by Laws 1990, c. 281, § 2, emerg. eff. May 29, 1990.  Amended by Laws 1995, c. 309, § 8, eff. July 1, 1995; Laws 2001, c. 381, § 22, eff. July 1, 2001.

§74-4192.  Child Care Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Office of Personnel Management, to be designated the "Child Care Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Office of Personnel Management, from appropriations or fees.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Office of Personnel Management for the purpose of establishing and administering child care centers.  All expenditures from said revolving fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1990, c. 281, § 3, emerg. eff. May 29, 1990.  Amended by Laws 2001, c. 381, § 23, eff. July 1, 2001.

§74-4200.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4201.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4201.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4202.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4203.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4203.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4204.  Repealed by Laws 1991, c. 316, § 37, eff. July 1, 1991.

§74-4205.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4206.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4206.2.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4206.3.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4206.4.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4207.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4207.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4208.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4209.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4209.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4209.2.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4210.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4211.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4211.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4211.2.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4212.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4212.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4213.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4214.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4214.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4214.2.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4215.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4216.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4217.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4218.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4219.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4219.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4219.2.  Repealed by Laws 1992, H.J.R. No. 1077, § 45, eff. Jan. 1, 1993.

§74-4219.3.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§744220.  Renumbered as § 1840 of Title 21 by Laws 1991, c. 316, § 36, eff. July 1, 1991.

§74-4221.  Repealed by Laws 1992, H.J.R. No. 1077, § 45, eff. Jan. 1, 1993.

§74-4222.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4223.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4224.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4225.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4226.  Repealed by Laws 1992, H.J.R. No. 1077, § 45, eff. Jan. 1, 1993.

§74-4227.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4228.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4229.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4230.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4230.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4231.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4232.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4233.  Repealed by Laws 1992, H.J.R. No. 1077, § 45, eff. Jan. 1, 1993.

§74-4234.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4235.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4236.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4237.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4238.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4239.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4241.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4242.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4243.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

NOTE:  Subsequent to repeal this section was amended by Laws 1995, c. 352, § 198, eff. July 1, 1995, to read as follows:

A.  No state agency shall:

1.  Enter into any contract with an employee of the agency, or with a business in which an employee holds a substantial financial interest, unless the contract is made after public notice by the agency and compliance with competitive bidding procedures.  This paragraph shall not apply to a contract of employment with the state;

2.  Enter into a contract with or make any ruling or take any action in favor of any person or business which is represented before such agency by a former state employee who, while a state employee, participated substantially in the particular matter before the agency; or

3.  Purchase any real property from any employee of said state agency or from any person who within eighteen (18) months prior to such purchase held such position with the state government, unless the property is acquired either by condemnation proceedings or the price to be paid for such property is approved in writing by the appointing authority of the agency acquiring such property and by the Governor.

B.  1.  The Department of Human Services is authorized to contract with qualified former state employees, or the spouses of state employees, or other relatives of state employees, for the purpose of providing direct care or treatment services to clients of the Department who are mentally retarded or have other developmental disabilities or are deprived.  Provided, however, that rates of payment and other terms and conditions of contracts entered into pursuant to this section shall be established by the Commission for Human Services and shall be no more favorable than contracts for such services with persons who were not employed by the Department of Human Services nor related to an individual employed by the Department of Human Services.

2.  A state employee terminating state employment to provide direct care or treatment services to clients of the Department who are mentally retarded or have developmental disabilities or are deprived may not return to state employment for a period of one hundred eighty (180) days after date of termination from contracts with the Department of Human Services for direct care or treatment services to clients of the Department who are mentally retarded or have developmental disabilities or are deprived.

C.  Notwithstanding provisions to the contrary, the Department of Human Services is authorized to employ or contract with personnel of the University of Oklahoma Health Sciences Center, directly or indirectly, to obtain professional services for the Oklahoma Medical Center or clients of other programs administered by the Department of Human Services.

D.  Notwithstanding provisions to the contrary, the Department of Human Services is authorized to contract with qualified state employees, or the spouses of state employees, or other relatives of state employees, for the purpose of providing out-of-home care, respite care, and attendant services to children in the custody of the Department.

E.  1.  The Office of Juvenile Affairs is authorized to contract with qualified former state employees, or the spouses of state employees, or other relatives of state employees, for the purpose of providing direct care or treatment services to juveniles in the custody of the Office of Juvenile Affairs.  Provided, however, that rates of payment and other terms and conditions of contracts entered into pursuant to this section shall be established by the Board of Juvenile Affairs and shall be no more favorable than contracts for such services with persons who were not employed by the Office of Juvenile Affairs nor related to an individual employed by the Office of Juvenile Affairs.

2.  A state employee terminating state employment to provide direct care or treatment services to juveniles in the custody of the Office of Juvenile Affairs who are delinquent shall not return to state employment for a period of one hundred eighty (180) days after date of termination from contracts with the Office of Juvenile Affairs for direct care or treatment services to juveniles in the custody of the Office of Juvenile Affairs who are delinquent or in need of supervision.

§74-4243.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4244.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4245.  Repealed by Laws 1992, H.J.R. No. 1077, § 45, eff. Jan. 1, 1993.

§74-4246.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4246.1.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4246.2.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4246.3.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4246.4.  Repealed by Laws 1995, c. 343, § 43, eff. July 1, 1995.

§74-4247.  Repealed by Laws 1992, H.J.R. No. 1077, § 45, eff. Jan. 1, 1993.

§744248.  Attorney General opinions.

When any legislator is in doubt as to the application of Section 1409 of this title as to himself, he may submit to the Attorney General a full written statement of the facts and any questions he may have.  The Attorney General shall then render an opinion to such legislator and may publish these opinions, or abstracts thereof, with the use of the name of the legislator advised unless such legislator requests otherwise in writing.

§74-4248.1.  Repealed by Laws 1991, c. 316, § 37, eff. July 1, 1991.

§74-4249.  Definitions.

As used in Sections 6 through 12 of this act:

1.  "Lobbying", or any derivative of the word, means any oral or written communication with a member of the Legislature, with the Governor, with a member of the Corporation Commission, with a member of the judiciary or with an employee of the Legislature, the Governor, the Corporation Commission or the judiciary on behalf of a lobbyist principal with regard to the passage, defeat, formulation, modification, interpretation, amendment, adoption, approval or veto of any legislation, rule, regulation, executive order or any other program, policy or position of the state government; provided, however, it shall not mean testimony given before, or submitted in writing to, a committee or subcommittee of the Legislature, nor a speech, article, publication or other material that is widely distributed, published in newspapers, magazines or similar publications or broadcast on radio or television; provided further, it shall not mean representation of himself or herself or a client by an attorney acting in a professional capacity as an attorney who has entered an appearance in a court proceeding or quasi-judicial proceeding or a legislative or quasi-judicial proceeding before the Corporation Commission;

2.  "Lobbyist" means any individual who is employed or retained by another for financial or other compensation to perform services that include lobbying, other than an individual whose lobbying activities are only incidental to, and are not a significant part of, the services provided by such individual to the client, except the following individuals shall not be considered lobbyists:

a. an individual appearing before a meeting of a legislative body or executive agency who receives no compensation for his or her appearance other than reimbursement from the state for expenses and who engages in no further or other lobbying,

b. a public or federal official acting in his or her official capacity,

c. a public employee acting on behalf of the governmental entity by which he or she is employed, and

d. any person exercising his or her constitutional right to petition the government who is not specifically required by the provisions of Sections 6 through 11 of this act to register as a lobbyist and who receives no compensation or anything of value for lobbying;

3.  "Lobbyist principal" means any person who employs or retains another person for financial or other compensation to conduct lobbying activities on behalf of the lobbyist principal; provided, however, it shall not mean any individual members, partners, officers or shareholders of a corporation, association, firm, joint venture, joint stock company, syndicate, business trust, estate, trust, company, partnership, limited partnership, organization, committee, or club, or a group of persons who are voluntarily acting in concert;

4.  "Public member" means a member appointed to a compensated or uncompensated part-time position on a board, commission, council, authority, bureau, committee, state beneficial public trust, or other establishment of the executive, legislative or judicial branch of the State of Oklahoma.  A public member shall not lose this status by receiving reimbursement of expenses or a per diem payment for services.  A public member shall not include:

a. members of advisory bodies to the legislative, executive, or judicial branch of state government,

b. Postadjudication Review Board members appointed pursuant to Section 1116.2 of Title 10 of the Oklahoma Statutes,

c. board members of guaranty associations created pursuant to state statute, and

d. precinct inspectors, judges, clerks and counters;

5. "State employee" means:

a. an elective or appointed officer or an employee of any state governmental entity, except members of the House of Representatives or State Senate, and

b. an employee, other than an adjunct professor, in the service of an institution of higher education comprising The Oklahoma State System of Higher Education.

The term "state employee" shall not include a public member; and

6.  "State officer" means an elective, appointed or employed officer, including a public member, in the executive, judicial or legislative branch of the State of Oklahoma.

Added by Laws 1995, c. 343, § 6, eff. July 1, 1995.

§74-4250.  Registration.

A.  Every lobbyist shall be required to register with the Ethics Commission no later than December 31 of each year or within five (5) days after engaging in lobbying on behalf of one or more lobbyist principals, and pay a registration fee of One Hundred Dollars ($100.00).  All monies collected from this registration fee shall be deposited with the State Treasurer to the credit of the Ethics Commission Fund.

B.  Information contained on the lobbyist registration form shall be limited to the following:

1.  The lobbyist's name and business address and telephone number;

2.  The name and address of each lobbyist principal by whom the lobbyist is employed or retained; and

3.  The date of the registration.

All registrations filed under this section shall be certified.

C.  The registration of each lobbyist shall expire on December 31 of each year unless the annual registration fee as set forth in subsection A of this section is paid.  The registration fee shall be payable from December 1 through 31 of each year.  A lobbyist expenditure report shall be due at this time if such report was not filed for the previous reporting period.  If the lobbyist was previously unregistered, then the fee is due within five (5) days after engaging in lobbying.  The provisions of this section must be complied with before the Ethics Commission can renew a lobbying registration.

D.  Every lobbyist shall file a supplemental registration indicating any change in the information contained in the registration within twenty (20) days after the date of the change.  A person who ceases to engage in lobbying shall file a written, verified statement with the Ethics Commission acknowledging the termination of activities.  The notice shall be effective immediately upon filing.

E.  All registrations filed under this section shall be public records and shall be made available for public inspection pursuant to the Open Records Act.

F.  The Ethics Commission shall maintain registrations in a separate, alphabetical file and make such registrations available to the public for inspection.

G.  A person who files a notice of termination pursuant to the provisions of subsection D of this section shall file the reports required pursuant to the Rules of the Ethics Commission for any reporting period during which the person was registered at the time the notice of termination is effective.

Added by Laws 1995, c. 343, § 7, eff. July 1, 1995.  Amended by Laws 2004, c. 320, § 1, eff. Nov. 1, 2004.

§74-4251.  False statements.

No person required to be registered under Section 6 of this act may:

1.  Knowingly or willfully make any false statement or representation of the facts to a member of the legislative branch, judicial branch or executive branch; or

2.  Knowing a document to contain a false statement, cause a copy of the document to be received by a member of the legislative branch, judicial branch or executive branch without notifying such member in writing of the truth.

Added by Laws 1995, c. 343, § 8, eff. July 1, 1995.

§74-4252.  Appearance on floor of Legislature.

No lobbyist may go on the floor of either house of the Legislature while that house is in session, except on invitation of that house.

Added by Laws 1995, c. 343, § 9, eff. July 1, 1995.

§74-4253.  Use of registration forms.

No information copied from registration forms required by Section 7 of this act or from lists compiled from such forms and reports shall be sold or utilized by any person for the purpose of soliciting campaign contributions or selling tickets to a testimonial or similar fundraising affair or for any commercial purpose.

Added by Laws 1995, c. 343, § 10, eff. July 1, 1995.

§74-4254.  State officers and employees - Additional compensation for lobbying prohibited.

No state officer or state employee shall receive any additional compensation or reimbursement from any person for personally engaging in lobbying other than compensation or reimbursements provided by law for that member's job position.

Added by Laws 1995, c. 343, § 11, eff. July 1, 1995.

§74-4255.  Penalties.

A.  Any person who knowingly and willfully violates any provision of Sections 5 through 11 of this act or Chapter 23 of the Rules of the Ethics Commission commits a misdemeanor.  Nothing in Sections 5 through 11 of this act relieves a person of criminal responsibility under the laws of this state relating to perjury.

B.  Any person who knowingly and willfully violates any provision of Sections 5 through 11 of this act or any provision of Chapter 23 of the Rules of the Ethics Commission a third and subsequent time, in addition to any other penalties provided herein, shall be prohibited from further lobbying as defined herein for a period of five (5) years.  If any person having been so prohibited, lobbies while prohibited, such person shall be permanently prohibited from lobbying and shall be guilty of a felony.

Added by Laws 1995, c. 343, § 12, eff. July 1, 1995.

§74-4256.  Penalties for violation of campaign reporting rules.

A.  Every candidate or candidate committee for state or county office and every other committee failing to file registrations and reports of contributions and expenditures or statements of inactivity on or before the days specified in Chapter 10 of the Rules of the Ethics Commission shall be assessed by the Ethics Commission a late filing fee of up to One Hundred Dollars ($100.00) for each day after a report of contributions and expenditures is due that said report remains unfiled; provided, the total amount of such fees assessed per report shall not exceed One Thousand Dollars ($1,000.00).

B.  Committees campaigning for or against an initiative or referendum petition, legislative referendum, or a state question who fail to file reports of contributions and expenditures on or before the days specified in Chapter 10 of the Rules of the Ethics Commission shall be assessed by the Ethics Commission a late filing fee of up to One Thousand Dollars ($1,000.00) for each day after a report of contributions and expenditures is due that said report remains unfiled; provided, the total amount of such fee assessed per report filing shall not exceed Ten Thousand Dollars ($10,000.00).

C.  Every person failing to file a statement of financial interests or financial disclosure statement on or before the days specified in Chapter 15 of the Rules of the Ethics Commission shall be assessed by the Ethics Commission a late filing fee of up to One Hundred Dollars ($100.00) for each day the statement remains unfiled; provided, the total amount of such fees assessed per statement shall not exceed One Thousand Dollars ($1,000.00).

D.  The treasurer, except for treasurers for candidates or candidate committees, may be liable for the late fee.  Failure to file a registration, report or statement shall be deemed to be a separate offense for each day that the registration, report or statement remains unfiled after it becomes due.  Fees collected pursuant to the provisions of this section shall be deposited with the State Treasurer to the credit of the General Revenue Fund.  Candidates or candidate committees shall not pay such fees from campaign funds.

Added by Laws 1995, c. 343, § 13, eff. July 1, 1995.

§74-4257.  Employment of former or ex officio state board or commission members.

A.  Except as otherwise provided by law, no state board or commission shall employ any former member of the board or commission.

B.  A state board or commission may employ a former member of the board or commission if at least one (1) year has passed since the term of office of the former member has expired or since the date the former member resigned from the board or commission.

C.  Notwithstanding subsection B of this section, a state board or commission may employ:

1.  A state employee who is an ex officio member of that board or commission and who is required by law to be a member of that board or commission; or

2.  A former statewide elected official who was an ex officio member of that board or commission if the former statewide elected official completed the term in office.  This subsection shall not apply to a statewide elected official who is an ex officio member of a board or commission.

D.  Any person who willfully violates any provision of this  section shall be guilty of a misdemeanor and upon conviction thereof shall be punished by a fine of not less than Fifty Dollars ($50.00) nor more than One Thousand Dollars ($1,000.00), or by imprisonment for not longer than six (6) months or by both such fine and imprisonment, and upon conviction shall be ineligible for appointment to or employment in a position in state service and, if at the time of conviction is an employee of the state, the employee shall forfeit the position.

Added by Laws 1995, c. 343, § 14, eff. July 1, 1995.  Amended by Laws 1999, c. 101, § 1, emerg. eff. April 19, 1999; Laws 2001, c. 420, § 3, emerg. eff. June 5, 2001; Laws 2003, c. 353, § 6, emerg. eff. June 3, 2003; Laws 2004, c. 461, § 1, emerg. eff. June 4, 2004.

NOTE:  Laws 2001, c. 266, § 3 repealed by Laws 2002, c. 22, § 34, emerg. eff. March 8, 2002.

§74-4258.  Ethics Commission Fund.

There is hereby created in the State Treasury a revolving fund for the Ethics Commission to be designated the "Ethics Commission Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations and shall consist of all copying fees, lobbyist registration fees, and committee registration fees received by the Commission.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Commission for any expenses incurred in the implementation of this act.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1995, c. 343, § 40, eff. July 1, 1995.  Amended by Laws 2004, c. 320, § 3, eff. Nov. 1, 2004.

§74-4259.  Political action committee or party committee - Statement of contributions or expenditures - Statement of organization.

A.  As used in this section, "committee" means a political action committee or a party committee as defined in the rules of the Ethics Commission.  Committee shall not include a candidate committee as defined in the rules of the Ethics Commission.

B.  Any committee which accepts contributions or makes expenditures in excess of Five Hundred Dollars ($500.00) in the aggregate in this state in a calendar year shall file a statement of organization with the Ethics Commission no later than five (5) days after accepting such contributions or making such expenditures.  Each statement of organization shall be accompanied by a registration fee in the amount of Fifty Dollars ($50.00).

C.  A new statement of organization shall be filed by a committee each year the committee continues its registration.  Such statements shall be filed between January 1 and January 31 of each year and shall be accompanied by the registration fee as set forth in subsection B of this section.  The registration fee shall be received no later than January 31 of each year.

D.  Any campaign contribution and expenditure reports required to be filed by the rules of the Ethics Commission and which may not have been filed for the previous calendar year shall be filed by the committee at the same time the registration fee is paid.  The Commission may not renew a registration until the committee is in compliance with the provisions of this section.  A previously registered committee shall not accept contributions or make expenditures until such committee is in compliance with the provisions of this section.

Added by Laws 2004, c. 320, § 2, eff. Nov. 1, 2004.

§745001.  Abolition of Oklahoma Economic Development Commission, the Office of the Governor  Department of Economic Development and Department of Economic and Community Affairs  Tulsa Division of Department of Commerce - Transfer of powers and duties.

A.  The Oklahoma Economic Development Commission, the Office of the Governor  Department of Economic Development, and the Department of Economic and Community Affairs, are hereby abolished.

B.  All powers, duties, responsibilities, property, personnel, assets, liabilities, fund balances, encumbrances and obligations of the Oklahoma Economic Development Commission, the Office of the Governor  Department of Economic Development, and the Department of Economic and Community Affairs are hereby transferred to the Oklahoma Department of Commerce or other appropriate governmental entity as provided for in this act.  As soon as possible the offices and staff of the Oklahoma Department of Commerce shall be moved to a common location.

C.  The current Tulsa field office of the Department of Commerce shall be designated as the Tulsa Division of the Department of Commerce.  The Tulsa Division shall include, but not be limited to the following services:  film industry promotion, international trade recruitment and export assistance, trade reference, business expansion and start-up, small business assistance, economic and community development financing, and economic and community development.

All powers, duties, responsibilities, property, personnel, and assets of the Division of Waterways of the Department of Commerce abolished by this act are hereby transferred to the Department of Transportation.

The Department of Commerce shall transfer only those employees requesting to be transferred to the Tulsa Division, provided the employee meets the criteria established by the Department for positions to be placed in the Tulsa Division, and shall fill any remaining positions at the Tulsa Division through accrued vacancies within the Department of Commerce.

D.  All powers, duties, responsibilities, property, personnel, assets, liabilities, fund balances, encumbrances and obligations of the film industry program in the Marketing Division of the Oklahoma Department of Tourism and Recreation are hereby transferred to the Oklahoma Department of Commerce.

E.  The Director of Public Affairs and Director of State Finance shall coordinate the transfers made pursuant to subsections B and D of this section.

Added by Laws 1986, c. 207, § 7, operative July 1, 1986.  Amended by Laws 1990, c. 312, § 1; Laws 1992, c. 135, § 2, eff. July 1, 1992; Laws 1993, c. 49, § 1, eff. July 1, 1993.

§745002.  Transfer of certain programs and divisions of Department of Economic and Community Affairs  Transfer of Juvenile Justice and Delinquency Prevention Program.

A.  Except as provided for in subsection B of this section, all programs and divisions of the Department of Economic and Community Affairs not specifically transferred pursuant to the provisions of this act shall be transferred to the Oklahoma Department of Commerce.

B.  The Juvenile Justice and Delinquency Prevention Program shall be transferred to the Oklahoma Commission on Children and Youth.

Added by Laws 1986, c. 207, § 8, operative July 1, 1986.  

§74-5002.1.  Repealed by Laws 2002, c. 484, § 17, eff. July 1, 2002.

§74-5002.2.  Repealed by Laws 2002, c. 484, § 17, eff. July 1, 2002.

§74-5002.3.  Repealed by Laws 2002, c. 484, § 17, eff. July 1, 2002.

§74-5002.4.  Repealed by Laws 2002, c. 484, § 17, eff. July 1, 2002.

§74-5002.5.  Repealed by Laws 2002, c. 484, § 17, eff. July 1, 2002.

§74-5002.6.  Repealed by Laws 2000, c. 251, § 4, eff. July 1, 2000.

§74-5002.7.  Abolition of Oklahoma Futures.

Oklahoma Futures is hereby abolished.

Added by Laws 2002, c. 484, § 13, eff. July 1, 2002.

§745003.1.  Short title.

Sections 9 through 15 of this act shall be known and may be cited as the "Oklahoma Department of Commerce Act".

Added by Laws 1987, c. 222, § 8, operative July 1, 1987.  

§745003.2.  Statement of needs  Oklahoma Department of Commerce created  Status.

A.  Recognizing the geographic diversity of this state, Oklahoma needs one central, primary publicsector economic development agency for the state in order to manage or coordinate all public sector economic development activity.

Oklahoma needs an agency to work at the community and firm level to:

1.  Create new and higher quality jobs for the people of this state through the expansion, creation, restructuring and recruitment of exportoriented Oklahoma firms which produce valueadded goods, services and processes;

2.  Encourage statewide economic diversification and stability; 3.  Maintain a twoway flow of information between the central state economic development agency and firms, farms and communities;

4.  Implement the strategic economic development fiveyear plan; and

5.  Carry out policy development and research in support of Oklahoma Futures.

B.  The Oklahoma Department of Commerce is hereby constituted an agency of state government.

C.  Whenever the terms "Department of Economic Development" or "Department of Economic and Community Affairs" appear in the Oklahoma Statutes they shall mean and refer to the Oklahoma Department of Commerce.

Added by Laws 1986, c. 207, § 9, operative July 1, 1986. Amended by Laws 1987, c. 222, § 9, operative July 1, 1987. Renumbered from § 5003 by Laws 1987, c. 222, § 122, operative July 1, 1987.  

§745003.3.  Mission of Oklahoma Department of Commerce.

The mission of the Oklahoma Department of Commerce shall be to support firms', farms' and local communities' growth, diversification, expansion and ability to compete in export markets in order to create new and better jobs for Oklahomans throughout the state.

Added by Laws 1987, c. 222, § 10, operative July 1, 1987.  

§745003.4.  Definitions.

As used in the Oklahoma Department of Commerce Act:

1.  "Department" means the Oklahoma Department of Commerce;

2.  "Director" means the director of the Department of Commerce;

3.  "Enterprise" means a firm with its principal place of business in Oklahoma;

4.  "Economic Information System" means a comprehensive statewide data collection, analysis and distribution system which makes available current and thorough information on Oklahoma economic trends and future Oklahoma economic opportunities to communities, firms, farms and individuals in the state; firms and individuals outside the state considering location in Oklahoma; and Oklahoma Futures, the Governor, the Legislature and all other state agencies and institutions; and

5.  "Economic Innovation System" means a decentralized statewide system that responsively and innovatively coordinates technical assistance, grant and loan programs with local, state, federal and private sector activities into a single statewide Economic Innovation System.

Added by Laws 1987, c. 222, § 11, operative July 1, 1987.  

§74-5003.5.  Director of Department of Commerce.

A.  The Director of the Department of Commerce shall be appointed by the Governor with the advice and consent of the Senate.  The Director shall serve at the pleasure of the Governor and shall continue to serve until a successor is duly appointed and qualified.  The salary of the Director shall be set by law.

B.  The Director shall be qualified for such position by character, personality, ability, education, training and successful administrative experience in the public or private sector.

C.  The Director shall employ such persons as are necessary to implement the powers and duties of the Department.  Because many of the powers and duties of the Department involve working closely with the private sector, certain employee positions of the Department must be governed, classified and compensated in a manner that compares equally to similar positions in the private sector.  Therefore, in the annual business plan, the Director shall list, describe and justify all such positions and their compensation and shall designate and place them in unclassified status, exempt from the provisions of the Oklahoma Personnel Act.  All other employees and positions shall be classified and subject to the provisions of the Merit System of Personnel Administration as provided in the Oklahoma Personnel Act.  Provided, nothing in this section shall be construed to limit the authority of the Legislature to specify the status of positions otherwise by law.  Neither shall the Director have the authority to circumvent, disregard or otherwise disobey specific provisions of law regarding positions in the Department.

D.  The Director shall serve on the board of:

1.  The Oklahoma Industrial Finance Authority;

2.  The Oklahoma Science and Technology Research and Development Board;

3.  The Oklahoma Development Finance Authority;

4.  The Executive Bond Oversight Commission; and

5.  The Oklahoma Ordnance Works Authority.

E.  The Director may serve as administrator of any interlocal agreement or compact to pursue economic development and to assign any employees of the Department or employee personnel to carry out duties or obligations pursuant to any interlocal agreement or compact for economic development.

F.  The Director, at his or her discretion, may approve payment for affiliations or memberships of the Department or, if necessary, associate memberships for individual employees in international, national, or state economic development councils, professional organizations, or governmental associations.

Added by Laws 1986, c. 207, § 10, operative July 1, 1986.  Amended by Laws 1986, c. 276, § 22, operative July 1, 1986; Laws 1987, c. 222, § 12, operative July 1, 1987.  Renumbered from § 5004 by Laws 1987, c. 222, § 122, operative July 1, 1987.  Amended by Laws 1990, c. 266, § 34, operative July 1, 1990; Laws 1998, c. 309, § 8, eff. July 1, 1998; Laws 2002, c. 484, § 14, eff. July 1, 2002.

§745003.6.  Powers and duties of Department.

The Oklahoma Department of Commerce shall have, exercise and perform those powers and duties necessary to implement and accomplish the statutorily stated mission and purpose of the Department.

Added by Laws 1987, c. 222, § 13, operative July 1, 1987.  

§74-5003.7.  Five-year economic development plan and updates.

A.  The Oklahoma Department of Commerce shall prepare, with the cooperation of the Oklahoma business community, agricultural community, financial community, universities, labor and the state executive and legislative branches, a five-year economic development plan and annual updates for the State of Oklahoma.

1.  The purpose of the plan shall be to identify significant economic, social, and demographic trends which may have both short-term and long-term impacts on the state and local economy and to present strategies and recommendations that the state and local political subdivisions might adopt to improve or stabilize the economy.

2.  The goals of the plan shall include the development of a diversified state economy, increasing employment, the maximum use of federal, state and local funds to achieve the goals or recommendations included in the plan, the maximum investment of capital in the economy of the state, and the improvement of the quality of life in the state.

3.  The plan wherever possible shall make recommendations to encourage intergovernmental cooperation and public and private cooperation.

4.  Copies of the plan and the annual updates shall be submitted to the Oklahoma Advisory Committee on Intergovernmental Relations, the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate and the chairmen of the standing committees on economic development of the Senate and of the House of Representatives on the first day of each legislative session.

5.  The Department shall develop and manage a complete economic information system which will support the fiveyear planning process, and which will make available complete and timely information on the state economy.  The economic information system shall be operated by public or private Oklahoma universities or an Oklahoma enterprise capable of providing such services in a costeffective manner.

B.  The Department, in conjunction with the Oklahoma Development Finance Authority, is authorized to develop an infrastructure program which will enable political subdivisions of this state to finance public works projects in order to modify or improve existing public facilities for purposes of bringing said facilities, and the operation thereof, into compliance with and maintaining compliance with federal, state and local laws and regulations pertaining to the protection of the public health and the environment.

C.  The Director shall develop an annual business plan for the Department.  The business plan shall include the need and mission of each division of the Department created by law or the Director and an analysis of past costs and benefits and future projected costs and benefits to the state of the programs of each division of the Department.  The business plan shall be consistent with the goals of the recurring five-year plan specified in this section.  The Director shall distribute copies of the business plan by such means that will make it widely available to communities, firms and local economic development managers throughout this state.

Added by Laws 1986, c. 207, § 20, operative July 1, 1986.  Amended by Laws 1987, c. 222, § 14, operative July 1, 1987.  Renumbered from § 5014 by Laws 1987, c. 222, § 122, operative July 1, 1987.  Amended by Laws 1987, c. 236, § 57, emerg. eff. July 20, 1987; Laws 1991, c. 341, § 7, eff. July 1, 1991; Laws 1992, c. 330, § 6, emerg. eff. May 28, 1992; Laws 2002, c. 484, § 15, eff. July 1, 2002.

§74-5003.8.  Annual report.

In order to ensure that the Oklahoma Department of Commerce is effectively implementing its mission, purpose and objectives, the Department shall publish an annual report setting forth in detail the operations and programs conducted by it pursuant to this act or to other legislation.  The report shall review both statewide progress and departmental progress according to several measures including objective measures listed in the Department's five-year plan.  The Department shall present this report to the Governor and the Legislature.  The annual report shall specifically account for ways in which the needs, mission and programs of the Department described in this act have been carried out and recommendations shall specifically note what changes in the activities of the Department and the programs it administers and of state government are necessary to better address the mission described in this act.  The Department shall distribute its annual report by such means that will make it widely available to communities, firms and local economic development managers throughout this state.

Added by Laws 1987, c. 222, § 15, operative July 1, 1987.  Amended by Laws 2002, c. 484, § 16, eff. July 1, 2002.

§745003.9.  Program performance review  Report.

The Oklahoma Department of Commerce shall submit to the Legislature performance review information for the programs it operates or funds.  This information shall be compiled into a report that shall be submitted to the President Pro Tempore of the Senate, the Speaker of the House of Representatives, the Chairman of the Senate Appropriations Committee and the Chairman of the House of Representatives Appropriations and Budget Committee by February 1 of each year.  The report shall be designed to assist the appropriation committees in determining funding priorities and should provide the best available information regarding the effectiveness of these programs.  This report shall complement the Department's annual budget request.

The report shall be structured so that:

1.  The need for the program is clearly established;

2.  The goals of the program are clearly defined;

3.  Measurable objectives are set forth;

4.  Actual performance data is provided and explained;

5.  Performance is evaluated against objectives; and

6.  Future funding recommendations and program benefits are outlined.

Added by Laws 1987, c. 208, § 25, operative July 1, 1987; Laws 1987, c. 236, § 58, emerg. eff. July 20, 1987.  

§74-5003.10.  Oklahoma Department of Commerce - Powers and authority.

The Oklahoma Department of Commerce shall have the authority to:

1.  Disseminate information concerning the industrial, commercial, governmental, educational, cultural, agricultural, business and other advantages and attractions of the state;

2.  Assist public and private agencies in the preparation of informational and publicity programs designed to attract or retain business and industry for the state;

3.  Obligate and expend funds for services performed by local political subdivisions of the state, state agencies, including universities and colleges within and without the state, and federal agencies for research and training in conformity with the general state laws governing such activity; and apply for, accept, administer and expend grants from the federal government and any other public or private sources for research and training purposes;

4.  Conduct, publish and disseminate or encourage research designed to further new and more extensive uses of the natural and other resources of the state and designed to develop and commercialize new products and commercial processes;

5.  Study trends and developments in the industries of the state and analyze the reasons underlying such trends; study costs within the state; and make recommendations regarding circumstances promoting or hampering business and industrial development;

6.  Generally gather, compile and make available economic analyses and statistical information relating to business, trade, commerce, industry, transportation, communication, natural resources, population and other like subjects in this state, with authority to call upon other agencies, universities and colleges of the state for statistical data and results obtained by them, and to arrange and compile such economic analyses and statistical information in such a manner as it deems advisable;

7.  Study such other scientific, industrial, financial and economic issues as, in the judgment of the Department, shall be deemed of value to the people of the state;

8.  Support and assist the efforts of state, regional and local development organizations, industrial committees, chambers of commerce, agricultural organizations, labor organizations and other similar public and private agencies to obtain new and to foster expansion of existing service, industrial and manufacturing facilities, businesses and enterprises; and to foster community improvements in leadership, expertise, human development, infrastructure, public facilities and quality of life; and to expand data availability and utilization opportunities;

9.  Maintain a continuing evaluation of the sources available for the financing of the development or expansion of industrial, agricultural and commercial facilities in this state through both public and private agencies;

10.  Assist in obtaining financing for the development and expansion of industrial, agricultural and commercial facilities in the state;

11.  Serve as the state's official liaison agency between persons interested in locating new economic enterprises in Oklahoma and state and local groups seeking new enterprises.  In this respect, the Department shall aid communities in organizing for and obtaining new businesses and expanding existing businesses and shall process requests which reflect interest in locating economic enterprises in the state;

12.  Promote the sale and facilitate the marketing of Oklahoma products including agricultural and value-added products in the international market;

13.  Encourage the location of foreign manufacturing plants and other industries in Oklahoma;

14.  Coordinate the international efforts of the various state agencies without violating the individual authority given those agencies by statute;

15.  Coordinate and serve as liaison to the private sector as needed;

16.  Establish, subject to an annual appropriation or private gifts, offices outside the state boundaries.  The offices may be operated by the state or may be operated pursuant to contract which shall not be subject to the competitive bid laws of the State of Oklahoma.  The Department shall prepare an annual report concerning the activities of the offices and submit it to the Governor and the Legislature.  The Director of the Oklahoma Department of Commerce shall notify in writing the Governor, the President Pro Tempore of the Senate and the Speaker of the House of Representatives that the Department intends to establish a new office pursuant to this paragraph at least thirty (30) days prior to the establishment of the new office or execution of a contract;

17.  Establish a system of not less than six geographic regions for promoting new or existing businesses, assisting in the expansion of small and medium sized manufacturers through a modernization program, creating new jobs, and assisting local businesses, political subdivisions or other entities to better utilize the services of the Department;

18.  Solicit, accept and expend donations and contributions from any source, whether public or private, in order to advertise, promote or disseminate information which may assist in the recruitment of companies, firms or jobs to Oklahoma, including but not limited to the Oklahoma Quality Jobs Program Act, and any other acts which the Department administers or which may assist the Department in the performance of its mission.  The Department shall deposit any funds collected pursuant to this paragraph in the "Oklahoma Department of Commerce Revolving Fund" created by Section 5012 of this title; and

19.  Enter into contracts at fair market value for the rental of office space in any facility under its control to entities engaged in activities related to the export of goods produced in Oklahoma.  The Department shall deposit any funds collected pursuant to this paragraph in the "Oklahoma Department of Commerce Revolving Fund" created by Section 5012 of this title.

Added by Laws 1992, c. 259, § 1, emerg. eff. May 22, 1992.  Amended by Laws 1994, c. 322, § 27, emerg. eff. June 8, 1994; Laws 1999, c. 71, § 1, emerg. eff. April 7, 1999.

§74-5003.10a.  Termination of office outside state.

An office established by the Oklahoma Department of Commerce outside the State of Oklahoma pursuant to paragraph 16 of Section 5003.10 of this title shall not be terminated until the Director of the Oklahoma Department of Commerce provides a written report to the Governor, the Speaker of the House of Representatives, and the President Pro Tempore of the Senate of the intent of the Director to terminate the office.  The International Trade Legislative Advisory Committee, created pursuant to Section 2 of this act, shall review the report and make recommendations to the Oklahoma Senate and House of Representatives regarding the proposed termination.  Termination of the office pursuant to this section shall not occur earlier than sixty (60) days following the date the report is filed as provided in this section.  For purposes of this section, "termination" means a reduction in funding for an office or a change in representation.

Added by Laws 1998, c. 364, § 36, emerg. eff. June 8, 1998.  Amended by Laws 2001, c. 313, § 1, emerg. eff. June 1, 2001.

§74-5003.10b.  Administration of federal funds to develop trade center and industrial park.

A.  1.  The Oklahoma Department of Commerce is hereby authorized to administer any federal funds received by this state that are allocated for the purposes of completion of traffic and feasibility studies for, and the development of a trade center and industrial park by, the Continental Gateway Authority, a public trust in McClain County, Oklahoma.

2.  For purposes of this section, "administer any federal funds" means to provide oversight administration and includes, but is not limited to, approval or rejection by the Department of expenditures of the Authority and review by the Department of contracts proposed by the Authority for noncompliance with federal and state law, rules, regulations, and the provisions set forth herein, and the rejection by the Department of such contracts prior to their execution by the Authority if determined by the Department to be out of compliance with law determined to be applicable by the Department.

B.  The Department of Transportation is hereby authorized and directed to transfer to the Oklahoma Department of Commerce for use by the Continental Gateway Authority any federal funds received and allocated for the purposes set forth in subsection A of this section.

C.  The Oklahoma Department of Commerce shall utilize such funds to contract with the Continental Gateway Authority for the provision of the study authorized by federal appropriation and subsection A of this section.  Such contract shall be exempt from the competitive bidding procedures set forth in Section 85.7 of Title 74 of the Oklahoma Statutes and shall contain provisions as required by law.

D.  The Continental Gateway Authority shall utilize the funds for the studies set out in subsection A of this section and may contract with a consultant for such studies.  Such contract shall be exempt from the competitive bidding procedures set forth in Section 85.7 of the Oklahoma Statutes but shall comply with the following requirements:

1.  The Continental Gateway Authority shall issue requests for proposals to no less than three and no more than five consultants to perform the studies.  Detailed consideration, including interviews, shall be given to those responding to the request for proposals.  The initial screening should consider the requirements of a consultant interview evaluation sheet as well as the following factors to be determined from Authority staff and replies to inquiries to former clients:

a. specialized experience in the type of work contemplated,

b. capacity of the consultant to perform the work in the required time, and

c. past performance;

2.  A full report of the evaluation procedures and recommendations of the Authority shall be prepared by the Authority and submitted to the Oklahoma Department of Commerce for an independent review of the entire process; and

3.  The Authority shall negotiate the contract with the selected consultant, which contract shall include a fair and reasonable fee.  The negotiated scope and fee shall be reported to the Oklahoma Department of Commerce for review of compliance with state and federal laws, rules and regulations.  If the Authority and the first choice consultant cannot reach an agreement, their negotiations shall be terminated and negotiations with the second-choice consultant shall commence.  If the Authority and the second-choice consultant cannot reach an agreement, their negotiations shall be terminated and negotiations with the third-choice consultant shall commence.  If the Authority and the third-choice consultant cannot reach an agreement, then all negotiations shall be terminated.  Should the Authority be unable to negotiate a satisfactory contract with any of the three selected consultants, the Authority shall select additional consultants in order of their competence and qualifications and shall continue negotiations in accordance with the provisions of this subsection until an agreement is reached.

Added by Laws 1999, c. 388, § 1, emerg. eff. June 8, 1999.

§74-5003.10c.  International Trade Legislative Advisory Committee.

A.  There is hereby created the International Trade Legislative Advisory Committee to study and recommend reforms that will result in increased international trade activities by the State of Oklahoma and the Oklahoma Department of Commerce.

B.  The Advisory Committee shall be comprised of seven (7) members.  Six members shall be members of the Legislature of which three shall be appointed by the President Pro Tempore of the Senate and three shall be appointed by the Speaker of the House of Representatives.  One member shall be the Director of the Oklahoma Department of Commerce.

C.  1.  The initial chair of the Advisory Committee shall be designated by the President Pro Tempore of the Senate.  Every two (2) years the chair shall alternate between the Senate and House of Representatives and shall be designated by the President Pro Tempore of the Senate or the Speaker of the House of Representatives as the case may be.  The Advisory Committee shall meet at the call of the chair as often as required in order to perform its duties.  Legislative members of the Advisory Committee shall be reimbursed for travel to meetings pursuant to Section 456 of Title 74 of the Oklahoma Statutes.

2.  Staff of the Senate and House of Representatives shall provide staff assistance to the Advisory Committee.  The Oklahoma Department of Commerce shall provide such information as requested to assist the Advisory Committee.

D.  The Advisory Committee shall make annual recommendations for legislative and policy changes.  Commencing November 1, 2001, and annually thereafter, the Advisory Committee shall submit a report of its recommendations to the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives.

Added by Laws 2001, c. 313, § 2, emerg. eff. June 1, 2001.

§74-5003.11.  Establishment of community development strategy and plan - Authority of Department.

The Oklahoma Department of Commerce shall serve as the lead state agency in establishing a community development strategy and plan for the state.  The Department shall have the authority to establish and administer community development programs such as certified community programs which enhance the quality of life in Oklahoma communities; the Department has the authority to administer such programs directly or by contract with qualified community development entities.

In establishing such programs, the Department shall determine needs, priorities or funding limits within the limits for such programs imposed by the Legislature.  The Department may promulgate rules in accordance with the Administrative Procedures Act to clarify such programs.

The Department shall establish and develop or cause to be developed individual program budgets, work plans, and audits of each community development program established and administered.  Any contract under this section shall be exempt from the Central Purchasing Act.

Added by Laws 1999, c. 264, § 17, eff. Sept. 1, 1999.

§745004.1.  General counsel.

The Oklahoma Department of Commerce may employ an attorney. Such attorney shall be a fulltime employee of the Department and act as general counsel for the Department.

Added by Laws 1987, c. 208, § 26, operative July 1, 1987; Laws 1987, c. 236, § 59, emerg. eff. July 20, 1987.  

§74-5005.1.  Repealed by Laws 1992, c. 259, § 5, emerg. eff. May 22, 1992.

§745008.1.  Guaranteed export loans  Export insurance program.

A.  The Oklahoma Department of Commerce may provide an export insurance program for any eligible export by administration of an insurance policy in which eligible exporters may, by payment of a premium, participate.  Such insurance may be used to provide guaranteed funding for any eligible export loan through a participating lending organization, as such terms are defined in this act.

B.  An eligible export loan shall consist of a loan from any participating lending organization to finance an international preexport or export from the state which, in the judgment of the Department of Commerce, will create or maintain employment in Oklahoma.  An eligible export loan may include a pool of individual exports, all of which, in the judgment of the Department of Commerce, meet the foregoing condition.

C.  Export insurance shall consist of a guarantee against political or commercial loss in whole or in part.  Such insurance may include, without limitation, insurance against loss up to a stated amount.  Any insurance provided through the Department of Commerce hereunder shall not be terminated, canceled, or otherwise revoked except in accordance with the terms thereof.

D.  A participating lending organization shall be any organization as defined by Section 102 of Title 6 of the Oklahoma Statutes; any national bank, federal savings and loan association, and credit union or any other lender that has been approved by the Department of Commerce to participate in any eligible export loan or guaranteed funding within the purposes of this act.  The Department of Commerce may charge reasonable fees for providing any export insurance or professional services to a participating lending organization or exporter.

E.  Prior to providing an eligible export loan or guaranteed funding hereunder, the participating lending organization shall make an investigation of a line of credit to the exporter in order to determine the economic benefits to be derived therefrom, the prospects for repayment, and such other information it deems necessary to determine that such eligible export loan or guaranteed funding is consistent with the purposes of this act.  The Department of Commerce shall provide export insurance only if, and to the extent that, it determines, that (1) such insurance is reasonably necessary in order to stimulate or facilitate the exporting of products by an Oklahoma firm, or (2) such insurance is reasonably necessary in order to stimulate or facilitate the making of the eligible export loan including, without limitation, the making of the eligible export loan upon terms which will enable the loan to be reasonably competitive with loans in other states or in foreign countries or (3) such insurance is reasonably necessary in order to stimulate or facilitate the resale of such eligible export loan to a holder in due course which would not otherwise purchase such eligible export loan.  The Department of Commerce may condition the provision of an eligible export insurance hereunder upon such other terms and conditions as it may deem desirable to carry out the purposes of this act.

F.  Neither the export insurance made by the Department of Commerce nor the guaranteed loans provided by participating lending organizations shall constitute a general obligation of the State of Oklahoma nor shall such insurance, loans or guaranteed funding constitute an extension, pledge or loan of the credit of the State of Oklahoma to any individual, company, corporation or association.

Added by Laws 1986, p. 1597, H.J.R. No. 1050, § 7, operative Jan. 1, 1987.  Amended by Laws 1989, c. 77, § 1, emerg. eff. April 17, 1989.  Renumbered from § 2056 of this title by Laws 1992, c. 313, § 7, emerg. eff. May 27, 1992.

§745008.2.  State not obligated.

Nothing in this act shall be interpreted to constitute a financial obligation or general obligation of the state.  No state revenue shall be used to guarantee, nor pay any losses suffered by any person or firm.

Added by Laws 1986, p. 1598, H.J.R. No. 1050, § 8, operative Jan. 1, 1987.  Amended by Laws 1989, c. 77, § 4, emerg. eff. April 17, 1989.  Renumbered from § 2056.1 of this title by Laws 1992, c. 313, § 7, emerg. eff. May 27, 1992.

§745008.3.  World Trade/Export Insurance Program Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Department of Commerce, to be designated the "World Trade/Export Insurance Program Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of appropriated funds and any other monies collected as a result of the operations of the World Trade/Export Insurance Program.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Oklahoma Department of Commerce for the purpose of establishing, managing and administering a program to access federal and private insurance and federal and private guarantees for Oklahoma businesses that wish to export products.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1989, c. 77, § 2, emerg. eff. April 17, 1989.  Renumbered from § 2118 of this title by Laws 1992, c. 313, § 7, emerg. eff. May 27, 1992.

§74-5009.1.  Repealed by Laws 1993, c. 270, § 58, eff. Sept. 1, 1993.

§74-5009.2.  Repealed by Laws 1993, c. 270, § 58, eff. Sept. 1, 1993.

§74-5009.3.  Repealed by Laws 1993, c. 270, § 58, eff. Sept. 1, 1993.

§74-5009.4.  Repealed by Laws 1993, c. 270, § 58, eff. Sept. 1, 1993.

§74-5009.5.  Repealed by Laws 1993, c. 270, § 58, eff. Sept. 1, 1993.

§74-5009.6.  Repealed by Laws 1993, c. 270, § 58, eff. Sept. 1, 1993.

§745010.1.  Purpose of act  Finding of Legislature.

The purpose of this act is to provide special assistance and aid to certain minority and disadvantaged persons, so that such persons may engage in gainful business and employment opportunities to the extent of their capabilities.

The Legislature hereby specifically finds there is a pattern of continuing and latent discrimination in the financial and commercial sectors of the business communities that results in the deprivation of opportunities to minority and disadvantaged persons in this state to engage in selfemployment and establishment of business enterprises.

Added by Laws 1987, c. 148, § 1, eff. July 1, 1987.  

§745010.2.  Definitions.

For purposes of this act:

1.  "Disadvantaged business" means a business employing less than twentyfive persons of which at least fiftyone percent (51%) of the outstanding stock is owned, regardless of minority status, by a person who is:

a. by reason of social or economic background unable to compete in the free enterprise system due to diminished capital and credit opportunities of a quality or quantity similar to those available to others in the same business area who are not disadvantaged, and

b. impeded from normal entry into the economic mainstream because of historical practices of discrimination based on race, color, religion, ethnic background, sex, age, handicap, national origin, or service in the armed forces during the Vietnam conflict, and

c. unable to compete effectively because of tendencies of regular financing and commercial organizations to restrict their services to established businesses, and

d. in a state of low income;

2.  "Low income" means annual income which is eighty percent (80%) or less of the median annual income of the citizens of this state as reported by the latest estimates of the U.S. Bureau of the Census;

3.  "Minority business" means a business employing less than twentyfive persons which is fiftyone percent (51%) owned and operated by one or more minority persons; and

4.  "Minority person" means a citizen of the United States who is Black, Hispanic, Oriental, American Indian, Eskimo, Aleut, or handicapped.

Added by Laws 1987, c. 148, § 2, eff. July 1, 1987.  

§745010.3.  Office of Minority and Disadvantaged Business Enterprise  Creation  Powers and duties  Reports.

A.  There is hereby created within the Oklahoma Department of Commerce, the Office for Minority and Disadvantaged Business Enterprises.  The Director of the Oklahoma Department of Commerce shall appoint a director for the Office for Minority and Disadvantaged Business Enterprises.  The appointed director shall employ such persons as are necessary to implement the powers and duties of the Office.

B.  In performing the services set out in subsection A of this section, the Office shall:

1.  Promote the establishment of minority and disadvantaged businesses with technical assistance;

2.  Serve as a focal point and ombudsman in state government for minority and disadvantaged business entrepreneurs and coordinate efforts by state agencies, business development organizations, and the private sector as they relate to the development of minority and disadvantaged business enterprises;

3.  Serve as an information clearinghouse and disseminator of data for minority and disadvantaged businessmen by:

a. compiling and keeping updated a listing of all minority and disadvantaged businesses in the State of Oklahoma,

b. furnishing to all minority and disadvantaged business enterprises that request it information relating to the state procurement system, statesupported construction, and statesupported subcontracting opportunities, and

c. upon request by such a businessman, reviewing the licensure process, regulations, and administrative procedures of state agencies relating to private enterprise;

4.  Encourage development of capital resources for minority and disadvantaged business entrepreneurs;

5.  Strengthen the communication link between minority and disadvantaged businessmen and the Governor's office;

6.  Assist business development organizations and activities which require the cooperation of state agencies;

7.  Provide assistance to minority and disadvantaged businesses by advising and counseling on all phases of procurement policies, by obtaining information concerning prime contractors in letting subcontracts and by encouraging subcontracting by prime contractors to minority and disadvantaged businesses;

8.  Receive funding from sources other than the state to further this assistance;

9.  Make studies and conduct workshops, conferences and seminars with owners and employees of minority and disadvantaged businesses to enhance their understanding of business management, bidding, licensing procedures, procurement procedures and any other activities incident to their positions in business;

10.  Develop training and educational programs in cooperation with institutions, associations and other state, local and federal agencies, and coordinate the training efforts of the various organizations presently providing technical assistance to minority and disadvantaged businesses;

11.  Encourage and provide the direction and coordination to secure franchises and dealerships from private firms for minority and disadvantaged businesses;

12.  Continually evaluate the progress of minority and disadvantaged businesses through monitoring and techniques of evaluations such as surveys and feasibility studies; and

13.  Review and evaluate pertinent legislation and determine its effect upon minority and disadvantaged businesses and make appropriate recommendations to the Governor and the Legislature.

C.  The Office shall submit an annual report to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate prior to January 1 of each year.  The report shall describe the Office's activities on behalf of minority and disadvantaged businesses, including but not limited to research and development, technical assistance and dissemination of data and information; furthermore, such report shall make recommendations for strengthening or improving the business climate for minority and disadvantaged businesses in this state through legislation or other means. Additionally, the report shall list all businesses to which assistance was rendered during the period covered by the report and the nature of such assistance.

Added by Laws 1987, c. 148, § 3, eff. July 1, 1987.  

§74-5010.4.  Repealed by Laws 2003, c. 8, § 10, eff. July 1, 2003.

§74-5010.5.  Certification program for women-owned businesses.

A.  In order to facilitate contracting capabilities of women-owned businesses with public and private entities, and to establish criteria to certify such businesses, the Oklahoma Department of Commerce may establish a certification program for women-owned businesses which are in compliance with the definition of a small-business concern as set forth in 15 U.S.C., Section 632 and in regulations promulgated pursuant to said section by the Small Business Administration.  For purposes of this section, a women-owned business is one that is at least fifty-one percent (51%) owned and operated on a day-to-day basis by one or more females.

B.  The Department shall issue certificates to women-owned businesses which are small-business concerns as evidence of ownership for the purpose of contracting with corporate or governmental entities.  Certification shall be based upon information which is required by the Department from the business seeking certification and which will be subject to verification and approval by the Department.  The Department shall require an affidavit of ownership, organization and decision-making authority, financial information and such other information deemed necessary by the Department to evaluate a business for certification.  The Department shall have the authority to promulgate rules and regulations to implement the provisions of this section.  The certification program shall not replace any certification procedures or programs of other governmental agencies.

C.  Certificates issued by the Department pursuant to this section shall not be financial guarantees or personal approvals of businesses but shall be for the purpose of verifying that businesses are women-owned in order to enhance the ability of such businesses to contract with public and private entities and to access state and federal information and assistance.

Added by Laws 1991, c. 341, § 15, eff. July 1, 1991.

§745012.  Oklahoma Department of Commerce Revolving Fund.

A.  There is hereby created the "Oklahoma Department of Commerce Revolving Fund".  The fund shall consist of all monies, other than appropriated monies, received by the Department which are not directed to be placed into another fund.  The fund shall be a continuing fund not subject to fiscal year limitations and shall be subject to the administrative direction of the Oklahoma Department of Commerce.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims submitted to the Director of State Finance.  Monies in the fund may be expended for the operating expenses of the Department and shall be made pursuant to the laws of this state.

B.  On July 1, 1986, any unallotted cash balance in the Funds created in Sections 678 and 2008 of Title 74 of the Oklahoma Statutes shall be transferred to the Oklahoma Department of Commerce Revolving Fund. All outstanding financial obligations and encumbrances of the Funds created in Sections 678 and 2008 of Title 74 of the Oklahoma Statutes are hereby transferred to the Oklahoma Department of Commerce.  After November 15, 1986, any unexpended balance in the Funds created in Sections 678 and 2008 of Title 74 of the Oklahoma Statutes shall be transferred to the Oklahoma Department of Commerce Revolving Fund.

Added by Laws 1986, c. 207, § 18, operative July 1, 1986.  

§74-5012.1.  Program service fees - Amount, collection and disposition.

The Oklahoma Department of Commerce may collect reasonable fees based on actual direct and indirect costs for programmatic services extended to users by the Department in accomplishing its mission.  The Department shall set amounts of fees for programs it administers including but not limited to the Export Services Program, Quality Jobs Program or others in its General Rules of Practice and Procedure written in accordance with the Administrative Procedures Act.  Fees collected pursuant to this section shall be deposited to the credit of the Oklahoma Department of Commerce Revolving Fund.

Added by Laws 1993, c. 270, § 18, eff. Sept. 1, 1993.

§745013.  Community Planning Project Revolving Fund.

A.  There is hereby created the "Community Planning Project Revolving Fund".  The fund shall consist of any monies appropriated thereto and any monies payable to the Oklahoma Department of Commerce by the United States Federal Government or cities, towns, or counties of the State of Oklahoma for assistance in communities' planning projects.  The fund shall be a continuing fund not subject to fiscal year limitations and shall be subject to the administrative direction of the Oklahoma Department of Commerce. Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims submitted to the Director of State Finance.  The monies deposited in the revolving fund shall be expended by the Oklahoma Department of Commerce to pay the cost of providing these services for the various planning projects.

B.  On July 1, 1986, any unallotted cash balance in the Fund created in Section 686 of Title 74 of the Oklahoma Statutes shall be transferred to the Community Planning Project Revolving Fund.  All outstanding financial obligations and encumbrances of the Fund created in Section 686 of Title 74 of the Oklahoma Statutes are hereby transferred to the Oklahoma Department of Commerce.  After November 15, 1986, any unexpended balance in the Fund created in Section 686 of Title 74 of the Oklahoma Statutes shall be transferred to the Community Planning Project Revolving Fund created in this section.

Added by Laws 1986, c. 207, § 19, operative July 1, 1986.  

§74-5013.1.  Minority Business Development Program Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Department of Commerce to be designated the "Minority Business Development Program Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations.  The fund shall consist of all monies authorized by law for deposit in such fund including, but not limited to appropriations, gifts, grants, private donations, fee revenues and funds by governmental entities authorized to provide funding for the purposes authorized for the use of the fund.  Monies deposited or apportioned to the credit of the fund may be expended for the purposes of job creation and enhancement and business creation and expansion of Oklahoma minority owned businesses pursuant to law.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Oklahoma Department of Commerce for purposes authorized by law.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1990, c. 266, § 29, operative July 1, 1990.

§74-5013.2.  Expenditures from Minority Business Development Program Fund - Contracts.

A.  The Oklahoma Department of Commerce shall expend so much as appropriated to the Minority Business Development Program Fund as may be necessary to accomplish contractual responsibilities for job creation and enhancement and business creation and expansion of Oklahoma minority-owned businesses.  The Department may contract with organizations which support minority businesses for these purposes only after:

1.  An applicant organization has submitted an approved business plan;

2.  An applicant organization has demonstrated through education and experience capabilities of offering management tools and technical assistance to minority-owned businesses;

3.  An applicant organization has demonstrated that it can provide financial capacity and responsibility to manage a program to aid minority-owned businesses in the manner set out herein;

4.  A panel of peer reviewers has received applications and recommended such applications for contracting;

5.  The Department has given due consideration to those applicants that demonstrate an ability to attract matching funding from other governmental or private or charitable organizations;

6.  The Department has given due consideration to those applicants that demonstrate an ability to aid minority-owned businesses located in communities with a population of less than ten thousand (10,000); and

7.  The Department has developed, adopted and published additional criteria, upon receipt of advice and comment from qualified peer reviewers.

B.  Any contract entered into pursuant to this section shall require quarterly reports of activities and expenditures upon forms prescribed by the Department.  Said quarterly reports shall be reviewed by Oklahoma Futures.  The Department or Oklahoma Futures may disallow expenditures and withhold funds accordingly, if reports reflect failure to comply with approved applications.  All contractors shall submit annual audits as required by the Department of Commerce which may be paid from allocated, appropriated funds. The Department may utilize an amount not to exceed twenty percent (20%) of appropriated funds for administration of the minority-owned business program.

C.  Contracts entered into by the Oklahoma Department of Commerce for the purpose of implementing the Minority Business Development Program shall be exempt from the requirements of the Oklahoma Central Purchasing Act.

Added by Laws 1992, c. 259, § 2, emerg. eff. May 22, 1992.

§74-5013.3.  Capital Improvement Program Revolving Fund.

There is hereby created the "Capital Improvement Program Revolving Fund".  The fund shall consist of any monies appropriated thereto.  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall be subject to the administrative direction of the Oklahoma Department of Commerce.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims submitted to the Director of State Finance.  The monies deposited in the revolving fund shall be expended by the Oklahoma Department of Commerce to pay the cost of providing services for the various capital improvement planning projects.

Added by Laws 1996, c. 257, § 1, eff. Sept. 1, 1996.

§745015.  Filing of comprehensive plans and amendments  Comments and recommendations.

A.  All comprehensive plans, or amendments thereto, to be financed in whole or in part by state or federal funds, being considered by any county, city, municipal corporation, governmental conference or council or regional planning commission shall be filed with the Oklahoma Department of Commerce for review and recommendation prior to adoption.  The Department shall communicate its comments and recommendations to the proponent within thirty (30) days following receipt of such plans or amendments unless the proponent shall authorize a longer time.  Such comments and recommendations shall be advisory only.

B.  As used in this section, "comprehensive plan" means an analysis of all information and alternatives to the future development of the governmental entity developing the plan.

Added by Laws 1986, c. 207, § 21, operative July 1, 1986.  

§745017.  Department of Commerce  Additional functions and responsibilities.

In addition to other functions and responsibilities of the Oklahoma Department of Commerce, the Department shall:

1.  Administer or coordinate state programs and projects relating to economic or community issues for the planning and carrying out of the acquisition, preservation, use and development of land and provision of public facilities and services for fully carrying out the state's role in related federal grant or loan programs;

2.  Administer and coordinate state programs and projects relating to economic opportunity, manpower planning and federal public service employment for fully carrying out the state's role in related federal grant or loan programs;

3.  Where not otherwise authorized by state law, provide state participation with cities, towns, counties and other municipal corporations in financing public works projects and service programs.  The assisted projects and programs shall be consistent with local, regional and state comprehensive plans and policies;

4.  Coordinate and review applications for federal assistance as required by the federal government and review all other applications for participation in any federal grant or loan program by any public body.

Provided, however, that nothing in this section shall be construed to grant the Department the authority to disapprove such application;

5.  Cooperate with and provide technical and financial assistance to counties, cities, municipal corporations and agencies owned and controlled by them, governmental conferences or councils, regional planning commissions, community development groups, community action agencies, Indian tribes and similar agencies created for the purposes of aiding and encouraging an orderly, productive and coordinated development of the state, and to strengthen local planning responsibility and capability;

6.  Coordinate a program on an experimental basis in world trade centers in contiguous states for Oklahoma gift manufacturers.  Reimbursement may be required from gift manufacturers participating in such market space program for funds expended for such purposes.  It is the intent of the Legislature that the program:

a. limit the experimental market space program to Oklahoma gift manufacturers which employ no more than fifty employees; and

b. limit the amount of reimbursement required from the gift manufacturers participating in such market space program to an amount not to exceed twenty percent (20%) of the gross sales of such manufacturer or not to exceed the normal and customary amount received by market space representatives in contiguous states.

For purposes of this paragraph, "gift manufacturer" means any Oklahoma manufacturer who manufactures apparel products, lumber and wood products, furniture and fixtures, ceramics, paper and allied products, rubber and miscellaneous plastic products, leather and leather products, stone, clay, and glass products, fabricated metal and other similar items normally sold to persons for gift purposes;

7.  Assist the Governor in coordinating the activities of state agencies which have an impact on the solution of economic or community development problems and the implementation of economic or community plans;

8.  Encourage and, when requested, assist the efforts of local governments to develop mutual and cooperative solutions to their common problems;

9.  Study existing legal provisions that affect the structure and financing of local government and those state activities which involve significant relations with local governmental units in cooperation with local governments and agencies owned by them and recommend to the Governor and the Legislature such changes in these provisions and activities as may seem necessary to strengthen local government;

10.  Carry out continuing studies and analyses of the problems faced by communities within the state and develop such recommendations for administrative or legislative action as would appear necessary.  In carrying out such studies and analyses, particular attention should be paid to the problems of regional, metropolitan, urban, suburban, rural and other areas in which economic and population factors are rapidly changing;

11.  Develop and test model or demonstration programs and projects, which may include contracting to administer certain functions or services of the state for such purposes and otherwise provide a program of practical research in the solution of community problems;

12.  Collect reasonable personnel costs for staff time spent in the search for and duplication of records if such time exceeds one hour; and

13.  Collect reasonable fees for informational publications and materials produced by Department of Commerce in accomplishing its mission.

Added by Laws 1986, c. 207, § 23, operative July 1, 1986. Amended by Laws 1989, c. 313, § 14, operative July 1, 1989; Laws 1992, c. 198, § 1, eff. July 1, 1992; Laws 1993, c. 329, § 5, eff. Sept. 1, 1993.

§745017.1.  Enforcement of energy conservation programs  Abolition of Energy Conservation Services Division of Corporation Commission  Classification of transferred employees.

The Oklahoma Department of Commerce shall have the authority to establish, administer and enforce state and federal energy conservation programs including, but not limited to, implementing The Energy Conservation Act of 1975 (P.L. 94163), National Energy Extension Service Act (P.L. 9539, 42 U.S.C. Section 7001 et seq.) and the National Conservation Policy Act (P.L. 95619), except as otherwise provided by law.

The Energy Conservation Services Division of the Oklahoma Corporation Commission is hereby abolished.  All personnel, equipment, files, fixtures, funds, furniture, publications and supplies, and all duties, functions, authority and contractual obligations that relate to the Energy Conservation Services Division of the Oklahoma Corporation Commission are hereby transferred to and vested in the Oklahoma Department of Commerce.

Employees transferred to the Oklahoma Department of Commerce shall be classified and subject to the provisions of the Merit System of Personnel Administration as provided for in the Oklahoma Personnel Act.  The salaries, grade and/or class of the employees transferred shall be adjusted to be commensurate with comparable positions in the Oklahoma Department of Commerce.

The fulltimeequivalent employee positions funded through the federal energy conservation programs outlined in this section shall terminate upon the exhaustion of said federal funding.

Added by Laws 1987, c. 236, § 60, emerg. eff. July 20, 1987.  

§745017.2.  Purpose of Sections 5017.2 to 5017.5.

The purpose of Sections 10 through 13 of this act is to stimulate international trade, produce more jobs, create economic diversity and sources of additional tax revenue, allow small and mediumsized businesses to take advantage of exporting opportunities formerly practically available only to larger businesses, and allow businesses in the state to compete in a world market with businesses in other states.

Added by Laws 1987, c. 214, § 10, eff. Nov. 1, 1987.  

§745017.3.  Definitions.

As used in Sections 10 through 13 of this act:

1.  "Shared foreign sales corporation" means a corporation that satisfies the requirements of Section 922, Internal Revenue Code of 1986 (26 U.S.C. Sec. 922) and is operated for the benefit of more than one business in this state.

2.  "Department" means the Oklahoma Department of Commerce.

3.  "Director" means the Director of the Oklahoma Department of Commerce.

Added by Laws 1987, c. 214, § 11, eff. Nov. 1, 1987.  

§745017.4.  Department  Powers and duties.

A.  The Department shall encourage and assist in creation and operation of shared foreign sales corporations to benefit businesses in this state.

B.  The Department may:

1.  Develop model shared foreign sales corporations, including model bylaws, operation manuals, form contracts, a model certificate of incorporation and other appropriate aids that businesses may use in creating and operating shared foreign sales corporations;

2.  Provide information and counseling to businesses relating to state, federal, and international law governing shared foreign sales corporations;

3.  Provide accounting information and counseling to businesses in connection with creation and operation of shared foreign sales corporations; and

4.  Provide other information and assistance necessary to the creation and operation of shared foreign sales corporations to benefit businesses in the state.

Added by Laws 1987, c. 214, § 12, eff. Nov. 1, 1987.  

§745017.5.  Service fees.

The Department may collect fees for services provided under Sections 10 through 13 of this act in amounts which the Director determines to be necessary to cover costs of administering Sections 10 through 13 of this act.

Added by Laws 1987, c. 214, § 13, eff. Nov. 1, 1987.  

§74-5017.7.  International protocol office.

The Oklahoma Department of Commerce shall, for the encouragement of international trade opportunities for Oklahoma businesses, encourage and assist private efforts toward the development of interpersonal relationships between citizens of this state and citizens of other nations.  To that end, the Department is authorized to establish an international protocol office.

Added by Laws 1996, c. 286, § 1, emerg. eff. June 5, 1996.

§74-5018.  Oklahoma State Data Center.

There is hereby created the Oklahoma State Data Center.  The Oklahoma State Data Center shall be subject to the administrative direction of the Oklahoma Department of Commerce.  The Oklahoma State Data Center shall be the primary center for applied population research for the State of Oklahoma and shall be the official contact with the Bureau of the Census and shall be the originator and official conductor of all special censuses for the State of Oklahoma.  The responsibilities of the State Data Center are:

1.  To prepare, maintain and interpret population statistics, estimates and projections including distributions of the state's population (political subdivisions, ethnic and racial population);

2.  To cooperate and/or give assistance to other state agencies and organizations in the preparation, maintenance and interpretation of demographic information;

3.  To prepare a biennial report on the state of the state's population for submission to the Governor and the Legislature with some policy implications of the state's population trends;

4.  To provide technical assistance to the Legislature for purposes of reapportionment; and

5.  To assist other divisions and advisory committees of the Department by providing demographic data necessary for their activities.

Added by Laws 1986, c. 207, § 24, operative July 1, 1986.  Amended by Laws 1998, c. 364, § 37, emerg. eff. June 8, 1998.

§745019.  State Data Center Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Department of Commerce to be designated the "State Data Center Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Oklahoma Department of Commerce from monies received for costs of data processing, copying, duplication and other costs incident to the production of printed reports from entities receiving such services.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Oklahoma Department of Commerce for the purpose of costs of data processing, copying, duplication and other costs incident to the production of printed reports for entities which have requested the services of the State Data Center.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1986, c. 207, § 25, operative July 1, 1986.  Amended by Laws 1992, c. 259, § 4, emerg. eff. May 22, 1992.

§74-5020.  Repealed by Laws 1993, c. 270, § 58, eff. Sept. 1, 1993.

§74-5020.1.  Community Development Centers Program Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Department of Commerce to be designated the "Community Development Centers Program Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations.  The fund shall consist of all monies authorized by law for deposit in such fund including, but not limited to appropriations, gifts, grants, private donations, fee revenues and funds by governmental entities authorized to provide funding for the purposes authorized for the use of the fund.  Monies deposited or apportioned or donated to the credit of the fund may be expended for the purposes of community development centers, with emphasis on aging and elderly citizen interests pursuant to law.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Oklahoma Department of Commerce for purposes authorized by law.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1992, c. 337, § 16, eff. July 1, 1992.

§74-5021.  Repealed by Laws 1992, c. 337, § 36, eff. July 1, 1992.

§74-5022.  Repealed by Laws 1992, c. 337, § 36, eff. July 1, 1992.

§745023.  Federal block grant programs  Equal access to programs and services  Proposals.

All state agencies providing services through federal block grant programs shallinclude, as part of their proposals for federal block grant programs, assurances to guarantee equal access to program services and resources, including contracted services, and guarantee the public uniform rights to appeal and appeal procedures. It is the intent of the Legislature that services maintain a commitment to the efficient delivery of vital services to the most needy persons in the state and that any changes in eligibility criteria be identified in a comprehensive plan.  The proposals for federal block grant programs shall specify a process to guarantee that each person seeking services shall:

1.  Have the right to file formal application for services or resources upon request;

2.  Be afforded an opportunity to have private and confidential interviews pertaining to the case;

3.  Not be denied assistance on the basis of race, color, gender, creed, religion, age, political preference or physical affliction;

4.  Receive timely approval or disapproval of the application; and

5.  Receive written notification of appeal and appeal procedures, including notice that:

a. all aggrieved parties shall be afforded a reasonable opportunity for a fair hearing,

b. the applicant or the representative of the applicant shall have access to records relevant to the appeal process, and

c. the applicant shall have the right to a timely determination and prompt notice of hearing decisions.

Added by Laws 1986, c. 207, § 29, operative July 1, 1986.  

§745024.  Professional auditing services.

The Oklahoma Department of Commerce is hereby authorized to contract for such professional auditing services as may be necessary to accomplish audits of funds processed through the Department.  Such audits shall be made by a public accountant or an independent certified public accountant.  A copy of a written report of the audit, certified to by said accountant, shall be placed and maintained on file with the State Auditor and Inspector.  The contracted services shall be procured in accordance with applicable provisions of the Oklahoma Central Purchasing Act.

Added by Laws 1986, c. 207, § 30, operative July 1, 1986.  Amended by Laws 1990, c. 266, § 35, operative July 1, 1990; Laws 1990, c. 260, § 43, operative July 1, 1990.

§745025.  Department of Commerce  Negotiation of certain contracts.

The Oklahoma Department of Commerce shall negotiate contracts for all expenditures by other entities in amounts over Two Thousand Five Hundred Dollars ($2,500.00) which have been appropriated to the Department for the use of such entities.  The Director of the Department may require a formal contract for such expenditures of Two Thousand Five Hundred Dollars ($2,500.00) or less.

Added by Laws 1986, c. 207, § 31, operative July 1, 1986; Amended by Laws 1991, c. 197, § 4, eff. July 1, 1991.

§74-5026.  Office of the Oklahoma Film and Music Commission - Oklahoma Film and Music Advisory Commission.

A.  There is hereby created within the Oklahoma Tourism and Recreation Department, the Office of the Oklahoma Film and Music Commission.  The Office shall have the primary responsibility in state government for promoting the State of Oklahoma as a location for producing motion pictures, television programs, videos and recording or performing music.  The Office shall assist the motion picture, television and video film and music industries by providing production contacts in the state, suggesting possible filming, performing, and recording locations, and other activities that may be required to promote the state as a filming and music center.  The Office shall, to the extent that resources are available, further assist the music industry by providing production contacts in the state, suggesting possible publishing, production, and recording locations, and other activities that may be required to promote the state as a music center; developing resource guides, a database, and a website; and developing listings of music festivals and music events being held in Oklahoma.

B.  1.  There is hereby established within the Oklahoma Tourism and Recreation Department, the Oklahoma Film and Music Advisory Commission which shall consist of the Lieutenant Governor, who shall serve as an ex officio member and as chair of the Advisory Commission, and eleven (11) members appointed by the Director of the Department.  Appointed members shall serve two-year terms.  Five appointed members shall have experience in the development and implementation of economic development programs.  Three appointed members shall possess a broad working knowledge of the film industry.  Three appointed members shall possess a broad working knowledge of the music industry.

2.  The Oklahoma Film and Music Advisory Commission shall have the following responsibilities:

a. focus the film-and-music-industry-related activities and functions of the Office of the Oklahoma Film and Music Commission to provide the maximum economic development impact to the State of Oklahoma,

b. promote the film and music industries to local communities,

c. solicit input annually from a cross section of the public including industry, business, and community leaders,

d. serve as a clearinghouse for the Oklahoma music industry using databases which it develops and maintains,

e. promote Oklahoma music and musicians to a national and international audience,

f. assist the Office of the Oklahoma Film and Music Commission in developing a marketing plan and a production manual, and

g. assist the Office of the Oklahoma Film and Music Commission in the preparation of the annual report.

C.  The Office of the Oklahoma Film and Music Commission shall cooperate with other state and local offices as required to promote the film and music industries in this state.

D.  The Office of the Oklahoma Film and Music Commission shall submit an annual report to the Governor, the Speaker of the House of Representatives, and the President Pro Tempore of the Senate prior to February 1 of each year regarding the activities of the Office.  The report shall provide information about the number of filming productions that the Office has helped bring to the state and the economic impact of those productions, as well as similar information concerning the efforts of the Office to promote the music industry in this state.

Added by Laws 1986, c. 207, § 32, operative July 1, 1986.  Amended by Laws 1990, c. 266, § 36, operative July 1, 1990; Laws 1991, c. 341, § 16, eff. July 1, 1991; Laws 1993, c. 268, § 31, eff. Sept. 1, 1993; Laws 1995, c. 11, § 2, emerg. eff. Mar. 27, 1995; Laws 2001, c. 355, § 16, emerg. eff. June 1, 2001; Laws 2002, c. 197, § 6, eff. Nov. 1, 2002.

§74-5027.  Repealed by Laws 1990, c. 266, § 99, operative July 1, 1990.

§74-5028.  County Jail Improvement Fund.

A.  There is hereby created in the State Treasury a special fund for the Oklahoma Department of Commerce to be designated the "County Jail Improvement Fund".  The Fund shall be a continuing fund, not subject to fiscal year limitations.  All monies appropriated to the Fund may be budgeted and expended by the Oklahoma Department of Commerce for the purpose of providing matching funds to counties to renovate existing or to construct new jail facilities in accordance with state-approved jail standards.  Expenditures from said Fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

B.  On July 1, 1986, any unallotted cash balance in the County Jail Improvement Fund created in Section 66 of Title 57 of the Oklahoma Statutes shall be transferred to the County Jail Improvement Fund created in this section.  All outstanding financial obligations and encumbrances of the County Jail Improvement Fund created in Section 66 of Title 57 of the Oklahoma Statutes are hereby transferred to the Oklahoma Department of Commerce.  After November 15, 1986, any unexpended balance in the County Jail Improvement Fund created in Section 66 of Title 57 of the Oklahoma Statutes shall be transferred to the County Jail Improvement Fund created in this section.

Added by Laws 1986, c. 207, § 34, operative July 1, 1986.

§745029.  Application for county jail improvement funds.

The Oklahoma Department of Commerce shall approve only those applications for funds to renovate an existing county jail facility or to construct a new county jail facility which contain proposed plans that are in compliance with stateapproved jail standards as determined by the Jail Inspection Division, Oklahoma State Department of Health.  Any jail facility which serves as a combined city and county jail facility shall be eligible to apply for a grant under the provisions of this act.

For each grant of funds by the Oklahoma Department of Commerce to a county, the requesting county must legally bind itself to expend on said property funds equal to the amount of funds being applied for from the County Jail Improvement Fund.

No application for funds available under the provisions of this act may be filed where the construction of new facilities or the renovation of existing facilities has begun by July 1, 1981.

No applicant may receive more than a total of Two Hundred Thousand Dollars ($200,000.00) from the "County Jail Improvement Fund" in any one fiscal year.

Added by Laws 1986, c. 207, § 35, operative July 1, 1986.  

§745030.  Weatherization Revolving Fund.

A.  There is hereby created in the State Treasury a revolving fund to be designated as the "Weatherization Revolving Fund", which shall consist of all monies appropriated or transferred to the fund. Said revolving fund shall be a continuing fund not subject to fiscal year limitations and shall be under the administration of the Oklahoma Department of Commerce and may be disbursed without legislative appropriation.  Warrants for expenditures from said revolving fund shall be drawn by the State Treasurer, based on claims signed by an authorized employee or employees of the Oklahoma Department of Commerce and approved for payment by theDirector of State Finance.  It is hereby declared that energy conservation is in the interest of the State of Oklahoma.  The purpose of this fund is to provide monies to be used for the purpose of weatherizing households in Oklahoma thereby conserving the oil and natural gas resources of the state.

B.  On July 1, 1986, any unallotted cash balance in the Weatherization Revolving Fund created in Section 1537.1 of Title 74 of the Oklahoma Statutes shall be transferred to the Weatherization Revolving Fund created in this section.  All outstanding financial obligations and encumbrances of the Weatherization Revolving Fund created in Section 1537.1 of Title 74 of the Oklahoma Statutes are hereby transferred to the Oklahoma Department of Commerce.  After November 15, 1986, any unexpended balance in the Weatherization Revolving Fund created in Section 1537.1 of Title 74 of the Oklahoma Statutes shall be transferred to the Weatherization Revolving Fund created in this section.

Added by Laws 1986, c. 207, § 36, operative July 1, 1986.  

§745032.  Administration of weatherization funds of LowIncome Energy Assistance Block Grant.

Community action agencies shall administer the weatherization funds of the LowIncome Energy Assistance Block Grant on a local level unless the Oklahoma Department of Commerce determines that the program can be more effectively administered through another entity.

Added by Laws 1986, c. 207, § 38, operative July 1, 1986.  

§745034.  Purpose of Sections 5035 to 5040.

It is the purpose of Sections 41 through 46 of this act to delineate a system of community action agencies to enhance and stimulate economic opportunity and selfsufficiency for all citizens.  It is hereby found and determined that community action agencies provide services which are basic and essential to the wellbeing of lowincome and economically disadvantaged persons of this state.  It is further determined that the delivery of such services should be officially recognized in order to assure the effective and efficient continuation of such services and to solve existing problems of human service delivery systems.

Added by Laws 1986, c. 207, § 40, operative July 1, 1986.  

§745035.  Community Service Block Grant Funds  Receipt  Use  Rules and regulations  Allocation to community action agencies  Consolidation of programs.

A.  The Oklahoma Department of Commerce is hereby designated to receive Community Services Block Grant Funds appropriated, authorized or allocated for usage within the State of Oklahoma by the United States Government.  These funds shall be used for, but not limited to the following:

1.  Provide a range of services and activities having major impact on causes and effects of poverty in the community or those areas of the community where poverty is a particularly acute problem;

2.  Provide activities designed to assist lowincome participants including the elderly poor;

a. to secure and retain meaningful employment,

b. to attain an adequate education,

c. to make better use of available income,

d. to obtain and maintain adequate housing and a suitable living environment,

e. to obtain emergency assistance,

f. to remove obstacles and solve problems which block the achievement of selfsufficiency,

g. to make more effective use of other programs;

3.  Provide on an emergency basis for the provision of such supplies and services, nutritious foodstuffs and related services, as may be necessary to counteract conditions of starvation and malnutrition among the poor or temporarily indigent;

4.  Coordinate and establish linkages between government and other social services programs to assure the effective delivery of such services to lowincome individuals; and

5.  Encourage the use of entities in the private sector of the community in efforts to eliminate poverty in the community.

B.  The Oklahoma Department of Commerce shall promulgate and ensure compliance on rules, regulations, policies and procedures to carry out all programs of the Community Services Block Grant.

C.  At least ninety percent (90%) of the Community Service Block Grant funds received by the Oklahoma Department of Commerce for the state from the United States Government shall be allocated to community action agencies, as defined in this act.

D.  If the Community Services Block Grant is consolidated with any other block grant or other federal program, then a proportional share of the consolidated funds shall be used for services under the Community Services Block Grant program in accordance with this act for at least twelve (12) months.  The Oklahoma Department of Commerce shall retain administrative responsibility of these funds.

E.  For each consolidated program, proportional share shall be the percentage of total funds received by all consolidated programs prior to the consolidation.

Added by Laws 1986, c. 207, § 41, operative July 1, 1986.  

§745036.  Community action agency defined  Evaluation of service areas and agencies.

A community action agency shall be defined as a public or private nonprofit agency, designated by the Oklahoma Department of Commerce.

The Oklahoma Department of Commerce shall have the right to evaluate existing service areas and community action agencies and, as may be necessary, modify boundaries of the service areas or rescind designation in accordance with the provisions outlined in Section 45 of this act so that services will be adequately and efficiently provided.

Added by Laws 1986, c. 207, § 42, operative July 1, 1986.  

§745037.  Community action agencies  Boards of directors.

A community action agency shall establish a governing board of directors which shall consist of not less than twelve nor more than thirtysix members.  At least onethird of the members shall be representative of the poor in the areas served and shall be chosen through a democratic selection process.  Onethird of the members shall be elected public officials or their designees as established by the Oklahoma Department of Commerce.  The remaining members shall be representative of business, industry, labor, religious, welfare, education or other major groups and interests in the community.  The community action agency board of directors shall be responsible for:  1.  The appointment and dismissal of an executive director of the community action agency;

2.  The approval of contracts, annual budget requests and operational policies of the community action agency;

3.  The performance of an annual audit by an independent auditor;

4.  Convening of public meetings to provide citizens the opportunity to comment on public policies and programs to reduce poverty;

5.  Evaluate programs and policies of the community action agency; and

6.  Compliance with all Oklahoma Department of Commerce, federal, local and agency rules, regulations, policies and procedures.

Added by Laws 1986, c. 207, § 43, operative July 1, 1986.  

§745038.  Designating community action agencies.

To ensure statewide delivery of Community Services Block Grant services, the Oklahoma Department of Commerce shall establish a process to designate community action agencies.

Added by Laws 1986, c. 207, § 44, operative July 1, 1986.  

§745039.  Rescission of designation of community action agency.

A.  Prior to rescission of designation of a community action agency, the Oklahoma Department of Commerce shall:

1.  Determine whether the existing or proposed community action agency is in compliance with Sections 41, 42 and 43 of this act;

2.  Evaluate the existing or proposed community action agency service area, and, as may be necessary, modify the boundaries of the service area so that services will be adequately and efficiently provided;

3.  Provide a written notice containing the reasons for the anticipated action to the chairman of the board of the existing or proposed community action agency.

B.  The Oklahoma Department of Commerce may rescind the designation of a community action agency if it is found that the community action agency is not in compliance with any or all of the provisions of Sections 41, 42 and 43 of this act.

Any agency whose designation is rescinded pursuant to this section may appeal the order of rescission in accordance with existing state and federal law.  The Oklahoma Department of Commerce shall consider a community action agency or agencies for the assumption of all or a portion of the service area of a community action agency with contiguous borders whose designation may be rescinded.

Added by Laws 1986, c. 207, § 45, operative July 1, 1986.  

§745040.  Purpose and activities of community action agency.

A community action agency shall serve as a primary advocate for the reduction of the causes, conditions and effects of poverty and shall provide social and economic opportunities that foster selfsufficiency for lowincome persons.  Any service provided by a community action agency through the Community Services Block Grant opportunity shall be made available to all eligible persons within the community action agency's service area.  The activities of a community action agency shall, subject to rules and regulations promulgated by the Oklahoma Department of Commerce, include but not be limited to the following:

1.  Informing state and local governments, private agencies and organizations, and citizens of the nature and extent of poverty within the service area;

2.  Developing, administering, and operating community social and economic programs to reduce poverty within the entire area;

3.  Providing and advocating for training and technical assistance to the poor and other residents within the service area to better define human problems, improve services, and facilitate citizen participation;

4.  Promoting interagency cooperation and coordination in providing services to lowincome persons;

5.  Entering into contracts with federal, state, and local public and private agencies and organizations as necessary to carry out the purposes of this act; and

6.  Engaging in any other activity necessary to fulfill the intent of this section and Sections 40 through 45 of this act.

Added by Laws 1986, c. 207, § 46, operative July 1, 1986.  

§74-5040.1.  Transfer of real or personal property to community action agency.

If a community action agency is otherwise eligible to receive real or personal property from the state or federal government, or any agency or instrumentality of the state or federal government, and state or federal law requires that the entity to which the property is transferred must be a governmental entity, the community action agency shall, for the purposes of the transfer and for purposes of managing the property so transferred, be deemed to be a governmental entity.

Added by Laws 2004, c. 440, § 1, eff. July 1, 2004.

§74-5040.2.  Short title.

This act shall be known and may be cited as the "Rx for Oklahoma Act".

Added by Laws 2005, c. 463, § 1, emerg. eff. June 9, 2005.

§74-5040.3.  Definitions.

As used in the Rx for Oklahoma Act:

1.  "Medically indigent" means a person who meets the criteria established by the drug manufacturer assistance programs for the purchase of prescribed medications; and

2.  "Prescription drug" means a drug which may be dispensed only upon prescription by a health care professional authorized by the appropriate licensing authority and which is approved for safety and effectiveness as a prescription drug under Section 505 or 507 of the Federal Food, Drug, and Cosmetic Act (52 Stat. 1040 (1938), 21 U.S.C.A., Section 301).

Added by Laws 2005, c. 463, § 2, emerg. eff. June 9, 2005.

§74-5040.4.  Prescription assistance for medically indigent residents - Service agencies - Requirements - Eligibility - Annual report.

A.  Beginning November 1, 2005, the Oklahoma Department of Commerce shall establish, through a competitive bid process, a statewide program to assist medically indigent residents of Oklahoma to receive prescriptions from drug manufacturer assistance programs.

B.  Agencies including, but not limited to, the following shall be encouraged by the Department to submit bids:

1.  County offices of the Department of Human Services;

2.  County health departments;

3.  Community action agencies designated by the Oklahoma Department of Commerce pursuant to Section 5038 of Title 74 of the Oklahoma Statutes;

4.  Community mental health centers;

5.  Private nonprofit agencies; and

6.  Public entities engaged in the delivery of social services.

C.  Agencies selected by the Department to provide services pursuant to the Rx for Oklahoma Act shall, at a minimum, demonstrate their ability to:

1.  Deliver services in a community or geographic area of the state that is not currently receiving services pursuant to the Rx for Oklahoma Act;

2.  Maintain a dedicated telephone line and computer with Internet access with appropriate software during normal business hours; and

3.  Have staff or volunteers available who can:

a. develop and implement community awareness initiatives about the prescription assistance services offered by the agency,

b. determine whether a pharmaceutical program is offered for the drug or drugs a person needs,

c. determine whether a person is eligible for assistance through a pharmaceutical program,

d. assist a person to make application to and enroll in a pharmaceutical assistance program,

e. keep accurate records of the number of clients served,

f. maintain the confidentiality of all client information including, but not limited to, the client's identity, application information and other records, and

g. estimate the value of prescriptions provided to clients under the program.

D.  Eligibility for the Rx for Oklahoma Act shall be residents of Oklahoma who:

1.  Are medically indigent; or

2.  Are not medically indigent but cannot reasonably afford to pay for prescription medications.

E.  The Oklahoma Department of Commerce shall promulgate rules or establish procedures necessary to implement the program established by the Rx for Oklahoma Act and shall submit an annual report to the Legislature and the Governor no later than January 1 of each year.  The report shall include, but not be limited to, the following:

1.  A listing of entities awarded grants and the amount of each award;

2.  The number of residents served who were eligible for a drug manufacturer assistance program and the average amount of savings per resident;

3.  The number of residents who sought assistance pursuant to the Rx for Oklahoma Act, but were determined not to be eligible for a drug manufacturer assistance program; and

4.  A report by the Department of total expenditures.  Included within the report shall be a summary of each grantee's administrative, personnel, and direct services expenditures by category relative to the grantee's administration of the program.

Added by Laws 2005, c. 463, § 3, emerg. eff. June 9, 2005.

§745044.  Counties not required to participate in certain districts and agencies.

No county in Oklahoma shall be required to be under the jurisdiction of a planning district or any clearing agency by whatever name, located in another state, in order to receive grants, aid, loans or other federal funds for any purpose.  Appropriate federal agencies shall be advised of this provision and the Oklahoma Department of Commerce shall take such steps as are necessary to implement these provisions.

Added by Laws 1986, c. 207, § 50, operative July 1, 1986.  

§745045.  Political subdivisions not required to participate in substate planning districts.

No county, city, town or other subdivision of the State of Oklahoma shall in any manner be compelled to be a member of or participate in a substate planning district.

No county, city, town or other subdivision of the State of Oklahoma shall be penalized in any manner whatsoever for said subdivision's election not to participate in a substate planning district.

Added by Laws 1986, c. 207, § 51, operative July 1, 1986.  

§745045.1.  Substate planning districts  Hiring registered professional engineers.

Each substate planning district within the State of Oklahoma is authorized to hire or contract for the services of one or more registered professional engineers to provide services for the governmental entities which are members of the substate planning district.  No substate planning district shall provide technical and professional engineering, architectural, planning or land surveying service to any person, entity or governmental subdivision of the State of Oklahoma unless the person, entity or governmental subdivision is a member of the substate planning district providing the services.

§745054.  Limits on use of funds.

A.  None of the funds provided in the Oklahoma Health Research Act shall be used to conduct or support any research or experimentation on a human subject unless the research or experimentation has been reviewed and approved by an institutional review board.

B.  None of the funds provided in the Oklahoma Health Research Act shall be used to undertake any research which has abortion, as defined by Section 1730 of Title 63 of the Oklahoma Statutes, as its purpose.

Added by Laws 1986, c. 264, § 9, operative July 1, 1986.  

§74-5057.  Repealed by Laws 1999, c. 59, § 5, eff. July 1, 1999.

§74-5058.1.  Short title.

Sections 1 through 7 of this act shall be known and may be cited as the "Oklahoma Master Business License System Act".

Added by Laws 1998, c. 309, § 1, eff. July 1, 1998.

§74-5058.2.  Purpose.

The purpose of this act is to provide a convenient, accessible, and timely one-stop system that will enable the business community to acquire and maintain the necessary state licenses to conduct business.  It is the intent of the Legislature that use of this one-stop system by a business be optional and that any business may continue to work directly with the appropriate state agency if preferred.

Added by Laws 1998, c. 309, § 2, eff. July 1, 1998.

§74-5058.3.  Definitions.

As used in this act:

1.  "Director" means the Director of the Oklahoma Department of Commerce;

2.  "Department" means the Oklahoma Department of Commerce;

3.  "License" means any certificate, permit or other evidence, by whatever name called, of a right or privilege to engage in any activity, except occupational licenses and licenses issued under Title 47 of the Oklahoma Statutes;

4.  "Occupational license" means any certificate, permit, or other evidence, by whatever name called, of a right or privilege to engage in a profession, occupation, or field of endeavor that is issued by an occupational licensing agency;

5.  "Occupational licensing agency" means any board, commission, committee, or other agency of this state that is established for the primary purpose of regulating the admission or conduct of persons in a particular profession, occupation, or field of endeavor, and is authorized to issue and revoke licenses.  The term does not include a state agency or department that issues permits or licenses as only a part of its regular function; and

6.  "Office" means the Business License Information Office.

Added by Laws 1998, c. 309, § 3, eff. July 1, 1998.

§74-5058.4.  Business License Information Office.

A.  There is hereby established within the Oklahoma Department of Commerce the Business License Information Office.  The Office shall be under the direction and supervision of a full-time state employee as appointed by the Director of the Department.  Additional staff sufficient to perform the duties of the Office shall be provided under the direction of the Director.

B.  The Office shall be a clearinghouse for state business license information and shall perform the following duties:

1.  Establish a license information service detailing requirements for establishing and engaging in business in this state, including state licensing and regulatory requirements, and, to the extent feasible, local and federal requirements;

2.  Provide the most recent forms and information sheets for all state business licenses;

3.  Prepare, publish, and distribute a complete directory of all state licenses required to do business in this state;

4.  Make recommendations to agencies and the Legislature for eliminating, consolidating, simplifying, or expediting licenses, or otherwise improving licensing procedures affecting business undertakings; and

5.  Promulgate and adopt rules and forms necessary to carry out the purposes of this act.

Added by Laws 1998, c. 309, § 4, eff. July 1, 1998.

§74-5058.5.  Operating plan for automated master application system.

The Business License Information Office shall develop an operating plan for an automated master application system, shall determine the software and hardware needs of the system, and shall determine the staffing levels and space required for the system.  State agencies that issue business licenses shall assist and cooperate in the development and implementation of the plan as required by the Office.  In making the determination and developing an operating plan for an automated master application system, the Office shall identify the business licenses appropriate for inclusion in a master application system and shall develop a master application form that consolidates the information needed for the various state agencies to issue the licenses.

Added by Laws 1998, c. 309, § 5, eff. July 1, 1999.

§74-5058.6.  Cooperation of state agencies - Business license coordinators.

A.  Each state agency that issues licenses shall cooperate fully with the Business License Information Office in providing information on the licenses and regulatory requirements of the agency and in developing a plan for an automated master application system.

B.  Each state agency shall designate a business license coordinator.  The coordinator shall have the following responsibilities:

1.  Provide to the Office the most recent application and supplemental forms required for each license issued by the agency, the most recent information available on existing and proposed changes in license requirements or agency rules and how those changes will affect the business community, and agency publications that would be of aid or interest to the business community;

2.  Receive and respond to communications from the Office; and

3.  Review state agency regulatory and license requirements and provide a written report to the Office no later than January 1, 1999, and every two (2) years thereafter that:

a. identifies the regulatory and licensing requirements that affect the business community,

b. indicates which, if any, requirements should be eliminated, modified, or consolidated with other requirements, and

c. explains the need for continuing those requirements not recommended for elimination.

Added by Laws 1998, c. 309, § 6, eff. July 1, 1998.

§74-5058.7.  Services optional - Authority of licensing agency.

A.  The services offered to persons by the Business License Information Office are optional.  Any person may deal directly with a state agency in obtaining information or assistance, or in applying for a license if the person so prefers.

B.  The authority for determining whether a requested license shall be issued shall remain with the state agency legally authorized to issue the license.

Added by Laws 1998, c. 309, § 7, eff. July 1, 1998.

§74-5060.1.  Short title.

This act shall be known and may be cited as the "Oklahoma Science and Technology Research and Development Act".

Added by Laws 1987, c. 222, § 16, operative July 1, 1987.  Amended by Laws 2002, c. 484, § 1, eff. July 1, 2002.

§74-5060.1a.  Goals - Oklahoma Science and Technology Research and Development Board.

A.  Recognizing the vast, underutilized human and capital resources, both urban and rural, in the State of Oklahoma and the opportunity for economic development through technological advancement, the Legislature and the Governor hereby adopt the following goals:

1.  Establishing Oklahoma as a premier information technology and biotechnology center for the twenty-first century;

2.  Enhancing the lives of, and expanding opportunities for, all Oklahomans through growth of information technology, biotechnology, nanotechnology and sensors industries and infrastructure throughout the urban and rural areas of the state; and

3.  Expanding and diversifying Oklahoma's economy and providing new and higher quality jobs for Oklahomans.

B.  To further the goals set forth in this act, there is hereby created the Oklahoma Science and Technology Research and Development Board.  The Board shall be responsible for the administration and governance of the Oklahoma Center for the Advancement of Science and Technology and the Oklahoma Institute of Technology.

Added by Laws 2002, c. 484, § 2, eff. July 1, 2002.  Amended by Laws 2004, c. 63, § 1, eff. Nov. 1, 2004.

§74-5060.2.  Statement of need - Institutions created.

A.  In order to attain the goals as set forth in this act, Oklahoma enterprises need institutions that combine the resources of the public and private sectors to encourage the development of new products, new processes and whole new industries in Oklahoma.  The institutions are needed to:

1.  Support the development of new or expanded technologies;

2.  Provide basic and applied research capital to move innovation to commercial application;

3.  Encourage the transfer of technology to firms and farms throughout the geographic regions of the state;

4.  Stimulate seed-capital investment in firms which will use innovation from applied research in profitable commercial applications; and

5.  Foster competitiveness, productivity and modernization in Oklahoma firms and farms.

B.  There is hereby created the Oklahoma Center for the Advancement of Science and Technology.  The Oklahoma Center for the Advancement of Science and Technology is hereby constituted an instrumentality of the state and the exercise of the authority and powers conferred by law shall be deemed and held to be the performance of an essential governmental function.

C.  There is hereby created the Oklahoma Institute of Technology as an institute within the Oklahoma Center for the Advancement of Science and Technology.  The Oklahoma Science and Technology Research and Development Board and the Oklahoma Center for the Advancement of Science and Technology are hereby directed to support the Oklahoma Institute of Technology and to include the Institute in the Center's budget work program submitted each fiscal year to the Office of State Finance.

Added by Laws 1987, c. 222, § 17, operative July 1, 1987.  Amended by Laws 1992, c. 230, § 1, eff. July 1, 1992; Laws 2002, c. 484, § 3, eff. July 1, 2002.

§74-5060.3.  Mission and purposes of institutions.

A.  The mission of the Oklahoma Center for the Advancement of Science and Technology shall be to foster innovation in existing and developing businesses by supporting basic and applied research, by facilitating technology transfer between research laboratories and firms and farms, and by providing seedcapital for new innovative firms and their products.  The Oklahoma Center for the Advancement of Science and Technology also shall have the authority to foster enhanced competitiveness in the national and international markets by small and medium-sized manufacturing firms located in Oklahoma by stimulating productivity and modernization of such firms.

B.  The mission and purposes of the Oklahoma Institute of Technology shall include:

1.  Attracting, retaining, and stimulating the development of information technology, biotechnology, genetics, and emerging technologies;

2.  Providing leadership development programs to prepare rural residents for leadership in a technologically enhanced economy;

3.  Upgrading and enhancing rural technology to grow or attract high technology companies;

4.  Facilitating joint public-private technology research and development projects using resources and facilities of public higher education institutions or private entities; and

5.  Providing engineering or management assistance to new or existing businesses in bringing improved or innovative products or services to market.

Added by Laws 1987, c. 222, § 18, operative July 1, 1987.  Amended by Laws 1992, c. 230, § 2, eff. July 1, 1992; Laws 2002, c. 484, § 4, eff. July 1, 2002.

§74-5060.4.  Definitions.

As used in the Oklahoma Science and Technology Research and Development Act:

1.  "Applied research" means those research activities occurring at institutions of higher education, nonprofit research foundations, and in private enterprises which have potential commercial application;

2.  "Basic research" means any original investigation for the advancement of scientific knowledge not having a specific commercial objective, but having potential long-range value to commercial interests;

3.  "Board" means the Oklahoma Science and Technology Research and Development Board;

4.  "Center" or "OCAST" means the Oklahoma Center for the Advancement of Science and Technology;

5.  "Enterprise" means a firm with its principal place of business in Oklahoma;

6.  "Health research project" means a specific examination, experimentation or investigation, or initiative to provide research resources oriented principally toward basic, applied, and developmental scientific inquiry related to the causes, diagnosis, prevention, and treatment of human diseases and disabilities and mental health and emotional disorders, and the rehabilitation of persons afflicted with such diseases, disabilities, and disorders; new knowledge, better understanding, and innovative methods to improve the processes by which health care services are made available and how they may be provided more efficiently, more effectively and at a lower cost, for all the citizens of this state; and the development of new products and services which shall form the basis of new high-technology health research and care industry for this state;

7.  "Industrial Extension System" means a coordinated network of public and private manufacturing modernization resources, the purpose of which is to stimulate the competitiveness of Oklahoma small and medium-sized manufacturing firms;

8.  "Institute" means the Oklahoma Institute of Technology;

9.  "Institutional Review Board" means a committee composed of investigators, lay representatives, and legal counsel, which is established at each institution of higher learning and each nonprofit research institution receiving funds from a health research project, for the express purpose of determining the appropriateness of any research involving human subjects;

10.  "Institutions of higher education" means public and private colleges and universities in the state;

11.  "Investigator" means a person who proposes research projects and is primarily responsible for the execution of the proposed projects and is employed by or affiliated with an institution of higher education, a nonprofit research institution in this state, or a private enterprise;

12.  "New technology" means methods, products, processes and procedures developed through science or research;

13.  "Nonprofit research institution" means any not-for-profit public or private facility in this state which has the capabilities for research projects and which is not a subsidiary of any corporation, partnership, or association organized for profit, nor is its stock or assets owned or controlled by a corporation, partnership, or association organized for profit;

14.  "OAME" means the Oklahoma Alliance for Manufacturing Excellence, Inc., a corporation to be formed pursuant to the provisions of Title 18 of the Oklahoma Statutes and Section 5060.26 of this title;

15.  "Person" means any individual, partnership, corporation or joint venture carrying on business or proposing to carry on business within the state;

16.  "Product" means any outcome, device, technique or process, which is or may be developed or marketed commercially and which has advanced beyond the theoretical stage and is in a prototype or practice stage;

17.  "Professional service contract" means a written agreement providing funds for the performance of a research project; for salaries and fringe benefits of personnel associated with research programs; for research equipment; for operating expenses associated with a research program; or for services provided in connection with the evaluation of applications submitted to the Center;

18.  "Qualified security" means any public or private financial arrangement, involving any note, security, debenture, evidence of indebtedness, certificate of interest or participation in any profit-sharing agreement, preorganization certificate or subscription, transferable security, investment contract, certificate of deposit for a security, certificate of interest or participation in a patent or application therefor, or in royalty or other payments under such a patent or application, or, in general, any interest or instrument commonly known as a "security" or any certificate for, receipt for, guarantee of, or option, warrant or right to subscribe to or purchase any of the foregoing to the extent allowed by law;

19.  "Seed-capital" means financing that is provided for the development, refinement and commercialization of a product, process or innovation, whether for the startup of a new firm or the expansion or the restructuring of a small firm; and

20.  "Technology transfer" means a two-way process by which ideas or inventions for processes or products (developed in research programs usually on a laboratory or pilot-plant scale) are converted to commercial use.

Added by Laws 1987, c. 222, § 19, operative July 1, 1987.  Amended by  Laws 1992, c. 230, § 3, eff. July 1, 1992; Laws 1994, c. 288, § 6, eff. July 1, 1994; Laws 1995, c. 279, § 1, eff. July 1, 1995; Laws 2002, c. 484, § 5, eff. July 1, 2002.

NOTE:  Laws 1994, c. 287, § 7 repealed by Laws 1995, c. 279, § 9, eff. July 1, 1995.

§745060.5.  Relationship with Oklahoma Futures and Department of Commerce.

In order to fulfill its missions as provided in Section 5060.3 of this title, the Oklahoma Center for the Advancement of Science and Technology shall be subject to the policy development of Oklahoma Futures.

1.  Oklahoma Futures shall in no way interfere with the daytoday administration of the Center, but shall provide longterm oversight by reviewing and approving the Center's fiveyear plan and annual oversight by reviewing and approving the Center's annual business plan to ensure the Center fulfills the legislative purpose for which it is created.

2.  Notwithstanding other provisions of law, the Oklahoma Department of Commerce shall have the authority to expend funds to administer and operate the programs of the Oklahoma Center for the Advancement of Science and Technology until such time as designated by Oklahoma Futures.

Added by Laws 1987, c. 222, § 20, operative July 1, 1987. Amended by  Laws 1992, c. 230, § 4, eff. July 1, 1992.

§74-5060.6.  Board of directors.

A.  The board of directors for the Oklahoma Center for the Advancement of Science and Technology is hereby reconstituted as the Oklahoma Science and Technology Research and Development Board and shall be comprised as follows:

1.  The Director of the Oklahoma Department of Commerce;

2.  The Chancellor of the Oklahoma State Regents for Higher Education;

3.  The president of the University of Oklahoma;

4.  The president of Oklahoma State University;

5.  The president of one of the regional universities in The State System of Higher Education designated by the Chancellor;

6.  The president of a private Oklahoma university classified by the Carnegie Foundation as a national doctorate-granting institution offering graduate engineering degrees to be appointed by the Governor;

7.  The Governor's appointed cabinet Secretary of Agriculture;

8.  A member of the House of Representatives, who shall serve as an ex officio nonvoting member, appointed by the Speaker of the House of Representatives;

9.  A member of the Senate, who shall serve as an ex officio nonvoting member, appointed by the President Pro Tempore of the Senate;

10.  Two members, appointed by the Governor, who shall be engineers or scientists with extensive experience in managing basic or applied scientific or technological research at Oklahoma institutions of higher education, who shall serve terms of four (4) years; provided that, the two members who possess these qualifications and are serving on the board of directors of the Center on July 1, 2002, shall fill these positions on the Oklahoma Science and Technology Research and Development Board for initial terms to expire on June 30, 2003;

11.  Five members appointed by the Governor who are or who have served as chief executive officers or senior executive officers of corporations engaged in information technology, biotechnology, genetics, other emerging technologies, agriculture, oil and natural gas, early stage high risk venture capital finance, other significant Oklahoma industries, or Oklahoma industries that are potentially significant to the state economy or who are or who have served as chief executive officers or senior executive officers of a private nonprofit organization or who are or who have served as chief executive officers or senior executive officers of foundations with a history of supporting research and development.  Two members appointed pursuant to this paragraph shall serve initial terms to expire on June 30, 2005, and two shall serve initial terms to expire on June 30, 2006.  For the position for which the initial appointment begins after July 1, 2005, the initial term shall expire on June 30, 2009;

12.  Four members appointed by the Governor who represent small business.  One appointee shall serve an initial term to expire on June 30, 2005, and one shall serve an initial term to expire on June 30, 2006.  For the two positions for which the initial appointments begin after July 1, 2005, one appointee shall serve an initial term to expire on June 30, 2008, and one appointee shall serve an initial term to expire on June 30, 2009;

13.  One member appointed by the Governor who represents rural Oklahoma.  The initial appointee shall serve a term to expire on June 30, 2004; and

14.  Until June 30, 2004, or vacation of the offices, six members who, before the effective date of this act, were appointed by the Governor and who are serving on the board of directors of OCAST on July 1, 2002.  These positions on the Oklahoma Science and Technology Research and Development Board shall cease to exist on June 30, 2004, or when the position is vacated if the vacancy occurs prior to June 30, 2004.  A member of the OCAST board who holds one of these positions may be appointed to a position described in paragraphs 9 through 12 of this subsection on the Oklahoma Science and Technology Research and Development Board if the member meets the qualifications for such position.

B.  The two legislatively appointed members of the Board shall be persons of demonstrated knowledge of and commitment to the advancement of science and technology in Oklahoma and shall serve at the pleasure of their respective appointing authority.

C.  In making appointments to the Oklahoma Science and Technology Research and Development Board, appropriate consideration shall be given to representation upon the Board by race, gender and geographical area.

D.  Gubernatorial appointees appointed after July 1, 2002, shall serve four-year terms except for initial terms as provided in this section.  Terms shall expire on June 30.  All gubernatorial appointees shall be subject to confirmation by the Senate.  Except as otherwise provided in this section, any vacancy in board positions filled by appointment of the Governor shall be filled for the unexpired term in the same manner as the original appointment.

E.  The Board shall elect, annually, a chair who shall be from the private sector membership of the Board.  A vice-chair shall be elected annually from among all the members of the Board.  Persons elected to the position of chair or vice-chair shall not serve more than two consecutive terms in said position.

F.  The Board shall meet at least once each calendar quarter and at such other times:

1.  Upon call of the chair;

2.  Upon call of the chief executive officer of the Center or the Institute; or

3.  Upon written request of a majority of the board members.

G.  A majority of the voting members of the Board shall constitute a quorum.  A quorum of the Board shall be necessary to transact business.  All actions of the board members shall be made by a majority of the quorum present.  A board member may send a predetermined designee as a representative to board meetings who may vote; provided, the designee may vote at no more than thirty percent (30%) of meetings during a fiscal year.

H.  Members of the Board shall be entitled to compensation and expenses as may be provided in the charter or bylaws of the Board.  The members of the Board shall not be subject to the dual-office-holding prohibitions set forth in Section 6 of Title 51 of the Oklahoma Statutes.

I.  The Board shall establish an executive committee composed of the chair, vice-chair, and three (3) additional voting members chosen by the chair from among the remaining board members.  The executive committee, in intervals between board meetings, may transact any board business that has been delegated to the executive committee.  A majority of the executive committee shall be necessary to transact business and all actions of the executive committee shall be by a majority vote of the committee.

Added by Laws 1987, c. 222, § 21, operative July 1, 1987.  Amended by Laws 1988, c. 269, § 1; Laws 2002, c. 484, § 6, eff. July 1, 2002; Laws 2004, c. 217, § 1, eff. Nov. 1, 2004; Laws 2005, c. 82, § 1, eff. July 1, 2005.

§74-5060.7.  Executive director and other officers - Meetings - Conflicts of interest - Liability.

A.  The position of president of the Oklahoma Center for the Advancement of Science and Technology is hereby reconstituted as the executive director for the Oklahoma Science and Technology Research and Development Board.  The president of the Center upon the effective date of this act shall serve as the executive director for the Board at the pleasure of the Board.  Subsequent executive directors shall be selected by the Board and shall serve at the pleasure of the Board.  The executive director shall serve as the chief executive officer of the Center and the Institute, and shall direct and supervise the administrative affairs and the general management of the Center and the Institute.  The Board shall establish criteria for selecting the executive director taking into consideration national standards.  The search for the executive director shall be conducted pursuant to the criteria so established.

B.  The executive director:

1.  May employ and terminate such other officers and employees as designated by the Board including, if necessary, legal counsel to be chosen through a request for proposal process;

2.  Shall attend board meetings;

3.  Shall appoint a secretary of the Board to keep a record of all proceedings and maintain and be custodian of all financial and operational records, documents and papers filed with the Center and the Institute and of the minute book of the Center and the Institute; and

4.  Before accepting any applications as provided for under this act, shall prepare a business plan which shall include the analysis of funding levels of programs in other states that are shown in the report required in subsection B of Section 5060.22 of this title, and the threshold funding levels specified in subsection C of Section 5060.22 of this title.

C.  The meetings of the Board shall be subject to the Open Meeting Act and the Open Records Act.  Any information submitted to or compiled by the Center or the Institute with respect to the marketing plans, financial statements, trade secrets, research concepts, methods or products, or any other proprietary information of persons, firms, associations, partnerships, agencies, corporations, institutions of higher education, nonprofit research institutions or other entities shall be confidential, except to the extent that the person or entity which provided such information or which is the subject of such information consents to disclosure.  Executive sessions may be held to discuss such materials if deemed necessary by the Board.

D.  If a member of the Board, officer, agent or employee of the Center or the Institute has any direct or any indirect interest in any approval, contract or agreement upon which the member, officer, agent or employee may be called upon to act or vote, the board member, officer, agent or employee shall disclose the same to the secretary of the Board prior to the taking of final action by the Board concerning such contract or agreement and shall so disclose the nature and extent of such interest and the acquisition thereof, which disclosure shall be publicly acknowledged by the Board and entered upon the minutes of the Board.  A Board member, officer, agent or employee who holds such an interest shall refrain from any further official involvement in regard to such contract or agreement, from voting on any matter pertaining to such contract or agreement, and from communicating with other board members, officers, agents or employees concerning said contract or agreement.  Employees of the Center, including employees assigned to the Institute, shall be subject to the provisions of the Ethics Commission rules.  Notwithstanding any other provision of law, any contract or agreement entered into in conformity with this subsection shall not be void or invalid by reason of the interest described in this subsection, nor shall any person so disclosing the interest and refraining from further official involvement as provided for in this subsection be guilty of an offense, be removed from office, or be subject to any other penalty on account of such interest.  Provided, any approval, contract or agreement made in violation of this section shall give rise to no action against the Board, the Center or the Institute.

Indirect interest shall include pecuniary or competitive advantage which exists or could foreseeably accrue as a result of the act or forbearance of the Board, Center or Institute.

E.  No director or any person acting on behalf of the Board, Center or Institute executing any contracts, commitments, or agreements issued pursuant to this act shall be personally liable upon such contracts, commitments, or agreements or be subject to any personal liability or accountability by reason thereof.  No director or any person acting on behalf of the Board, Center or Institute shall be personally liable for damage or injury resulting from the performance of duties hereunder.

Added by Laws 1987, c. 222, § 22, operative July 1, 1987.  Amended by Laws 2002, c. 484, § 7, eff. July 1, 2002.

§74-5060.8.  Annual business plan - Five-year strategic plan.

The Oklahoma Science and Technology Research and Development Board shall develop an annual business plan and a five-year strategic plan for the Center and the Institute.

Added by Laws 1987, c. 222, § 23, operative July 1, 1987.  Amended by Laws 2002, c. 484, § 8, eff. July 1, 2002.

§74-5060.9.  Powers of Oklahoma Science and Technology Research and Development Board - Tax exemptions - Administrative policies.

A.  The Oklahoma Science and Technology Research and Development Board shall have the power to:

1.  Make, amend and repeal bylaws for the management of the Center and the Institute;

2.  Sue and be sued;

3.  Make contracts and execute all instruments necessary or convenient for carrying out the business of the Center and the Institute;

4.  Acquire, own, hold, dispose of and encumber real or personal property of any nature, including tangible, intangible, commercial or intellectual, or any interest therein;

5.  Enter into agreements or other transactions with any federal, state, county or municipal agency, authority or other governmental entity and with any individual, corporation, enterprise, association or any other entity involving research and technology;

6.  Acquire real property or an interest therein, by purchase or foreclosure, where such acquisition is necessary or appropriate to protect or secure any investment or loan in which the Center has an interest;

7.  Sell, transfer and convey any such property to a buyer, and in the event such sale, transfer or conveyance cannot be effected with reasonable promptness or at a reasonable price, to lease such property to a tenant;

8.  Invest any funds provided by the state and held in reserve in funds not required for immediate disbursement and invest funds received from gifts, grants, donations and other operations of the Center in such investments as would be lawful for a private corporation having purposes similar to the Center;

9.  Borrow money and give guaranties, provided that the indebtedness and other obligations of the Center or Institute shall be payable solely out of the resources of the Center or the Institute, respectively, and shall not constitute a pledge of the full faith and credit of the state or any of its revenues;

10.  Appoint officers, consultants, agents and advisors, and prescribe their duties and compensation;

11.  Appear on its own behalf or on behalf of the Center or Institute before boards, commissions, departments or other agencies of municipal, county or state government or federal government;

12.  Procure insurance against any losses in connection with its properties in such amounts from such insurers as may be necessary or desirable;

13.  Consent, subject to the provisions of any contract with note-holders, whenever it considers it necessary or desirable in the fulfillment of the goals and purposes of the Center or Institute, to the modifications, with respect to the rate of interest, time payment or of any installment, of principal and interest or any terms of any contract or agreement of any kind to which the Center or the Institute is a party;

14.  Accept any and all donations, grants, bequests and devises, conditional and otherwise, of money, property, services or other things of value which may be received from the United States or any agency thereof, any governmental agency, or any institution, person, firm or corporation, public or private, to be held, used or applied for any or all of the goals and purposes of the Center or the Institute, in accordance with the terms and conditions of any such grant;

15.  Trade, buy or sell qualified securities;

16.  Own, possess and take license in, patents, copyrights and proprietary processes and negotiate and enter into contracts and establish charges for the use of such patents, copyrights and proprietary processes when such patents and licenses for innovation or inventions result from research sponsored by the Center or Institute in a private enterprise or when the Center or Institute finances a product developed by a private enterprise;

17.  Establish policies governing royalty payments to the Center and Institute on patents and licenses for innovations or inventions arising in the course of research sponsored by the Center or Institute at institutions of higher education and nonprofit research foundations; such royalty policies should reflect an appropriate sharing of legal risk as well as financial return between the Center or Institute and such institution or foundation; such patents and licenses shall be in keeping with the patent policies of such institutions or foundations;

18.  Conduct studies which are related to economic development, involving product or process innovations;

19.  Solicit, study and assist in the preparation of business plans and proposals of new or established enterprises of special importance to the Oklahoma economy;

20.  Prepare, publish and distribute such technological studies, reports, bulletins and other materials as it considers appropriate, subject only to the maintenance and responsibility for confidentiality of the client proprietary information, and encourage institutions of higher education to develop and disseminate similar materials;

21.  Sponsor, or co-sponsor with both private industry and higher education institutions, special institutes, conferences and demonstrations relating to the stimulation of innovation, science and technologically oriented enterprises;

22.  Participate with any state agency or institution of higher education in developing specific goals, programs and performance monitoring systems to assist in the development of basic research, applied research and technology transfer of special importance to the Oklahoma economy;

23.  Provide scientific and technological data and information required by the Governor, the Legislature, or its committees, and to state agencies, institutions of higher education and cities, towns, counties and school districts and to private citizens and groups, within the limitations of the resources available to the Center;

24.  Provide training and practical experience for Oklahoma researchers in the preparation of applications for peer-reviewed grant competitions;

25.  Facilitate public/private partnerships that will support the creation of endowed chairs, scholarships, research grants, and business opportunities;

26.  Develop policies and procedures for partnering with and/or between universities offering engineering or technology degrees in Oklahoma to facilitate joint public/private technology research and development projects using resources and facilities of such public higher education institutions or private entities; provided that, the Board shall utilize, and accord lead status to, Rogers State University for coordinating and delivering higher education distance learning opportunities initiated or developed by the Board;

27.  Advertise for, accept, and fund proposals from universities, private industries, towns, counties, municipalities, and individuals to achieve its goals and purposes;

28.  Collaborate with the various entities to develop initiatives which foster economic development through technological advancement;

29.  Create institutes or centers with world-class research teams that support the state's primary economic development thrusts;

30.  Expend monies from the income and investment return and principal from the Oklahoma Institute of Technology Trust Fund, upon authorization of the trustees of the trust fund by the required vote as provided in Section 12 of this act; and

31.  Exercise any other powers necessary for the operation and functioning of the Center within the purposes authorized in this act.

B.  The Center and the Institute shall be exempt from all franchise, corporate business and income taxes levied by the state.  The manufacture or sale of any products or processes which are the subject of any agreement made by the Center or the Institute, or any person entering into any agreement with the Center or Institute shall not be exempt from any such taxes or taxes applicable to such manufacture or sale.

C.  The Center and Institute shall include in the annual business plan appropriate administrative policies, including but not limited to policies governing the classification, employment, promotion, suspension, disciplinary action or dismissal of Center employees, including employees assigned to the Institute; purchasing; travel; and reimbursement of employees.  All actions governed by said administrative policies shall be examined annually in the independent audit required by Section 5060.22 of this title.  The Center and Institute shall not be subject to state purchasing laws, except with respect to purchases required for the administrative expenses of the Board, or laws concerning travel or reimbursement of state employees.  Professional service contracts executed by the Center or Institute shall not be subject to any requirement of law relating to competitive bidding.

Because many of the powers and duties of the Center and Institute involve working closely with the private sector, certain employee positions of the Center, including employees assigned to the Institute, must be governed, classified and compensated in a manner that compares equally to similar positions in the private sector.  Therefore, in the annual business plan, the Board shall list, describe and justify all such positions and their compensation and shall designate and place them in unclassified status, exempt from the provisions of the Oklahoma Personnel Act.  All other employees and positions shall be classified and subject to the provisions of the Merit System of Personnel Administration as provided in the Oklahoma Personnel Act. Provided, nothing in this section shall be construed to limit the authority of the Legislature to specify the status of positions otherwise by law.  Neither shall the Board have the authority to circumvent, disregard or otherwise disobey specific provisions of law regarding positions in the Center or the Institute.

D.  Upon approval of the Board, the Center shall have the authority to exercise the powers enumerated in subsection A of this section.

Added by Laws 1987, c. 222, § 24, operative July 1, 1987.  Amended by Laws 2002, c. 484, § 9, eff. July 1, 2002.

§74-5060.9a.  Advisory Committees.

The Oklahoma Science and Technology Research and Development Board shall create an advisory committee to the Oklahoma Center for the Advancement of Science and Technology for each program pertaining to research which is operated by the Center and does not have such a committee established by law.  The advisory committees shall include representatives of the business, higher education and research communities.  No more than two members of the Board may serve on an advisory committee.  No member of the Board may serve concurrently on more than one advisory committee.

At least one-third (1/3) of the members of each advisory committee shall be researchers with experience in basic or applied scientific or technological research.  The Board shall make every effort to appoint researchers possessing the following qualifications:

1.  Tenured appointment as an Associate or Full Professor in one of the following four groups of discipline:

a. Life Sciences (Biology, Biochemistry, Botany, Microbiology, Zoology),

b. Physical Sciences (Chemistry, Physics, Astronomy, Geology, Meteorology),  

c. Engineering or Computer Science, or

d. Business Administration; and

2.  Publication of research papers (excluding abstracts, proceedings or comments) in nationally or internationally refereed journals.  A list of such journals shall be determined annually by the Board; or

3.  Satisfaction of one of the following two criteria:

a. Principal investigator for research grants awarded by the National Science Foundation, the National Institutes of Health, or any such other organization holding external peerreviewed national competitions for the distribution of research funds.  A list of qualifying organizations shall be determined annually by the Board.  Research grants awarded in exclusively statewide competitions and service contracts or other grants not requiring submission of a research proposal or which are funded on bases other than scientific merit shall not be used to satisfy this requirement, or

b. Inventor of one or more products which have had commercial application.  Contractual commitments for a product or products shall meet this requirement; and

4.  Demonstrated experience in the evaluation of research programs, which shall be satisfied either by review of external proposals from the organizations listed in subparagraph a of paragraph 3 of this section, or by review of proposals in university-wide competitions for internal support of research.

The most highly qualified researchers in this state with a breadth of experience in a variety of disciplines shall be given priority.

Added by Laws 1988, c. 246, § 10, operative July 1, 1988.  Amended by Laws 2002, c. 484, § 10, eff. July 1, 2002.

§74-5060.9a-1.  Renumbered as § 1-554 of Title 63 by Laws 1998, c. 210, § 9, eff. July 1, 1998.

§74-5060.9b.  Renumbered as § 1-555 of Title 63 by Laws 1998, c. 210, § 9, eff. July 1, 1998.

§74-5060.9c.  Renumbered as § 1-556 of Title 63 by Laws 1998, c. 210, § 9, eff. July 1, 1998.

§74-5060.9d.  Repealed by Laws 1998, c. 210, § 8, eff. July 1, 1998.

§74-5060.9e.  Renumbered as § 1-558 of Title 63 by Laws 1998, c. 210, § 9, eff. July 1, 1998.

§745060.10.  Commercial application of results of research as condition of assistance.

The Oklahoma Center for the Advancement of Science and Technology shall require as a condition to any form of financial or other assistance authorized by this act before such assistance is provided to any person, firm, business enterprise or corporation that any patent, license, copyright, goods, services, proprietary processes or other results of research that result in a commercial application shall be developed or produced by an Oklahomabased firm or that a legitimate effort shall be made to apply the results of financial or other assistance in a manner that has a reasonable potential to create or enhance employment or other factors contributing to economic growth within Oklahoma.  The board of directors of the Oklahoma Center for the Advancement of Science and Technology shall prescribe policies and procedures in order to implement the provisions of this section.

Added by Laws 1987, c. 222, § 25, operative July 1, 1987.  

§74-5060.11.  Research Support Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Center for the Advancement of Science and Technology to be designated the "Research Support Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations.  The fund shall consist of all monies authorized by law for deposit in such fund including, but not limited to, gifts, grants, private donations, fee revenues and funds by government entities authorized to provide funding for the purposes authorized for the use of the fund.  Monies deposited or apportioned to the credit of the fund in excess of that required for implementation of the program or programs for which expenditures from the fund are authorized may be transferred to any other fund under the control of the Center.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Oklahoma Center for the Advancement of Science and Technology for purposes authorized by law.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1987, c. 222, § 26, operative July 1, 1987.  Amended by Laws 1988, c. 246, § 11, operative July 1, 1988; Laws 1995, c. 279, § 2, eff. July 1, 1995.

§745060.12.  Centers of excellence.

A.  The purpose of this section is to authorize the establishment of two types of centers of excellence at institutions of higher education:  centers of excellence for basic research and centers of excellence for applied research, development and technology transfer.

B.  Centers of excellence for basic research will primarily undertake ongoing basic research that has potential for longrange value to the state's economic development.  The centers should build on institutional strengths and conduct activity in areas of research in which the participating institutions of higher education have achieved or have true promise of attaining a standard of excellence as recognized by national and international peers.

C.  Centers of excellence for applied research, development and technology transfer will primarily undertake applied research, development and technology transfer that has longrun potential for commercial development.  The centers should build on institutional strengths and conduct activity in areas of research in which the participating institutions of higher education have achieved or have true promise of attaining a standard of excellence in applied research and development.

D.  The Center shall award funding to centers of excellence in accordance with subsections E and F of this section.

E.  The Center may award funding from the Research Support Revolving Fund for new centers and increased funding for established centers only after:

1.  Developing, adopting and publishing the criteria it shall use when evaluating centers of excellence; and

2.  Reviewing proposals for new or established centers of excellence containing:

a. documentation, in the case of applied research, development and technology transfer, that not less than fifty percent (50%) of the center's total funding will be provided by sources other than the Center and other than stateappropriated money; and, in the case of basic research, documentation that not less than twenty percent (20%) of the funding for centers conducting basic research will be provided by sources other than the Center and other than stateappropriated money; machinery or equipment may be considered as part of the matching funds, but must be accompanied by a statement that the center of excellence has received the machinery or equipment, that it is appropriate and useful to the program under review, and either:

(1) verifying that the machinery or equipment is donated, has only been used in testing to ensure quality control, or used by a wholesaler or retailer for demonstration purposes only and verifying the fair market value of the machinery or equipment on the date of the gift, or

(2) detailing the price paid by the center of excellence, with an invoice showing the amount paid for the equipment,

b. a description of the proposed center's potential contribution to the state's economic development interests,

c. an itemized operations budget, and

d. other information that may be required by the board.

F.  The board may approve proposals to establish new centers of excellence and increase funding for existing centers only after the board finds, based upon the proposal submitted, external peer reviews, and such additional investigation as the staff of the Center shall make and incorporate in its minutes that:

1.  The proposed center of excellence involves more than one higher education institution;

2.  In the case of applied research, development and technology transfer the proposed center of excellence has the potential to stimulate economic development in Oklahoma by fostering partnership between higher education institutions and businesses;

3.  The center has the longrun potential to benefit existing and new businesses through innovation and development of new technology; and

4.  Approval of the proposal will not create or foster unnecessary duplication of programs, particularly at the graduate level of instruction.

G.  Any commercialized research that results from the funding of a center of excellence shall be subject to negotiations and policies pursuant to the provisions of this act.

Added by Laws 1987, c. 222, § 27, operative July 1, 1987.  Amended by Laws 1995, c. 279, § 3, eff. July 1, 1995.

§745060.13.  Challenge funding of research.

A.  The Center may use monies from the Research Support Revolving Fund for the purposes of this act by awarding competitive funds, through professional service contracts or otherwise, to institutions of higher education, nonprofit research foundations and private enterprises of special importance to the Oklahoma economy.

B.  The Center is authorized to provide challenge funding to Oklahoma higher education institutions for the purpose of assisting such institutions to raise funds in research areas where they have achieved or have true promise of attaining a standard of excellence as recognized by national and international peers.  The Center may transfer to the Oklahoma State Regents for Higher Education the endowed chairs established pursuant to paragraph 1 of subsection D of this section, with any funds associated with such endowed chairs, for the purposes specified in Section 3952 of Title 70 of the Oklahoma Statutes.

C.  Any higher education institution which desires to obtain such challenge funding authorized in subsection B of this section shall submit an application to the Oklahoma Center for the Advancement of Science and Technology.  Such application shall specify the total amount of funds such institution will provide to meet the requirements of the challenge funding and the research merits and economic benefits of the proposals as well as any other information which the Center may deem necessary in order to evaluate the application; provided, however, such institution shall not use stateappropriated funds for the purpose of meeting the requirements of such challenge funding.

D.  Funding shall be awarded on the following basis:

1.  For endowed chair professional service contracts or grants, the Center shall match Two Dollars ($2.00) from the More Oklahoma Science and Technology (MOST) Eminent Scholars and Research Equipment Account for every One Dollar ($1.00) of interest income generated by the endowment for such chair; however, the amount of a state professional service contract or grant for any endowed chair shall not be less than Fifty Thousand Dollars ($50,000.00) for any one fiscal year.  Funding awarded to match such interest shall be limited to endowed chairs created after May 27, 1986; and

2.  For research professional service contracts or grants, the Center shall match One Dollar ($1.00) from the More Oklahoma Science and Technology (MOST) Eminent Scholars and Research Equipment Account for every One Dollar ($1.00) of monies that will be raised by such institution for matching purposes.  The minimum amount of a state professional service contract or grant for any research project shall not be less than Ten Thousand Dollars ($10,000.00) and shall be limited to acquiring research equipment.  No applicant for a professional service contract or grant for research equipment under this paragraph shall be required to obtain the mandatory matching funding prior to application to the Center for funding.  Applicants selected by the Center for funding shall have up to twelve (12) months from the date of selection to obtain the required matching funds.  A selected applicant may request an extension of time not to exceed three (3) months to obtain the necessary matching funds.  The period for obtaining matching funds shall not exceed a total of fifteen (15) months from the date of selection.

E.  Persons selected to hold such endowed chairs or to receive funding for research as provided for in this section shall be selected pursuant to the procedures of the higher education institution which has been awarded such funding.

F.  Approval of any challenge funding proposal shall be based upon the proposal submitted, external peer review and such additional investigation as the staff of the Center shall make.

Added by Laws 1987, c. 222, § 28, operative July 1, 1987.  Amended by Laws 1989, c. 312, § 8, operative July 1, 1989; Laws 1992, c. 324, § 27, eff. July 1, 1992; Laws 1995, c. 279, § 4, eff. July 1, 1995.

§74-5060.14.  Oklahoma Health Research Committee.

A.  The Oklahoma Center for the Advancement of Science and Technology may use monies from the Research Support Revolving Fund to carry out the purposes of the Oklahoma Center for the Advancement of Science and Technology Act by awarding competitive health research funds, through professional service contracts, to institutions of higher education, nonprofit research foundations and private enterprises of special importance to the Oklahoma economy.

B.  There is hereby created within the Oklahoma Center for the Advancement of Science and Technology, the Oklahoma Health Research Committee to be appointed by the Governor which shall consist of nine (9) members, no more than five nor less than three of whom shall be physicians licensed pursuant to the laws of this state.  For the initial Committee, three members shall be appointed for a term of two (2) years; three members shall be appointed for a term of four (4) years; and three members shall be appointed for a term of six (6) years.  Thereafter members shall be appointed for a term of six (6) years.  At all times the Committee shall be composed of at least:

1.  One member from the clergy or who has an advanced degree in philosophy from an accredited institution of higher learning;

2.  Five members who shall be basic health research scientists each having an established record of basic health science research accomplishment and a demonstrated interest in public service to represent the following areas:  Epidemiology, public health or biometrics or psychology; biochemistry, anatomy or nutrition; microbiology, immunology or molecular biology; genetics, pathology, or pharmacology; biology or physiology; and

3.  Three members who shall be clinical research scientists having an established record of clinical biomedical science research accomplishment and a demonstrated interest in public service to represent the clinical research disciplines.

The Health Research Committee as constituted prior to the effective date of this act shall be re-created within the Oklahoma Center for the Advancement of Science and Technology.  Members of the Committee, formerly within the Oklahoma Department of Commerce, serving terms upon the effective date of this act shall continue to serve such terms.

Upon expiration of any term of office of the Health Research Committee, in making appointments to the Committee appropriate consideration shall be given to representation upon the Committee by race, gender and geographical area.

C.  Any vacancy on the Committee shall be filled for the unexpired term within thirty (30) days after the vacancy occurs.

D.  No more than three members of the Committee shall have the same primary affiliation with an institution of higher learning or a nonprofit research institution.

E.  A basic health research scientist or clinical research scientist shall not be eligible to become a member of the Committee unless said scientist is the inventor of one or more products which have earned more than Two Hundred Thousand Dollars ($200,000.00) in royalties or other profit within the fifteen (15) years immediately preceding appointment or is the principal investigator for research grants awarded by national health research organizations for at least five (5) years during the fifteen (15) years immediately preceding appointment.  Contractual commitments which have been made for a product or products shall qualify in meeting the royalty or profit requirement.  Tentative commitments for future funding from national health research organizations shall satisfy the research grant requirement.  Research grants awarded by the National Science Foundation, the National Institutes of Health, the American Heart Association, the Lung Association, the American Cancer Society, the Arthritis Foundation, the March of Dimes, and such other organizations that hold a peer-reviewed national competition for the distribution of research funds that the Committee deems acceptable from time to time shall satisfy the research grant requirement.  Research grants which only may be awarded to investigators in this state shall not be used to satisfy the research grant time of support requirement.  Service contracts or other grants which do not require submission of a research project or which are not funded competitively on the basis of scientific merit of the research project shall not satisfy the research grant time of support requirement.

F.  Members of the Committee shall be reimbursed for expenses incurred in the performance of their duties as provided by the board of directors of the Center.

G.  The Committee shall elect from its membership a chair to serve a two-year term and such other officers from its membership as deemed necessary for the performance of the duties of the Committee.  The Committee shall hold regular meetings not less than once a quarter and such additional meetings as called by the chair as may be required for the proper discharge of the duties of the Committee.  Any action by the Committee shall require the affirmative vote of a majority of its members present.  Five members shall constitute a quorum.

Added by Laws 1987, c. 222, § 29, operative July 1, 1987.  Amended by Laws 1994, c. 288, § 7, eff. July 1, 1994; Laws 1995, c. 279, § 5, eff. July 1, 1995; Laws 1996, c. 143, § 3, emerg. eff. May 7, 1996; Laws 1998, c. 210, § 7, eff. July 1, 1998.

NOTE:  Laws 1994, c. 287, § 8 repealed by Laws 1995, c. 279, § 9, eff. July 1, 1995.

§745060.15.  Evaluation of health research projects.

The Committee shall evaluate the merits of proposed health research projects, the qualifications of investigators, and the facilities in which proposed health research projects will be performed, and shall advise the Center of its findings.

Added by Laws 1987, c. 222, § 30, operative July 1, 1987.  

§745060.16.  Duties of Center relating to health research.

The Oklahoma Center for the Advancement of Science and Technology, with the advice and consent of the Committee, shall:

1.  Establish and operate a state program designed to secure and impartially distribute funds credited to the Research Support Revolving Fund to support professional service contracts for health research projects;

2.  Ensure that funding to support health research projects is awarded only on the basis of scientific merit;

3.  Design the health research program to ensure the optimum performance of the investigator and the maximum efficiency of the project;

4.  Evaluate and approve health research projects to be funded from the Research Support Revolving Fund;

5.  Establish a procedure for the referral of proposed health research projects to the Committee for review;

6.  Establish procedures for review of proposed health research projects by qualified individuals residing outside this state;

7.  Suspend or terminate any professional service contract supporting health research projects for failure by an investigator, institution of higher learning, or nonprofit research institution to comply with the procedures, requirements, or bylaws of the Center; and

8.  Enter into contracts to ensure the optimum performance of health research investigators and to ensure the maximum efficiency of proposed health research projects.

Added by Laws 1987, c. 222, § 31, operative July 1, 1987.  Amended by Laws 1995, c. 279, § 6, eff. July 1, 1995.

§745060.17.  Conditions for award of professional service contract to support health research project.

No professional service contract shall be awarded by the Oklahoma Center for the Advancement of Science and Technology to support a health research project unless:

1.  The investigators are residents of this state or become residents of this state before the ninetieth day after a professional service contract, pursuant to which they will be functioning as an investigator, has been funded by the Center;

2.  The institutions that administer the professional service contracts are primarily located in this state and are able to assume financial responsibility for professional service contracts;

3.  The professional service contract will not be transferred to any other institutions within the state without the approval of the Center and will not be transferred to an institution outside this state at any time; and

4.  The funds will not be expended for patient care except if patient care is an intrinsic part of a funded professional service contract.

Added by Laws 1987, c. 222, § 32, operative July 1, 1987.  

§745060.18.  Annual conference on commercial application of results of health research projects.

The Oklahoma Center for the Advancement of Science and Technology shall sponsor an annual conference of health research investigators, representatives of institutions of higher learning, nonprofit research institutions, and representatives of industry to accelerate and facilitate the commercial development of new products and services conceived or developed as consequence of professional service contracts supporting health research projects.

Added by Laws 1987, c. 222, § 33, operative July 1, 1987.  

§74-5060.19.  Criteria for award of funding or professional service contract - Applied research proposals - Small business innovation research - Commercialized research.

A.  The Center may use monies from the Research Support Revolving Fund to carry out the purposes of this act by awarding competitive applied research funds, through professional service contracts or otherwise, to institutions of higher education, nonprofit research foundations and private enterprises of special importance to the Oklahoma economy.  The Center may use the fund to provide funding for the programs and purposes specified in subsection D of this section.

B.  The board shall award funding or professional service contracts only after:

1.  Developing, adopting and publishing the criteria it shall use when evaluating research proposals; and

2.  Reviewing applied research proposals which present:

a. documentation, if the proposal is from an institution of higher education or nonprofit research institutions, that not less than fifty percent (50%) of the total direct cost of the proposed project will be provided by sources other than the Center and other than state-appropriated money; machinery or equipment may be considered as part of the matching funds for the research, but must be accompanied by a statement:

(1) that the institution of higher education or nonprofit research institution has received the machinery or equipment and that it is appropriate and useful to the program under review; and either

(2) verifying that the equipment or machinery is donated and has only been used in testing to ensure quality control, or used by a wholesaler or retailer for demonstration purposes only and verifying the fair market value of the machinery or equipment on the date of the gift; or

(3) detailing the price paid by the institution of higher education or nonprofit research institution, with an invoice showing the amount paid for the machinery or equipment;

b. documentation, if the proposal is from a private enterprise, that not less than fifty percent (50%) of the total direct cost of the proposed project will be provided by sources other than the Center and other than state-appropriated money.  No portion of the fifty percent (50%) may be provided by in-kind services performed by the enterprise;

c. a description of the potential commercial application of and the industrial sectors that will likely benefit from the applied research project and the potential to enhance employment opportunities in Oklahoma;

d. an itemized research budget, time line and research methodology;

e. a recommendation from the sponsoring institution of higher education, nonprofit research institution or business enterprise; and

f. other information that may be required by the board.

C.  The board may approve such applied research proposals after the board finds, based upon the proposal submitted, external peer review and such additional investigation as the staff of the Center shall make and incorporate in its minutes, that:

1.  The proposed project is research that leads to innovation, new knowledge or technology and is not training or technical assistance for business firms;

2.  The project has a reasonable probability to enhance employment opportunities within Oklahoma; and

3.  The project is technically sound and will produce a measurable result.

D.  The Center is directed to develop a small business innovation research (SBIR) matching support program which meets the highest current standards for state matching support to federal SBIR program grants.  The Center shall also develop and implement a program to financially support the preparation of SBIR grant proposals by Oklahoma entities.  The Center may also develop and implement programs to encourage Oklahoma firms to participate in other federal research and development programs including, but not limited to, the Small Business Technology Transfer (SBTT) program.

E.  Any commercialized research that results from Center funding of applied research shall be subject to negotiations and policies pursuant to the provisions of this act.

Added by Laws 1987, c. 222, § 34, operative July 1, 1987.  Amended by Laws 1995, c. 279, § 7, eff. July 1, 1995.

§745060.20.  Information clearinghouse  Technical services  Technical information data bases and industrial liaison offices  Minority business assistance.

A.  The Center may use monies from the Research Support Revolving Fund to carry out the purposes of this section.

B.  The Oklahoma Center for the Advancement of Science and Technology shall establish a clearinghouse to provide technology transfer and technical referral services and may charge reasonable user fees to recover the costs of providing such services.  The Center may fund institutions of higher education to establish technical information data bases and industrial liaison offices which are easily accessible by both private and public sector organizations.

C.  The Center shall provide to private enterprises and individuals, services which include, but are not limited to:

1.  Disseminating research and technical information;

2.  Referring clients to researchers or laboratories for the purpose of testing and evaluating new products, processes or innovations;

3.  Assisting persons developing innovations or new technology in locating enterprises or entrepreneurs that may be interested in applying such innovations or new technologies; and

4.  Providing managerial assistance to enterprises requesting such assistance, but particularly to those small enterprises of special importance to the Oklahoma economy.

D.  The Center shall encourage business enterprises to use such technology transfer and technical support services as provided by institutions of higher education and especially the state's Small Business Development Centers.

E.  The Center shall assist minority businesses in obtaining investments or loans or other means of financial assistance.  The terms and conditions of such loans or financial assistance, including the charges for interest and other services, will be consistent with the provisions of this act.  The Center shall solicit proposed minority business ventures for review and analysis.

Added by Laws 1987, c. 222, § 35, operative July 1, 1987.  Amended by Laws 1995, c. 279, § 8, eff. July 1, 1995.

§74-5060.20a.  Technology business financing program - Specifications.

The Oklahoma Center for the Advancement of Science and Technology may develop and implement a technology business financing program to assist qualified Oklahoma companies to commercialize new products and processes.  Such financing shall require a non-state-appropriated match and may require the payment of royalties, fees, interest or other revenues which result from the financing.  The Oklahoma Center for the Advancement of Science and Technology shall establish program specifications, which shall be approved by the board of directors.  The Oklahoma Center for the Advancement of Science and Technology may contract with the Oklahoma Center for the Advancement of Science and Technology technology commercialization center or other qualified entity to operate this program.

Added by Laws 1998, c. 211, § 4, eff. July 1, 1998.

§74-5060.20b.  Cooperation between technology commercialization center and technology transfer offices.

It is the intent of the Legislature that the technology commercialization center funded through the Oklahoma Center for the Advancement of Science and Technology (OCAST) and the technology transfer offices within The Oklahoma State System of Higher Education (OSSHE) complement each other's capabilities and work closely to optimize each other's effectiveness.  The OSSHE technology transfer offices shall create an entrepreneurial climate on the campuses to maximize opportunities for commercialization of technology resulting from university research.  The Oklahoma Technology Commercialization Center shall assist technology-based businesses to start up and grow in Oklahoma.

Added by Laws 1998, c. 211, § 5, eff. July 1, 1998.

§745060.21.  SeedCapital Revolving Fund  Authorized investments  Investment committee.

A.  There is hereby created in the State Treasury a revolving fund for the Oklahoma Center for the Advancement of Science and Technology to be designated the "SeedCapital Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations.  The fund shall consist of all monies authorized by law for deposit in the fund including but not limited to gifts, grants, private donations and funds by government entities authorized to provide funding for the purposes authorized for use of the fund and with payments on loans made from the fund, rents, dividends paid on shares of stock purchased with monies from the fund, royalty proceeds, or any other form of return on authorized investments made by the Center.  Monies deposited or apportioned to the credit of the fund in excess of that required for implementation of the program or programs for which expenditures from the fund are authorized may be transferred to any other fund under the control of the Center.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Oklahoma Center for the Advancement of Science and Technology for purposes authorized by law.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

B.  The SeedCapital Revolving Fund shall be managed consistent with the longterm goal that revenues earned from investment of the fund be used to cover administrative costs of the fund; however, the revenues from the SeedCapital Revolving Fund shall not be used for the fund's administrative expenses of the fund until the principal of the fund would not be endangered by such use of fund revenues.

C.  The Center may use the SeedCapital Revolving Fund as follows:

1.  To carry out the purposes of this act through authorized investments, including:

a. loans, loans convertible to equity, and equity,

b. leaseholds,

c. management or consultant service agreements,

d. loans with stock subscription or similar warrants that are beneficially owned by the Center,

e. loans with stock subscription or similar warrants that are beneficially ownedby a party other than the Center,

f. any other contractual arrangement in which the Center is providing scientific and technological services to any federal, state, county or municipal agency, or to any individual, corporation, enterprise, association or any other entity involving science and technology. The Center, in connection with the provision of any form of financial assistance, may enter into royalty agreements with an enterprise,

g. participation as a general or limited partner in other seedcapital funds or participation as a limited partner in individual cases as authorized by the board of directors, and h. royalty or other interests in patents, licenses, trade secrets or other technology, and

i. all other qualified securities as defined in this act; and

2.  To pay all or a portion of the Center's administrative costs, including salary, fringe benefits and other operating expenses.  Amounts to be used for the payment of administrative costs shall be transferred to the Administration and Data Processing Revolving Fund before being encumbered or expended.

D.  The Center may use the SeedCapital Revolving Fund to purchase qualified securities issued by enterprises engaged in new product or process innovations subject to the conditions set forth in this section.

E.  The Center may use the SeedCapital Revolving Fund to make loans to businessincubator facilities in exchange for interests in the enterprises of the type described in subparagraphs a through i in subsection C of this section.

F.  The Center shall make authorized investments in enterprises engaged in new product or process innovations only after:

1.  Receipt of an application from the enterprise which contains:

a. a business plan including a description of the enterprise and its management, product and market,

b. a statement of the amount, timing and projected use of the capital required,

c. a statement of the potential economic impact of the enterprise, including the number, location and types of jobs expected to be created, and

d. such other information as the Center board of directors shall request.

2.  Approval of the investment by the Center.  Such approval may be made after the board of directors finds, based upon the application submitted by the enterprise and such additional investigation as the staff of the Center shall make and incorporate in its minutes, that:

a. the proceeds of the investment or financial assistance will be used only to cover the seedcapital needs of the enterprise except as authorized by this section,

b. the enterprise has a reasonable chance of success,

c. the Center's participation is instrumental to the success of the enterprise and will assist in its retention within the state,

d. the Center's investment is leveraged by at least one additional equity or nearequity investor,

e. the enterprise has the reasonable potential to enhance employment opportunities within the state,

f. the entrepreneur and other founders of the enterprise have already made or are contractually committed to make an appropriate financial and time commitment to the enterprise,

g. any securities to be purchased are qualified securities,

h. there is a reasonable possibility that the Center will recoup at least its initial investment or financial commitment, and

i. binding commitments have been made to the Center by the enterprise for adequate reporting of financial data to the Center, which shall include a requirement for an annual report, or if required by the board, an annual audit of the financial and operational records of the enterprise, and for such control on the part of the Center as the board of directors shall consider prudent over the management of the enterprise, so as to protect the investment or financial commitment of the Center, including in the discretion of the board and without limitation, right of access to financial and other records of the enterprise, and membership or representation on the board of directors of the enterprise.

G.  The board of directors shall create an investment committee to assist in evaluating potential investments in qualified securities and provision of other forms of authorized financial assistance.  The membership of this investment committee shall serve at the pleasure of the board and shall consist of:

1.  no more than two members of the board of directors, neither of whom serves on any advisory committee to the Center; and

2.  persons drawn from sources other than the Center who meet standards similar to those applying to the board of directors and who are recognized by their peers for outstanding knowledge and leadership in their fields, all of whom shall serve at the pleasure of the board.

H.  The Center shall not make investments in qualified securities issued by enterprises in excess of the amount necessary to own more than fortynine percent (49%) of qualified securities in any one enterprise at the time such securities are purchased by the Center, after giving effect to the conversion of all outstanding convertible qualified securities of the enterprise; however, in the event of severe financial difficulty of the enterprise, threatening, in the judgment of the board of directors, the investment of the Center therein, a greater percentage of such securities may be owned by the Center.

Added by Laws 1987, c. 222, § 36, operative July 1, 1987. Amended by Laws 1988, c. 246, § 12, operative July 1, 1988.  

§74-5060.22.  Reports - Funding review and recommendations - Funding priorities.

A.  The Oklahoma Science and Technology Research and Development Board is authorized and instructed to make an annual report no later than November 1 to the Governor, the President Pro Tempore of the Senate, and the Speaker of the House of Representatives that shall describe the accomplishments, the expenditures, and the activities of the prior fiscal year.  The report shall include elements the Board identifies as hampering the state's economic progress and recommendations for changes.  The report shall include an independent audit in accordance with generally accepted accounting principals which shall examine, among other things, actions governed by the administrative policies adopted by the Board on behalf of the Center and the Institute.  The annual report shall specifically account for the ways in which the need, mission and programs of the Center and the Institute have been carried out, including but not limited to a review of the results of the operations and transactions according to objective measures set forth in the business plan.  The report shall recommend specific changes in the activities of the Center or Institute which are necessary to better carry out the need and mission described in this act.  The Board shall distribute its annual report by such means that will make it widely available to those innovative enterprises of special importance to the Oklahoma economy.

B.  The Board shall annually review and prepare a report showing how and at what level other states fund technology-based economic development programs.  The Board shall recommend an appropriate funding level for Oklahoma which will make these programs nationally competitive with those of other states.  The Board's findings and recommendations shall be included in the annual report to be submitted to the Governor and the Legislature.

C.  The Center shall adopt a threshold funding level for each of the programs provided for by law.  The threshold amount shall provide for funding that is great enough to have a significant impact and carry out the intent of the Legislature.  If the funding for these programs falls below the threshold, then no funding shall be provided by the Center to the program funded below threshold level.

D.  The Board, on behalf of the Center and Institute, shall fund areas of research and development that the Board selects as most likely to stimulate information technology, biotechnology, genetics, meteorology and climate studies, and emerging or developing technology and related jobs; foster patents; result in new patents, copyrights, trademarks, and licenses of value; pursue world-class research teams that support the state's primary economic development thrusts or focus areas; and stimulate private and public investments with the intent to encourage economic development in Oklahoma.

Added by Laws 1987, c. 222, § 37, operative July 1, 1987.  Amended by Laws 2002, c. 484, § 11, eff. July 1, 2002.

§745060.23.  Acquiring ownership of corporation or partnership prohibited  Exceptions.

The Oklahoma Center for the Advancement of Science and Technology shall not be permitted to make an expenditure for purposes of any loan, grant or for purposes of acquiring any form of ownership in a corporation or partnership unless authorized by law including, but not limited to, Section 15 of Article X of the Oklahoma Constitution.

Added by Laws 1987, c. 222, § 38, operative July 1, 1987.  

§745060.24.   Administration and Data Processing Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Center for the Advancement of Science and Technology to be designated the "Administration and Data Processing Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations.  The fund shall consist of all monies authorized by law for deposit therein, grants, donations or reimbursements that the President of the Center may direct to be deposited therein, proceeds from the sale of surplus property, insurance payments to the agency, receipts pursuant to the Oklahoma Open Records Act, and transfers from other revolving funds of the Center as the President may direct.  Monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Center for the administrative costs of all programs of the Center, including all personal and other operating expenses. Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1988, c. 246, § 13, operative July 1, 1988.  

§74-5060.25.  Working with OAME to foster competitiveness in national and international markets.

In addition to other functions and responsibilities of the Oklahoma Center for the Advancement of Science and Technology, the Center shall have the authority to work in conjunction with OAME, a private, not-for-profit corporation certified by Oklahoma Futures as qualifying pursuant to the provisions of this act, to foster competitiveness in the national and international markets by small and medium-sized manufacturing firms located in Oklahoma, with a special emphasis on minority business enterprises.

Added by Laws 1992, c. 230, § 5, eff. July 1, 1992.

§74-5060.26.  Creation of private, not-for-profit corporation - Powers - Certificate of incorporation and bylaws.

A.  A private, not-for-profit corporation may be organized pursuant to the provisions of Title 18 of the Oklahoma Statutes and the provisions of this act to develop the Industrial Extension System in Oklahoma, with a special emphasis on minority business enterprises.  Such corporation, upon certification by Oklahoma Futures, shall be known as and may exercise all of the powers of OAME.

B.  In addition to the provisions and requirements of Title 18 of the Oklahoma Statutes, the certificate of incorporation and the bylaws of OAME must be certified by Oklahoma Futures and the certificate of incorporation shall:

1.  Designate the name of the corporation as the Oklahoma Alliance for Manufacturing Excellence, Inc.;

2.  Provide that the exclusive purposes of OAME are public purposes to assist small and medium-sized manufacturing firms, with a special emphasis on minority business enterprises, to gain the ability, through education, technology transfer, and otherwise, to compete successfully at progressively higher levels of value-added in the national and international economy;

3.  Provide for the following three classes of membership in OAME which shall have representation on the Board of Directors of OAME:

a. one class composed of small and medium-sized manufacturing firms located in Oklahoma, and the certificate of incorporation shall provide for the qualifications for membership in such class,

b. one class composed of large corporations, and the certificate of incorporation shall provide for the qualifications for membership in such class, and

c. one class composed of state entities, including, but not limited to, the Oklahoma Center for the Advancement of Science and Technology, the Oklahoma Department of Commerce, the Oklahoma Department of Career and Technology Education, and the Oklahoma State Regents for Higher Education;

4.  Provide for classes of associate membership which shall not have representation on the Board of Directors of OAME, except as provided in paragraph 5 of this subsection;

5.  Provide that the Board of Directors of OAME shall consist of five representatives of members who shall be individuals elected at the first annual meeting of OAME by members of the class composed of small and medium-sized manufacturing firms, and four representatives of members who shall be individuals elected at the first annual meeting of OAME by members of the class composed of large corporations.  The Board of Directors also shall include the President of the Oklahoma Center for the Advancement of Science and Technology, the Executive Director of the Oklahoma Department of Commerce, the Director of the Oklahoma Department of Career and Technology Education and the Chancellor of Higher Education as ex officio members.  The bylaws of OAME may provide for designees who may serve in the place of any of the directors and the terms under which any such designation will be made.  The Board of Directors shall have the power to elect, from time to time, persons to serve as directors who are associate members or are not affiliated with any entity or firm which qualifies for membership in OAME, provided that no more than three (3) of such persons shall serve on the Board of Directors at any time;

6.  Have the authority to set membership dues in an amount to be determined by the Board of Directors.  No participating state entity shall pay membership dues;

7.  Provide for all powers necessary or appropriate to carry out and effectuate its corporate purposes, including, but not limited to, the following:

a. to maintain an office at such place or places as it may designate,

b. to make and execute contracts with any individual, corporation, association or any other entity and all other instruments necessary or convenient for the performance of its duties and the exercise of its powers and functions under this act,

c. to receive funds from any source to carry out the purposes of this act, including, but not limited to, gifts or grants from any department, agency or instrumentality of the United States or of the state for any purpose consistent with the provisions of this act,

d. to acquire or sell, convey, lease, exchange, transfer or otherwise dispose of its property or any interest therein,

e. to develop plans and policies to assist small and medium-sized manufacturing companies in Oklahoma,

f. to enter into contracts to provide assistance to small and medium-sized manufacturing companies, including, but not limited to, the following categories:

(1) technology,

(2) human resources development,

(3) market planning,

(4) finance, and

(5) inter-firm collaboration,

g. to assist other organizations providing general business assistance to small and medium-sized manufacturing enterprises,

h. to establish manufacturing quality and standards certification programs, setting minimum standards and issuing certification to companies meeting such standards,

i. to develop and distribute information about manufacturing modernization and assistance that is available to support efforts to improve the abilities of small and medium-sized firms to produce and market higher value-added products,

j. to establish a system to evaluate the effectiveness and efficiency of services provided to small and medium-sized manufacturing firms,

k. to establish and operate, directly or under contract, an information system designed to access resources that will assist the firms to become more productive,

l. establish a training program for individuals working on behalf of small and medium-sized manufacturing firms, and

m. to establish special educational and informational programs for its members.

Added by Laws 1992, c. 230, § 6, eff. July 1, 1992.  Amended by Laws 2001, c. 33, § 179, eff. July 1, 2001.

§74-5060.27.  Annual business plan - Annual report.

OAME shall prepare and submit an annual business plan for approval by the Board of Directors of the Oklahoma Center for the Advancement of Science and Technology.  The business plan shall be made a part of the annual business plan of the Center provided for in Section 5060.8 of Title 74 of the Oklahoma Statutes and shall be subject to approval by Oklahoma Futures.  OAME shall also prepare an annual report for submission to the Center, which shall include:

1.  A synopsis of the activities of OAME during the previous fiscal year; and

2.  An examination of quantifiable measures of the results of actions and plans of OAME.

Added by Laws 1992, c. 230, § 7, eff. July 1, 1992.

§74-5060.28.  Repealed by Laws 2002, c. 484, § 17, eff. July 1, 2002.

§74-5060.29.  Allocation of funds to technology-business incubator.

Contingent upon a total annual appropriation of at least Nine Million Dollars ($9,000,000.00) to the Oklahoma Center for the Advancement of Science and Technology (OCAST), OCAST shall annually use One Hundred Thousand Dollars ($100,000.00), or so much of that amount as shall be necessary, in conjunction with the nonprofit Oklahoma Health Center Research Park Corporation to operate a technology-business incubator located in the Oklahoma Health Center Research Park and appropriately equipped to meet the needs of start-up, technology-intensive firms including, but not limited to, bio-technology and bio-medical firms.

Added by Laws 1997, c. 416, § 2, eff. Sept. 1, 1997.

§74-5060.30.  Oklahoma Institute of Technology Trust Fund.

A.  The "Oklahoma Institute of Technology Trust Fund" is hereby created.  The trust fund shall be administered as follows:  

1.  The trustees of the trust fund shall consist of seven members of the Oklahoma Science and Technology Research and Development Board who are the presidents of Oklahoma State University, the University of Oklahoma, and the private university offering graduate engineering degrees and the four chief executive officers or senior executive officers of corporations or foundations.  The chair of the board of trustees shall be elected by the trustees from among the four chief executive officers or senior executive officers who also serve on the Oklahoma Science and Technology Research and Development Board.

2.  After January 1, 2003, the board of trustees may by unanimous vote expand the number of trustees at any time.  No more than three members added by the board of trustees may serve concurrently.  The members added by the board of trustees shall be representatives of industries that have demonstrated support for the Oklahoma Institute of Technology, shall have full voting rights, and shall serve four-year terms.  A position added by the board of trustees may be filled at the end of the term by vote of the trustees.  A position not filled by the trustees at the end of the term shall be considered abolished.   

3.  The trust fund shall be utilized to further the mission and purposes of the Institute.

4.  The trust fund principal shall consist of monies received from any monies the Legislature appropriates for, or transfers to, the trust fund and any monies or assets contributed to the trust fund from any other source, public or private.  Notwithstanding other provisions of law, income and investment return on trust fund principal shall accrue to the trust fund and may be authorized upon a majority vote of the trustees for use and expenditure by the Oklahoma Science and Technology Research and Development Board for the purposes of the Institute.  Use of the trust fund principal may be authorized upon a vote of three-fourths of the trustees for use and expenditure by the Oklahoma Science and Technology Research and Development Board to achieve the purposes and goals of the Institute.

5. The trustees shall develop procedures for accomplishing transfer of income and investment return to appropriate accounts set up in the Office of the State Treasurer.

6. The trust fund may be dissolved upon an act approved by three-fourths (3/4) of both houses of the Legislature or pursuant to a plan for use of the principal, leading to dissolution of the trust fund, over a ten-year period that has been proposed by the trustees and approved by the Legislature and the Governor.  Upon the trust fund's dissolution, any funds in the trust fund shall be placed in the state general revenue fund, unless the Legislature specifically provides otherwise.  

B.  There is hereby created in the State Treasury a fund for the Oklahoma Institute of Technology to be designated the "Oklahoma Institute of Technology Fund."  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of any monies received by the Institute from the Legislature or other sources for the fund.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Oklahoma Science and Technology Research and Development Board for the purposes of the Institute.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.  The Oklahoma Science and Technology Research and Development Board shall develop procedures for setting up accounts within the fund as necessary in the Office of the State Treasurer.  The Board shall place only funds appropriated for or otherwise received for the Institute in the accounts for the Institute and shall not commingle funds that are not appropriated or otherwise received for the Institute with funds appropriated or received for any other purpose of the Center.

Added by Laws 2002, c. 484, § 12, eff. July 1, 2002.

§74-5060.40.  Science and Technology Council.

A.  There is hereby created the Science and Technology Council, to continue until July 1, 2007, in accordance with the provisions of the Oklahoma Sunset Law.  The Council shall consist of fourteen (14) members, who shall be appointed by the Governor with the advice and consent of the Senate and serve at the pleasure of the Governor, and the Secretary of Science and Technology Development.  The Secretary of Science and Technology Development shall chair the Council, preside at meetings of the Council, arrange the Council's agenda, appoint committees as desired, sign official Council documents, and perform such other duties as may be prescribed by the Council.  The Council shall elect to annual terms beginning July 1 a vice-chair and such other officers as the Council deems appropriate.  The vice-chair shall perform the duties of the chair during the chair's absence or disability and shall perform such other duties as may be prescribed by the Council.  The chair or vice-chair and seven other members shall constitute a quorum.

B.  The mission and duties of the Council shall be to search for, review, and identify targeted market opportunities for this state.  The Council shall rank opportunities identified, by specific area of opportunity, to determine the best prospects for helping this state develop, advance, and gain recognition of, market leadership.  The Council's selections shall be presented to the Board of Directors of the Oklahoma Center for the Advancement of Science and Technology (OCAST).

C.  The Council shall be subject to the Oklahoma Open Meeting Act and Oklahoma Open Records Act; provided, the chair or vice-chair may at any time and without prior notice call the Council into executive session for the purpose of examining or discussing proprietary or financial information of research or business entities and may determine that related records remain confidential.

D.  Staff assistance and meeting space for the work of the Council shall be provided by the office of the Vice President of Technology Development of the University of Oklahoma and further, when requested by the Secretary of Science and Technology Development, the Oklahoma Center for the Advancement of Science and Technology.

E.  Expenses of the Council shall be paid from the Science and Technology Council Revolving Fund created by Section 2 of this act and for the purposes set forth therein.  Council members shall be reimbursed for actual and necessary travel expenses incurred in the performance of their Council duties in accordance with the State Travel Reimbursement Act.

Added by Laws 2001, c. 420, § 1, eff. July 1, 2001.

§74-5060.41.  Science and Technology Council Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Science and Technology Council to be designated the Science and Technology Council Revolving Fund.  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of monies appropriated to the Oklahoma Center for the Advancement of Science and Technology designated for the Council and of such gifts or other income as may be designated for the use of the Council.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Oklahoma Center for the Advancement of Science and Technology for the Council.  Purposes for use of the monies shall include, but not be limited to, salaries and other personnel expenses, travel, contracts for marketing analysis, and expertise and other expenses for business plan development.  The Center shall review all uses of the monies and provide for audit of the fund by the State Auditor and Inspector at least once every three (3) years.

Added by Laws 2001, c. 420, § 1, eff. July 1, 2001.

§74-5060.42.  Repealed by Laws 2002, c. 484, § 17, eff. July 1, 2002.

§74-5060.50.  Electronic commerce pilot program - Steering committee.

A.  The Oklahoma Legislature, recognizing the advancement of technology in commerce, hereby establishes a pilot program for the use of electronic commerce, including the use of digital signatures in state government.  The pilot program will provide verifiable data on how electronic commerce and digital signatures can improve the internal services and operations of state government, and how it can enable and encourage the use of electronic commerce, including digital signatures, in transactions with business and commerce.  The pilot program will limit risk and enable discovery and testing of procedures so that deployment across state government will progress smoothly.  The pilot program shall include certain state agencies that will test the technology in government-to-government transactions and government-to-private-entity transactions.

B.  The Office of State Finance shall be the coordinating agency for the pilot program.  The Office of State Finance shall work with the state agencies participating in the program and acquire resources necessary for the pilot program.  All resources acquired for the pilot program shall meet standards and procedures established by the Electronic Commerce Pilot Program Steering Committee.

C.  There is hereby created the Electronic Commerce Pilot Program Steering Committee to oversee the pilot program.  The Committee shall establish standards and procedures for using electronic commerce and for conducting the pilot program.  The Committee shall study and incorporate, where appropriate, standards for digital signatures set by national organizations.  The Committee shall consist of two members appointed by the Speaker of the House of Representatives, two members appointed by the President Pro Tempore of the Senate, one member appointed by the Governor and one member from each of the following agencies or offices:

1.  The Department of Central Services;

2.  The Secretary of State;

3.  The Office of State Finance;

4.  The Department of Commerce;

5.  The Attorney General;

6.  The State Auditor and Inspector;

7.  The State Treasurer;

8.  The Office of Personnel Management; and

9.  The Oklahoma Tax Commission.

D.  The Committee shall choose which state agencies will participate in the pilot program based on a determination made by the Committee of which agencies would enhance the pilot program.

E.  The Committee shall evaluate the pilot program and file a report of its findings and recommendations by December 15, 1999, to the Speaker of the House of Representatives, the President Pro Tempore of the Senate and the Governor.

F.  Implementation of the pilot program shall be contingent upon the appropriation of funds for such purpose or the allocation of funds by participating agencies for such purpose.  If funds are not appropriated or allocated for implementation of the pilot program the Committee may still meet to establish standards and procedures for using electronic commerce in state government.

Added by Laws 1998, c. 308, § 1, emerg. eff. May 28, 1998.  Amended by Laws 1999, c. 195, § 1, emerg. eff. May 24, 1999.

§74-5060.51.  Repealed by Laws 2004, c. 180, § 2, eff. July 1, 2004.

§74-5060.52.  Compensation and expenses.

A.  Members of the Electronic Commerce Pilot Program Steering Committee created in Section 5060.50 of Title 74 of the Oklahoma Statutes shall receive no compensation for serving on the Committee, but shall receive travel reimbursement as follows:

1.  Legislative members of the Committee shall be reimbursed for their necessary travel expenses incurred in the performance of their duties in accordance with Section 456 of Title 74 of the Oklahoma Statutes from the legislative body in which they serve;

2.  State agency employees who are members of the Committee shall be reimbursed for travel expenses incurred in the performance of their duties by their respective agencies in accordance with the State Travel Reimbursement Act; and

3.  All other Committee members shall be reimbursed by the Department of Central Services for travel expenses incurred in performance of their duties on the Committee, in accordance with the State Travel Reimbursement Act.

Added by Laws 1999, c. 337, § 5 eff. July 1, 1999.

§74-5061.1.  Repealed by Laws 1991, c. 188, § 15, eff. July 1, 1991.

§74-5061.2.  Repealed by Laws 1991, c. 188, § 15, eff. July 1, 1991.

§74-5061.3.  Repealed by Laws 1991, c. 188, § 15, eff. July 1, 1991.

§74-5061.4.  Repealed by Laws 1991, c. 188, § 15, eff. July 1, 1991.

§74-5061.5.  Repealed by Laws 1991, c. 188, § 15, eff. July 1, 1991.

§74-5061.6.  Repealed by Laws 1991, c. 188, § 15, eff. July 1, 1991.

§745061.7.  Recodified as § 5085.7 of this title by Laws 1991, c. 188, § 16, eff. July 1, 1991.

§74-5061.8.  Repealed by Laws 1991, c. 188, § 15, eff. July 1, 1991.

§74-5061.9.  Repealed by Laws 1991, c. 188, § 15, eff. July 1, 1991.

§74-5061.10.  Repealed by Laws 1991, c. 188, § 15, eff. July 1, 1991.

§74-5061.11.  Repealed by Laws 1991, c. 188, § 15, eff. July 1, 1991.

§745062.1.  Short title.

Sections 50 through 70 of this act shall be known and may be cited as the "Oklahoma Development Finance Authority Act".

Added by Laws 1987, c. 222, § 49, operative July 1, 1987.  

§745062.2.  Statement of need  Oklahoma Development Finance Authority created  Status

A.  Lack of response in this state to fundamental changes in national and international markets has created an economic hardship as manifested by high levels of unemployment and bankruptcy. Structural changes in global capital markets and real goods markets have had a profound impact on the availability of longterm capital for Oklahoma's agricultural and industrial enterprises and for infrastructure finance.  There exists a need to improve, repair, replace and expand Oklahoma's infrastructure, which is vital to the welfare of Oklahomans and to the economic development of the state.

B.  It is hereby found that there exists in the state an immediate and urgent need to provide the means and methods for providing financing:

1.  to complement the state's private financial institutions to better serve their customers in ways which contribute to a strengthened and diversified Oklahoma economy;

2.  to promote and develop the expansion of existing and the establishment of new agricultural enterprises and industrial enterprises for the purpose of further alleviating unemployment within the state and for providing additional employment;

3.  to promote and target resources of the state to further the development of export trade of state products for the purpose of the economic development of the state and for providing additional employment therefrom;

4.  to assure the development of reliable, affordable, efficient and environmentally compatible sources of energy for all types of public and private consumption;

5.  to provide health care facilities for the citizens and inhabitants of the state;

6.  to provide capital improvement facilities for the benefit of the citizens and inhabitants of the state;

7.  to provide, in conjunction with the Oklahoma Department of Commerce, an infrastructure program which will enable political subdivisions of this state to finance public works projects in order to modify or improve existing public facilities for purposes of bringing said facilities, and the operation thereof, into compliance with and maintaining compliance with federal, state and local laws and regulations pertaining to the protection of the public health and the environment;

8.  to provide educational facilities for educational institutions within the state;

9.  to provide for such additional facilities, enterprises and projects as herein authorized; and

10.  to provide for shortterm advance funding and the purchase of the obligations of political subdivisions throughout the state.

C.  Any public trust organized pursuant to Title 60 of the Oklahoma Statutes for the benefit of the entire State of Oklahoma which has Seven Hundred Fifty Million Dollars ($750,000,000.00) or more of issued and outstanding indebtedness, and if such indebtedness has been issued for three (3) or more distinct purposes, shall become eligible to become the Oklahoma Development Finance Authority as provided by this act.  Such trust may amend its indenture to conform with the provisions of this act and, upon certification by the Governor, such trust shall be known as and exercise all of the powers of the Oklahoma Development Finance Authority as provided by law.  After the certification of the trust as the Oklahoma Development Finance Authority, the trustees of such trust shall, with addition of other persons as provided by law, become the board of directors of the Oklahoma Development Finance Authority.  The Oklahoma Development Finance Authority is hereby constituted an instrumentality of the state and the exercise of the authority and powers conferred by this act shall be deemed and held to be the performance of an essential governmental function.

Added by Laws 1987, c. 222, § 50, operative July 1, 1987.  

§745062.3.  Mission of Oklahoma Development Finance Authority  Public policy.

A.  The mission of the Oklahoma Development Finance Authority shall be to take into account and develop its policies based upon the following findings:

1.  Fundamental changes have occurred in national and international markets for goods and services produced by the citizens of this state.  These changes have created an economic hardship for this state as manifested by the increasing number of business failures and bankruptcies, both personal and corporate, and the high levels of unemployment in agricultural and industrial enterprises;

2.  There exists a need to improve, repair, replace and expand the infrastructure of the state and its political subdivisions, which is vital to the health, safety and welfare of the citizens of the state as well as to economic growth and development; and

3.  Structural changes in global capital markets and real goods markets have had a strong impact on the availability of longterm capital in this state.

B.  It is hereby declared to be the public policy and responsibility of this state to promote the health, welfare, safety and economic security of its inhabitants through the retention of existing employment and alleviation of unemployment in all phases of agricultural enterprises and industrial enterprises, for the development of reliable, affordable, efficient and environmentally compatible sources of energy for all types of public and private consumption, for providing health care facilities, for providing capital improvement facilities, for providing educational facilities for the benefit of educational institutions within the state and for such other facilities and projects as herein provided.

C.  It is hereby found that the public policies and responsibilities of the state as set forth in this act cannot be fully attained without the use of public financing and that such public financing can best be provided by the creation of a state development finance authority with comprehensive and extensive powers therein, which authority shall have the power to issue bonds to provide financing for qualified agricultural enterprises, capital improvements, educational facilities, industrial enterprises, energy conservation facilities, energy distribution facilities, energy generating facilities and facilities, health care facilities, pollution control facilities, recreational facilities and waste water facilities, and that all of the foregoing are public purposes and uses for which public moneys may be borrowed, expended, advanced, loaned and granted.

Added by Laws 1987, c. 222, § 51, operative July 1, 1987.  

§745062.4.  Relationship with Oklahoma Futures  Annual business plan.

The Oklahoma Development Finance Authority shall exercise the powers granted to it in a manner consistent with each fiveyear plan developed by Oklahoma Futures for the activities and programs of the Authority.  The Oklahoma Development Finance Authority shall submit a proposed schedule of activities and goals to Oklahoma Futures in order to facilitate development of the first fiveyear plan provisions applicable to the Authority.

The board of directors shall develop an annual business plan for the Oklahoma Development Finance Authority.  The business plan shall be submitted to Oklahoma Futures for its approval and shall be included in the annual report of Oklahoma Futures.  The business plan shall be consistent with the goals of the recurring fiveyear policy plan as provided by law.  Oklahoma Futures shall approve such policy plan before it is implemented.  The board of directors shall distribute copies of the business plan by such means that will make it widely available to communities, firms and local economic development managers throughout this state.

Added by Laws 1987, c. 222, § 52, operative July 1, 1987.  

§745062.5.  Definitions.

As used in the Oklahoma Development Finance Authority Act:

1.  "Authority" means the Oklahoma Development Finance Authority;

2.  "Agricultural enterprise" means facilities for farms, ranches, other agricultural, silvicultural or aquacultural commodity operations, and related businesses and industries, including but not limited to, grain elevators, shipping heads, livestock pens, warehouses and other storage facilities, related transportation facilities, drainage facilities and any related facilities hereto;

3.  "Board of directors" means and includes the board of directors of the Authority created by this act;

4.  "Bonds" means any bonds, notes, obligations, debentures, interim certificates, grant and revenue anticipation notes, interest in a lease, lease certificates of participation or other evidences of indebtedness, whether or not the interest on which is includable in the gross income of the recipients thereof for federal income tax purposes, issued by the Authority pursuant to this act;

5.  "Educational facilities" means any facility intended by an educational institution in furtherance of its educational program, including, but not limited to, classrooms, laboratories, administrative buildings, equipment and other property for use therein or thereon;

6.  "Energy conservation facilities" means any facility designated for the purchasing and installation of energy conservation equipment or facilities, including building modifications;

7.  "Energy distribution facilities" means an energy distribution system owned, in whole or in part, by an individual, municipality, corporation or other governmental or business entity and which uses alcohol, peat, solar, waste, water and related dams, wind, wood, coal or natural gas;

8.  "Energy generating facilities" means (a) for a system which does not generate electricity, an energy generating system owned, in whole or in part, by an individual, municipality, corporation or other governmental or business entity, and which systems uses biomass, peat, solar, waste, water and related dams, wind, wood or coal, or which is an energy conservation project; or (b) for a system which does generate electricity, an energy generating system which uses alcohol, peat, solar, waste, water and related dams, wind, wood or coal, and which is owned, in whole or in part, by an individual, municipality, corporation or other business or governmental entity;

9.  "Facilities" means any real property, including, without limitation, any land, building, fixture, improvement, easement, rightofway, water right, land lying under the water or air right, and any personal property, including without limitation any leasehold, inventory, account receivable, patent, license, franchise, machinery, equipment, merchandise, raw material, supply, product, work in process or stock in trade, or mixed property of any and every kind including, but not limited to, buildings, rightsofway, roads, streets, waterways, transportation systems, ports and terminals, pipes, pipelines, reservoirs, utilities, pollution control systems, toxic and solid waste disposal systems, health care facilities for furnishing any physical or mental health care, materials, commodities, equipment, fixtures, machinery, furniture, furnishings, instrumentalities, tourism facilities in the form of amusement parks, entertainment parks, theme parks, or museums, and other real, personal or mixed property of every kind or any preliminary studies and surveys related thereto;

10.  "Financing assistance" or "financial assistance" means the making of, entering into or providing for guarantees, leases, insurance, financing credits, loans, letters of credit, financing assistance payments, grants or other financial aid;

11.  "Financial document" means a lease, installment sale agreement, conditional sale agreement, note, mortgage, chattel mortgage, loan agreement or other instrument pertaining to an extension of financial assistance;

12.  "Industrial enterprise" means facilities for manufacturing, producing, research, processing, assembling, repairing, extracting, warehousing and distributing goods, facilities for any service profession, facilities for communications, computer services, transportation and corporate and management offices and services provided in connection with any of the foregoing, in isolation or in any combination that involve the creation of new or additional employment or the retention of existing employment, and industrial parks;

13.  "Operating capital" means startup costs of general administration for a temporary period not to exceed one (1) year for qualified enterprises as defined in the bylaws or by resolution of the Authority;

14.  "Political subdivision" means any incorporated city or town, school district, county, special district or public trust where a city, town, school district, county or special district is a beneficiary and all their institutions, agencies or instrumentalities;

15.  "Pollution" means any form of environmental pollution, including, but not limited to, water pollution, air pollution, radiation contamination, noise pollution or pollution caused by solid waste disposal;

16.  "Pollution control facilities" means any facilities for the purpose of reducing, abating, preventing. controlling, or eliminating pollution caused or produced by the operation of any manufacturing, industrial, or commercial enterprise or any utility plant or useful for the purpose of removing or treating any substance in processed material, which material would cause pollution if used without such removal or treatment;

17.  "Project" means any facility used for or in connection with any of the following:  industrial enterprises, agricultural enterprises, capital improvements, healthcare facilities, educational facilities, pollution control facilities, energy conservation facilities, energy distribution facilities, energy generating facilities, recreational facilities, tourism facilities in the form of amusement parks, entertainment parks, theme parks, or museums, shortterm advance funding, waste water facilities;

18.  "Shortterm advance funding" shall mean the financing of temporary cash shortfalls of the state or political subdivisions;

19.  "State" means the State of Oklahoma or any office, department, agency, authority, commission, board, institution, hospital, college, university, public trust where the state is the beneficiary or other instrumentality thereof;

20.  "Waste water" shall mean any water containing sewage, industrial wastes, or other wastes or contaminants derived from the prior use of such water, and shall include, without limiting the generality of the foregoing, surface water of the type storm sewers are designed to collect and dispose of; and

21.  "Waste water facilities" shall mean any facility for the purpose of treating, neutralizing, disposing of, stabilizing, cooling, segregating or holding waste water, including, without limiting the generality of the foregoing, facilities for the treatment and disposal of sewage, industrial wastes, or other wastes, waste water, and the residue thereof; facilities for the temporary or permanent impoundment of waste water, both surface and underground; and sanitary sewers or other collection systems, whether on the surface or underground, designed to transport waste water together with the equipment and furnishings thereof and their appurtenances and systems, whether on the surface or underground including force mains and pumping facilities therefor.

Added by Laws 1987, c. 222, § 53, operative July 1, 1987. Amended by Laws 1989, c. 350, § 5, operative July 1, 1989.  

§74-5062.6.  Oklahoma Development Finance Authority and Oklahoma Industrial Finance Authority.

A.  Upon certification by the Governor of a public trust as qualifying to become the Oklahoma Development Finance Authority, the board of trustees of such trust shall become the governing board of the Oklahoma Development Finance Authority with the addition of two (2) other persons.  From and after the effective date of this act, the Governor, the board of directors of the Oklahoma Development Finance Authority and the board of directors of the Oklahoma Industrial Finance Authority, governed by Section 851 of this title, shall begin the consolidation of the membership of the boards of both authorities.  The Oklahoma Development Finance Authority is authorized to amend its trust indenture, to provide that its board shall be composed of the members of the board of directors of the Oklahoma Industrial Finance Authority except for the State Treasurer of Oklahoma and to provide that the terms of office of the board of directors of the Oklahoma Development Finance Authority shall be identical to the terms of the Oklahoma Industrial Finance Authority.  Any director of the Oklahoma Development Finance Authority who is in office upon the effective date of this act, and who is not also at that time a member of the board of directors of the Oklahoma Industrial Finance Authority, shall finish the term for which he or she was appointed.  Upon the end of such a director's term, or upon such a director vacating his or her office, the Governor shall appoint a member of the board of directors of the Oklahoma Industrial Finance Authority to fill the vacancy, or to the new term.  The qualifications for the board of directors of the Oklahoma Development Finance Authority shall be identical to the qualifications for the board of directors of the Oklahoma Industrial Finance Authority.  As soon as the two boards of directors of each authority are composed of the same members, the boards shall be considered as consolidated.  From and after that consolidation, persons appointed to the board of directors of the Oklahoma Industrial Finance Authority shall also become directors of the Oklahoma Development Finance Authority.  Even though the membership of each board shall be identical, the authorities shall be considered and treated as separate legal entities.  The funds of each authority shall not be commingled and shall be separately accounted for.  This consolidation of board membership shall not be construed as effecting a merger of estates or otherwise be construed to terminate the trust status of the Oklahoma Development Finance Authority.  The Oklahoma Development Finance Authority shall continue to exist as a public trust, created under the Oklahoma Public Trust Act.  The S.S.C. Development Authority is hereby authorized to amend its trust indenture to permit the members of the Oklahoma Industrial Finance Authority to become the governing board of such trust.  Any such amendment shall not affect the separate legal status of such trust.  The governing and administrative powers of the Oklahoma Development Finance Authority shall be vested in the governing board as provided by this section.

B.  Each appointive member may receive reimbursement for expenses pursuant to the provisions of the State Travel Reimbursement Act.  In addition, each appointive member shall receive a monthly stipend of Three Hundred Dollars ($300.00) if, during the month, the member attended a meeting of the board of directors at which a quorum was present.  Provided, a member who is also to receive a stipend for attending, during said month, a board meeting of the Oklahoma Industrial Finance Authority shall not receive a stipend pursuant to this subsection for said month except to the extent that payment to the member may be divided between the two boards in proportion to the service rendered by the member to each board.

C.  Members shall annually elect from among the membership a chair, vice-chair, secretary and treasurer, and may elect an assistant secretary or assistant secretaries who need not be members of the board.  Four members of the board shall constitute a quorum and the affirmative vote of the majority of members present at a meeting of the board shall be necessary and sufficient for any action taken by the board, except that the affirmative vote of at least four members shall be required for the approval of any resolution authorizing the issuance of any bonds or approving any loan transaction pursuant to Section 5062.1 et seq. of this title.

D.  No vacancy in the membership of the board shall impair the right of a quorum to exercise all rights and perform all the duties of the board.  Any action taken by the board may be authorized by resolution at any regular, special, or emergency meeting and shall take effect upon the date the chair or vice-chair certifies the action of the Authority by affixing a signature to the resolution unless some other date is otherwise provided in the resolution.

E.  The board may delegate to its employees, persons under contract to provide administrative or staff services to the board, its members and/or officers of the Authority such duties as it deems necessary or convenient to carry out the purposes of this act.  The board may contract with the Oklahoma Industrial Finance Authority to provide all or part of the board's administrative and staff services.  Funds of the Oklahoma Development Finance Authority may be paid to the Oklahoma Industrial Finance Authority for services reasonably attributable to the operation of the Oklahoma Development Finance Authority.

F.  Except as otherwise provided by law, no part of the funds of the Authority shall inure to the benefit of, or be distributed to its employees, officers, or board of directors, except that the Authority shall be authorized and empowered to pay its employees and agents reasonable compensation and benefits.

G.  The meetings of the board of directors of the Oklahoma Development Finance Authority shall be subject to the Oklahoma Open Meeting Act and the Oklahoma Open Records Act.  Any information submitted to or compiled by the Oklahoma Development Finance Authority with respect to the marketing plans, financial statements, trade secrets or any other commercially sensitive information of persons, firms, associations, partnerships, agencies, corporations or other entities shall be confidential, except to the extent that the person or entity which provided such information or which is the subject of such information consents to disclosure.  Executive sessions may be held to discuss such materials if deemed necessary by the board of directors.

H.  The Authority shall assist minority businesses in obtaining financial assistance.  The terms and conditions of loans or other means of financial assistance, including the charges for interest and other services, will be consistent with the provisions of this act.  The Authority shall solicit proposed minority business ventures for review and analysis.

I.  The Authority shall not be subject to state laws regulating the classification, employment, promotion, suspension, disciplinary action or dismissal of state employees.  The Oklahoma Development Finance Authority shall not be subject to the provisions of the Oklahoma Central Purchasing Act.  The Oklahoma Development Finance Authority shall be subject to the provisions of law governing administrative procedures pursuant to Title 75 of the Oklahoma Statutes.

J.  If a member of the board of directors, officer, agent or employee of the Oklahoma Development Finance Authority has any direct or any indirect interest in any approval, contract or agreement upon which the member, officer, agent or employee may be called upon to act or vote, the board member, officer, agent or employee shall disclose the same to the secretary of the Authority prior to the taking of final action by the Authority concerning such contract or agreement and shall so disclose the nature and extent of such interest and his or her acquisition thereof, which disclosure shall be publicly acknowledged by the Authority and entered upon the minutes of the Authority.  If a board member, officer, agent or employee holds such an interest, he or she shall refrain from any further official involvement in regard to such contract or agreement, from voting on any matter pertaining to such contract or agreement, and from communicating with other board members, officers, agents or employees concerning said contract or agreement.  Employees of the Oklahoma Development Finance Authority shall be subject to the provisions of Rule 257:20-1-4, Rules of the Ethics Commission, 74 O.S. 2001, Ch. 62, App., in the same manner as other state employees.  Notwithstanding any other provision of law, any contract or agreement entered into in conformity with this subsection shall not be void or invalid by reason of the interest described in this subsection, nor shall any person so disclosing the interest and refraining from further official involvement as provided for in this subsection be guilty of an offense, be removed from office, or be subject to any other penalty on account of such interest.  Provided, any approval, contract or agreement made in violation of this section shall give rise to no action against the Authority.

Indirect interest shall include pecuniary or competitive advantage which exists or could foreseeably accrue as a result of the act or forebearance of the Authority.

Added by Laws 1987, c. 222, § 54, operative July 1, 1987.  Amended by Laws 1989, c. 374, § 5, emerg. eff. June 6, 1989; Laws 1991, c. 305, § 2, emerg. eff. May 30, 1991; Laws 1994, c. 285, § 2, eff. July 1, 1994; Laws 2004, c. 67, § 1, emerg. eff. April 7, 2004.

§74-5062.6a.  Program Development and Credit Review Committee - Creation - Membership - Meetings - Personal interest in contracts - Personal liability - Duties.

A.  There is hereby created the Program Development and Credit Review Committee within the Oklahoma Development Finance Authority.  The committee shall be composed of three (3) members as follows:

1.  One member who is designated by the board of directors of the  Oklahoma Development Finance Authority;

2.  One member who is the Oklahoma State Bond Advisor; and

3.  One member who is jointly selected by the Oklahoma State Bond Advisor and by the designee of the Oklahoma Development Finance Authority; provided, the Oklahoma Development Finance Authority shall contract for the services of said member.

B.  The Oklahoma Development Finance Authority shall provide all staff support required by the committee.

C.  The meetings of the committee shall be subject to the Open Meeting Act, Section 301 et seq. of Title 25 of the Oklahoma Statutes, and the Open Records Act, Section 24A.1 et seq. of Title 51 of the Oklahoma Statutes.  Any information submitted to or compiled by the committee with respect to the marketing plans, financial statements, trade secrets or any other commercially sensitive information of persons, firms, associations, partnerships, agencies, corporations or other entities shall be confidential, except to the extent that the person or entity which provided such information or which is the subject of such information consents to disclosure.  Executive sessions may be held to discuss such materials if deemed necessary by the members of the committee.

D.  If a member of the committee has any direct or any indirect interest in any approval, contract or agreement upon which the member may be called upon to act or vote, the member shall disclose the same to the committee prior to the taking of final action by the committee concerning such contract or agreement and shall so disclose the nature and extent of such interest and the member's acquisition thereof, which disclosure shall be publicly acknowledged by the committee and entered upon the minutes of the committee.  If a member holds such an interest, the member shall refrain from any further official involvement in regard to such contract or agreement, from voting on any matter pertaining to such contract or agreement, and from communicating with other members concerning said contract or agreement.  Notwithstanding any other provision of law, any contract or agreement entered into in conformity with this subsection shall not be void or invalid by reason of the interest described in this subsection, nor shall any person so disclosing the interest and refraining from further official involvement as provided for in this subsection be guilty of an offense, be removed from office, or be subject to any other penalty on account of such interest.  Provided, any approval, contract or agreement made in violation of this section shall give rise to no action against the committee.  Indirect interest shall include pecuniary or competitive advantage which exists or could foreseeably accrue as a result of the act or forebearance of the committee.

E.  No member of the committee may be subject to any personal liability or accountability for having acted within the course and scope of the person's membership on the committee.  The committee shall indemnify any member of the committee against expenses actually and necessarily incurred by the member in connection with the defense of any action or proceeding in which the member is made a party by reason of past or present association with the committee and the subject of which was within the course and scope of the person's membership on the committee.

F.  The committee, except for actions taken by the Oklahoma Development Finance Authority pursuant to Section 5 of this act and Section 5063.4i of this title, shall:

1.  Prior to any action by the Oklahoma Development Finance Authority, review and approve all program development uses of the Credit Enhancement Reserve Fund;

2.  Prior to any action by the Oklahoma Development Finance Authority, review and approve all commitments of the Credit Enhancement Reserve Fund;

3.  Facilitate implementation of subsection H of Section 5062.6 of this title; and

4.  Review the Rules Regarding the Administration of the Credit Enhancement Reserve Fund and related regulations and policies as implemented by the Oklahoma Development Finance Authority to determine the adequacy and sufficiency of such rules, regulations and policies for fulfilling the intents and purposes of the Credit Enhancement Reserve Fund Act, Section 5063.1 et seq. of this title.  The committee shall prepare and provide to the Executive and Legislative Bond Oversight Commissions and the Oklahoma Development Finance Authority a written finding on such determination.

G.  The Oklahoma Development Finance Authority may accept or reject approvals of the committee, but may not modify the approvals.

H.  On any application for financing proposed to be supported pursuant to the Credit Enhancement Reserve Fund Act, except for the Quality Jobs Investment Program established by Section 5 of this act and Section 5063.4i of this title, the application and any relevant materials considered by the Oklahoma Development Finance Authority when making a determination concerning the proposed financing shall be reviewed by the committee for the purpose of evaluating and assigning a credit rating based upon the risk of the venture and the ultimate risk of loss exposure to the Credit Enhancement Reserve Fund.

I.  The committee, except for actions taken by the Oklahoma Development Finance Authority pursuant to Section 5 of this act and Section 5063.4i of this title, shall examine the credit analysis and due diligence on each such proposed financing and shall prepare and provide a written report to the Commissions and the Oklahoma Development Finance Authority concerning the credit rating and concerning sufficient compliance with the Rules Regarding the Administration of the Credit Enhancement Reserve Fund.

Added by Laws 1990, c. 342, § 6, emerg. eff. May 30, 1990.  Amended by Laws 1993, c. 275, § 46, eff. July 1, 1994; Laws 1994, c. 285, § 3, eff. July 1, 1994.

§74-5062.7.  President - Appointment - Powers and duties.

A.  The board of directors of the Oklahoma Development Finance Authority shall appoint a president who shall direct and supervise the administrative affairs and the general management of the Authority.  The board shall establish criteria for selecting the president taking into consideration national standards for similar positions in similar institutions in other states.  The search for the president shall be conducted pursuant to the criteria so established.  The president's salary shall be set by the board of directors.  The board may appoint the same person who is serving as, or is appointed to be, the chief executive officer or president of the Oklahoma Industrial Finance Authority.  The board is authorized to pay the full salary of the president or may agree to share in this expense with the Oklahoma Industrial Finance Authority.

B.  The president:

1.  May employ and terminate such other officers and employees as designated by the board of directors, including, if necessary, legal counsel;

2.  Shall attend board meetings;

3.  Shall appoint a secretary to keep a record of all proceedings and maintain and be custodian of all financial and operational records, documents and papers filed with the Authority and of the minute book of the Authority; and

4.  Shall perform other duties directed by action of the board of directors of the Authority in carrying out the purposes of this act.

Added by Laws 1987, c. 222, § 55, operative July 1, 1987.  Amended by Laws 1994, c. 285, § 4, eff. July 1, 1994.

§745062.8.  Powers of authority.

The Oklahoma Development Finance Authority is hereby granted, has and may exercise all powers necessary or appropriate to carry out and effectuate its corporate purposes, including without limiting the generality thereof, the following:

1.  to adopt, amend, and repeal rules and regulations, policies, and procedures for the regulation of its affairs and the conduct of its business;

2.  to sue and be sued in its own name;

3.  to have an official seal and power to alter that seal at will;

4.  to maintain an office at such place or places within this state as it may designate;

5.  to adopt, amend and repeal bylaws and rules and regulations, not inconsistent with Section 5062.1 et seq. of this title, to carry into effect the powers and purposes of the Authority and the conduct of its business;

6.  to make and execute contracts with any individual, corporation, whether profit or nonprofit, association or any other entity and all other instruments necessary or convenient for the performance of its duties and the exercise of its powers and functions under Section 5062.1 et seq. of this title;

7.  to employ underwriters, bond or other legal counsel, financial advisors, consultants, a financial institution to serve as trustee, paying agent or in any fiduciary capacity in connection with any program, indenture or general resolution of the Authority, or any other experts and to determine their qualifications, duties and compensation subject to the provisions of this act for advice and oversight of the State Bond Advisor; provided, however, after the effective date of this act, the Authority shall not employ or contract with any person, partnership, corporation, trust or other entity for underwriting services for issuance of bonded indebtedness if that entity has served as financial advisor to the Authority concerning the consideration of that issuance;

When engaging the services of underwriters, bond or other legal counsel, financial advisors, consultants, a financial institution to serve as trustee, paying agent or in any fiduciary capacity in connection with any program, indenture or general resolution of the Authority, or any other experts, the board shall be governed by the provisions of subsection C of Section 695.7 of Title 62 of the Oklahoma Statutes except when engaging such services in connection with a program whose purpose is to provide financing for a single, private entity which has previously selected providers of any such services prior to making application to the Authority, provided:

a. such financing for the program shall not be backed by the Credit Enhancement Reserve Fund, and

b. fees proposed for such services for the program shall fall within a range of fees as determined every six (6) months by the State Bond Advisor, based on industry studies and on fees for such services which have been negotiated and approved by the State Bond Advisor;

8.  to procure insurance against any loss in connection with its property and other assets in such amounts and from such insurers as it deems desirable;

9.  to borrow money and to issue bonds, whether or not the interest thereon is to be includable in the gross income of the recipients thereof for federal income tax purposes, including, without limitation, to provide on a pooled or consolidated basis financing for the purposes and projects herein provided and to provide for the security and sources of payments therefor;

10.  to receive and accept aid or contributions from any source of money, property, labor, or other things of value to be held, used and applied to carry out the purposes of this act subject to the conditions upon which the grants and contributions are made, including, but not limited to, gifts or grants from any department, agency or instrumentality of the United States or of the state for any purpose consistent with Section 5062.1 et seq. of this title;

11.  to obtain from any department or agency of the United States of America or nongovernmental insurer any insurance or guaranty, to the extent now or hereafter available, as to, or of, or for, the payment or repayment of, interest or principal, or both, or any part thereof, on any bonds issued by the Authority, or on any municipal securities of political subdivisions purchased or held by the Authority, pursuant to this act; and, notwithstanding any other provisions of this act, to enter into any agreement or contract whatsoever with respect to any such insurance or guaranty, except to the extent that the same would in any way impair or interfere with the ability of the Authority to perform and fulfill the terms of any agreement made with the owners of the bonds of the Authority;

12.  to sell, convey, lease, exchange, transfer or otherwise dispose of, all or any of its property or any interest therein, wherever situated;

13.  to provide financing assistance for the purposes and projects herein provided;

14.  to acquire, purchase, hold, store, advertise, market, sell, trade, barter, exchange, distribute, transport, process, utilize and contract in all manner with respect thereto and for commodities, products and services, and real or personal property or any interest therein and to contract for, issue and utilize letters of credit and other credit facilities and incur indebtedness and to arrange, form, make, guarantee, issue, remit, receive, receipt, process and collect payments and equivalents, howsoever nominated, in connection with or for purposes of any of the foregoing and for the purpose of executing and fulfilling the purposes of the Authority;

15.  to acquire, reacquire, construct, reconstruct, extend, rent, lease, purchase, use, loan, borrow, install, equip, maintain, operate, renovate, refurbish, enlarge, remodel, convey, sell, at public or private sale, encumber, alleviate, transfer, exchange, dispose of and/or resell, any property, real, personal or mixed, improvements, buildings, equipment, chattels, furnishings, fixtures, trade fixtures, and any and all other facilities and/or property of whatever nature, including any and all rights to or therein for use by corporations, individuals, cooperatives, partnerships, associations or proprietary companies for any of or for the purpose of executing and/or fulfilling the purposes of the Authority, and to plan, establish, develop, construct, enlarge, improve, extend, maintain, equip, operate, lease, furnish, provide, supply, regulate, hold, store and administer property, buildings, improvements, and facilities of every nature, which may be useful in pursuing, promoting, executing and/or fulfilling the aforementioned purposes;

16.  to the extent permitted under its contract with the owners of bonds, to consent to any modification with respect to rate of interest, time, and payment of any installment of principal or interest security or any other term of any contract, mortgage, contract or agreement of any kind to which the Authority is a party;  17.  to purchase its own bonds at such price or prices as the Authority shall determine, subject to any agreement with the owners of bonds;

18.  to enter into financial documents with others for the purpose of receiving revenues to pay the bonds authorized by this act; to lease, sell, or otherwise dispose of any or all of its projects to others for such revenues and upon such terms and conditions as the Authority may deem advisable, and to grant options to renew any financing agreement with respect to project and to grant options to buy any project at such price or prices as the Authority deems desirable;

19.  to lend money to the state or political subdivisions through the purchase by the Authority of obligations of the state or political subdivisions;

20.  to collect fees and charges in connection with its loans, commitments and servicing, including, but not limited to, reimbursement of costs of financing as the Authority shall determine to be reasonable and as shall be approved by the Authority;

21.  to provide services, technical assistance and advice to this state and political subdivisions and to enter into contracts with this state and political subdivisions to provide such services. The State of Oklahoma and its political subdivisions are hereby authorized to enter into contracts with the Authority for such services and to pay for such services as may be provided them;

22.  to contract, cooperate, or join with any one or more other governments or public agencies, or with the state, any political subdivisions of this state, or the United States, to perform any administrative service, activity, or undertaking which any such contracting party is authorized by law to perform, including the issuance of bonds;

23.  to lend money or otherwise extend credit to any person and exercise all powers of a lender or creditor;

24.  to invest any funds available to the Authority, whether or not from the proceeds of bonds, in such securities or pursuant to such agreements or other arrangements as the Authority shall determine, subject to any agreements with bond owners or other creditors of the Authority;

25.  to purchase, trade or sell foreign or domestic currencies or the right to acquire such currency in the future; and

26.  to exercise all other powers and functions necessary or appropriate to carry out the duties and purposes set forth in Section 5062.1 et seq. of this title.

Added by Laws 1987, c. 222, § 56, operative July 1, 1987. Amended by Laws 1989, c. 374, § 6, emerg. eff. June 6, 1989.  

§74-5062.8a.  Quality Jobs Investment Program.

A.  1.  The Oklahoma Development Finance Authority is authorized to attract private investment capital to one or more investment enterprises by either the direct investment of Authority funds or by providing a guarantee to the investment enterprise for the purpose of implementing the Quality Jobs Investment Program established pursuant to this section.

2.  As used in this section, "investment enterprise" includes any corporation, limited partnership, or other similar business entity, including entities qualifying as Small Business Investment Companies under any applicable federal law.

B.  There is hereby established the Quality Jobs Investment Program.  The primary activities of the Quality Jobs Investment Program shall be:

1.  To utilize private and public resources to build a more comprehensive and efficient public and private financing infrastructure for businesses relocating or expanding in this state, and not solely for direct investment, lending or guarantees;

2.  To act as an investor, insurer or guarantor of business capital and debt financing in this state;

3.  To inform business entities of available public and private capital sources and how to access those sources; and

4.  To primarily function as a wholesaler of business capital and credit and rely principally on private institutions to serve as retailers of the business capital and credit market.

C.  The Oklahoma Development Finance Authority shall select on a competitive basis and certify one or more investment enterprises to carry out the activities of the Program.  In order to be certified by the Authority, the documents of organization of the investment enterprise must be in compliance with the purposes and requirements of the Quality Jobs Investment Program and must promote the activities of the Program, and the investment enterprise must meet the following criteria:

1.  Is organized pursuant to Oklahoma law;

2.  Has obtained a broad base of investor participation to the extent possible from among the following categories of investors: utility companies, insurance companies, pension systems, foundations, private and public trusts, banks, individuals, corporations, endowment funds, venture capital entities, and other investors and financial institutions; and

3.  Will maintain appropriate standards of care of a fiduciary.

D.  1.  Only those investment enterprises selected and certified by the Oklahoma Development Finance Authority pursuant to subsection C of this section may seek from the Authority a direct investment of funds pursuant to this section or a guarantee backed by the allocation of the Credit Enhancement Reserve Fund set forth in Section 5063.4i of this title.

2.  Contracts entered into by the Authority pursuant to this section shall establish and provide for periodic review of performance standards for each investment enterprise and shall provide that an investment enterprise may continue to draw on an investment or guarantee of the Authority only if the investment enterprise meets such performance standards.

3.  The Authority shall, at a minimum, review its obligations to investment enterprises which are backed by the allocation of the Credit Enhancement Reserve Fund at a time when such obligations reach the levels of Ten Million Dollars ($10,000,000.00), Twenty Million Dollars ($20,000,000.00) and Thirty Million Dollars ($30,000,000.00).  Only upon satisfaction by the Authority that performance standards established by contract are being achieved by the investment enterprises for the prior level of such obligations, and approval of the Executive and Legislative Bond Oversight Commission, may the Authority allow investment enterprises to draw on the next level of such obligations.  Provided, the Authority may reserve any portion of the Forty Million Dollar ($40,000,000.00) allocation of the Credit Enhancement Reserve Fund for commitment to one or more investment enterprises.

E.  Any guarantee provided by the Authority under this section shall be considered an obligation of the Authority for purposes of Section 42 of Article X of the Oklahoma Constitution.  The Authority is authorized to issue other obligations in the form of bonds, notes, or other evidences of indebtedness, to raise funds for investment under this section.

F.  1.  Funds invested or obligated pursuant to a guarantee by the Authority in any investment enterprise shall be matched at least equally by private sector investment.  Funds guaranteed or invested by the Authority may be employed by an investment enterprise at the same rate but not faster than the investment enterprise employs matching private sector investment.  The Authority may only invest in or provide a guarantee to an investment enterprise pursuant to an agreement which provides that the equity of the participating private sector entities must be put at risk or liquidated before any funds or guarantees of the Authority are similarly put at risk or liquidated.

2.  The Authority may not issue its obligations for the benefit of individual identified establishments but may only invest in or provide guarantees under this section to or for a prospective pool of investments to be made by investment enterprises.  The Authority may review on an annual basis the portfolio of such investments of the investment enterprises.

3.  An investment enterprise shall only employ funds invested or guaranteed by the Authority pursuant to this section for the benefit of projects within this state.

G.  Directors and staff of the Authority shall not be officers or directors of the investment enterprises receiving investments or other obligations from the Authority.  However, the directors and staff may be designated as advisory directors of any such investment enterprises, so that the input and views of the Authority may be considered in any investment decisions.

Added by Laws 1994, c. 285, § 5, eff. July 1, 1994.  Amended by Laws 1997, c. 124, § 1, eff. Nov. 1, 1997.

§745062.9.  Liability of Authority personnel  Indemnification of legal expenses.

No member of the Authority, no member of the board and no officer or employee of the Authority may be subject to any personal liability or accountability for having acted within the course and scope of his membership, office or employment to carry out any power or duty pursuant to this act.  The Authority shall indemnify any member of the Authority, any member of the board of the Authority and any employee of the Authority against expenses actually and necessarily incurred by him in connection with the defense of any action or proceeding in which he is made a party by reason of past or present association with the Authority and the subject of which was within the course and scope of his membership, office or employment.

Added by Laws 1987, c. 222, § 57, operative July 1, 1987.  

§745062.10.  Bonds.

A.  The Authority shall have the power and is hereby authorized to borrow money and to issue its bonds in such principal amounts as the Authority determines shall be necessary to provide sufficient funds for:  (a) the providing of financing for all or any part of any projects of the state or any of its political subdivisions as authorized under this act; (b) the providing of financing assistance to the state or political subdivisions as authorized under this act; (c) the payment of interest on bonds of the Authority; (d) the establishment of reserves to secure the bonds; and (e) all other expenditures of the Authority incident to and necessary or convenient to carry out its purposes and powers, including the payment of any credit enhancement fees and costs of issuance incurred in connection with the issuance of bonds.  The Authority shall have the power to make expenditures for purposes of insuring and securing holders of bonds as provided in this act.

B.  The Authority shall have the power to refund any bonds and any bonds, notes or other obligations heretofore or hereafter issued by any other issuer of bonds in the state if the Authority is authorized hereunder to issue bonds for the purpose the refunded bonds were issued by the issuance of new bonds, whether the bonds to be refunded have or have not matured, and to issue bonds partly to refund bonds then outstanding and partly for any of its corporate purposes. Refunding bonds may be issued in such amount as the Authority may determine, but not exceeding an amount sufficient to refund the principal amount of the bonds or notes to be refunded, together with any unpaid interest accrued and to accrue thereon and any premiums, expenses and commissions incurred in connection with the issuance of such refunding bonds and any reserve established in connection with the issuance of such refunding bonds.  The refunding bonds may be sold and the proceeds applied to the purchase, redemption, or payment of the bonds to be refunded or exchanged for the bonds to be refunded, all as determined by the Authority.

C.  All bonds of the Authority shall be either (i) general obligations of the Authority, secured by any and all moneys and revenues of the Authority, (ii) special and limited obligations of the Authority, secured and payable solely out of the revenues and receipts derived pursuant to a financing agreement, or (iii) both general and special limited obligations, as may be designated in the proceedings of the Authority under which the bonds shall be authorized to be issued.

D.  The bonds shall be authorized by resolution or resolutions of the Authority, shall be dated such date or dates, and shall mature at such time or times as such resolution or resolutions may provide.  The bonds shall bear interest at such rate or rates or contain terms providing for the means of determining such rate or rates, including variations in such rates, but not to exceed an average interest rate of fourteen percent (14%) per annum if the interest thereon is not includable in the gross income of the recipients thereof for federal income tax purposes or eighteen percent (18%) per annum if the interest thereon is includable in the gross income of recipients thereof for federal income tax purposes, be in such denomination, be in such form, either coupon or registered, or in bookentry form, carry such registration privileges, be executed in such manner, be payable in such medium of payment, at such place or places, and be subject to such term of redemption, including redemptions prior to maturity, as such resolution or resolutions may provide.  The bonds of the Authority may be sold by the Authority at public or private sale, and at the price or prices as the Authority shall determine.

E.  Any resolution or resolutions authorizing any bonds or any issue thereof may contain provisions, which shall be a part of the contract or contracts with the owners thereof, as to:

1.  pledging all or any part of the revenues to secure the payment of the bonds or of any issue thereof, subject to such agreements with bondowners as may then exist;

2.  pledging all or any part of the assets of the Authority, including mortgages and obligations securing the same, to secure the payment of the bonds or of any issue of bonds, subject to the agreements with bondowners as may then exist;

3.  the use and disposition of the gross income from assets of any type owned by the Authority and payment of principal of assets of any type owned by the Authority;

4.  the setting aside of reserves or sinking funds and the regulations and disposition thereof;

5.  limitations on the purpose to which the proceeds of sale of bonds may be applied and pledging the proceeds to secure the payment of the bonds;

6.  limitations on the issuance of additional bonds; the terms upon which additional bonds may be issued and secured; and the refunding of outstanding or other bonds;

7.  the procedure, if any, by which the terms of any contract with bondowners may be amended or abrogated, the amount of bonds the owners of which must consent thereto, and the manner in which the consent may be given;

8.  vesting in a trustee such property, rights, powers and duties in trust as the Authority may determine, which may include any or all of the rights, powers, and duties of the trustee appointed by the bondowners pursuant to this act and limiting or abrogating the right of bondowners to appoint a trustee under this act or limiting the rights, powers, and duties of the trustee;

9.  defining the acts or omissions to act which shall constitute a default in the obligations and duties of the Authority to the owners of the bonds and providing for the rights and remedies of the owners of the bonds in the event of default, including as a matter of right the appointment of a receiver; but the rights and remedies shall not be inconsistent with the general laws of the state and other provisions of this act; and

10.  any other matters, of like or different character, which in any way affect the security or protection of the owners of the bonds.

F.  Any pledge made by the Authority shall be valid and binding from the time when the pledge is made.  The revenues, monies, or property so pledged and thereafter received by the Authority shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act, and the lien of any such pledge shall be valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the Authority, irrespective of trust indenture whether the parties have notice thereof.  Neither the resolution, trust indenture nor any other instrument by which a pledge is created need be recorded.

G.  Bonds of the Authority may be secured by resolution of the Authority or a trust indenture or similar document by and between the Authority and a corporate trustee, which may be any bank having the power of a trust company or any trust company within or without the state. Such resolution, trust indenture or similar document may contain such provisions for protecting and enforcing the rights and remedies of the bondowners as may be reasonable and proper and not in violation of law, including covenants setting forth the duties of the Authority in relation to the exercise of its corporate powers and the custody, safeguarding and application of all monies.  The Authority may provide by the resolution or trust indenture for the payment of the proceeds of the bonds and the revenues to the trustee under the trust indenture or other depository, and for the method of disbursement thereof, with such safeguards and restrictions as it may determine.

H.  Whether or not the bonds are of the form and character as to be negotiable instruments under the terms of the Uniform Commercial Code, the bonds are hereby made negotiable instruments within the meaning of and for all the purposes of the Uniform Commercial Code, subject only to the provisions of the bonds relating to registration.

I.  In the event that any of the members or officers of the Authority shall cease to be members or officers of the Authority prior to the delivery of any bonds or coupons signed by them, their signatures or facsimiles thereof shall nevertheless be valid and sufficient for all purposes, the same as if such members or officers had remained in office until such delivery.

J.  Neither the members of the Authority nor any other person executing the bonds issued under this act shall be subject to personal liability or accountability by reason of the issuance thereof.

K.  The Authority shall have the power to provide for the replacement of lost, destroyed, or mutilated bonds.

L.  Except as provided by the Credit Enhancement Reserve Fund Act, bonds issued pursuant to the provisions of this act shall never constitute an indebtedness of the state within the meaning of any state constitutional provision or statutory limitation, but such bonds shall be indebtedness payable solely from sources indicated on the bond documents, and shall never constitute nor give rise to a pecuniary liability of this state or unspecified funds of the Authority or a charge against the general credit of the state or taxing powers of the state, and such fact shall be plainly stated on the face of each bond.

Added by Laws 1987, c. 222, § 58, operative July 1, 1987.  

§745062.11.  Tax exemption for bonds.

The bonds authorized pursuant to the Oklahoma Development Finance Authority Act and the income therefrom, whether or not the interest on which is subject to federal income taxation, shall be exempt from all taxation in this state except for inheritance, estate or transfer taxes; all legal instruments and all security agreements and financing agreements made pursuant to the provisions of this act shall be exempt from Oklahoma stamp, mortgage and transfer taxes.

Added by Laws 1987, c. 222, § 59, operative July 1, 1987.  

§745062.12.  Insurance fund.

The Oklahoma Development Finance Authority is authorized to create an insurance fund consisting solely of funds deposited pursuant to Section 81 of this act.  Said insurance fund shall be held in the custody of one or more banks or trust companies having a principal place of business in this state.  The insurance fund shall be held as security for the holders of bonds issued pursuant to the provisions of this act.  It shall be governed by a trust agreement entered into by the Authority with the trustees.  The trust agreement may contain such provisions and limitations as to the investment and disbursement of monies in the insurance fund; the payment of expenses of the insurance fund; the appointment, resignation, and discharge of trustees; the delegation of enforcement and collection powers under the insurance agreements to the trustee; the duties of the trustees, amendments of the trust agreement, and such other lawful provisions and limitations as may be deemed appropriate by the Authority.  The trust agreement may pledge premiums and other monies which may be deposited in the insurance fund. Such pledge shall be valid and binding from the time when the pledge is made.  The premiums and other monies so pledged and thereafter received by the insurance fund or by the trustees in its behalf shall immediately be subject to the lien of such pledge and shall be valid and binding as against all parties having claims of any kind against the insurance fund, irrespective of whether such parties have notice thereof.  The Authority may also use the funds deposited pursuant to Section 81 of this act to purchase insurance which shall be pledged for the security of the holders of any bonds issued under this act or to enter into agreements with credit facilities in order to enhance the security of any holders of bonds. In any case in which insurance is pledged as security, whether obtained through the insurance funds authorized to be created pursuant to the provisions of this section or purchased with monies deposited pursuant to Section 81 of this act, any description of such insurance shall expressly indicate the limitation of the liability of the Authority and that neither the credit nor taxing power of this state or any political subdivision thereof shall be available to satisfy any obligations with respect thereto.

Added by Laws 1987, c. 222, § 60, operative July 1, 1987.  

§745062.13.  Investment in securities of Oklahoma Development Finance Authority.

The bonds, debentures, notes or other evidence of indebtedness of the Oklahoma Development Finance Authority are hereby made securities in which all public officers and bodies of this state, all municipalities and municipal subdivisions, all insurance companies and associations and other persons carrying on an insurance business, all banks, bankers, trust companies, savings banks, savings associations, including savings and loan associations and building and loan associations, investment companies and other persons carrying on a banking business, all administrators, guardians, executors, trustees and other fiduciaries, and all other persons whatsoever who are now or who may hereafter be authorized to invest in bonds or other obligations of this state may properly and legally invest funds including capital in their control or belonging to them.  Notwithstanding any other provision of law, the bonds, debentures, notes or other evidence of indebtedness of the Authority are also hereby made securities which may be deposited with and may be received by all public officers and bodies of this state and all municipalities and municipal subdivisions for any purpose for which the deposit of bonds or other obligations of this state are now or may hereafter be authorized.

Added by Laws 1987, c. 222, § 61, operative July 1, 1987.  

§745062.14.  Authority  State tax exemption.

The Oklahoma Development Finance Authority shall be and is hereby exempt from all franchise, corporate, business and other taxes of any nature levied by the state, provided that nothing herein shall be construed to exempt from such taxes any person receiving financing assistance from the Authority.

Added by Laws 1987, c. 222, § 62, operative July 1, 1987.  

§745062.15.  Pledge against limitation or alteration of rights of bond owners.

The State of Oklahoma does hereby pledge to and agree with the owners of any bonds issued under this act that the state will not limit or alter the rights hereby vested in the Authority to fulfill the terms of any agreements made with the owners thereof or in any way impair the rights and remedies of the owners until the bonds, together with the interest thereon, with interest on any unpaid installments of interest, and all costs and expenses in connection with any action or proceeding by or on behalf of the owners, are fully met and discharged.  The Authority is authorized to include this pledge and agreement of the state in any agreement with the owners of the bonds.

Added by Laws 1987, c. 222, § 63, operative July 1, 1987.  

§745062.16.  Covenant and consent to inclusion of interest on bonds in gross income.

The Authority may covenant and consent that the interest on certain of its bonds shall be includable under the Internal Revenue Code of 1986, as amended, or any subsequent corresponding internal revenue law of the United States in the gross income of the owners thereof to the same extent and in the same manner that the interest on bills, bonds, notes or other obligations of the United States is includable in the gross income of the owners thereof under said Internal Revenue Code or any such subsequent law.  Nothing contained herein shall be construed to covenant or consent or to authorize any covenant or consent to the application of any other provision of any other laws, federal or state, to the Authority or to its bonds or to the elimination or modification in any way of any other exemption, privilege or immunity thereof.

Added by Laws 1987, c. 222, § 64, operative July 1, 1987.  

§745062.17.  Construction of act.

This act shall be liberally construed.  Nothing contained herein is or shall be construed as a restriction or limitation upon any powers which the Authority might otherwise have under any other law of this state heretofore or hereafter enacted, and the provisions of this act are cumulative to such powers.  The provisions hereof do and shall be construed to provide a complete, additional and alternative method for the doing of the things authorized and shall be regarded as supplemental and additional to powers conferred by any other laws.

Added by Laws 1987, c. 222, § 65, operative July 1, 1987.  

§745062.18.  Bonds of Oklahoma Development Finance Authority not to compete with bonds of certain state agencies.

Notwithstanding any provision herein to the contrary, the Oklahoma Development Finance Authority shall not participate in financing programs nor issue bonds which compete with or are similar in nature to those obligations authorized for issuance by the Oklahoma Turnpike Authority, the Oklahoma Housing Finance Agency, the Oklahoma Water Resources Board, the Grand River Dam Authority, the Oklahoma Student Loan Authority and the Oklahoma Municipal Power Authority, without the prior consent of said authorities.

Added by Laws 1987, c. 222, § 66, operative July 1, 1987.  

§745062.19.  Annual report  Matters included  Compliance with G.A.O. auditing standards.

A.  Within sixty (60) days after the end of each fiscal year, the Oklahoma Development Finance Authority shall, in its annual report, account for:

1.  The manner in which the purpose as described in Section 5062.1 et seq. of this title has been carried out by the Oklahoma Development Finance Authority;

2.  A list of all bonds issued by the Authority and an itemized list of costs of issuance and an evaluation of the extent to which the purposes of the bond proceeds have been realized;

3.  A list of all loans made by the Authority and a description of projects financed;

4.  Documentation and estimates of jobs created and jobs preserved as a result of loans made by the Authority;

5.  Estimates of the multiplier effects on the local and/or statewide economy of loans made by the Authority;

6.  An analysis by size, sector and location of the targeting of loans by the Authority to agricultural enterprises, industrial enterprises, and to the state and any of its political subdivisions;

7.  A preliminary financial report showing the financial condition of the Authority at the end of the fiscal year; provided, an independent audit in accordance with generally accepted accounting principles shall be undertaken by an accounting firm or individual holding a permit to practice public accounting in this state and shall be submitted to the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, Oklahoma Futures and the Office of the State Auditor and Inspector in accordance with the requirements set forth for financial statement audits in Section 212A of this title.  The audit shall include:

a. a statement of the aggregate dollar amount, if any, of obligations which are backed by the Credit Enhancement Reserve Fund and which are more than ninety (90) days delinquent in their payments, and

b. a statement of payments made from the Credit Enhancement Reserve Fund, and

c. a statement on the loss rate percentage derived by dividing the outstanding principal balance of unpaid obligations of the Credit Enhancement Reserve Fund by the amount of payments made from the fund during the fiscal year; and

8.  Policy recommendations for programs which will enhance the economic growth and development of the state.

B.  All public accountants and certified public accountants, as a condition of being approved by the Oklahoma Development Finance Authority to perform the annual independent audit required pursuant to this section, shall comply with the most recent "Governmental Auditing Standards" of the Standards for Audit of Governmental Organizations, Programs, Activities, and Functions, issued by the United States General Accounting Office.  A copy of the peer review performed in accordance with the above standards shall be filed with the Authority.  Should the results of the peer review indicate that material deficiencies exist in the audit work performed by the reviewed auditing firm, the Oklahoma State Board of Public Accountancy shall so notify the Authority, which shall immediately remove the reviewed firm from any approved list of auditors maintained by the Authority for a period of at least two (2) years or until such time as the firm has demonstrated satisfactory correction of the deficiencies reported in the peer review.

Added by Laws 1987, c. 222, § 67, operative July 1, 1987.  Amended by Laws 1989, c. 374, § 7, emerg. eff. June 6, 1989; Laws 1996, c. 290, § 19, eff. July 1, 1996.

§745062.20.  Annual report  Publication  Distribution  Contents  Recommendations.

The Oklahoma Development Finance Authority shall publish and present an annual report to the Governor, the Speaker of the House of Representatives, the President Pro Tempore of the Senate, and Oklahoma Futures, setting forth in detail the operations and transactions conducted by it pursuant to this or to other legislation.  The annual report shall specifically account for the ways the need, mission and programs of the Authority described in Section 5062.1 et seq. of this title have been carried out, including but not limited to, a review of the results of the Authority's operations and transactions according to objective measures set forth in the Authority's business plan.  The report shall recommend specific changes in the activities of the Authority which are necessary to better carry out the need and mission described in Section 5062.1 et seq. of this title.  The Authority shall distribute its annual report by such means that will make it widely available to those innovative enterprises of special importance to the Oklahoma economy.

Added by Laws 1987, c. 222, § 68, operative July 1, 1987. Amended by Laws 1989, c. 374, § 8, emerg. eff. June 6, 1989.  

§745062.21.  Evaluation of Authority's performances.

Seven (7) years after the Oklahoma Development Finance Authority has begun operations, Oklahoma Futures shall review, analyze and evaluate the extent to which the Authority has achieved its statutory need and mission.  The evaluation shall include, but not be limited to, an examination of quantifiable results of the Authority's programs and plans.

Added by Laws 1987, c. 222, § 69, operative July 1, 1987.  

§745062.22.  Cooperation and services of other state officers and agencies.

All officers, departments, boards, agencies, divisions, and commissions of this state including, but not limited to, the Oklahoma Department of Commerce, the State Department of Health, the Department of Transportation, the Oklahoma Securities Commission and the Office of the Attorney General, shall cooperate with and render such services, as feasible, to the Oklahoma Development Finance Authority as may be within the area of their respective governmental functions as fixed or established by law, and as may be requested by the Authority.  The cost and expenses of any such services shall be met and provided by the Authority if such services are of the type for which a fee is usually charged.

Added by Laws 1987, c. 222, § 70, operative July 1, 1987.  

§74-5063.1.  Short title.

Sections 5063.1 through 5063.19, including Sections 5063.4a through 5063.4i, of this title shall be known and may be cited as the "Credit Enhancement Reserve Fund Act".

Added by Laws 1987, c. 222, § 71, operative July 1, 1987.  Amended by Laws 1993, c. 275, § 38, eff. July 1, 1994; Laws 1994, c. 285, § 6, eff. July 1, 1994.

§745063.2.  Definitions.

All terms used in the Credit Enhancement Reserve Fund Act shall have the meanings set forth in the Oklahoma Development Finance Authority Act, except as expressly referred to below.  In addition, as used in the Credit Enhancement Reserve Fund Act, the following words shall have the following meanings:

1.  "Act" means the Credit Enhancement Reserve Fund Act;

2.  "Bonds" means the Credit Enhancement Reserve Fund General Obligation Bonds authorized pursuant to Section 81 of this act; and

3.  "Fund" means the Credit Enhancement Reserve Fund.

Added by Laws 1987, c. 222, § 72, operative July 1, 1987.  

§74-5063.3.  Credit Enhancement Reserve Fund - Creation - Management, administration and utilization - Legislative intent.

A.  There is hereby created a fund to be known as the Credit Enhancement Reserve Fund.  The Fund shall be managed, administered and utilized by the Oklahoma Development Finance Authority in accordance with the provisions of this act.

B.  It is the intent of the Legislature that the Fund be self-supporting from insurance premiums charged to borrowers and that such charges be based on sound actuarial practices.  The proceeds of obligations to which credit enhancement is granted shall be used, except for unusual circumstances with exceptionally strong public benefits, for expansion capital to businesses and to make improvements or additions to real or personal property in the case of private or nonprofit use borrowers.  Use of the Fund for business buyouts or refinancing shall be minimal.  The Authority shall give reasonable priority to loans in rural areas.  In implementing the provisions of the Credit Enhancement Reserve Fund Act, the Authority shall generally limit the granting of credit enhancement by the Fund to high to moderate credit quality revenue bonds or other obligations issued by the Authority, except as provided in Section 5 of this act and Sections 5063.4b and 5063.4i of this title.  High to moderate credit quality means revenue bonds or other obligations of the Authority judged to be of low to moderate risk, meaning that an obligation to which credit enhancement is granted demonstrates a strong likelihood of repayment according to its terms.  Credit quality shall be determined by the Program Development and Credit Review Committee.  To the extent possible, the Fund shall be leveraged with private financial assistance for Fund-backed obligations for private or nonprofit borrowers.

Added by Laws 1987, c. 222, § 73, operative July 1, 1987.  Amended by Laws 1990, c. 342, § 7, emerg. eff. May 30, 1990; Laws 1993, c. 275, § 39, eff. July 1, 1994; Laws 1994, c. 285, § 7, eff. July 1, 1994.

§74-5063.4.  Fund - Use and expenditures - Credit enhancement - Rules and regulations for administration.

A.  The Fund shall be employed by the Oklahoma Development Finance Authority solely to secure the payment of principal, interest and premium, if any, on the revenue bonds and other financial obligations issued by the Authority pursuant to the Oklahoma Development Finance Authority Act, for the specific purpose of enhancing and supporting the credit of such revenue bonds and other financial obligations.  Such other financial obligations may include guarantees, loans, letters of credit or other similar obligations issued by the Authority pursuant to the Oklahoma Development Finance Authority Act, and may include commitments by the Authority for the Fund to secure loans made by private financial institutions.  Except for the financial obligation provided in Section 5 of this act and Section 5063.4i of this title, each such other financial obligation must be secured by a first lien security interest on real estate, equipment or inventory, and, except as provided in Section 5 of this act and Sections 5063.4i and 5063.4b of this title, the amount of the commitment by the Fund shall not exceed twenty-five percent (25%) of the value of the collateral securing each such financial transaction.  No portion of the monies or other assets deposited to the Fund shall be expended or otherwise used by the Authority in meeting its day-to-day operating expenses, in paying the cost of issuance of the Authority's revenue bonds or other financial obligations, or in supporting any other activity of the Authority not directly related to the Credit Enhancement Reserve Fund or to enhancing the credit of the Authority's revenue bonds and other financial obligations.

B.  The Authority shall administer the Fund prudently and according to good insurance practice.  Such administration will minimize the loss experience of the Fund, assure the future viability of the Fund, and assure the continuing availability of the proceeds of general obligation bonds issued pursuant to Section 5063.11 of this title as a credit enhancement vehicle for bond issues in this state on an ongoing basis.  Accordingly, the granting of credit enhancement by the Fund shall be based on principles of insurability generally applied in the credit enhancement/insurance industry.  The Authority is authorized and directed to adopt initial rules and regulations governing the credit enhancement activities and administration of the Fund, including rules and regulations dealing with the subjects of project feasibility, credit evaluation, collateral evaluation, reinsurance, maximum risk retention by the Fund, avoidance of adverse risk selection, and all other factors deemed relevant by the Authority to the decision whether the Fund should provide credit enhancement to a particular issue of debt, to what extent, on what terms, and for what premium rate.

C.  The initial rules and regulations for administration of the Fund promulgated by the Authority pursuant to subsection B of this section shall be subject to the approval of the Legislature in accordance with the requirements of the Oklahoma Administrative Procedures Act.

D.  No general obligation bonds may be issued pursuant to Section 5063.11 of this title except upon the approval by a vote of the people of the State of Oklahoma authorizing the Oklahoma Development Finance Authority to issue general obligation bonds for the purposes set forth in this act and unless and until initial rules and regulations governing administration of the Fund have been adopted by the Authority.  The Authority by resolution or other appropriate action of the Authority shall determine each issue of bonds or portions thereof with respect to which the benefits of the act shall inure.

E.  The Authority is authorized to amend the initial rules and regulations governing administration of the Fund, either by addition of new rules and regulations, or a change or repeal of existing rules and regulations; provided, that such amendment, whether by addition, change or repeal, shall be subject to the approval of the Legislature in accordance with the requirements of the Oklahoma Administrative Procedures Act.

F.  Except as provided in subparagraph b of paragraph 4 of subsection A of Section 695.8 of Title 62 of the Oklahoma Statutes, credit enhancement by the Fund for any bonds or other financial obligations issued by the Authority pursuant to law shall also require approval of the Executive Bond Oversight Commission and the Legislative Bond Oversight Commission as provided by law.

Added by Laws 1987, c. 222, § 74, operative July 1, 1987.  Amended by Laws 1989, c. 374, § 9, emerg. eff. June 6, 1989; Laws 1990, c. 342, § 8, emerg. eff. May 30, 1990; Laws 1993, c. 275, § 40, eff. July 1, 1994; Laws 1994, c. 285, § 8, eff. July 1, 1994.

§74-5063.4a.  Portfolio mix categories.

A.  Credit enhancement granted by the Oklahoma Development Finance Authority shall be categorized by use as portfolio mix categories as follows:

1.  Industrial, agribusiness, and other private activity;

2.  Infrastructure and other publicly owned facilities of governmental entities;

3.  Health care and other nonprofit-owned facilities; and

4.  The Quality Jobs Investment Program established pursuant to Section 5062.8a of this title.

B.  The balance, as determined by the total principal amount authorized pursuant to Section 5063.11 of this title less the amount of Credit Enhancement Reserve Fund applications approved by the Bond Oversight Commissions prior to June 9, 1990, less the amount allocated pursuant to Section 5063.4i of this title, shall be allocated to the portfolio mix categories as follows:

1.  Twenty-five percent (25%) of said balance shall be allocated to the industrial, agribusiness, and other private activity portfolio mix category; and

2.  Seventy-five percent (75%) of said balance shall be allocated to the infrastructure and other publicly owned facilities of governmental entities portfolio mix category, health care and other nonprofit-owned facilities portfolio mix category; provided, no more than twenty percent (20%) of this allocation may be used for health care and other nonprofit-owned facility projects.

C.  The Authority is authorized to credit enhance and secure the payment of principal, interest and premium, if any, on the revenue bonds and other financial obligations issued pursuant to the Oklahoma Development Finance Authority Act, the Local Development Financing Act and the Credit Enhancement Reserve Fund Act.  Except as used for the Small Business Credit Enhancement Program, the original principal amount of a credit enhancement commitment of the Authority granted to obligations in the industrial, agribusiness, and other private activity portfolio mix category shall not exceed Two Million Five Hundred Thousand Dollars ($2,500,000.00).

D.  To maximize use of the credit enhancement resource and to assure the viability of the Fund, the Fund shall have a balanced portfolio by loan size.  In the case of the industrial, agribusiness, and other private activity portfolio mix category, the Fund shall strive to achieve a cumulative average loan size of less than One Million Dollars ($1,000,000.00).

E.  Notwithstanding any other provisions of this act, any obligations issued pursuant to the Local Development Financing Act may be allocated to any of the portfolio mix categories pursuant to this section and Section 5063.4 of this title.

Added by Laws 1990, c. 342, § 9, emerg. eff. May 30, 1990.  Amended by Laws 1991, c. 123, § 2, emerg. eff. April 29, 1991; Laws 1993, c. 275, § 41, eff. July 1, 1994; Laws 1994, c. 285, § 9, eff. July 1, 1994; Laws 2004, c. 527, § 4, eff. July 1, 2004.

§74-5063.4b.  Small Business Credit Enhancement Program - Creation - Requirements.

There is hereby created the Small Business Credit Enhancement Program.  Twenty-five percent (25%) of the amount allocated to the industrial, agribusiness, and other private activity portfolio mix category pursuant to Section 9 of this act shall be used for the Small Business Credit Enhancement Program.  Credit enhancements provided pursuant to this section shall be subject to the following requirements:

1.  The original principal amount of credit enhancement on behalf of any borrower shall not exceed Two Hundred Fifty Thousand Dollars ($250,000.00);

2.  The Authority may insure no more than eighty-five percent (85%) of a loan, and at least twenty-five percent (25%) of the loan proceeds shall be used for improvements and not more than twenty-five percent (25%) of the loan proceeds may be used to refinance existing obligations of a borrower;

3.  The borrower:

a. in the case of an existing business, at the time application is made for financing assistance, employs twenty (20) persons or less or has gross sales not exceeding One Million Five Hundred Thousand Dollars ($1,500,000.00) per year, or

b. in the case of a new business, at the time application is made for financing assistance, projects that, during the first twelve (12) months of operation, it is reasonably expected will employ twenty (20) persons or less or have gross sales not exceeding One Million Five Hundred Thousand Dollars ($1,500,000.00);

4.  Borrowers shall be for-profit entities; and

5.  Repayment of loans of less than One Hundred Thousand Dollars ($100,000.00) may be secured by less than full collateral if the borrower or the principals of the borrower have good credit records as determined by the Authority.

Added by Laws 1990, c. 342, § 10, emerg. eff. May 30, 1990.

§74-5063.4c.  Security requirements.

Except as otherwise provided in Section 6 of this act, at the time of loan origination, the Oklahoma Development Finance Authority shall require such security from the applicant as it deems necessary in the circumstances of the insurance commitment.  Except for the infrastructure and other publicly owned facilities of governmental entities and Quality Jobs Investment Program portfolio mix categories, such security will include, but not be limited to:

1.  A first mortgage or coordinate first mortgage on real property, facilities or systems and fixtures located thereon; or

2.  A second mortgage on real property, facilities or systems and fixtures located thereon, provided the amount thereof may not exceed One Million Dollars ($1,000,000.00).

Added by Laws 1990, c. 342, § 11, emerg. eff. May 30, 1990.  Amended by Laws 1993, c. 275, § 42, eff. July 1, 1994; Laws 2002, c. 299, § 16, emerg. eff. May 23, 2002.

§74-5063.4d.  Limitations on principal amount of underlying loan.

A.  At the time of the Authority's issuance of credit enhancement on its revenue bonds or other obligations, the principal amount of the underlying loan for industrial, agribusiness, and other private activity portfolio mix category and health care and other nonprofit-owned facilities portfolio mix category financings, excluding infrastructure and other publicly owned facilities of government entities and Quality Jobs Investment Program portfolio mix category financings, shall be subject to the following limitations:

1.  For costs of financing or refinancing real property, including soft costs associated with the construction or development of the facilities and the insurance premium, the principal amount of the underlying loan will not exceed ninety percent (90%) of the lower of:

a. the actual certified and documented costs of such projects, or

b. the appraised (as built) fair market value of the real property as indicated in an independent appraisal by an appraiser acceptable to the Authority;

2.  For costs of financing the acquisition of personal property, machinery and equipment, the principal amount of the loan will not exceed seventy-five percent (75%) of the actual certified or documented installation cost, including the expense of delivery, refurbishing and installation.  The Authority may require an independent appraisal in connection with establishing a fair market value of such personal property and in such case, the principal amount of the loan may not exceed seventy-five percent (75%) of the lower of:

a. the fair market value of such personal property, or

b. its documented installed costs;

3.  The principal amount of a loan, or portions thereof, secured by accounts receivable, inventory, other current assets and other personal property will not exceed fifty percent (50%) of the value of the collateral as determined by the Oklahoma Development Finance Authority; and

4.  The principal amount of a loan, or portions thereof, secured by cash or cash equivalents or by eligible investment securities will not exceed one hundred percent (100%) of their market value.

B.  The maximum amount of an insurance commitment in enhancing a public sector entity financing or refinancing of facilities or program participation will not exceed one hundred percent (100%) of the entity's cost of financing, refinancing or program participation.

C.  The provisions of this section shall not apply to credit enhancement of less than One Hundred Thousand Dollars ($100,000.00) done pursuant to the Small Business Credit Enhancement Program.

D.  Limitations on the authorized amounts as established in this section and in Section 5063.4a of this title notwithstanding, the Authority may increase such amounts to provide a cash reserve or to secure a letter of credit or surety bond equal to six-months' principal and interest payments on its revenue bonds or other obligations which fund the underlying loan.

Added by Laws 1990, c. 342, § 12, emerg. eff. May 30, 1990.  Amended by Laws 1991, c. 123, § 3, emerg. eff. April 29, 1991; Laws 1993, c. 275, § 43, eff. July 1, 1994.

§74-5063.4e.  Coinsurers.

In addition to its other powers and except as applied to Section  5063.4d of this title, the Oklahoma Development Finance Authority may select a coinsurer to insure a percentage of each loan in a pool or in the portfolio of loans for which Credit Enhancement Reserve Fund-backed bonds have been or may be issued, provided that the Authority may also select a coinsurer to insure individual nonpooled loans should such loans be credit enhanced or supported by the Credit Enhancement Reserve Fund.  The Authority may contract to pay losses up to a stated limit and permitting principal reductions to be applied to reduce the liability of the coinsurer until its liability is extinguished.

Added by Laws 1990, c. 342, § 13, emerg. eff. May 30, 1990; Laws 1991, c. 305, § 3, emerg. eff. May 30, 1991.

§74-5063.4f.  Reserve fund.

The Oklahoma Development Finance Authority may grant credit enhancement to the funding of reserve fund backed loan guarantee programs in accordance with criteria and standards established by the Authority pursuant to rules.  Private financial institutions to which credit enhancements have been granted on behalf of loans made to borrowers may be required to partially secure a reserve fund.

Added by Laws 1990, c. 342, § 14, emerg. eff. May 30, 1990.

§74-5063.4g.  Provisions not applicable to certain Credit Enhancement Reserve Fund applications - Validation.

The provisions of Section 5062.6a, subsection B of Section 5063.3 and Sections 5063.4a through 5063.4f of this title shall not apply to Credit Enhancement Reserve Fund applications approved by the Bond Oversight Commissions prior to June 9, 1990, and such previously approved applications are confirmed, validated and ratified.

Added by Laws 1990, c. 342, § 15, emerg. eff. May 30, 1990; Laws 1991, c. 1, § 2, emerg. eff. Feb. 13, 1991.

§74-5063.4h.  Debt-service reserve.

To establish a debt-service reserve for those revenue bonds approved for Credit Enhancement Reserve Fund insurance by the Bond Oversight Commissions prior to June 9, 1990, the Oklahoma Development Finance Authority may increase the amounts of credit enhancement, the revenue bonds and the underlying loans in an amount sufficient to provide a cash reserve or to secure a letter of credit or surety bond equal to six-months' principal and interest on the revenue bonds, plus a rounding factor if necessary.  The total amount of any such increase shall not exceed ten percent (10%) of the revenue bond amount approved by the Commissions.

Added by Laws 1991, c. 123, § 4, emerg. eff. April 29, 1991.

§74-5063.4i.  Allocation to the Quality Jobs Investment Program.

Forty percent (40%) of the amount authorized pursuant to Section 5063.11 of this title is hereby allocated and may be used for the Quality Jobs Investment Program pursuant to Section 5 of this act.

Added by Laws 1993, c. 275, § 44, eff. July 1, 1994.  Amended by Laws 1994, c. 285, § 10, eff. July 1, 1994.

§745063.5.  Assets of Fund to be maintained in separate accounts.

The monies and other assets designated by the board of directors as being deposited to the Fund shall be maintained in accounts separated from all other monies and assets of the Oklahoma Development Finance Authority, and shall be accounted for separately in the financial statements prepared by or for the Authority.

Added by Laws 1987, c. 222, § 75, operative July 1, 1987.  

§745063.6.  Deposit of certain revenues into Fund.

The board of directors may annually designate for deposit to the Fund such portion of the fees and other revenues received by the Oklahoma Development Finance Authority as are not committed for support of programs or operating expenses of the Authority, and are not obligated or required to pay principal, interest and premium, if any, on the bonds issued by the Authority.

Added by Laws 1987, c. 222, § 76, operative July 1, 1987.  

§745063.7.  Deposit of certain gifts, grants, loans and other aid into Fund.

The board of directors shall have the power to designate for deposit to the Fund such portion as it deems appropriate of any gifts, grants, loans or other aid made available to the Oklahoma Development Finance Authority by the federal government, the state or any state agency, any person, corporation, foundation or other legal entity.

Added by Laws 1987, c. 222, § 77, operative July 1, 1987.  

§745063.8.  Deposit of general obligation bond proceeds into Fund.

The board of directors shall designate for deposit to the Credit Enhancement Reserve Fund the net proceeds of any general obligation bonds issued by the Oklahoma Development Finance Authority pursuant to Section 5063.11 of this title.  The board of directors shall by resolution or other appropriate action designate an issue of bonds authorized to be issued pursuant to the Oklahoma Development Finance Authority Act, Section 5062.1 et seq. of this title, as having the security afforded by the act.

Added by Laws 1987, c. 222, § 78, operative July 1, 1987. Amended by Laws 1989, c. 374, § 10, emerg. eff. June 6, 1989.  

§745063.9.  Investment interest and earnings as part of Fund.

All interest and other earnings generated by the investment of the monies and other assets of the Fund shall remain a part of the Fund, except for that portion of such interest and other earnings as may be payable to a private investment manager or investment advisor pursuant to this act.

Added by Laws 1987, c. 222, § 79, operative July 1, 1987.  

§745063.10.  Depositories for Fund assets.

The monies or other assets designated a part of the Fund shall be deposited in such account or accounts in such depository or depositories as the board of directors may direct by resolution.

Added by Laws 1987, c. 222, § 80, operative July 1, 1987.  

§74-5063.11.  General obligation bonds - Authority to issue - Written plan for issuance.

A.  The Oklahoma Development Finance Authority is hereby authorized to issue bonds of the State of Oklahoma, to be known as Credit Enhancement Reserve Fund General Obligation Bonds, in a total principal amount not to exceed One Hundred Million Dollars ($100,000,000.00) for the sole purpose of generating monies to be deposited to the Fund.

B.  The Oklahoma Development Finance Authority shall not issue Credit Enhancement Reserve Fund General Obligation Bonds unless and until the Authority has determined that there are insufficient monies in the Credit Enhancement Reserve Fund to cover imminent losses on revenue bonds or other obligations insured by the Fund.  In such instances, the Authority shall, prior to the issuance of any State of Oklahoma Credit Enhancement Reserve Fund General Obligation Bonds, submit to the Executive Bond Oversight Commission and Legislative Bond Oversight Commission a written plan describing the need for the issuance of the bonds.

Added by Laws 1987, c. 222, § 81, operative July 1, 1987.  Amended by Laws 1989, c. 374, § 11, emerg. eff. June 6, 1989; Laws 1990, c. 342, § 16, emerg. eff. May 30, 1990; Laws 1993, c. 275, § 45, eff. July 1, 1994.

§745063.12.  Term of bonds  Direct or private placement sale  Notice of sale  Bids and bidding.

The bonds shall have such terms and may be issued in accordance with the applicable provisions of the Oklahoma Development Finance Authority Act, Section 5062.1 et seq. of this title, except that the bonds shall mature no later than twentyfive (25) years after the date of such bonds and shall be sold in one or a combination of the following methods:

1.  By direct or private placement sale, provided bids are solicited from a register of no less than five (5) institutions maintained by the Authority, including entities of the State of Oklahoma having the legal ability to invest in general obligations of the State of Oklahoma.  The Authority shall award the sale, if any, to the bidder offering to purchase the bonds at a price which results in the lowest net interest cost to the state as determined by computing the total interest cost from date to maturity, and deducting therefrom any premium bid and adding thereto the amount of any discount bid; or

2.  By public sale on sealed bids, after notice published by the chairman of the board of directors of the Authority for at least one insertion not less than ten (10) days before the date of sale in a newspaper of general circulation in this state and in a financial newspaper or journal published in the Borough of Manhattan, City and State of New York.  The Authority shall award the sale, if any, to the bidder offering to purchase the bonds at a price which results in the lowest net interest cost to the state as determined by computing the total interest cost from date to maturity, and deducting therefrom any premium bid and adding thereto the amount of any discount bid.  The Authority shall reserve the right to reject all bids.  The notice shall contain such other terms and provisions as the Authority determines to be desirable.

Added by Laws 1987, c. 222, § 82, operative July 1, 1987. Amended by Laws 1989, c. 374, § 12, emerg. eff. June 6, 1989.  

§745063.13.  Resolution of board of directors  Trust indentures.

A.  All bonds issued hereunder shall be authorized by resolution of the board of directors.  Each such resolution shall contain such terms, covenants and conditions applicable to the bonds as are deemed desirable.  All bonds issued under this act shall be on a parity as to security.  The resolution of the board may provide for the execution and delivery by the Oklahoma Development Finance Authority of a trust indenture or trust indentures, with a bank or banks located within or without the state, containing any of the terms, covenants and conditions referred to above, which trust indenture or trust indentures shall be binding upon the state, and its officers and officials, to the extent set forth in this act.

B.  Any resolution or trust indenture adopted or executed under this section shall provide that power is reserved to apply to the payment of debt service on the bonds issued or secured thereunder all or any part of the Authority's revenues, from whatever source derived, and, to the extent of such revenues, to release from any requirement of such resolution or trust indenture other revenues and resources of the state including without limitation, the general revenue funds required to be appropriated pursuant to this act.

Added by Laws 1987, c. 222, § 83, operative July 1, 1987.  

§745063.14.  Signing bond  Seal  Delivery.

Each bond shall be signed by the facsimile signatures of the chairman of the board of directors of the Oklahoma Development Finance Authority and the Secretary of the board of the Authority, and shall have affixed or imprinted thereon the seal of the Authority.  Delivery of the bonds so executed shall be valid, notwithstanding any change in persons holding such offices occurring after the bonds have been executed.

Added by Laws 1987, c. 222, § 84, operative July 1, 1987.  

§745063.15.  Sale of bonds  Fiscal agents and legal counsel.

Bonds at any time sold under the provisions of Section 5063.1 et seq. of this title shall be sold in the manner prescribed in Section 5063.12 of this title.  The Authority may employ, if it determines that such action is desirable, fiscal agents and legal counsel and may pay them reasonable compensation out of the proceeds of the bonds subject to the review and approval of the State Bond Advisor in the same manner as provided for approval of similar expenditures made by the Authority.

Added by Laws 1987, c. 222, § 85, operative July 1, 1987. Amended by Laws 1989, c. 374, § 13, emerg. eff. June 6, 1989.  

§745063.16.  Bonds as general obilgation of state.

All bonds issued pursuant to the Credit Enhancement Reserve Fund Act shall be direct general obligations of the State of Oklahoma, for the payment for the debt service on which the full faith and credit of the State of Oklahoma are hereby irrevocably pledged so long as any such bonds are outstanding.  The bonds shall be payable from the General Revenue Fund of this state, and such amount of general revenue funds as is necessary is hereby pledged to the payment of debt service on the bonds, and shall be and remain pledged for such purposes.

Added by Laws 1987, c. 222, § 86, operative July 1, 1987.  

§745063.17.  Debt service  Appropriations  Reserve funds.

A.  Before the commencement of each legislative session, the Director of State Finance shall determine the estimated amount required during the next fiscal year for payment of the debt service on the bonds issued under this act, after making deductions therefrom of estimated monies to be available to the Fund from other sources therefor, and shall certify such estimated amount to the Governor.  The Governor shall thereupon promptly prepare and submit to the Legislature his request for an appropriation to meet the debt service on the bonds during such fiscal year.  The Legislature shall appropriate funds and provide for timely payment of the maturing debt service of bonds issued under this act.

B.  The Authority shall have the power to establish and maintain reserve funds to provide for payment of debt service on the bonds.  Monies credited to the reserve funds shall be used only for the purpose of paying debt service on the bonds, either at maturity or on redemption prior to maturity.  The reserve funds shall be held and used to ensure prompt payment of debt service on the bonds in such manner and pursuant to such conditions as may be specified by the Authority in the resolution or trust indenture authorizing or securing such bonds.  Monies in the reserve funds over and above the amounts necessary to ensure the prompt payment of debt service on the bonds, and the establishment and maintenance of a reserve fund, may be used for the redemption of bonds prior to maturity in the manner and in accordance with the provisions pertaining to redemption prior to maturity, as set forth in the resolution or trust indenture authorizing or securing such bonds.

Added by Laws 1987, c. 222, § 87, operative July 1, 1987.  

§745063.18.  State tax exemption.

The bonds authorized pursuant to this act, and interest thereon, shall be exempt from all taxation in this state except for inheritance, estate or transfer taxes; and all security agreements and financing agreements made pursuant to the provisions of this act shall be exempt from Oklahoma stamp and transfer taxes.

Added by Laws 1987, c. 222, § 88, operative July 1, 1987.  

§745063.19.  Investment in securities of Oklahoma Development Finance Authority.

The bonds issued pursuant to this act are hereby made securities in which all public officers and bodies of this state, all municipalities and municipal subdivisions, all insurance companies and associations and other persons carrying on an insurance business, all banks, bankers, trust companies, savings banks, savings associations, including savings and loan associations and building and loan associations, investment companies and other persons carrying on a banking business, all administrators, guardians, executors, trustees and other fiduciaries, and all other persons whatsoever who are now or who may hereafter be authorized to invest in bonds or other obligations of this state may properly and legally invest funds including capital in their control or belonging to them.  Notwithstanding any other provision of law, said bonds are also hereby made securities which may be deposited with and may be received by all public officers and bodies of this state and all municipalities and municipal subdivisions for any purpose for which the deposit of bonds or other obligations of this state are now or may hereafter be authorized.

Added by Laws 1987, c. 222, § 89, operative July 1, 1987.  

§74-5063.20.  Repealed by Laws 1991, c. 123, § 5, emerg. eff. April 29, 1991.

§74-5063.21.  Short title.

Sections 1 through 4 of this act shall be known and may be cited as the "Oklahoma Beginning Agricultural Producer Pool Act".

Added by Laws 1993, c. 233, § 1, eff. July 1, 1993.

§74-5063.22.  Beginning Agricultural Producer Pool Program.

The Oklahoma Development Finance Authority shall establish, develop criteria for and implement a program for participation in the Beginning Agricultural Producer Pool provided for in Section 695.24 of Title 62 of the Oklahoma Statutes.

Added by Laws 1993, c. 233, § 2, eff. July 1, 1993.

§74-5063.23.  Borrower eligibility criteria.

To be eligible for the Beginning Agricultural Producer Pool provided for in Section 695.24 of Title 62 of the Oklahoma Statutes, a borrower must:

1.  Be a resident of Oklahoma;

2.  Be, or one of the borrowers must be, the principal operator of the farm;

3.  Have sufficient education, training or experience in the type of farming for which the loan is desired;

4.  Have a total net worth, including total assets minus total liabilities of the borrower's spouse and dependents, of less than Two Hundred Thousand Dollars ($200,000.00) in 1992 and an amount in subsequent years determined by multiplying Two Hundred Thousand Dollars ($200,000.00) by the cumulative inflation rate in years subsequent to 1992 as determined by the United States All-Items Consumer Price Index;

5.  Demonstrate a need for the loan;

6.  Demonstrate an ability to repay the loan;

7.  Certify that the agricultural land to be purchased will be used by the borrower for agricultural purposes;

8.  Certify that farming will be the principal occupation of the borrower;

9.  Agree to participate in a farm management program approved by the Commissioner of Agriculture for at least the first five (5) years of the loan, if an approved program is available within forty-five (45) miles from the borrower's residence;

10.  Agree to file an approved soil and water conservation plan with the soil conservation service office in the county where the land is located;

11.  Agree that the original principal amount of funding pursuant to this act shall not exceed Two Hundred Fifty Thousand Dollars ($250,000.00); and

12.  Meet such other requirements as deemed necessary by the Oklahoma Development Finance Authority.

Added by Laws 1993, c. 233, § 3, eff. July 1, 1993.

§74-5063.24.  Publication and distribution of information - Interagency agreements.

A.  The Department of Agriculture shall provide for the publication and statewide distribution to the public of information regarding the Beginning Agricultural Producer Pool Program provided for in Section 2 of this act.

B.  The Department of Agriculture and the Oklahoma Development Finance Authority may enter into interagency agreements necessary to implement the provisions of the Oklahoma Beginning Agricultural Producer Pool Act.

Added by Laws 1993, c. 233, § 4, eff. July 1, 1993.

§745064.1.  Short title.

This act shall be known and may be cited as the "Inventors Assistance Act".

Added by Laws 1987, c. 121, § 1, eff. Nov. 1, 1987.  

§745064.2.   Legislative findings.

The Legislature recognizes the numerous benefits to the state's economic base from the establishment of businesses by inventors and the numerous benefits provided by inventors which include industrial diversification, broadening of the economic base, a great proliferation of jobs, providing financial benefits to our citizens through a greatly expanded tax base and new products and processes for the nation's consumers.

It is estimated that ninetyfive percent (95%) of all inventions are never authoritatively considered primarily because inventors are unfamiliar with the business environment or financial structure necessary for implementing their proposals.

The Legislature therefore recognizes a need to encourage and assist inventors and, at the same time, to position this state as a leader in advanced and high technology and to foster a climate for those leaders of this state, the nation and the world.

Added by Laws 1987, c. 121, § 2, eff. Nov. 1, 1987.  

§745064.3.  Definitions.

As used in Section 5064.1 et seq. of this title:

1.  "Commercial stage" means the point at which the product has advanced beyond the theoretical and prototype stage and is capable of being manufactured or reduced to practice commercially;

2.  "Inventor" means any person who perceives a new concept which may result in a product or patentable process;

3.  "Person" means any individual, sole proprietor, partnership or corporation;

4.  "Product" means any device, technique or process;

5.  "Proposal" means a plan provided by the inventor which includes technical and descriptive information on the concept; and

6.  "Royalties" means all things of value received by an inventor in connection with the licensing, rental or sale of a product patented, in patent pending, or trademarked pursuant to federal law.

Added by Laws 1987, c. 121, § 3, eff. Nov. 1, 1987. Amended by Laws 1988, c. 313, § 2, emerg. eff. July 1, 1988.  

§74-5064.4.  Program - Establishment - Purposes.

A.  The Oklahoma Department of Commerce shall establish a program to provide assistance to inventors.  On July 1, 1998, all powers, duties, responsibilities, files, and records relating to the inventors assistance program shall be transferred to the Oklahoma Center for the Advancement of Science and Technology (OCAST).

B.  The program shall be designed to:

1.  Attract inventors from throughout this state, the nation and other countries and encourage them to submit their proposals for review and evaluation;

2.  Provide assistance to inventors whose proposals are accepted which shall include patent searches, market analysis, product research and development, assistance in obtaining financing, business counseling, and any other assistance necessary to develop the product to the commercial stage which is not prohibited by the Constitution or laws of this state and further to protect both the state and the inventor, this section would require a provisional patent application or patent application be on file with the U.S. Patent Office before the state will review proposal;

3.  Provide assistance and training to inventors to enable the manufacturing, marketing and distribution of their product;

4.  Direct inventors to the Inventors Development Society, the Oklahoma Inventors Congress, or other similar organizations for assistance; and

5.  Improve the entrepreneurial skills of the state's workforce in order to foster innovation, product development and new high quality jobs.

Added by Laws 1987, c. 121, § 4, eff. Nov. 1, 1987.  Amended by Laws 1994, c. 322, § 28, emerg. eff. June 8, 1994; Laws 1998, c. 250, § 1, eff. July 1, 1998.

§74-5064.5.  Powers.

The Oklahoma Center for the Advancement of Science and Technology (OCAST) shall have the power to:

1.  Enter into contracts on a competitive bid basis with public and private agencies, institutions, organizations and individuals for the purpose of providing assistance to and services for inventors and entrepreneurs as required by Section 5064.1 et seq. of this title;

2.  Solicit the support and contributions of public and private agencies, organizations, institutions and individuals;

3.  Receive and administer funds for the purpose of operating the inventors and entrepreneurs program;

4.  Advertise and promote the inventors and entrepreneurs program;

5.  Collect reasonable fees based on actual direct and indirect costs for programmatic services extended to users of the inventors and entrepreneurs program; and

6.  Promulgate rules to implement the provisions of Section 5064.1 et seq. of this title.

Added by Laws 1987, c. 121, § 5, eff. Nov. 1, 1987.  Amended by Laws 1994, c. 322, § 29, emerg. eff. June 8, 1994; Laws 1998, c. 250, § 2, eff. July 1, 1998.

§74-5064.6.  Proposals - Contracts.

A.  The Oklahoma Center for the Advancement of Science and Technology (OCAST) shall charge a filing fee of One Hundred Dollars ($100.00) for each proposal submitted for review and evaluation.

B.  After review and evaluation, proposals shall be accepted or rejected for development under the inventors assistance program.  OCAST shall not charge for any services to aid in the development of the product.  Services may include patent searches, market analysis, product research and development, assistance in obtaining financing, including financing from private sources, and business counseling, if needed.  Provided, OCAST shall receive a fee not to exceed an amount equal to ten percent (10%) of all royalties from any product developed under the inventors assistance program for a period of ten (10) years from the first day after royalties are received from the commercial licensing, rental or sale of the product.

C.  Before services to aid in the development of the product shall commence, OCAST shall enter into a contract with the inventor which shall include, in addition to any other provisions consistent with the provisions of Section 5064.1 et seq. of this title:

1.  The services which OCAST will provide to aid in the development of the product;

2.  Any other services which OCAST will assist the inventor in obtaining and for which the inventor shall be liable pursuant to written consent;

3.  Authorization for OCAST to receive a fee not to exceed an amount equal to ten percent (10%) of all royalties from the product for a period of ten (10) years; and

4.  An agreement from the inventor that all products developed under the program shall be researched, developed, manufactured, packaged and distributed from this state to the extent that it is economically feasible.  Provided, the fee not to exceed an amount equal to ten percent (10%) of all royalties from products developed under this program wherever manufactured shall accrue to this state pursuant to the provisions of Section 5064.1 et seq. of this title.

Added by Laws 1987, c. 121, § 6, eff. Nov. 1, 1987.  Amended by Laws 1988, c. 313, § 3, emerg. eff. July 1, 1988; Laws 1998, c. 250, § 3, eff. July 1, 1998.

§74-5064.7.  Incentives for inventors and businesses.

A.  The following incentives shall be available to inventors for products developed and manufactured in this state and to instate manufacturers of said products; provided, to qualify for the incentives, the product shall be patented or have patent pending pursuant to federal law and shall be registered with the Oklahoma Center for the Advancement of Science and Technology (OCAST):

1.  Royalty earned by an inventor from a product developed and manufactured in this state shall be exempt from state income tax for a period of seven (7) years from January 1 of the first year in which such royalty is received as long as the manufacturer remains in the state; and

2.  An instate manufacturer of a product developed in this state by an inventor shall be eligible for a tax credit, as provided for in Section 2357.4 of Title 68 of the Oklahoma Statutes.  In addition such manufacturer may exclude from Oklahoma taxable income, or in the case of an individual, the Oklahoma adjusted gross income, sixtyfive percent (65%) of the cost of depreciable property purchased and utilized directly in manufacturing the product.  The maximum exclusion shall not exceed Five Hundred Thousand Dollars ($500,000.00).  If the exclusion allowed by this paragraph exceeds the Oklahoma taxable income, or in the case of an individual, the Oklahoma adjusted gross income, the amount of the exclusion that is in excess of such income may be carried forward as an exclusion against subsequent Oklahoma taxable income or in the case of an individual, subsequent Oklahoma adjusted gross income, for a period not to exceed four (4) years.  For the purposes of this paragraph, "depreciable property" means machinery, fixtures, equipment, buildings, or substantial improvements thereto, placed in service in this state during the taxable year.

B.  The Oklahoma Tax Commission, in conjunction with the Oklahoma Center for the Advancement of Science and Technology, shall promulgate rules to implement the provisions of this section.

Added by Laws 1987, c. 121, § 7, eff. Nov. 1, 1987.  Amended by Laws 1988, c. 313, § 4, emerg. eff. July 1, 1988; Laws 1998, c. 250, § 4, eff. July 1, 1998.

§74-5064.8.  Inventors and Entrepreneurs Program Fund.

A.  There is hereby created in the State Treasury a separate revolving fund for the Oklahoma Department of Commerce, to be designated the "Inventors and Entrepreneurs Program Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Department for implementation of this act from all funds appropriated thereto by the Legislature, all fees received pursuant to this act, any federal funds, gifts, private and matching funds and all contributions dedicated thereto from private, state, federal or whatever source.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Department for the purpose of implementing this act; however, monies expended for administrative costs shall not exceed five percent (5%) of the total amount of monies in said fund.  Any amount in said fund not directly needed to implement the provisions of this act shall go to the General Revenue Fund of the state.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

B.  On July 1, 1998, the Inventors and Entrepreneurs Program Fund shall be abolished and any unencumbered funds remaining in the Inventors and Entrepreneurs Program Fund shall be transferred to the credit of the OCAST Research Support Revolving Fund.  Any unexpended funds remaining in the Inventors and Entrepreneurs Program Fund after November 1, 1998, shall be transferred to the credit of the OCAST Research Support Revolving Fund.

Added by Laws 1987, c. 121, § 8, eff. Nov. 1, 1987.  Amended by Laws 1988, c. 313, § 5, emerg. eff. July 1, 1988; Laws 1994, c. 322, § 30, emerg. eff. June 8, 1994; Laws 1998, c. 250, § 5, eff. July 1, 1998.

§74-5064.9.  Reports.

The President of the Oklahoma Center for the Advancement of Science and Technology (OCAST) shall include in OCAST's annual report on program outcomes program information including:

1.  The number of seminars and training programs held for inventors and entrepreneurs and the number of persons attending such seminars and programs;

2.  The number of inventors and entrepreneurs assisted; and

3.  The number of jobs created and preserved as a result of this program.

Added by Laws 1987, c. 121, § 9, eff. Nov. 1, 1987.  Amended by Laws 1994, c. 322, § 31, emerg. eff. June 8, 1994; Laws 1998, c. 250, § 6, eff. July 1, 1998.

§74-5065.1.  Repealed by Laws 1993, c. 155, § 4, eff. July 1, 1993.

§74-5065.2.  Repealed by Laws 1993, c. 155, § 4, eff. July 1, 1993.

§74-5065.3.  Repealed by Laws 1993, c. 155, § 4, eff. July 1, 1993.

§74-5065.4.  Repealed by Laws 1993, c. 155, § 4, eff. July 1, 1993.

§74-5065.5.  Repealed by Laws 1993, c. 155, § 4, eff. July 1, 1993.

§74-5065.6.  Repealed by Laws 1993, c. 155, § 4, eff. July 1, 1993.

§74-5065.7.  Repealed by Laws 1993, c. 155, § 4, eff. July 1, 1993.

§74-5065.8.  Repealed by Laws 1993, c. 155, § 4, eff. July 1, 1993.

§74-5066.1.  Short title.

This act shall be known and may be cited as the "Product Development Act".

Added by Laws 1992, c. 246, § 2, emerg. eff. May 21, 1992.

§74-5066.2.  Definitions.

As used in this act:

1.  "Commercial stage" means the point at which the product has advanced beyond the theoretical and prototype stage and is capable of being manufactured or reduced to practice commercially;

2.  "Intellectual property" means a patent, patent pending, trademark, copyright or trade secret;

3.  "Licensor" means the person who owns the intellectual property rights of a product;

4.  "Licensee" means the person to whom the intellectual properties related to a product have been licensed or assigned;

5.  "Person" means any individual, sole proprietor, partnership or corporation;

6.  "Product" means any device, technique or process;

7.  "Royalties" means all things of value received by a licensor in connection with the licensing, rental or sale of a product patented, patent pending, copyrighted or trademarked pursuant to federal law; and

8.  "Strategic alliances" means a business agreement such as licensing, joint venture partnership, etc., between two or more persons.

Added by Laws 1992, c. 246, § 3, emerg. eff. May 21, 1992.

§74-5066.3.  Product development assistance program.

The Oklahoma Department of Commerce shall establish a program to provide product development assistance to Oklahoma manufacturing and marketing businesses.  The program shall:

1.  Identify, characterize and catalogue Oklahoma businesses interested in and committed to expansion by commercialization of new products utilizing their available capital, knowledge and human assets;

2.  Identify new product opportunities on a worldwide basis that match the current or expanding manufacturing and marketing base of Oklahoma businesses;

3.  Provide assistance to make new products available to Oklahoma businesses, which shall include assistance in forming strategic alliances, market and product analysis, business counseling and other assistance necessary to develop the products to the commercial stage; and

4.  Facilitate the formation of a product development investment fund.

Added by Laws 1992, c. 246, § 4, emerg. eff. May 21, 1992.

§74-5066.4.  Authority of Department of Commerce.

The Oklahoma Department of Commerce shall have the authority to:

1.  Enter into contracts with public and private agencies, institutions, organizations and individuals for the purpose of providing assistance to and services for Oklahoma manufacturing and marketing firms as required by this act.  Such contracts shall be exempt from the provisions of Section 85.1 et seq. of Title 74 of the Oklahoma Statutes;

2.  Solicit the support and contributions of public and private agencies, organizations, institutions and individuals;

3.  Receive and administer funds for the purpose of operating the product development program;

4.  Advertise and promote the product development program; and

5.  Promulgate rules and regulations to implement the provisions of this act.

Added by Laws 1992, c. 246, § 5, emerg. eff. May 21, 1992.

§74-5066.5.  Agreement to pay royalty fee.

The Oklahoma Department of Commerce may enter into an agreement with a potential licensor to receive a fee not to exceed an amount equal to twenty percent (20%) of all royalties from any product commercialized under the product development program for the life of the license.

Added by Laws 1992, c. 246, § 6, emerg. eff. May 21, 1992.

§74-5066.6.  Product Development Program Fund.

There is hereby created in the State Treasury a separate revolving fund for the Oklahoma Department of Commerce to be designated as the "Product Development Program Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations and shall consist of all monies received by the Department for implementation of the Product Development Act from all funds appropriated thereto by the Oklahoma State Legislature, all fees received pursuant to this act, any federal funds, gifts, private and matching funds and all contributions dedicated thereto from any source.  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Department for the purposes of this act.  Any amount in said fund not directly needed to implement the provisions of this act shall go to the General Revenue Fund of the state.  Expenditures from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 1992, c. 246, § 7, emerg. eff. May 21, 1992.

§74-5066.7.  Annual report.

The Director of the Oklahoma Department of Commerce shall submit an annual report on or before December 31 of each year to the Governor and the Oklahoma State Legislature which shall include but not be limited to:

1.  The number of products and description thereof of products developed to the commercial stage; and

2.  The total fees collected and donations received.

Added by Laws 1992, c. 246, § 8, emerg. eff. May 21, 1992.

§745071.  Short title.

This act shall be known and may be cited as the "Small Business Incubators Incentives Act".

Added by Laws 1987, c. 228, § 1, eff. Jan. 1, 1988.  

§745072.  Purpose of act.

The purpose of this act shall be to promote, encourage and advance economic prosperity and employment throughout the state by creating a more favorable tax climate for organizations which qualify as sponsors of small business incubators in this state and a more favorable business climate for tenants.

Added by Laws 1987, c. 228, § 2, eff. Jan. 1, 1988.  

§745073.  Definitions.

As used in this act:

1.  "Director" means the Director of the Oklahoma Department of Commerce;

2.  "Incubator" means a facility in which small units of space may be leased by a tenant and in which management maintains or provides access to business development services for use by tenants;  3.  "Sponsor" means an organization, with a registered office or other office or offices in this state, which enters into a written agreement with the Oklahoma Department of Commerce to establish, operate, and administer a small business incubator facility or to provide funding to an organization which operates such a facility, including municipalities, universities, industrial and commercial development authorities, redevelopment authorities, municipal authorities, or any private nonprofit or forprofit organization approved by the Oklahoma Department of Commerce; and

4.  "Tenant" means a sole proprietorship, business partnership, or corporation operating a business for profit and leasing or otherwise occupying space in an incubator.

Added by Laws 1987, c. 228, § 3, eff. Jan. 1, 1988.  

§745074.  Director  Powers and duties.

The Director of the Oklahoma Department of Commerce shall have the power and authority to carry out the following functions:

1.  Solicit support and participation of public and private agencies, universities and other institutions for the purposes of establishing and operating incubators;

2.  Assemble, publish and disseminate information to potential sponsors and tenants in this state regarding small business opportunities, techniques for forming incubators, sources of public and private assistance and sources of related financing;

3.  Organize, host and participate in seminars and other forums designed to disseminate information and technical assistance regarding incubators to small businesses in this state; 4.  Review and approve applications from potential sponsors which seek to qualify for exemption from state income tax pursuant to Sections 5 and 6 of this act; and

5.  Establish a volunteer, local advisory committee, consisting of representatives from business and administrators at educational institutions and other groups, to assist in the performance of these functions.

Added by Laws 1987, c. 228, § 4, eff. Jan. 1, 1988.  

§74-5075.  State income tax exemption for sponsor.

A.  Income earned by a sponsor from rental fees, service fees or any other form of payment for services provided to a tenant as an operator of an incubator, or for providing funding for such a facility, shall be exempt from state income tax for a period not to exceed ten (10) years from the date of the tenant's occupancy in an incubator.

B.  The Oklahoma Tax Commission shall promulgate rules and regulations to implement the provisions of this section.

Added by Laws 1987, c. 228, § 5, eff. Jan. 1, 1988.  Amended by Laws 1997, c. 230, § 1, eff. Nov. 1, 1997.

§745076.  Application to become sponsor.

A.  Any company or association proposing to qualify as a sponsor under this act shall file an application with the Director of the Oklahoma Department of Commerce for approval.  The application shall contain such information as the Director may by regulation require, and shall specifically acknowledge applicant's agreement to be bound by the conditions set forth in rules and regulations issued pursuant to this section.  Each applicant also shall demonstrate:

1.  That a facility exists that can be transformed into an incubator at a specified cost;

2.  The ability directly to provide, or arrange for the provision of, business development services for tenants of the incubator.  These services shall include, but not be limited to, financial consulting assistance, management and marketing assistance, and physical services;

3.  A potential for sustained use of the incubator facility by eligible tenants, through a market study and other means; and

4.  The ability to manage and operate the incubator facility in accordance with Section 7 of this act.

B.  In determining whether to approve an application for qualification as a sponsor, the Director shall consider:

1.  The ability of the sponsor to carry out the provisions of Section 7 of this act;

2.  The economic impact of the incubator on the community;

3.  The incubator's conformance with state, areawide and local economic development plans if such exist; and

4.  The location of the incubator, in order to encourage geographic distribution of incubators across the state.

Added by Laws 1987, c. 228, § 6, eff. Jan. 1, 1988.  

§745077.  Responsibilities and duties of sponsor  Notforprofit enterprises as tenants.

A.  A sponsor shall have the following responsibilities and duties in establishing and operating an incubator:

1.  Securing title to the facility or a lease with a sufficient length of term or other security, deemed sufficient by the Director of the Oklahoma Department of Commerce, to assure that the purposes of this act are carried out;

2.  Managing the physical development of the incubator facility, including the provision of common conference or meeting space;

3.  Furnishing and equipping the facility to provide business services to the tenants;

4.  Marketing the facility and securing eligible tenants;

5.  Providing financial consulting, marketing, and management assistance services or arranging for the provision of these services for tenants of the incubator, including assistance in accessing private financial markets;

6.  Setting rental and service fees; and

7.  Encouraging the sharing of ideas between tenants and otherwise aid the incubator and setting policy for the termination of occupancy of tenants so as to maximize the opportunity to succeed for the greatest number of tenants, consistent with the other criteria specified in this act.

B.  Notforprofit enterprises are not permitted as tenants in incubators assisted under this act except by specific consent of the Director in cases in which such tenancy would be exceptionally helpful in promoting the purposes of this act or such tenancy is essential to the economic viability of the incubator.

Added by Laws 1987, c. 228, § 7, eff. Jan. 1, 1988.  

§74-5078.  State income tax exemption for tenant.

A.  For a period of up to ten (10) years from the date of tenant's occupancy in an incubator, income earned by the tenant as a result of activities conducted as an occupant in an incubator, including income distributed to partners, shareholders of a corporation for which a Subchapter S election is in effect and to the members of a limited liability company, shall be exempt from state income tax.  The exemption provided by this section shall remain in effect for such activities by such tenant after the date the tenant is no longer an occupant in an incubator, but not to exceed a total duration of ten (10) years for any tenant.

B.  In order to qualify for the income tax exemption for the sixth through tenth year as authorized by this section, the tenant must make at least seventy-five percent (75%) of its gross sales constituting the principal business activity of the business to buyers located outside the state or to buyers whose principal business activity is conducted outside the state or to the federal government or to buyers located within the state if the product or service is resold to an out-of-state customer or buyer for ultimate use.  Provided, if a tenant does not achieve the qualifying percentage for any one of the above tax years, the tenant shall not be disqualified for subsequent tax years in which the qualifying percentage is achieved.

The Oklahoma Tax Commission shall promulgate rules to implement the provisions of this section.

Added by Laws 1987, c. 228, § 8, eff. Jan. 1, 1988.  Amended by Laws 1997, c. 230, § 2, eff. Nov. 1, 1997; Laws 2001, c. 187, § 1, eff. Nov. 1, 2001; Laws 2002, c. 486, § 11, eff. Jan. 1, 2003.

§745079.  Annual report to Legislature.

On or before December 31 of each year, the Director of the Oklahoma Department of Commerce shall provide a report to both the Speaker of the House of Representatives and the President Pro Tempore of the Senate which shall include, but not be limited to:

1.  The number of applications for incubators submitted;

2.  The number of applications for incubators approved;

3.  The number of incubators created under this act;

4.  The number of tenants occupying each incubator;

5.  The number of jobs provided by each incubator and tenants of each incubator; and

6.  The number of firms still operating in the state after ending their tenancy in incubators and the number of jobs they have provided.

Added by Laws 1987, c. 228, § 9, eff. Jan. 1, 1988.  

§74-5080.  Repealed by Laws 1992, c. 259, § 5, emerg. eff. May 22, 1992.

§74-5081.  Repealed by Laws 1992, c. 259, § 5, emerg. eff. May 22, 1992.

§74-5082.  Repealed by Laws 1992, c. 259, § 5, emerg. eff. May 22, 1992.

§74-5083.  Repealed by Laws 1992, c. 259, § 5, emerg. eff. May 22, 1992.

§74-5085.1.  Short title.

Sections 5085.1 through 5085.12 of this title and Section 37 of this act shall be known and may be cited as the "Oklahoma Capital Formation Act".

Added by Laws 1991, c. 188, § 1, eff. July 1, 1991.  Amended by Laws 1993, c. 275, § 36, eff. July 1, 1994.

§74-5085.2.  Statement of need - Oklahoma Capital Investment Board - Certification by Governor.

A.  Fundamental changes have occurred in national and international financial markets and in the financial markets of this state.  Oklahoma needs to increase the availability of equity and near-equity capital for emerging, expanding and restructuring enterprises in Oklahoma.  Such investments will create jobs for Oklahomans and will help to diversify the state's economic base.

B.  Any public trust organized pursuant to Title 60 of the Oklahoma Statutes for the benefit of the entire State of Oklahoma, which was created for multiple purposes shall become eligible to be the Oklahoma Capital Investment Board as provided by this act.  Such trust may amend its indenture to encompass the provisions of this act, and, upon certification by the Governor, such trust shall be known as and exercise all the powers of the Oklahoma Capital Investment Board as provided by law.  After the certification of the trust as the Oklahoma Capital Investment Board, the trustees of such trust shall become members of the Board of Directors of the Oklahoma Capital Investment Board as provided for in Section 6 of this act.  The Oklahoma Capital Investment Board is hereby constituted a public trust of the state and the exercise of the Board and powers conferred by this act shall be deemed and held to be the performance of essential public purposes.

Added by Laws 1991, c. 188, § 2, eff. July 1, 1991.

§74-5085.3.  Mission of Oklahoma Capital Investment Board.

The mission of the Oklahoma Capital Investment Board shall be to mobilize equity and near-equity capital for investment in such a manner that will result in significant potential to create jobs and diversify and stabilize the economy of the State of Oklahoma.

Added by Laws 1991, c. 188, § 3, eff. July 1, 1991.

§74-5085.4.  Business plan - Submission to Oklahoma Futures - Distribution of plan.

In order to fulfill its mission as mobilizer of equity and near-equity capital, the Oklahoma Capital Investment Board shall be subject to the policy development of Oklahoma Futures.  The Oklahoma Capital Investment Board shall develop an annual business plan for the Board.  The business plan shall be submitted to Oklahoma Futures for its approval and shall be included in the annual report of Oklahoma Futures.  Oklahoma Futures shall review the business plan and the annual report of the Board to ensure its consistency with the goals of the state's recurring five-year economic development plan.  The Board shall distribute copies of the business plan by such means that will make it widely available to communities, firms and local economic development managers throughout this state.  Oklahoma Futures shall not be involved in the day-to-day administration of the Board.

Added by Laws 1991, c. 188, § 4, eff. July 1, 1991.

§74-5085.5.  Definitions.

For purposes of this act:

1.  "Board" means the Oklahoma Capital Investment Board;

2.  "Director" means any person who is a member of the Board;

3.  "Equity capital" means capital invested in common or preferred stock, royalty rights, limited partnership interests, and any other securities or rights that evidence ownership in private businesses;

4.  "Investor group" means any individual, corporation, partnership or other lawfully organized entity;

5.  "Near-equity capital" means capital invested in unsecured, undersecured, subordinated or convertible loans or debt securities;

6.  "Persons" means individuals, corporations, partnerships or other lawfully organized entities;

7.  "Put option" means a right or privilege to sell an amount of a particular security or class of securities during a time period ending on the expiration date of the option; and

8.  "Tax credits" means tax credits available against liabilities imposed by Section 2355 of Title 68 of the Oklahoma Statutes or Section 624 of Title 36 of the Oklahoma Statutes and issued or transferred pursuant to this act.

a. The tax credits issued or transferred pursuant to the Oklahoma Capital Formation Act, upon election by the purchaser at utilization, will be treated as a payment or prepayment in lieu of tax imposed under Section 2355 of Title 68 of the Oklahoma Statutes;

b. Tax credits utilized pursuant to subparagraph a of this paragraph shall be treated and may be claimed as a payment of tax or estimated tax for the purposes of and as defined in Sections 2375, 2385.9 and 2385.13 of Title 68 of the Oklahoma Statutes.  Such tax credits are further subject to the system developed in conjunction with the Oklahoma Tax Commission as required by subsection C of Section 5085.7 of this title for registration and verification of the tax credits.  Taxpayers may rely upon the provisions of the registration and verification system developed pursuant to Section 5085.7 of this title.

Added by Laws 1991, c. 188, § 5, eff. July 1, 1991.  Amended by Laws 1995, c. 337, § 14, emerg. eff. June 9, 1995.

§74-5085.6.  Oklahoma Capital Investment Board - Directors - Appointment and terms - Meetings - Disclosure - Conflicts of interest - Bonds.

A.  The Oklahoma Capital Investment Board shall consist of five (5) Directors who shall be appointed by the Governor with the advice and consent of the Senate.  Directors shall be selected based upon outstanding knowledge and leadership and shall possess experience in the management of investments similar in nature and in value to those of the Board.  Directors shall serve for a term of office of five (5) years.  Provided, the initial Board of Directors of the Oklahoma Capital Investment Board shall consist of the trustees of the trust certified as the Oklahoma Capital Investment Board pursuant to the provisions of Section 2 of this act and the Directors of the Oklahoma Capital Investment Board who were appointed pursuant to the provisions of Section 5061.6 of Title 74 of the Oklahoma Statutes.  Positions on the Board of Directors held by trustees of such trust shall not be filled as the terms of office for said trustees expire.  Positions on the Board of Directors held by Directors of the Oklahoma Capital Investment Board shall be filled by the Governor with the advice and consent of the Senate as the terms of office for said Directors expire and in a manner to allow one member to rotate off of the Board each year.

B.  Annually, the Directors shall select a chairman to preside at their meetings.  The Directors shall have the authority to manage the Oklahoma Capital Investment Board in accordance with the requirements of this act and its trust indenture.

C.  The meetings of the Directors shall be subject to the Oklahoma Open Meeting Act, Section 301 et seq. of Title 25 of the Oklahoma Statutes, and the Oklahoma Open Records Act, Section 24A.1 et seq. of Title 51 of the Oklahoma Statutes.  Any information submitted to or compiled by the Oklahoma Capital Investment Board with respect to the marketing plans, financial statements, trade secrets, research concepts, methods or products, or any other proprietary information of persons, firms, associations, partnerships, agencies, corporations or other entities shall be confidential, except to the extent that the person or entity that provided such information or that is the subject of such information consents to disclosure.  Executive sessions may be held to discuss such materials if deemed necessary by the Directors.

D.  A conflict of interest shall be deemed to exist in any contractual relationship in which a Director of the Board, officer, agent or employee or any for-profit firm or corporation in which such Director, officer, agent or employee or any member of his or her immediate family is an officer, partner, or principal stockholder, shall directly or indirectly buy or sell goods or services to, or otherwise contract with the Board.  Upon a showing thereof, such Director, officer, agent or employee shall be subject to removal and such contract shall be deemed unenforceable as against the Board unless the records of the Board shall reflect that such Director, officer, agent or employee fully and publicly disclosed all such interest or interests, and unless such contractual relationship shall have been secured by competitive bidding following a public invitation to bid.  If a Director, officer, agent or employee holds such an interest, he or she shall refrain from any further official involvement in regard to such contract or agreement, from voting on any matter pertaining to such contract or agreement, and from communicating with other Board members, officers, agents or employees concerning said contract or agreement.

E.  Bonds issued by the Oklahoma Capital Investment Board shall be subject to oversight pursuant to the Oklahoma Bond Oversight and Reform Act, Section 695.1 et seq. of Title 62 of the Oklahoma Statutes.

Added by Laws 1991, c. 188, § 6, eff. July 1, 1991.

§74-5085.7.  Tax credits.

A.  The State of Oklahoma hereby issues tax credits that may be used to reduce the tax liability of a person, firm or corporation if such liability is imposed pursuant to the provisions of Section 2355 of Title 68 of the Oklahoma Statutes or Section 624 of Title 36 of the Oklahoma Statutes.  Provided, tax credits against liabilities imposed pursuant to Section 624 of Title 36 of the Oklahoma Statutes shall be limited to the amount that would otherwise be collected and allocated to the General Revenue Fund of the State Treasury.  Tax credits issued and transferred to the Oklahoma Development Finance Authority pursuant to the provisions of this section and prior to the effective date of this act are hereby transferred to the Oklahoma Capital Investment Board, created pursuant to the provisions of this act.  The total amount of tax credits that are hereby issued, or are transferred pursuant to this section to the Board, is One Hundred Million Dollars ($100,000,000.00).  The credits shall be freely transferable to subsequent transferees; however, no such tax credit shall be exercisable before July 1, 1990, nor after July 1, 2015.  The Board shall not transfer tax credits except in conjunction with a legitimate call on a Board guarantee.  The Board shall immediately notify the President Pro Tempore of the Senate, the Speaker of the House of Representatives and the Governor in writing if any tax credit is transferred in conjunction with a legitimate call on a Board guarantee; provided, the Board shall not be required to make such notification for transfers to subsequent transferees.

B.  The Oklahoma Capital Investment Board shall determine the amount of individual tax credits to be transferred pursuant to this act and may negotiate for sale of such credits subject only to the limits imposed by this act.  The Board shall ensure that no more than Twenty Million Dollars ($20,000,000.00) in tax credits has been transferred which may be claimed and used to reduce the tax otherwise imposed by Section 2355 of Title 68 of the Oklahoma Statutes or Section 624 of Title 36 of the Oklahoma Statutes for any one (1) fiscal year.  The Board shall clearly indicate upon the face of the certificate or other document transferring the tax credit the principal amount of the tax credit and the taxable year or years for which the credit may be claimed.  Any original sale of tax credits by the Board shall be by competitive bidding unless the sale is for full-face value.

C.  The Board shall, in conjunction with the Oklahoma Tax Commission, develop a system for registration of any tax credits issued or transferred pursuant to this act and a system of certificates that permits verification that any tax credit claimed upon a tax return is validly issued, properly taken in the year of claim and that any transfers of the tax credit are made in accordance with the requirements of this act.

D.  The Board may pay a fee in connection with the purchase by the Board of an option or other agreement pursuant to which a transfer of tax credits authorized by this act may be made.

E.  The Board shall have the power to make any contract, execute any document, charge reasonable fees for services rendered, perform any act or enter into any financial or other transaction necessary in order to carry out its mission.  The Board may employ such persons as may be required for the proper implementation of this act, the management of its assets, or the performance of any function authorized or required by this act or necessary for the accomplishment of any such function.  Such persons shall be selected by the Board based upon outstanding knowledge and leadership in the field for which the person performs services for the Board.

Added by Laws 1987, c. 222, § 46, operative July 1, 1987.  Amended by Laws 1990, c. 150, § 1; Laws 1991, c. 188, § 7, eff. July 1, 1991.  Renumbered from § 5061.7 of this title by Laws 1991, c. 188, § 16, eff. July 1, 1991.  Amended by Laws 1995, c. 337, § 15, emerg. eff. June 9, 1995; Laws 2000, c. 201, § 1, eff. Nov. 1, 1999.

§74-5085.8.  Investment of capital.

A.  The Board shall have the power to solicit proposals from qualified investor groups for investment of capital in accordance with the requirements of this act.  The Board shall establish criteria for selection of persons, firms, corporations or other entities deemed qualified to generate capital for investment in a manner which will result in a significant potential to create jobs and to diversify and stabilize the economy of the State of Oklahoma.  Such criteria shall include the applicant's level of experience, quality of management, investment philosophy and process, historical investment performance, probability of success in fund raising, the amount and timing of fees to be paid, and such other investment criteria as may be commonly used in professional portfolio management as the Board may deem appropriate.

B.  The Board shall have the power to extend a guarantee in the form of a put option or such other method as selected by the Board.  Guarantees may extend to principal plus interest over the term of the guarantee at a rate set by Board resolution from time to time.  Guarantees in whatever form negotiated by the Board may be made for any period of time, but no term shall expire prior to January 1, 1992.  The Board may charge a reasonable fee for costs and the fair compensation of risk associated with its guarantee.  The guarantees extended by the Board shall in no way be an obligation of the state and may be restricted to specific funds or assets of the Board; provided, however, proceeds from the sale of any tax credits shall be sufficient to meet contractual guarantee obligations of the Board.  The Board shall have the right to contract freely to protect the interests of the State of Oklahoma.  The Board shall ensure that at least Two Dollars ($2.00) will be invested in Oklahoma businesses or projects for every One Dollar ($1.00) of principal guaranteed by the Board.

C.  If the Board purchases any security pursuant to an agreement with an investor group, the Board shall acquire such securities and may invest, manage, transfer or dispose of such securities in accordance with policies for management of assets adopted by the Board.

D.  The Board shall have the power to make any contract, execute any document, perform any act or enter into any financial or other transaction necessary in order to carry out its mission.  The Board may employ such persons as may be required for the performance of any function authorized or required by this act or necessary for the accomplishment of any such function.  Such persons shall be selected based upon outstanding knowledge and leadership in the field for which the person performs services for the Board.  In selecting such persons, the Board shall hire persons who meet standards applicable to persons responsible for investment of equity and near-equity securities.

E.  In carrying out the mission of the Board as authorized in this act, neither the Board nor its officers, directors or employees shall be considered to be broker-dealers, agents, investment advisors or investment adviser representatives under Title 71 of the Oklahoma Statutes.  The tax credits issued or transferred pursuant to the Oklahoma Capital Formation Act and Section 2357.7 of Title 68 of the Oklahoma Statutes shall not be considered to be securities under Title 71 of the Oklahoma Statutes.

Added by Laws 1991, c. 188, § 8, eff. July 1, 1991.

§74-5085.9.  Annual report - Evaluation by Oklahoma Futures.

A.  The Board shall publish a separate annual report in conjunction with its annual audit and present the report to the Governor, the Legislature and Oklahoma Futures.  The annual report shall review the mission of the Board and programs implemented according to objective measures set forth in the Board's business plan.  The Board shall distribute this annual report by such means that will make it available to the financial community.

B.  Seven (7) years after the Board has begun operations, Oklahoma Futures shall review, analyze and evaluate the extent to which the Board has achieved its statutory mission.  The evaluation shall include, but not be limited to, an examination of quantified results of the Board's programs and plans.

Added by Laws 1991, c. 188, § 9, eff. July 1, 1991.

§74-5085.10.  Spending authority.

Notwithstanding other provisions of law, the Board or any entity designated by the Board, shall have the authority to expend funds to administer and operate the programs of the Oklahoma Capital Investment Board.

Added by Laws 1991, c. 188, § 10, eff. July 1, 1991.

§74-5085.11.  Oklahoma Capital Formation Revolving Fund.

A.  There is hereby created in the State Treasury a revolving fund for the Oklahoma Department of Commerce to be designated the "Oklahoma Capital Formation Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of appropriated funds.  All monies accruing to the credit of said fund are hereby appropriated and, as authorized by the Oklahoma Capital Investment Board, shall be expended by the Oklahoma Department of Commerce to perform the duties imposed upon the Oklahoma Capital Investment Board by law.  Expenditures of appropriated funds from said fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

B.  On the effective date of this act, any unencumbered funds remaining in the Oklahoma Capital Investment Board Revolving Fund shall be transferred to the credit of the Oklahoma Capital Formation Revolving Fund.  Any unexpended funds remaining in the Oklahoma Capital Investment Board Revolving Fund after November 15, 1991, shall be transferred to the credit of the Oklahoma Capital Formation Revolving Fund.

Added by Laws 1991, c. 188, § 11, eff. July 1, 1991.

§74-5085.12.  Construction of act.

Nothing contained herein is or shall be construed as a restriction or limitation upon any powers which the Oklahoma Capital Investment Board might otherwise have under any other law of this state heretofore or hereafter enacted and the provisions of this act are cumulative to such powers.  The provisions hereof do and shall be construed to provide a complete, additional and alternative method for the doing of the things authorized and shall be regarded as supplemental and additional to powers conferred by any other laws.

Added by Laws 1991, c. 188, § 12, eff. July 1, 1991.

§74-5085.14.  Adoption of rules, policies, procedures and regulatory and administrative measures - Enforceability of guarantees of Board unaffected.

A.  The Oklahoma Capital Investment Board may adopt rules, policies, procedures and regulatory and administrative measures necessary to administer the programs of the Board or convenient for the organization and internal management of Board responsibilities.

B.  The level, timing or degree of success of the Oklahoma Capital Investment Board in mobilizing or ensuring investment in Oklahoma businesses or projects, accomplishing other economic development objectives or achieving any other statutory duty shall not compromise, diminish, invalidate or affect the enforceability of any guarantee of the Board.

Added by Laws 1993, c. 275, § 37, eff. July 1, 1994.

§74-5086.1.  Repealed by Laws 1994, c. 285, § 11, eff. July 1, 1994.

§74-5086.2.  Repealed by Laws 1994, c. 285, § 11, eff. July 1, 1994.

§74-5086.3.  Repealed by Laws 1994, c. 285, § 11, eff. July 1, 1994.

§74-5086.4.  Repealed by Laws 1994, c. 285, § 11, eff. July 1, 1994.

§74-5086.5.  Repealed by Laws 1994, c. 285, § 11, eff. July 1, 1994.

§74-5086.6.  Repealed by Laws 1994, c. 285, § 11, eff. July 1, 1994.

§74-5086.7.  Repealed by Laws 1994, c. 285, § 11, eff. July 1, 1994.

§74-5086.8.  Repealed by Laws 1994, c. 285, § 11, eff. July 1, 1994.

§74-5086.9.  Repealed by Laws 1994, c. 285, § 11, eff. July 1, 1994.

§74-5086.10.  Repealed by Laws 1994, c. 285, § 11, eff. July 1, 1994.

§74-5100.  Repealed by Laws 1994, c. 100, § 6, eff. Sept. 1, 1994.

§74-5101.  Repealed by Laws 1994, c. 100, § 6, eff. Sept. 1, 1994.

§74-5102.  Short title - Purpose - Definitions.

A.  Sections 1 through 3 of this act shall be known and may be cited as the "Local Development Financing Act".

B.  The purpose of the Local Development Financing Act shall be to augment and enhance Section 6C of Article X of the Oklahoma Constitution by:

1.  Assisting communities, especially small and rural towns and counties, by providing a financial resource for economic development endeavors; and

2.  Creating marketability for tax apportionment financing vehicles under the Local Development Act.

C.  As used in this act:

1.  "Administrator" means an organization authorized by an issuer of a debt obligation pursuant to the Local Development Act, which undertakes the performance of the responsibilities contained in subsection C of Section 3 of this act; and

2.  "Pooling issuer" means any state or local public entity authorized to issue notes or bonds pursuant to the Oklahoma Statutes for economic development financing of state industries and public facilities.

Added by Laws 2004, c. 527, § 1, eff. July 1, 2004.

§74-5103.  Pooling issuer - Authority.

A pooling issuer is authorized to:

1.  Issue a debt obligation which pools issuances of other public entities authorized by a municipality, town or county to issue tax apportionment or tax increment bonds, notes, or other forms of obligations pursuant to the Local Development Act; and

2.  Attract private investment into the pooled issuance by either the direct investment of funds or by providing a guarantee for debt service for the purpose of implementing the Local Development Financing Act.

Added by Laws 2004, c. 527, § 2, eff. July 1, 2004.

§74-5104.  Pooling issuer - Primary activities.

A.  The primary activities of the pooling issuer may include:

1.  Credit enhancement of local community development financing pursuant to the Local Development Act;

2.  Utilization of private and public resources to improve the financing infrastructure for communities in this state;

3.  Acting as an investor, insurer and/or guarantor of business capital and debt financing on behalf of communities in this state;

4.  Marketing public obligations resulting from pooled obligations as provided in this act; and

5.  Serving as a purchaser of, and as a guarantor for, the obligations of designated public entities to be repaid in whole or in part with the apportioned tax increments pursuant to the Local Development Act.

B.  A pooling issuer may amend its indenture or authorizing document in accordance with the Oklahoma Statutes for purposes of issuing a pooled debt obligation pursuant to this act.

C.  The Administrator shall be responsible for establishing, implementing, and coordinating economic development and financing programs for communities pursuant to this act and proposing such financing programs to the pooling issuer.

D.  The pooling issuer may invest funds directly in its own pooled obligations pursuant to this section.

E.  The following persons and legal entities may legally invest funds belonging to them or within their control in any notes, bonds, or other obligations issued under the Local Development Financing Act:

1.  All banks, trust companies, bankers, savings banks and institutions, building and loan associations, savings and loan associations, investment companies and other persons carrying on a banking or investment business;

2.  All insurance companies, insurance associations, and other persons carrying on an insurance business; and

3.  All executors, administrators, curators, trustees, and other fiduciaries.

Such notes, bonds and other obligations shall be authorized security for all public deposits.

F.  The state and its political subdivisions are authorized to use any funds owned or controlled by them for the purchase of any such notes, bonds or other obligations issued under the Local Development Financing Act.

G.  Nothing contained in subsections E and F with regard to legal investments shall be construed as relieving any person of any duty of exercising reasonable care in selecting securities.

Added by Laws 2004, c. 527, § 3, eff. July 1, 2004.

§74-5201.  Short Title.

This act shall be known and may be cited as the "Oklahoma Space Industry Development Act".

Added by Laws 1999, c. 164, § 1, eff. July 1, 1999.

§74-5202.  Definitions.

As used in this act:

1.  "Authority" means the Oklahoma Space Industry Development Authority as authorized to be created by this act;

2.  "Board" or "Board of Directors" means the governing body of the Authority as authorized to be created in Section 7 of this act;

3.  "Bonds" means revenue bonds or other obligations issued by the Authority for the purpose of financing its projects;

4.  "Complementary activity" means any space business incubator, space tourism activity, or space-related research and development;

5.  "Cost" means all costs, fees, charges, expenses and amounts associated with the development of projects by the Authority;

6.  "Federal aid" means any funding or other financial assistance provided by the federal government to the Authority for its projects;

7.  "Financing agreement" means a lease, lease-purchase agreement, lease with option to purchase, sale or installment sale agreement, whether title passes in whole or in part at any time prior to, at, or after completion of the project, loan agreement, or other agreement forming the basis for the financing under this act, including any agreements, guarantees, or security instruments forming part of or related to providing assurance of payment of the obligations under such financing agreement;

8.  "Landing area" means the geographical area designated by the Authority within or outside any spaceport territory for or intended for the landing and surface maneuvering of any launch or other space vehicles;

9.  "Launch pad" means the launch pad or pads or spacecraft launch structure used by the spaceport or spaceport user for launching of space vehicles;

10.  "Payload" means all property and cargo to be transported aboard any vehicle launched or flown, by or from any spaceport;

11.  "Person" means individuals, children, firms, associations, joint ventures, partnerships, estates, trusts, business trusts, syndicates, fiduciaries, corporations, nations, federal, state or local governments, government or other agencies, subdivisions of the state, municipalities, counties, business entities, and all other groups or combinations;

12.  "Project" means any development, improvement, property, launch, utility, facility, system, works, road, sidewalk, enterprise, service or convenience sponsored or promoted by the Authority and conducted or performed from any spaceport territory;

13.  "Range" means the geographical area designated by the Authority or other appropriate body as the area for the launching of space vehicles, rockets, missiles, launch vehicles, shuttles, satellites and other vehicles designed to reach high altitudes, suborbital and orbital, or possessing space flight capacity;

14.  "Recovery" means the recovery of space vehicles and payload or payloads which have been launched from or by any spaceport;

15.  "Spaceport" means any area of land or water, or any man-made object or facility located therein, developed by the Authority under this act and located within spaceport territory, which area is intended for public use, or for the launching, takeoff and landing of spacecraft and aircraft; such areas may include appurtenant areas which are used or intended for public use, for spaceport buildings or other spaceport facilities or for rights-of-way, or any space facility, space propulsion system, or station of any kind possessing space flight capacity;

16.  "Spaceport system" means the organizations and infrastructure developed by the Authority for the development of spaceports and the commercialization of the space industry;

17.  "Spaceport territory" means the site of any launch pad and the geographic area contiguous thereto as determined by the Authority to be necessary to protect the area from health and safety hazards from the operation of the spaceport, but not to exceed the geographic areas designated in Section 13 of this act and as amended or changed in accordance with Section 20 of this act; and

18.  "Spaceport user" means any person that uses the facilities or services of any spaceport.  For the purposes of any exemptions or rights granted hereafter, the spaceport user shall be deemed a spaceport user only during the time period in which the person actually uses any spaceport, and such rights and exemptions shall be granted with respect to transactions relating to spaceport projects only.

Added by Laws 1999, c. 164, § 2, eff. July 1, 1999.

§74-5203.  Oklahoma Space Industry Development Authority - Purpose, function, and responsibility.

A.  Subject to the requirements of Section 6 of this act, there is hereby created for the purpose of establishing commercial and public-use spaceports a body corporate and politic, to be known as the "Oklahoma Space Industry Development Authority", and by that name the Authority may sue and be sued, and plead and be impleaded.  The Authority is hereby constituted an agency of this state, and the exercise by the Authority of the powers conferred by this act shall be deemed to be essential governmental functions of this state with all the attributes thereof.

B.  It shall be the purpose, function, and responsibility of the Authority to plan spaceport systems and projects in this state, to promote the development and improvement of space exploration and spaceport facilities, to stimulate the development of space commerce and education, including, but not limited to, the commercialization of the space industry and the development of space-related industries, to promote research and development related to space and space-related industry, and to promote tourism in connection with the foregoing.  In carrying out this duty and responsibility, the Authority may advise and cooperate with municipalities, counties, regional authorities, state agencies and organizations, appropriate federal agencies and organizations, and other interested persons and groups.

Added by Laws 1999, c. 164, § 3, eff. July 1, 1999.

§74-5204.  Powers of Authority.

Subject to the requirements of Section 5206 of this title, the Oklahoma Space Industry Development Authority is hereby granted, has and may exercise all powers necessary to carry out and effectuate its purpose, including, but not limited to, the following:

1.  Sue and be sued by its name in any court of competent jurisdiction;

2.  Adopt and use an official seal and alter the same at pleasure;

3.  Make and execute any and all contracts and other instruments necessary or convenient to the exercise of its powers;

4.  Issue revenue bonds or other obligations as authorized by the provisions of this act or any other law, or any combination of the foregoing, to pay all or part of the cost of the acquisition, construction, reconstruction, extension, repair, improvement, maintenance or operation of any project or combination of projects, to provide for any facility, service or other activity of the Authority and to provide for the retirement or refunding of any bonds or obligations of the Authority, or for any combination of the foregoing purposes;

5.  Acquire property, real, personal, intangible, tangible, or mixed, in fee simple or any lesser interest or estate, by purchase, gift, devise, or lease, on such terms and conditions as the Authority may deem necessary or desirable, and sell or otherwise dispose of the same and of any of the assets and properties of the Authority;

6.  Lease as lessor or lessee to or from any person, public or private, any facilities or property of any nature for the use of the Authority and to carry out any of the purposes of the Authority;

7.  Subject to the limitations prescribed by Section 5210 of this title, acquire by condemnation land and such interest therein as may be necessary in its determination for the purpose of establishing, constructing, maintaining, or operating a spaceport;

8.  Own, acquire, construct, develop, create, reconstruct, equip, operate, maintain, extend and improve launch pads, landing areas, ranges, payload assembly buildings, payload processing facilities, laboratories, space business incubators, launch vehicles, payloads, space flight hardware, facilities and equipment for the construction of payloads, space flight hardware, rockets, and other launch vehicles, and spaceport facilities and systems, including educational, recreational, cultural, and other space-related initiatives;

9.  Undertake a program of advertising to the public and promoting the businesses, facilities and attractions within any spaceport territory or at any spaceport and the projects of the Authority, and expend monies and undertake such activities to carry out such advertising and promotional programs as the Board from time to time may determine;

10.  Own, acquire, construct, reconstruct, equip, operate, maintain, extend and improve transportation facilities appropriate to meet the transportation requirements of the Authority and activities conducted within a spaceport territory;

11.  Own, acquire, construct, reconstruct, equip, operate, maintain, collect fees for services provided, extend and improve public utilities within a spaceport territory, including the following: electric power plants, transmission lines and related facilities, gas mains and facilities of any nature for the production or distribution of natural gas or hydrogen, telephone lines and related plants and systems, other communication systems of any nature including closed-circuit, cable television and computer systems, transmission lines and related facilities and plants, and facilities for the generation and transmission of power; and purchase electric power, natural gas and other sources of power for distribution within any spaceport territory;

12.  Own, acquire, construct, reconstruct, equip, operate, maintain, collect fees for services provided, extend and improve within any spaceport territory water systems and sewer systems or combined water and sewer systems; regulate the use of sewers, septic tanks and other sanitary structures and appliances, and the supply of water within any spaceport; and regulate the pretreatment of waste and sell or otherwise dispose of the effluent, sludge, or other by-products as a result of sewage treatment;

13.  Own, acquire, construct, reconstruct, equip, operate, maintain, collect fees for services provided, extend and improve waste collection, recycling and disposal systems, and to sell, recycle or otherwise dispose of any effluent, residue or other by-products of such systems consistent with the laws of the state;

14.  Adopt a plan of reclamation, and own, acquire, construct, reconstruct, equip, operate, maintain, extend and improve canals, ditches, drains, dikes, levees, pumps, plants and pumping systems and other works for drainage purposes, and irrigation works, machinery and plants;

15.  Own, acquire, construct, reconstruct, equip, operate, maintain, extend and improve water and flood control facilities and regulate the supply and level of water within any spaceport territory which may include diverting waters from one area or body of water to another, regulating, controlling or restricting the development and use of natural and artificial streams or bodies of water, lakes or ponds, and taking all measures determined by the Authority to be necessary or desirable to prevent or alleviate land erosion; provided, in exercising any of its powers pertaining to the use, control, or diversion of water, the Authority is subject to all permitting requirements and procedures of the Oklahoma Water Resources Board as set forth by law or by rule of the Board; and

16.  Own, acquire, construct, reconstruct, equip, operate, maintain, collect fees for services provided, extend and improve public safety facilities for any spaceport, including police station, police vehicles, medical facilities, fire stations, water mains and plugs, fire trucks and other vehicles and equipment; hire employees, police officers and fire fighters; and undertake such works and construct such facilities determined by the Board to be necessary or desirable to promote and ensure public safety within any spaceport territory.

Added by Laws 1999, c. 164, § 4, eff. July 1, 1999.  Amended by Laws 2000, c. 145, § 1, emerg. eff. April 28, 2000.

§74-5205.  Acts to which Authority subject - Exceptions - Sovereign immunity - Exemption from Public Competitive Bidding Act.

A.  The Oklahoma Space Industry Development Authority shall be subject to the Administrative Procedures Act, the Oklahoma Open Meeting Act, and the Oklahoma Open Records Act, except as provided in subsection B of this section.

B.  Any information held by the Authority which is a trade secret, as defined in the Uniform Trade Secrets Act, including trade secrets of the Authority, any spaceport user, or the space industry, is confidential and may not be disclosed.  If the Authority determines that any information requested by the public will reveal a trade secret, it shall, in writing, inform the person making the request of that determination.  The Authority may hold executive sessions, as authorized by the Oklahoma Open Meeting Act, when trade secrets are discussed, and any minutes, recordings, or notes from such sessions are deemed confidential.

C.  The Authority shall be granted sovereign immunity in the same manner as this state, and the liability of the Authority and its members, officers, and employees shall be governed by the provisions of the Governmental Tort Claims Act.  Provided, however, the Authority is authorized to carry liability insurance to the extent authorized by the Authority.

D.  The Authority shall be exempt from the provisions of the Public Competitive Bidding Act of 1974 and the competitive bidding provisions set forth in Section 85.7 of Title 74 of the Oklahoma Statutes.

Added by Laws 1999, c. 164, § 5, eff. July 1, 1999.

§74-5206.  Activation of Authority - Communication and transmission of recommendation - Memorialization of motion.

A.  The Secretary of Commerce and the Secretary of Transportation shall monitor events and transactions related to the need for the State of Oklahoma to activate the Oklahoma Space Industry Development Authority.  Upon a determination and a recommendation by both the Secretary of Commerce and the Secretary of Transportation that because of a site location announcement, actual investment by a business enterprise, acquisition of real or personal property, or both, having relevance for the establishment of a spaceport or in preparation for the establishment of a spaceport within the State of Oklahoma, the Secretaries shall communicate their recommendation to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate.  The communication shall be in writing and shall be transmitted by certified mail, with return receipt requested.

B.  Upon receipt of the recommendation for activation of the Authority, the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate shall confer and if two of such officials agree to do so, pursuant to a record of their affirmative vote, then the officials who vote affirmatively to do so shall cause the motion for the activation of the Authority to be memorialized and to be transmitted by certified mail, with return receipt requested, to the Secretary of Commerce and to the Secretary of Transportation.  For purposes of the action authorized by this subsection, the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate shall not be subject to the Oklahoma Open Meeting Act and may confer by telephonic or other electronic means.

C.  Upon memorialization of the motion to activate the Authority, the Governor shall take such actions as are required, including, but not limited to, the appointment of members of the Board of Directors, in order to create and activate the Authority.  After the appointments of its board of directors, the Authority shall be legally authorized to perform all actions and exercise all powers provided to the Authority and to the Board of Directors by law.

Added by Laws 1999, c. 164, § 6, eff. July 1, 1999.

§74-5207.  Board of Directors of Authority - Appointments - Terms - Vacancies - Removal - Chair - Meetings - Chief executive officer - Bond.

A.  Subject to the provisions of Section 5206 of this title, there is created within the Oklahoma Space Industry Development Authority, the Board of Directors consisting of seven (7) members who shall be appointed by the Governor with advice and consent of the Senate.  All but one Board member shall be a resident of this state.  Each member appointed to serve on the Board shall have experience in the aerospace or commercial space industry or finance, or have other significant relevant experience.

B.  1.  Initially, the Governor shall appoint four members for terms of three (3) years and three members for terms of four (4) years.  Thereafter, each member shall serve a term of four (4) years or until a successor is appointed and qualified.  Initial appointments shall be made no later than sixty (60) days after the motion to activate the Authority is memorialized pursuant to Section 5206 of this title.  The term of the members shall commence on the date of appointment and terminate on June 30 of the year of the end of the term.  No member shall serve on the Board for more than two full four-year terms.  Except as prohibited by the Oklahoma Constitution, appointment to the Board shall not preclude any member from holding any other private or public position.

2.  An appointment to fill a vacancy in a member's office shall be made by the Governor for the unexpired portion of the term of the member who vacated that office.

C.  The Governor has the authority to remove from the Board any member in the manner and for cause as defined by the laws of this state and applicable to situations which may arise before the Board.  Unless excused by the chair of the Board, a member's absence from two or more consecutive Board meetings creates a vacancy in the office to which the member was appointed.

D.  The Governor shall designate a member to serve as chair of the Board who, if such person remains a member of the Board, shall serve as chair until the expiration of the three-year terms of those members of the Board appointed initially for three-year terms.  Each subsequent chair shall be selected by the Board members and shall serve a two-year term.

E.  1.  The Board shall hold its initial meeting no later than twenty (20) days after the members have been appointed.  Meetings shall be held quarterly or more frequently at the call of the chair.  A majority of the members on the Board shall constitute a quorum, and a majority vote of the members present is necessary for any action taken by the Board.

2.  At its initial meeting, or as soon thereafter as is practicable, the Board shall appoint a chief executive officer who shall serve at the pleasure of the Board.  A member of the Board may be appointed as chief executive officer; provided, if a member of the Board is so appointed, the member shall resign as a member of the Board and the vacancy shall be filled as provided in paragraph 2 of subsection B of this section.  The Board shall determine the annual salary of the chief executive officer.

F.  Each member shall be reimbursed for expenses incurred in the performance of duties on behalf of the Authority as provided for in the State Travel Reimbursement Act.

G.  Before the issuance of any revenue bonds under the provisions of the Oklahoma Space Industry Development Act, each member of the Board shall execute a surety bond in the penal sum of Twenty-five Thousand Dollars ($25,000.00).  Each such surety bond shall be conditioned upon the faithful performance of the duties of the member's office, shall be executed by a surety company authorized to transact business in the State of Oklahoma as surety, and shall be filed in the office of the Secretary of State.

Added by Laws 1999, c. 164, § 7, eff. July 1, 1999.  Amended by Laws 2000, c. 145, § 2, emerg. eff. April 28, 2000; Laws 2001, c. 266, § 4, emerg. eff. May 24, 2001 and Laws 2001, c. 420, § 4, emerg. eff. June 5, 2001.

NOTE:  Laws 2001, c. 266, § 4, emerg. eff. May 24, 2001 and Laws 2001, c. 420, § 4, emerg. eff. June 5, 2001 are duplicate amendments, and therefore are not listed as separate versions.

§74-5208.  Treasurer of Authority - Disbursement of funds - Depositories - Investments.

A.  1.  The Board of Directors shall employ a person who is a resident of this state or may appoint a member of the Board to serve as treasurer of the Oklahoma Space Industry Development Authority, who shall have charge of the funds of the Authority.  Such funds shall be disbursed only upon the order of or pursuant to the resolution of the Board by warrant, check, authorization or automatic deposit signed or authorized by the treasurer or the treasurer's representative or by such other persons as may be authorized by the Board.  The Board may give the treasurer such other powers and duties as the Board may deem appropriate, and shall establish the treasurer's compensation.

2.  The Board shall require the treasurer to give a bond in a minimum amount of One Hundred Thousand Dollars ($100,000.00) and on such terms and with such sureties as may be deemed satisfactory to the Board to secure the performance by the treasurer of the powers and duties of the treasurer.  Provided, if the treasurer is a member of the Board, such bond shall be in lieu of the bond required under Section 5207 of this title.

3.  The Board shall audit or have audited the books of the treasurer at least once a year.

B.  The Board is authorized to select as depositories in which the funds of the Board and of the Authority shall be deposited any bank or other financial institution organized under the laws of this state or under the laws of the United States, doing business in this state, upon such terms and conditions as to the payment of interest by such depository upon the funds so deposited as the Board may deem just and reasonable.

C.  The Board of Directors may in its discretion invest funds of the Authority in the following:

1.  Direct obligations of or obligations guaranteed by the United States of America or for the payment of the principal and interest of which the faith and credit of the United States is pledged;

2.  Bonds or notes issued by any of the following federal agencies:  Bank for Cooperatives; Federal Intermediate Credit Banks; Federal Home Loan Bank System; Federal Land Banks; or the Federal National Mortgage Association, including debentures or participating certificates issued by such Association;

3.  Public housing bonds issued by public housing authorities and secured by a pledge or annual contributions under an annual contribution contract or contracts with the United States of America;

4.  Bonds or other interest-bearing obligations of any county, district, city or town located in this state for which the full faith and credit of such political subdivision is pledged; or

5.  Any investment authorized for insurers under the Oklahoma Insurance Code.

Added by Laws 1999, c. 164, § 8, eff. July 1, 1999.  Amended by Laws 2000, c. 286, § 1, emerg. eff. June 5, 2000.

§74-5208.1.  Oklahoma Space Industry Development Authority Revolving Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Space Industry Development Authority to be designated the "Oklahoma Space Industry Development Authority Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Authority from private and public donations, contributions, gifts, and any monies appropriated or directed by law to be deposited thereto.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Authority for the purpose of creating, operating, staffing and maintaining an Oklahoma Space Industry Development Authority, and any legitimate expenses of the Authority.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 2000, c. 400, § 7, eff. July 1, 2000.

§74-5208.2.  Oklahoma Spaceport Management Fund.

There is hereby created in the State Treasury a revolving fund for the Oklahoma Space Industry Development Authority to be designated as the "Oklahoma Spaceport Management Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received from any lease agreement or contract for management services of such facilities as may be owned by or occupied by the Oklahoma Space Industry Development Authority.  All monies accruing to the fund are hereby appropriated and shall be budgeted and expended by the Oklahoma Space Industry Development Authority to pay the expenses incurred as a result of the lease agreement or contract and for the purpose of making lease payments on bond indebtedness or any other outstanding obligation on spaceport facilities.

Added by Laws 2002, c. 44, § 1, emerg. eff. April 11, 2002.

§74-5209.  Powers and duties of board.

The powers and duties of the Oklahoma Space Industry Development Authority shall be exercised by and through the Board of Directors.  Without limiting the generality of the foregoing, the Board shall have the power and authority to:

1.  Adopt, amend, and repeal rules to carry out the purposes of this act;

2.  Maintain an office at such place or places as it may designate;

3.  Execute all contracts and other documents necessary or desirable to carry out the purposes of this act; provided, the Board may authorize one or more members of the Board to execute contracts and other documents on behalf of the Board or the Authority;

4.  Hire employees, including a person to act as the chief executive officer of the Authority with such duties and power as the Board may prescribe and designate up to five positions as being in the unclassified service;

5.  Contract for the services of attorneys, underwriters or other financial professionals for the purpose of issuing and marketing the obligations of the Authority, notwithstanding the provisions of Section 18c of Title 74 of the Oklahoma Statutes;

6.  Engage in the planning for spaceports and the spaceport system;

7.  Execute intergovernmental agreements as provided by law;

8.  Establish reserve funds for future Board operations;

9.  Enter into agreements for the joint development of properties necessary or convenient for, the operation of spaceports and the spaceport system; and

10.  Prepare an annual report of operations.

Added by Laws 1999, c. 164, § 9, eff. July 1, 1999.  Amended by Laws 2000, c. 286, § 2, emerg. eff. June 5, 2000.

§74-5210.  Acquisition of property by purchase or condemnation - Compensation.

A.  The Oklahoma Space Industry Development Authority is hereby authorized and empowered to acquire by purchase, or condemnation, real property and such interest therein as may be necessary in its determination for the purpose of establishing, constructing, maintaining, or operating a spaceport and spaceport facilities, upon such terms and at such price as may be considered by the Authority to be reasonable and can be agreed upon between the Authority and the owner of the land.  The Authority shall take title to the property in its name; provided, however, such right and title shall be limited to the surface rights only and shall not include oil or other mineral rights.

B.  1.  The Authority shall not acquire through the power of condemnation a total area of real property for purposes of establishing a spaceport in excess of twenty-five (25) acres.  The total acreage acquired by the Authority pursuant to the power of condemnation shall be specifically identified in the records of the Authority and the Authority shall maintain a separate record of such acreage open to public inspection.  If the Authority attempts to acquire an area through the power of condemnation that would exceed the acreage limit provided by this subsection, the proceeding for such acquisition shall be subject to an order for a temporary injunction which may be issued ex parte.  Upon an adequate showing of proof, the Authority shall be permanently enjoined from acquiring real property pursuant to its powers of condemnation if the acquisition would exceed the maximum acreage authorized by this subsection.

2.  Except in instances where there are nonresident owners, unknown heirs, imperfect titles, and owners whose whereabouts cannot be ascertained with reasonable diligence, the Oklahoma Space Industry Development Authority shall give the owner an opportunity to sell the necessary real property or interests therein to the Authority before exercising the power of condemnation.

3.  In cases where the Authority exercises the power of condemnation, the Authority shall be governed by the provisions of Section 1708 of Title 69 of the Oklahoma Statutes.

C.  The Authority shall pay compensation to the owners of any and all real property located wholly or partially within the area required to be evacuated for the launch of any vehicle from spaceport territory for the economic value of the lost value of the beneficial use of such property as a result of requirements imposed by the Authority pursuant to its powers for the establishment, maintenance and safe operation of a spaceport or spaceport facility.  Compensation for such economic value shall be made according to the requirements of Section 24 of Article 2 of the Constitution of the State of Oklahoma.

Added by Laws 1999, c. 164, § 10, eff. July 1, 1999.

§74-5211.  Exclusive power and authority to regulate operation, maintenance, and safety of spaceports and space launches.

This act specifically provides that the Oklahoma Space Industry Development Authority shall have exclusive power and authority to regulate the operation, maintenance, and safety of spaceports and space launches in this state.  No other person shall participate in or exercise control in the management and operation of any spaceport and space launch, except when officially requested by the Authority.

Added by Laws 1999, c. 164, § 11, eff. July 1, 1999.

§74-5212.  Spaceport Territory Advisory Council - Membership - Appointments - Duties.

A.  There is hereby created the Spaceport Territory Advisory Council.  The Council shall consist of one person appointed by the board of county commissioners of each county located within the area defined pursuant to the provisions of Section 13 of this act or other provisions of this act as a spaceport territory and one person appointed by the municipal governing body of any incorporated city or town located partially or wholly within the area defined pursuant to the provisions of Section 13 of this act or other provisions of this act as a spaceport territory.

B.  The members appointed to the Advisory Council shall serve at the pleasure of the appointing authority.  The members of the Advisory Council shall serve without compensation, but may be reimbursed for the actual expenses of attending the meetings of the Advisory Council or the meetings of the Oklahoma Space Industry Development Authority.

C.  The Advisory Council may assist and advise the Authority with respect to the establishment, operation and maintenance of facilities within a spaceport territory.  The Advisory Council may make recommendations to the Authority regarding land use and development, municipal annexation, zoning, construction, safety regulations and such other matters as may be relevant to land use and development within a spaceport territory.

D.  No appointments to the Advisory Council shall be made until appointments to the Board of Directors of the Authority have been made as otherwise provided in this act.

Added by Laws 1999, c. 164, § 12, eff. July 1, 1999.

§74-5213.  Geographic area for establishment of spaceport territory.

Without limiting the ability of the Oklahoma Space Industry Development Authority to establish other space industry facilities, the following property shall constitute the geographic area within which the spaceport territory is to be established:

Certain real property located in Washita County within and above all of the following areas:

Sections 1 through 36 inclusive, Township 10 North, Range 19 West, I.M.

Sections 1 through 36 inclusive, Township 10 North, Range 20 West, I.M.

Sections 1 through 18 inclusive, Township 9 North, Range 19 West, I.M.

Sections 1 through 18 inclusive, Township 9 North, Range 20 West, I.M.

Sections 7 through 36 inclusive, Township 11 North, Range 19 West, I.M.

Sections 7 through 36 inclusive, Township 11 North, Range 20 West, I.M.

Added by Laws 1999, c. 164, § 13, eff. July 1, 1999.

§74-5214.  Power to operate projects within boundaries of municipality or other political subdivision or without boundaries of geographic limits of spaceport territory - Cooperative agreements.

A.  The Oklahoma Space Industry Development Authority shall have the power to construct, develop, create, maintain and operate its projects within the geographic limits of any spaceport territory, including any portions of any spaceport territory located inside the boundaries of any municipality or other political subdivision, and to offer, supply and furnish the facilities and services provided for in this act to, and to collect fees, rentals and other charges from persons, public or private, within the geographic limits of any spaceport territory and for the use of the Authority itself.  Provided, the Authority may not exercise any of the powers authorized under paragraphs 11 through 16 of Section 5204 of this title within any portion of a spaceport territory located within the boundaries of a municipality unless the Authority has entered into a cooperative agreement with the governing body of the municipality regarding the terms and conditions under which services or facilities may be offered or provided.

B.  The Authority shall have the power to construct, maintain, and operate space industry facilities outside the boundaries of the geographic limits of any spaceport territory, and to offer, supply and furnish the facilities and services provided for in this act that are necessary to the construction, maintenance, or operation of such space industry facilities, and to collect fees, rental and other charges from, persons, firms, corporations, municipalities, counties, political subdivisions and other public or private agencies or bodies for the use of such space industry facilities or services located or provided outside of the geographic limits of any spaceport territory; provided, however, the Authority shall not construct any space industry facility or offer, furnish or supply facilities and services outside of the territorial limits of any spaceport territory except upon the consent, approval, or certification of any regulatory agency or governing body of this state or of any municipality or other political subdivision thereof whose consent, approval, or certification may be required by law.

C.  The Authority shall have the power to negotiate with governing bodies of political subdivisions located outside of the geographic limits of any spaceport territory agreements for the overflight or recovery of space vehicles or payloads and related materials, debris or parts.

Added by Laws 1999, c. 164, § 14, eff. July 1, 1999.  Amended by Laws 2000, c. 145, § 3, emerg. eff. April 28, 2000.

§74-5215.  Roads - Acquisition, construction, sale or lease - Lease-purchase agreements.

A.  Within the geographic limits of any spaceport territory, the Oklahoma Space Industry Development Authority has the right to acquire, through purchase or interagency agreement, or as otherwise provided in law, and to construct, control, and maintain roads deemed necessary by the Authority and connections thereto and extensions thereof now or hereafter acquired, constructed, or maintained in accordance with established highway safety standards; provided that, in the event a road being addressed by the Authority is owned by another agency or jurisdiction, the Authority, prior to proceeding with the proposed project or work activity, shall have either coordinated the desired work with the owning agency or jurisdiction or shall have successfully executed an interagency agreement with the owning agency or jurisdiction.

B.  The Board shall have the authority to sell or lease any road to the Department of Transportation, enter into lease-purchase agreements with respect thereto with the Department of Transportation, and contract with the same for the construction or maintenance of any road, on such terms and conditions as the Board and the Department of Transportation may agree.  The Department of Transportation is hereby authorized to purchase or lease any road from the Authority, enter lease-purchase agreements with respect to the same and construct or maintain any road within any spaceport territory pursuant to such agreement with the Board.

Added by Laws 1999, c. 164, § 15, eff. July 1, 1999.

§74-5216.  Cooperation and assistance of departments, agencies, and political subdivisions of state - Cooperative agreements - Joint undertakings.

A.  The departments, agencies, and political subdivisions of this state are authorized to aid and cooperate with the Oklahoma Space Industry Development Authority in carrying out any of the purposes and projects of the Authority and to enter into cooperative agreements with the Authority for such purposes.  These agreements may include the furnishing by the Authority to the departments, agencies, or political subdivisions of this state of any of the facilities and services of the Authority.  These agreements also may include the furnishing by the departments, agencies, or political subdivisions of this state to the Authority and to persons within a spaceport territory of facilities and services of the type that the Authority is authorized to furnish or undertake.  Such cooperative agreements may provide for the furnishing by any county, municipality, or other political subdivision of this state of fire and police protection for the Authority and persons and property within the Authority.

B.  Without limitation of the foregoing, the Authority may undertake and finance any of the projects of the Authority, in whole or in part, jointly with any municipality or municipalities, or in any other manner combine the projects of the Authority with the projects of such municipality or municipalities.

Added by Laws 1999, c. 164, § 16, eff. July 1, 1999.

§74-5217.  Exclusive jurisdiction and power within spaceport territory - Limitations on power.

A.  1.  Except as provided in subsection B of this section, consistent with the laws of this state, and any other laws of this state to the contrary notwithstanding, the jurisdiction and powers of the Board of Directors of the Oklahoma Space Industry Development Authority within the spaceport territory with respect to the matters provided for in this act pertaining to the operation, maintenance, and safety of the spaceport shall be exclusive of any and all codes, ordinances, requirements, plans or other regulations of the boards of county commissioners or of any other agency or authority of any county or municipality in this state.  All land, properties and activities within any spaceport territory pertaining to the operation, maintenance, and safety of the spaceport, shall be exempt from any and all such codes, ordinances, requirements, plans and regulations, and any and all requirements for building and construction permits and licenses pertaining to the same, promulgated by the boards of county commissioners of any county or city councils of any municipality in the state; provided, however, nothing herein shall exempt any general contractor, electrical contractor, builder, owner-builder or specialty contractor from the provisions and requirements of any laws of this state, with respect to examination and licensing, or from any of the fees and bonds required of such contractors or builders by law.

2.  The Board may by appropriate rule provide that any spaceport territory, or such areas or parts thereof pertaining to the operation, maintenance, and safety of the spaceport, as the Board may designate from time to time, shall, for such time or times as the Board may determine, remain or become subject to such county or municipal zoning, building and safety codes and regulations, and regulations and controls with respect to subdivisions and plats and the vacating thereof, or any of them, as the Board may determine.

3.  The jurisdiction and powers of the Board provided for herein shall within the spaceport territory also be exclusive of any law now or hereafter enacted providing for land use regulation, zoning or building codes by this state or any agency or authority of the state, and the provisions of any such law shall not be applicable within the territorial limits of any spaceport territory.

4.  The Board may exercise the powers granted to it in this subsection within the city limits of any municipality now or hereafter organized or existing within the limits of any spaceport territory.

B.  The Authority may not exercise any of its powers as provided for in this section in a manner that prohibits:

1.  The agricultural use of land that is located within a spaceport territory and is not acquired by the Authority under the provisions of Section 5210 of this title;

2.  Continued access to water for such land for agricultural purposes; and

3.  The erection of outbuildings and personal residences on such land, subject to population density restrictions prescribed by the Authority to comply with federal requirements for licensure as a spaceport; provided, erection of personal residences shall not include subdivision of land for the purpose of constructing and selling houses.

Added by Laws 1999, c. 164, § 17, eff. July 1, 1999.  Amended by Laws 2000, c. 145, § 4, emerg. eff. April 28, 2000.

§74-5218.  Comprehensive general plans - Safety or sanitary codes - Building permits - Other restrictions.

A.  Except as provided in subsection B of this section, for the purposes of operating, maintaining, and providing for the safety of a spaceport the Board of Directors of the Oklahoma Space Industry Development Authority shall have the power within any spaceport territory to:

1.  Adopt, and from time to time review, amend, supplement or repeal, a comprehensive general plan for the physical development of the area within any spaceport territory in accordance with the objectives and purposes of this act;

2.  Adopt, and from time to time review, amend, supplement or repeal, codes regulating the following matter within any spaceport territory:  building safety, elevators, escalators and similar devices, the prevention of fire hazards, plumbing and electrical installations, the operation and development of missile ranges, launch pads, payload procession and assembly facilities, the operation of amusement and recreation installations, parks and facilities, water supply wells and drainage wells, and such other safety or sanitary codes as the Board may determine to be necessary or desirable;

3.  Prohibit within any spaceport territory the construction, alteration, repair, removal or demolition, or the commencement of the construction, alteration, repair except for emergency repairs, removal or demolition, of any building or structure, including but not limited to, public utility poles, lines, pipes and facilities, without first obtaining a permit from the Board or such other officer or agency as the Board may designate, and to prescribe the procedure with respect to the obtaining of such permit; and

4.  Provide for the manner in which such comprehensive general plans, codes, regulations and restrictions shall be determined, established and enforced, and from time to time amended, supplemented, charged or repealed within the spaceport territory, as the Board may determine.

B.  The Authority may not exercise any of its powers as provided for in this section in a manner that prohibits:

1.  The agricultural use of land that is located within a spaceport territory and is not acquired by the Authority under the provisions of Section 5210 of this title;

2.  Continued access to water for such land for agricultural purposes; and

3.  The erection of outbuildings and personal residences on such land, subject to population density restrictions prescribed by the Authority to comply with federal requirements for licensure as a spaceport; provided, erection of personal residences shall not include subdivision of land for the purpose of constructing and selling houses.

Added by Laws 1999, c. 164, § 18, eff. July 1, 1999.   

§74-5219.  Additional powers of Board - Limitation on powers.

A.  Except as provided in subsection B of this section, in addition to other powers granted by this act, for the purposes of operating, maintaining, and providing for the safety of a spaceport the Board of Directors shall have the power within any spaceport territory to:

1.  Regulate, restrict and determine the location, height, number of stories, size, cubic contents, area and design, and the erection, construction, reconstruction, alteration and repair of buildings and other structures for space industry development, trade, industry, commerce, residence and other purposes, and the materials used in the construction thereof; the number, location, height, size, appearance and use of billboards and all other advertising signs, banners, handbills and devices; the percentage and portion of lots and land that may be occupied or built on; setback lines; the density of population; the use of buildings, structures, land and water for trade, industries, commerce, and residences and any and all other purposes; the location, size and plan of spaceport facilities, launch pads, ranges, payload assembly and processing facilities, parks and recreational areas, commercial and industrial facilities, public and private utilities, traffic, parking facilities and drainage and water control facilities; and to appoint inspectors;

2.  Adopt rules to prohibit or control the pollution of air and water, and to require certain location and placement of electrical power, telephone and other utility lines, cables, pipes and ducts; and

3.  Divide any spaceport territory into zones or districts of such number, shape and area as the Board may deem best suited to carry out the purposes of this act, and within and for each such district adopt rules and restrictions as provided for in this section.

B.  The Authority may not exercise any of its powers as provided for in this section in a manner that prohibits:

1.  The agricultural use of land that is located within a spaceport territory and is not acquired by the Authority under the provisions of Section 5210 of this title;

2.  Continued access to water for such land for agricultural purposes; and

3.  The erection of outbuildings and personal residences on such land, subject to population density restrictions prescribed by the Authority to comply with federal requirements for licensure as a spaceport; provided, erection of personal residences shall not include subdivision of land for the purpose of constructing and selling houses.

Added by Laws 1999, c. 164, § 19, eff. July 1, 1999.  Amended by Laws 2000, c. 145, § 6, emerg. eff. April 28, 2000.

§74-5220.  Striking out or correcting of land description - Enlarging and contracting of geographical limits - Application for exclusion - Consent to organization or establishment of municipality - Furnishing of telephone service and electric power to annexed areas.

A.  The Board of Directors may at any time strike out or correct the description of any land within or claimed to be within the boundary lines of any spaceport territory upon the consent and writing of the owners of all the land that would be included or excluded from the boundary lines of any spaceport territory or otherwise affected by the taking of such action, and of the owners of not less than the majority in acreage of all lands within any spaceport territory.  The Board may enlarge the geographical limits of any spaceport territory to include lands not then within any spaceport territory as follows:

1.  Upon the written consent of the simple majority of owners of all the land to be included in any spaceport territory and of not less than a majority in acreage of all the land then within any spaceport territory; or

2.  By resolution of the Board approved at a special election called for such purpose, by vote of a majority of landowners residing within the area to be annexed and a majority of landowners residing within any spaceport territory.

B.  The Board may contract the geographical limits of any spaceport territory so as to exclude from any spaceport territory any land then within any spaceport territory as follows:

1.  Upon the written consent of the owners of all of the land to be so excluded and of the owners of not less than a majority in acreage of all the land within any spaceport territory;

2.  By resolution of the Board approved at a special election called for any purposes, by vote of a majority of landowners residing within the area to be excluded and a majority of the landowners residing within any spaceport territory; or

3.  By resolution of the Board approved by the owners of not less than a majority in acreage of the land within the spaceport territory.

C.  Any owner of land located within the geographic limits of the spaceport territory may within ninety (90) days following the initial meeting of the Board, held pursuant to Section 7 of this act, make written application to the Board to have the land of such owner excluded from the boundaries of the spaceport territory.  In the event such written application is made within the ninety-day period, the Board shall exclude the land of such owner from the spaceport territory and revise the boundaries thereof accordingly.  No application under this subsection shall be granted if made later than the ninety-day period.

D.  Nothing in this section shall permit the annexation or exclusion of lands contrary to the terms, covenants or conditions of any of the bonds or obligations of the Oklahoma Space Industry Development Authority, or in any manner that would impair the security of the holders of any bonds or other obligations of the Authority.

E.  No town, city or other municipality having any of the powers of the Authority, or any like powers, shall hereafter be organized or established by any proceedings under the general laws of this state if upon such organization or establishment the territorial limits of such municipality would lie wholly or partly within the geographic boundaries of any spaceport territory, except upon the consent in writing given by the owners of a majority in acreage of the lands within such spaceport territory proposed to be so incorporated within such municipality.  No land within the geographic boundaries of any spaceport territory shall be annexed to or incorporated by any proceeding under any general or special law, now or hereafter enacted into any town, city or other municipality, now existing or hereafter created, except upon the consent in writing given by the owners of a majority in acreage of the lands within such spaceport territory to be so annexed or incorporated.

F.  In the event that the geographic boundaries of the spaceport territory, as set forth in Section 13 of this act, are revised so as to include within the spaceport territory any areas not presently contained within the spaceport territory, the Authority shall not engage in the business of furnishing telephone service in such annexed area unless the Authority offers to purchase from any telephone company that is at the time engaged in the business of furnishing telephone service within such annexed area such portion of its plant and property suitable and used for such business in connection therewith as lies within the limits of such annexed area.

G.  In the event that the geographic limits of the spaceport territory, as set forth in Section 13 of this act, are revised so as to include within any spaceport territory any areas not presently contained within any spaceport territory, the Authority shall not engage in the business of furnishing electric power for sale in such annexed area, unless the Authority offers to purchase from any person who is at the time engaged in the business of making, generating or distributing electricity for sale within such annexed area, such portion of its electric plant and property suitable and used for business in connection therewith as lies within the limits of such annexed area.

Added by Laws 1999, c. 164, § 20, eff. July 1, 1999.

§74-5221.  Charges and penalties - Contracts - Default - Shutting off and discontinuance of services and facilities.

A.  1.  To recover the costs of a spaceport facility or system, the Oklahoma Space Industry Development Authority shall have the power to prescribe, fix, establish, and collect rates, fees, rentals, tolls, fares, or other charges, hereinafter referred to as "revenues", and to revise the same from time to time, for the facilities and service furnished or to be furnished by the Authority and a spaceport, including, but not limited to, launch pads, ranges, payload assembly and processing facilities, visitor and tourist facilities, transportation facilities, and parking and other related facilities, and shall have the power to provide for reasonable penalties against any user or property for any such rates, fees, rentals, tolls, fares, or other charges that are delinquent.

2.  The Authority shall have the power to enter into contracts for the use of the projects of the Authority and for the services and facilities furnished or to be furnished by the Authority, including, but not limited to, launch services, payload assembly and processing, and other space-related services, for such consideration and on such other terms and conditions as the Authority may approve.  Such contracts, and revenues or service charges received or to be received by the Authority thereunder, may be pledged as security for any of the bonds of the Authority.

B.  In the event that the rates, fees, rentals, tolls, fares, or other charges, or delinquent penalties shall not be paid as and when due and shall be in default for thirty (30) days or more, the unpaid balance thereof and all interest accrued thereon, together with attorney fees and costs, may be recovered by the Authority in a civil action.

C.  In the event that the rates, fees, rentals, tolls, fares, or other charges for the services and facilities of any project are not paid when due, the Authority shall have the power to discontinue and shut off the same until such rates, fees, rentals, tolls, fares, or other charges, including interest, penalties, and charges for the shutting off and discontinuance and the restoration of such services and facilities, are fully paid.  Such delinquent rates, fees, rentals, tolls, fares, or other charges, together with interest, penalties, and charges for the shutting off and discontinuance and the restoration of such services and facilities, and reasonable attorney fees and other expenses, may be recovered by the Authority by suit in any court of competent jurisdiction.  The Authority may also enforce payment of such delinquent rates, fees, rentals, tolls, fares, or other charges by any other lawful method of enforcement.

Added by Laws 1999, c. 164, § 21, eff. July 1, 1999.

§74-5222.  Acceptance of federal and other monies.

A.  Except as provided in subsection B of this section, the Oklahoma Space Industry Development Authority is authorized to accept and receive federal monies, and other monies, either public or private, for the acquisition, development, construction, enlargement, improvement, maintenance, equipment, or operation of spaceports and other facilities, and sites therefor, and to comply with the provisions of the laws of the United States and any rules and regulations made thereunder for the expenditure of federal monies upon such spaceports and other facilities.

B.  The Authority is not authorized to accept or receive from any source whatsoever any monies under any terms or conditions which limit, curtail, or preempt the power or prerogatives of the state or its political subdivisions.

Added by Laws 1999, c. 164, § 22, eff. July 1, 1999.

§74-5223.  Issuance of bonds - Disposition of proceeds.

A.  1.  The Oklahoma Space Industry Development Authority may provide by resolution, at one time or from time to time, for the issuance of revenue bonds of the Authority for the purpose of paying all or any part of the cost of any one or more projects.  The Authority, when it finds that it would be economical and beneficial to do so, may combine two or more, or any part thereof, or all of its proposed projects into one unit and consider the same as one project to the same extent and with like effect as if the same were a single project.

2.  The principal of and the interest on the bonds shall be payable solely from the funds provided for such payment.  The bonds of each issue shall be dated, shall bear interest at such rate or rates not exceeding the limitations pertaining to public trust indebtedness from time to time expressed in subsection F of Section 176 of Title 60 of the Oklahoma Statutes, shall mature at such time or times not exceeding forty (40) years from their date or dates, as may be determined by the Authority, and may be made redeemable before maturity at the option of the Authority at such price or prices and pursuant to such terms and conditions as may be fixed by the Authority prior to the issuance of the bonds.

3.  The Authority shall determine the form of the bonds, including any interest coupons to be attached thereto, and the manner of execution of the bonds, and shall fix the denomination or denominations of the bonds and the place or places of payment of principal and interest, which may be at any bank or trust company within or without the state.

4.  If any officer whose signature or facsimile of whose signature appears on any bonds or coupons shall cease to be the officer before the delivery of the bonds, the signature or the facsimile shall nevertheless be valid and sufficient for all purposes the same as if the person had remained in office until such delivery.

5.  All bonds issued pursuant to the provisions of this act shall have all the qualities and incidents of negotiable instruments subject to the negotiable instruments law of this state.  The bonds may be issued in coupon or in registered form, or both, as the Authority may determine, and provisions may be made for the registration of any coupon bonds as to principal alone and also as to both principal and interest, and for the reconversion into coupon bonds of any bonds registered as to both principal and interest.  The Authority may sell the bonds in such amounts and in such manner, either at public or private sale, and for such price, as it may determine to be in the best interest of this state, but in no event at a discount in excess of that from time to time expressed in subsection F of Section 176 of Title 60 of the Oklahoma Statutes.

B.  The proceeds of the bonds of each issue shall be used solely for the payment of the cost of the project for which the bonds have been issued, and shall be disbursed in such manner and pursuant to such restrictions, if any, as the Authority may provide in the resolution authorizing the issuance of the bonds or in the trust agreement securing the same.  If the proceeds of the bonds of any issue, by error of estimates or otherwise, shall be less than such cost, additional bonds may in like manner be issued to provide the amount of such deficit, and, unless otherwise provided for in the resolution authorizing the issuance of such bonds or in the trust agreement securing the same, shall be deemed to be of the same issue and shall be entitled to payment from the same fund without preference or priority of the bonds first issued.  If the proceeds of the bonds of any issue shall exceed such cost, the surplus shall be deposited to the credit of the sinking fund for such bonds, or shall be used by the Authority in implementing any other power expressly granted to the Authority in this act.

C.  Prior to the preparation of definitive bonds, the Authority, subject to like restrictions, may issue interim receipts or temporary bonds, with or without coupons, exchangeable for definitive bonds when such bonds have been executed and are available for delivery.  The Authority may also provide for the replacement of any bonds which have become mutilated or were destroyed or lost.  Bonds may be issued pursuant to the provisions of this act without obtaining the consent of any department, division, commission, board, bureau, or agency of this state, and without any other proceedings or the occurrence of any other conditions or things other than those proceedings, conditions, or things that are specifically required by this act; provided, however, bonds and other obligations of the Authority shall be subject to the provisions of Section 695.1 et seq. of Title 62 of the Oklahoma Statutes.

D.  The Authority is hereby authorized to provide that the bonds:

1.  Be made payable from time to time on demand or tender for purchase by the owner provided a credit facility supports such bonds, unless the Authority specifically determines that a credit facility is not required;

2.  Be additionally supported by a credit facility;

3.  Be made subject to redemption prior to maturity, with or without premium, on such notice and at such time or times and with such redemption provisions as may be determined by the Authority or with such variations as may be permitted in connection with a par formula;

4.  Bear interest at a rate or rates that may vary as permitted pursuant to a par formula and for such period or periods of time, all as may be determined by the Authority; and

5.  Be made the subject of a remarketing agreement whereby an attempt is made to remarket the bonds to new purchasers prior to their presentment for payment to the provider of the credit facility or to the Authority.

No credit facility, repayment agreement, par formula or remarketing agreement shall become effective without the approval of the Authority.

E.  As used in this section, the following terms shall have the following meanings:

1.  "Credit facility" means an agreement entered into by the Authority with any bank, savings and loan association or other banking institution; an insurance company, reinsurance company, surety company, or other insurance institution; a corporation, investment banker or other investment institution; or any other financial institution providing for prompt payment of all or any part of the principal, whether at maturity, presentment for purchase, redemption or acceleration, redemption premium, if any, and interest on any bonds payable on demand or tender by the owner issued in accordance with this section, in consideration of the Authority's agreeing to repay the provider of such credit facility in accordance with the terms and provisions of such repayment agreement, provided, that any such repayment agreement shall provide that the obligation of the Authority thereunder shall have only such sources of payment as are permitted for the payment of the bonds issued under this act; and

2.  "Par formula" means any provision or formula adopted by the Authority to provide for the adjustment, from time to time, of the interest rate or rates borne by any such bonds so that the purchase price of such bonds in the open market would be as close to par as possible.

F.  Any other provision of law notwithstanding, the Authority shall have the right to issue bonds or other obligations the interest income, in whole or in part, on which is subject, directly or indirectly, to federal income taxation.

Added by Laws 1999, c. 164, § 23, eff. July 1, 1999.

§74-5224.  Trust agreements.

In the discretion of the Oklahoma Space Industry Development Authority, any bonds issued under the provisions of this act may be secured by a trust agreement by and between the Authority and a corporate trustee, which may be any trust company or bank having the powers of a trust company within or without this state.  The trust agreement may pledge or assign the revenues to be received from the project constructed by the use of the proceeds of the bonds, but shall not convey or mortgage any project or any part thereof.  The trust agreement or resolution providing for the issuance of the bonds may contain such provisions for protecting and enforcing the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law, including covenants setting forth the duties of the Authority in relation to the acquisition of property and the construction, improvement, maintenance, repair, operation and insurance of the project in connection with which the bonds shall have been authorized, and the custody, safeguarding and application of all monies, and provisions for the employment of consulting engineers in connection with the construction or operation of such project or projects.  It shall be lawful for any bank or trust company incorporated under the laws of the state which may act as depository of the proceeds of bonds or of revenues to furnish such indemnifying bonds or to pledge such securities as may be required by the Authority.  Any such trust agreement may set forth the rights and remedies of the bondholders and of the trustee, and may restrict the individual right of action by bondholders as is customary in trust agreements or trust indentures securing bonds and debentures of corporations.  In addition to the foregoing, any such trust agreement may contain such other provisions as the Authority may deem reasonable and proper for the security of the bondholders.  All expenses incurred in carrying out the provisions of the trust agreement may be treated as a part of the cost of the operation of the project or projects.

Added by Laws 1999, c. 164, § 24, eff. July 1, 1999.

§74-5225.  Bond proceeds and revenue deemed to be trust funds.

All monies received pursuant to the authority of this act, whether as proceeds from the sale of bonds or as revenues, shall be deemed to be trust funds, to be held and applied solely as provided in this act.  The resolution authorizing the bonds of any issue or the trust agreement securing such bonds shall provide that any officer to whom, or any bank or trust company to which, such money shall be paid shall act as trustee of the monies and shall hold and apply the same for the purposes hereof, subject to such regulations as this act and such resolution or trust agreement may provide.

Added by Laws 1999, c. 164, § 25, eff. July 1, 1999.

§74-5226.  Enforcement of rights by bondholder or trustee.

Any holder of bonds issued under the provisions of this act or any of the coupons appertaining thereto, and the trustee under the trust agreement, except to the extent the rights herein given may be restricted by such trust agreement, may, either at law or in equity, by suit, action, mandamus, or other proceeding protect and enforce any and all rights under the laws of this state or granted hereunder or under such trust agreement or the resolution authorizing the issuance of such bonds, and may enforce and compel the performance of all duties required by this act or by such trust agreement or resolution to be performed by the Oklahoma Space Industry Development Authority or by any officer thereof.

Added by Laws 1999, c. 164, § 26, eff. July 1, 1999.

§74-5227.  Bonds made investment securities.

Bonds issued under the provisions of this act are hereby made securities in which all public officers and public bodies, agencies, and instrumentalities of the state and its political subdivisions, all banks, trust companies, trust and loan associations, investment companies, and others carrying on a banking business, and all insurance companies and insurance associations, and others carrying on an insurance business, may legally and properly invest funds including capital in their control or belonging to them.

Added by Laws 1999, c. 164, § 27, eff. July 1, 1999.

§74-5228.  Application to Supreme Court for approval of bonds - Jurisdiction - Notice of hearing - Protest - Determination of validity.

The Oklahoma Space Industry Development Authority is authorized in its discretion to file an application with the Supreme Court of Oklahoma for the approval of any bonds to be issued hereunder, and exclusive original jurisdiction is hereby conferred upon the Supreme Court to hear and determine each such application.  It shall be the duty of the Court to give such applications precedence over the other business of the Court and to consider and pass upon the applications and any protests which may be filed thereto as speedily as possible.  Notice of the hearing on each application shall be given by a notice published in a newspaper of general circulation in this state that on a day named the Authority will ask the Court to hear its application and approve the bonds.  Such notice shall inform all persons interested that they may file protests against the issuance of the bonds and be present at the hearing and contest the legality thereof.  Such notice shall be published one time not less than ten (10) days prior to the date named for the hearing and the hearing may be adjourned from time to time in the discretion of the Court.  If the Court shall be satisfied that the bonds have been properly authorized in accordance with this act and that when issued, they will constitute valid obligations in accordance with their terms, the Court shall render its written opinion approving the bonds and shall fix the time within which a petition for rehearing may be filed.  The decision of the Court shall be a judicial determination of the validity of the bonds, shall be conclusive as to the Authority, its officers and agents, and thereafter the bonds so approved and the revenues pledged to their payment shall be incontestable in any court in this state.

Added by Laws 1999, c. 164, § 28, eff. July 1, 1999.

§74-5229.  Issuance of revenue refunding bonds - Purposes - Investment of proceeds pending application of proceeds - Interest-bearing time deposits.

A.  The Oklahoma Space Industry Development Authority is hereby authorized to provide by resolution for the issuance of revenue refunding bonds of the Authority for the purpose of refunding any bonds then outstanding which shall have been issued under the provisions of this act including the payment of any redemption premium thereon and any interest accrued or to accrue to the date of redemption of such bonds, and, if the Authority shall so determine, for the additional purpose of constructing improvements, extensions, or enlargements of the project or projects in connection with which the bonds to be refunded shall have been issued.  The Authority is further authorized to provide for the issuance of its revenue bonds for the combined purpose of:

1.  Refunding any bonds then outstanding which shall have been issued under the provisions of this act, including the payment of any redemption premium thereon and any interest accrued, or to accrue to the date of redemption of such bonds; and

2.  Paying all or any part of the cost of any additional project or projects as authorized by this act.  The issuance of such bonds, the maturities and other details thereof, the rights of the holders thereof, and the rights, duties, and obligations of the Authority in respect of the same, shall be governed by the provisions of this act insofar as the same may be applicable.

B.  Bonds may be issued by the Authority under the provisions of this section at any time prior to the maturity or maturities or the date selected for the redemption of the bonds being refunded thereby.  Pending the application of the proceeds of such refunding bonds, with any other available funds, to the payment of the principal, accrued interest, and any redemption premium of the bonds being refunded, and if so provided or permitted in the resolution authorizing the issuance of such refunding bonds or in the trust agreement securing the same, to the payment of any interest on such refunding bonds, and any expenses in connection with such refunding, such proceeds may be invested in direct obligations of, or obligations the principal of and the interest on which are unconditionally guaranteed by, the United States of America which shall mature or which shall be subject to redemption by the holder thereof at the option of such holder, not later than the respective dates when the proceeds, together with the interest accruing thereon, will be required for the purposes intended.  In lieu of such investments, all or any part of such proceeds may be placed in interest bearing time deposits or other similar arrangements may be made with regard thereto which will assure that such proceeds, together with the interest accruing thereon, will be available when required for the purposes intended.

Added by Laws 1999, c. 164, § 29, eff. July 1, 1999.

§74-5230.  Report to Governor.

The Oklahoma Space Industry Development Authority shall make and submit to the Governor, within ninety (90) days of the close of the Authority's fiscal year, a full report showing anticipated projects, projects under construction and projects in operation, and the financial condition of the Authority and the sinking fund of each separate project, and such other information as the Governor shall require.  The annual financial statements must be audited and filed in accordance with the requirements set forth for financial statement audits in Section 212A of Title 74 of the Oklahoma Statutes.

Added by Laws 1999, c. 164, § 30, eff. July 1, 1999.

§74-5231.  Projects declared essential governmental functions - Exemption from taxation.

The exercise of the powers granted by this act to the Oklahoma Space Industry Development Authority will be in all respects for the benefit of the people of the state.  The operation and maintenance of projects by the Authority will constitute the performance of essential governmental functions, and the Authority shall not be required to pay any taxes or assessments upon any project or any property acquired or used by the Authority under the provisions of this act or upon the income therefrom, and the bonds issued under the provisions of this act, their transfer and the income therefrom, including any profit made on the sale thereof, shall at all times be free from taxation within the state.

Added by Laws 1999, c. 164, § 31, eff. July 1, 1999.

§74-5232.  Application for designation of spaceport territory as foreign trade zone.

The Oklahoma Space Industry Development Authority shall have the power to apply to the federal government for a grant allowing the designation of any spaceport territory as a foreign trade zone.

Added by Laws 1999, c. 164, § 32, eff. July 1, 1999.

§74-5233.  Disclosure of interest in contracts - Statement by board members.

No member of the Board of Directors shall be deemed to have an interest in any contract of the Oklahoma Space Industry Development Authority with any person by reason of the fact that such Board member is related to such person or is a director, officer, employee, stockholder, partner or agent of such person.  Contracts of the Authority with any such person shall not be invalid or unenforceable by reason of such interest, provided that each member of the Board shall have submitted to the Board a statement of the member's interest in or relationship to such person prior to the approval or authorization of the contract by the Authority.  The statement shall be maintained as part of the permanent record book of the Authority for as long as the contract continues in effect and for not less than one (1) year thereafter.

Added by Laws 1999, c. 164, § 33, eff. July 1, 1999.

§74-5234.  Remedies to ensure compliance with act - Injunction.

The Board of Directors or any aggrieved person may have recourse to such remedies in law and equity as may be necessary to ensure compliance with the provisions of this act, including injunctive relief to enjoin or restrain any person from violating the provisions of this act, and any rules, resolutions, procedures, and orders adopted under this act.  The court shall, upon proof of any such violation, have the duty to issue temporary and permanent injunctions as are necessary to prevent further violation thereof.  In case any building or structure is erected, constructed, reconstructed, altered, repaired, converted or maintained, or any building, structure, land or water is used, in violation of this act, or of any rules, resolutions, procedures, or orders adopted under authority conferred by this act or under law, the Board may institute any appropriate action or proceeding to prevent such unlawful erection, construction, reconstruction, alteration, repair, conversion, maintenance or use, to restrain, correct or avoid such violations, to prevent the occupancy of such building, structure, land or water, and to prevent any illegal act, conduct, business or use in or about such premises, land or water.

Added by Laws 1999, c. 164, § 34, eff. July 1, 1999.

§74-5235.  Involvement of women, minorities and disadvantaged business enterprises in Authority projects - Legislative intent and public policy.

It is the intent of the Legislature and the public policy of this state that women, minorities, and socially, physically and economically disadvantaged business enterprises be encouraged to participate fully in all phases of economic and community development.  Accordingly, to achieve such purpose, the Oklahoma Space Industry Development Authority shall, in accordance with applicable state and federal law, involve and utilize women, minorities, and socially, physically and economically disadvantaged business enterprises in all phases of the design, development, construction, maintenance, and operation of spaceports developed under this act.

Added by Laws 1999, c. 164, § 35, eff. July 1, 1999.

§74-5236.  Conflict with other provisions - Act controls.

If any provision of this act is in conflict with any other provision, limitation, or restriction pertaining to areas located within the spaceport territory which is now in effect under a law of this state or an ordinance of a local government, political subdivision, or municipality, or a rule or regulation adopted under such law or ordinance, this act controls.

Added by Laws 1999, c. 164, § 36, eff. July 1, 1999.

§74-5237.  Construction of act.

The provisions of this act shall be liberally construed to effect its purposes and shall be deemed cumulative, supplemental and alternative authority for the exercise of the powers provided herein.

Added by Laws 1999, c. 164, § 37, eff. July 1, 1999.

§74-5301.  Oklahoma Military Base Closure Prevention Task Force - Established.

A.  There is hereby created the Oklahoma Military Base Closure Prevention Task Force.  The Task Force shall be composed of seventeen (17) members as follows:

1.  Four persons to be appointed by the Speaker of the Oklahoma House of Representatives;

2.  Four persons to be appointed by the President Pro Tempore of the Oklahoma State Senate;

3.  One person to be appointed, respectively, by the mayor of each of the following municipalities:

a. Altus,

b. Enid,

c. Lawton,

d. McAlester,

e. Oklahoma City,

f. Del City, and

g. Midwest City; and

4.  Two persons to be appointed by the Governor.

B.  The Task Force shall hold its first meeting not later than ninety (90) days after the effective date of this act.  The members of the Task Force shall select a person from among its membership to serve as chair.  The Task Force is authorized to meet as often as required in order to perform the duties imposed upon it.

Added by Laws 2001, c. 238, § 1, eff. July 1, 2001.

§74-5302.  Oklahoma Military Base Closure Prevention Task Force - Purpose - Recommendations for change - Prevention or mitigation of reduction - Relocation - Report.

A.  The purpose of the Oklahoma Military Base Closure Prevention Task Force shall be to analyze state policies affecting military facilities currently in use by the United States Department of Defense located within the state and by their related communities.  In addition, the Task Force shall also examine methods for improving the potential private sector market value or potential for such military facilities.

B.  The Task Force shall develop recommendations for changes in state policies which would:

1.  Prevent Oklahoma's military facilities from being targeted for closing or downsizing;

2.  Maximize Oklahoma's input into the federal base closing and realignment process;

3.  Protect, to the greatest extent possible, the interests of the communities and residents of areas located within and adjacent to such military facilities in connection with such process;

4.  Mitigate the effect of a reduction in military personnel housed or assigned to such facilities, reduction in military activity associated with such facilities, or other changes in either civilian or military activity which have the potential to reduce employment, business activity, personal income or other economic growth in the affected areas; and

5.  Encourage and facilitate the relocation of mission responsibilities and resources to Oklahoma military facilities from military bases located outside Oklahoma.

C.  The Task Force shall submit a written report of its findings, conclusions and recommendations to the Speaker of the Oklahoma House of Representatives, the President Pro Tempore of the Oklahoma State Senate and the Governor not later than December 31, 2002.

D.  The Oklahoma Department of Commerce, the Oklahoma Tax Commission, the Oklahoma Employment Security Commission and other agencies of state government shall provide such assistance to the Task Force as the Task Force may require in order to perform the duties imposed upon it.

E.  The Oklahoma House of Representatives and the Oklahoma State Senate shall provide such staff assistance to the Task Force as may be required.

F.  Members of the Task Force shall be reimbursed by their appointing authority, except that members appointed from the municipalities shall be reimbursed by the Oklahoma Department of Commerce, for travel to meetings of the Task Force pursuant to the State Travel Reimbursement Act.  Legislators who serve as members of the Task Force shall be reimbursed for travel to meetings pursuant to Section 456 of Title 74 of the Oklahoma Statutes.

Added by Laws 2001, c. 238, § 2, eff. July 1, 2001.

§74-5401.  Creation - Members - Meetings - Sunset - Authority of members.

A.  There is hereby created the Oklahoma Strategic Military Planning Commission.

B.  The Oklahoma Strategic Military Planning Commission shall consist of seven (7) members as follows:

1.  Five persons to be appointed by the Governor, each of whom shall represent, respectively, the interests of communities that would be affected by realignment or closure of the following military installations:

a. Altus Air Force Base,

b. Vance Air Force Base,

c. Fort Sill,

d. the Army Ammunition Plant located near McAlester, and

e. Tinker Air Force Base; and

2.  One person to be appointed by the Speaker of the House of Representatives from the membership of the House and one person to be appointed by the President Pro Tempore of the Senate from the membership of the Senate.  The members appointed pursuant to this paragraph shall be ex officio and nonvoting members of the Commission.

C.  The members of the Commission shall serve at the pleasure of the appointing authority.  The members of the Commission shall select from among their membership a chair and vice-chair.  The chair and vice-chair shall serve for a period of one (1) year.

D.  The Commission shall be subject to the provisions of the Oklahoma Open Meeting Act and the Oklahoma Open Records Act.

E.  The Commission shall be authorized to meet at such times as may be required in order to fulfill the duties and responsibilities imposed upon it by law.

F.  The provisions of this section shall cease to have the force and effect of law and the Commission shall be dissolved by operation of law on December 31, 2010.

G.  The members of the Commission shall not be deemed to be officers or to hold public office for purposes of Section 6 of Title 51 of the Oklahoma Statutes.

Added by Laws 2003, c. 303, § 1, emerg. eff. May 27, 2003.

§74-5402.  Purpose - Advice and recommendations - Administrative direction, coordination and support - Reports.

A.  The purpose of the Oklahoma Strategic Military Planning Commission shall be to analyze state policies affecting military facilities currently in use by the United States Department of Defense located within the state and by their related communities.  The Commission shall also examine methods for improving the potential private sector market value or potential for such military facilities.

B.  The Commission shall advise and recommend to the Governor and to the Legislature, by reporting to the Speaker of the House of Representatives and the President Pro Tempore of the Senate, state policies which would:

1.  Prevent Oklahoma's military facilities from being targeted for closing or downsizing;

2.  Maximize Oklahoma's input into the federal base closing and realignment process;

3.  Protect, to the greatest extent possible, the interests of the communities and residents of areas located within and adjacent to such military facilities in connection with such process;

4.  Mitigate the effect of a reduction in military personnel housed or assigned to such facilities, reduction in military activity associated with such facilities, or other changes in either civilian or military activity which have the potential to reduce employment, business activity, personal income or other economic growth in the affected areas; and

5.  Encourage and facilitate the relocation of mission responsibilities and resources to Oklahoma military facilities from military bases located outside Oklahoma.

C.  Responsibility for the administrative direction, coordination and support of the Commission shall be with the Office of the Governor.

D.  The Commission shall submit an annual written report of its findings, conclusions and recommendations to the Governor, the Speaker of the Oklahoma House of Representatives and the President Pro Tempore of the Oklahoma State Senate not later than December 31.

E.  The Oklahoma Department of Commerce, the Oklahoma Tax Commission, the Oklahoma Employment Security Commission and other agencies of state government shall provide such assistance to the Commission as the Commission may require in order to perform the duties imposed upon it.

F.  Members of the Commission shall be reimbursed by their appointing authority, except that members appointed from the municipalities shall be reimbursed by the Oklahoma Department of Commerce, for travel to meetings of the Commission pursuant to the State Travel Reimbursement Act.  Legislators who serve as members of the Commission shall be reimbursed for travel to meetings pursuant to Section 456 of Title 74 of the Oklahoma Statutes.

Added by Laws 2003, c. 303, § 2, emerg. eff. May 27, 2003.

§74-5403.  Retention and expansion of military installations - Oklahoma Strategic Military Planning Commission Incentive Fund.

A.  The Legislature finds that the five military installations in this state, Tinker Air Force Base, Vance Air Force Base, Altus Air Force Base, Fort Sill Army Post and the McAlester Army Ammunition Plant, are vital to the economic health of Oklahoma businesses and communities and an integral and important part of the state economy.  It is therefore in the state interest that these installations not only be retained but if possible, be expanded from their current substantial workforces.

B.  There is hereby established a fund within the State Treasury for the Department of Commerce to be known as the "Oklahoma Strategic Military Planning Commission Incentive Fund".  The fund shall consist of all monies deposited into the fund by law.  The fund shall be a continuing fund not subject to fiscal year limitations.  Monies in the fund shall be distributed by the Department to voluntary associations of Oklahoma local governmental jurisdictions or other legal entities which perform functions for the benefit of or which exist for the primary benefit of Oklahoma local governmental entities, for distribution to eligible local governments, as approved by the Oklahoma Strategic Military Planning Commission.

C.  In order for an entity to be eligible to obtain funds from the Oklahoma Strategic Military Planning Commission Incentive Fund, a local governmental entity shall be required to:

1.  Demonstrate that it would be affected by realignment or closure of a military installation specified in subsection A of this section; and

2.  Develop a plan, and file it and have it approved by the Oklahoma Strategic Military Planning Commission, to expend funds from local sources, matched in whole or in part with monies in the fund, for public projects necessary to protect the interests of the entity and its residents with respect to realignment or closure of the military installation.

D.  In order to be filed with and approved by the Commission, the plan shall have first been approved by an affirmative vote of two-thirds (2/3) of the members of the governing board of the local governmental entity.  The vote shall be memorialized in a document, executed under oath, that states that the record of the vote is a true and accurate account of the proceedings conducted by the governing board to be filed with the Department.

E.  Any entity which qualifies for funds pursuant to this section shall be required to provide matching funds or to provide equivalent value in order to obtain available funds or funds for planning expenditures.  No funds available pursuant to the provisions of this section shall be used to pay any administrative expenses of the entity requesting the funds.  The Department shall monitor expenditures made pursuant to this section to ensure compliance with the provisions of this section.  Misuse of funds by an entity shall disqualify the entity from further funding for a period of one (1) year from the date as of which any report by the Department is issued revealing a violation of the requirements of this section.

F.  An entity which violates the provisions of this section shall be liable to the State of Oklahoma for treble the amount of funds identified as having been impermissibly used for the payment or reimbursement of administrative expenses.  The payment shall be made to the Department for deposit in the Oklahoma Strategic Military Planning Commission Incentive Fund and such funds shall become available for distribution as otherwise provided by this section; provided, no such funds shall be paid to an entity which has been required to make the treble damage payment.

G.  The expenditures from the Oklahoma Strategic Military Planning Commission Incentive Fund, made in accordance with the requirements of this section, shall be construed as an expenditure of public funds in furtherance of governmental functions and for the purpose of conferring general and uniform benefits resulting from the expenditures.

Added by Laws 2003, c. 402, § 1, eff. July 1, 2003.

§74-6001.  Repealed by Laws 1992, c. 259, § 5, emerg. eff. May 22, 1992.

§746002.  Designations of technology transfer centers.

Rural Enterprises, Inc. and the Central Industrial Applications Center are hereby designated as technology transfer centers.

Added by Laws 1988, c. 330, § 17.  

§74-6101.  Repealed by Laws 2002, c. 112, § 14, eff. Dec. 31, 2002.

§74-6102.  Repealed by Laws 2002, c. 112, § 14, eff. Dec. 31, 2002.

§74-6103.  Repealed by Laws 2002, c. 112, § 14, eff. Dec. 31, 2002.

§74-6104.  Repealed by Laws 2002, c. 112, § 14, eff. Dec. 31, 2002.

§74-6105.  Red River Boundary Compact - Adoption of compact..

RED RIVER BOUNDARY COMPACT

ADOPTION OF COMPACT

This state enacts the Red River Boundary Compact into law and enters into the compact with the State of Texas if that state legally joins in the compact in substantially the form provided by Section 2 of this act.

Added by Laws 1999, c. 316, § 1, emerg. eff. June 4, 1999.

§74-6106.  Text of compact.

TEXT OF COMPACT

The Red River Boundary Compact reads as follows:

RED RIVER BOUNDARY COMPACT

ARTICLE I.  PURPOSE

A.  The States of Oklahoma and Texas recognize that:

1.  There are actual and potential disputes, controversies, criminal proceedings, and litigation arising, or that may arise, out of the location of the boundary line between the states along the Red River;

2.  The south bank of the Red River is the boundary between the states along the Red River;  

3.  The boundary between the states changes as a result of the natural action of the river and, because of those changes and the nature of the land, the south bank of the river is often not readily or easily identified;  

4.  While the south bank, at any given time, may be located through expensive and time-consuming survey techniques, such surveys can, at best, identify the south bank only as it exists at the time of the survey;

5.  Locating the south bank through survey techniques is of minimal aid when agencies of the party states must locate the state boundary line for law enforcement, administrative and taxation purposes; and

6.  The interests of the party states are better served by establishing the boundary between the states through use of a readily identifiable natural landmark than through use of an artificial survey line.

B.  It is the principal purpose of the party states in entering into this compact to establish an identifiable boundary between the states of Oklahoma and Texas along the Red River as of the effective date of this compact without changing title of any person or entity, public or private, to land adjacent to the Red River.  In addition, this compact serves the compelling purposes of:

1.  Creation of a friendly and harmonious interstate relationship;

2.  Avoidance of multiple exercise of sovereignty and jurisdiction, including matters of taxation, judicial and police powers, and exercise of administrative authority;

3.  Avoidance of lack of exercise of sovereignty and jurisdiction over any lands along the boundary;

4.  Avoidance of questions of venue in civil and criminal proceedings that may arise as a result of incidents along the boundary and avoidance or minimization of future disputes and litigation;

5.  Promotion of economic and political stability; and

6.  Placement of the boundary at a location that can be visually identified or located without the necessity of a current survey and that is close to the historical boundary location.

ARTICLE II.  ESTABLISHMENT OF BOUNDARY

A.  As used in this article:

1.  "Vegetation" means trees, shrubs, grasses, and other plant species that substantially cover the ground.  Whether the vegetation substantially covers the ground is determined by reference to the density of the coverage of the ground by trees, shrubs, grasses, and other plant species in the area adjacent to the relevant portion of the riverbed; and

2.  "Vegetation line" means the visually identifiable continuous line of vegetation that is adjacent to that portion of the riverbed kept practically bare of vegetation by the natural flow of the river and is continuous with the vegetation beyond the riverbed.  Stray vegetation, patches of vegetation, or islands of vegetation within the riverbed that do not form such a line are not considered part of the vegetation line.  Where the riverbed is entered by the inflow of another watercourse or is otherwise interrupted or disturbed by a man-made event, the line constituting the boundary is an artificial line formed by extending the vegetation line above and below the other watercourse or interrupted or disturbed area to connect and cross the watercourse or area.

B.  The permanent political boundary line between the states of Oklahoma and Texas along the Red River is the vegetation line along the south bank of the Red River except for the Texoma area, where the boundary does not change.  For purposes of this compact:

1.  The Texoma area extends from the east bank of Shawnee Creek (which flows into the Red River from the south approximately one-half (1/2) mile below the Denison Dam) at its mouth to the upper end of the normal pool elevation of Lake Texoma (which is six hundred seventeen (617) feet); and

2.  The upper end of the normal pool elevation of Lake Texoma is along the latitude of 33 degrees 54 minutes as it crosses the watercourse at the approximate location of longitude 96 degrees 59 minutes.

C.  The party states agree that the existing boundary within the Texoma area begins at the intersection of the vegetation line on the south bank of the Red River with the east bank of Shawnee Creek.  From this point, the boundary extends west along the south bank of the Red River.  From Shawnee Creek to Denison Dam, this boundary line is within the current channel of the Red River.  The boundary line from Shawnee Creek to the Denison Dam may be established using the Lake Texoma Fishing and Boating Map, No. A353, published by "FHS Maps"TM, containing acknowledgments for the data source to the United States Geological Survey and the U.S. Army Corps of Engineers, hereinafter referred to as "Reference Map".  From the east bank of Shawnee Creek to the base of the Denison Dam, the boundary between the State of Oklahoma and the State of Texas may be the line which is depicted by the Reference Map as an extension of a black dashed line comprised of the following repeating characters ("-..-") east from the body of Lake Texoma across the depiction of the Denison Dam, thence continuing eastward until the line connects to a point at the intersection of the east bank of Shawnee Creek and the south bank of the Red River.  Within Lake Texoma, this boundary line follows the south bank of the Red River as the bank was located and marked by the United States Army Corps of Engineers.

D.  Within one (1) year after the date the United States Congress consents to this compact, the Commissioner of the General Land Office of Texas and a designated member of the Oklahoma Red River Boundary Commission, as chosen by the Commission, shall:

1.  Locate the boundary line within the Texoma area as described by subsection C of this article, using the survey that the United States Army Corps of Engineers prepared in connection with the construction of Lake Texoma and any other surveys, historical maps, or other information that may be available;

2.  Prepare a map of the boundary line; and

3.  Prepare a document styled "Lake Texoma Area Boundary Agreement", which shall incorporate by reference and have attached as an exhibit a map of the boundary in the Lake Texoma area.  Upon agreement, signature and acknowledgment by both persons, the "Lake Texoma Area Boundary Agreement" shall have the legal effect of establishing the boundary within the Lake Texoma area.  The "Lake Texoma Area Boundary Agreement", when adopted pursuant to a resolution of the Contingency Review Board acting on behalf of the State of Oklahoma and when adopted pursuant to the applicable requirements of laws of the State of Texas, shall amend the provisions of the Red River Boundary Compact and constitute part of the terms of the Red River Boundary Compact.  The governors of the respective party states shall file the "Lake Texoma Area Boundary Agreement" in the state library and archives of each party state and with the Oklahoma Secretary of State.

E.  Within one (1) year after the date the "Lake Texoma Area Boundary Agreement" is filed under paragraph 3 of subsection D of this article, there shall be a permanently marked boundary line within the Texoma area as shown on the map constituting the exhibit to the "Lake Texoma Area Boundary Agreement".  The boundary line shall be maintained with markers annually, or more frequently if necessary subject to any requirement or restriction of law or resulting from a judgment of a court of competent jurisdiction.

F.  The party states may:

1.  Agree to equally share the cost of monumenting and maintaining the lines demarking both the boundary within the Texoma area and the upper limit of the normal pool elevation in a manner designed to make the boundary readily identifiable to the using public; or

2.  Seek funding from other sources for monumenting and maintaining the lines.

G.  Should there be a change in the watercourse of the Red River, the party states recognize the rules of accretion, erosion, and avulsion.  The states agree that accretion or erosion may cause a change in the boundary between the states if it causes a change in the vegetation line.  With regard to avulsion, the states agree that a change in the course of the Red River caused by an immediately perceivable natural event that changes the vegetation line will change the location of the boundary between the states.

ARTICLE III.  SOVEREIGNTY

On the effective date of this compact, the party states agree that the State of Oklahoma possesses sovereignty over all lands north of the boundary line established by this compact and that the State of Texas possesses sovereignty over all lands south of the boundary line established by this compact.  This compact does not change or affect in any manner the sovereign rights of federally recognized Indian tribes over tribal lands on either side of the boundary line established by this compact.  Tribal sovereignty rights continue to be established and defined by controlling federal law.

ARTICLE IV.  PENDING LITIGATION

This compact does not affect the jurisdiction of any litigation concerning the title to any of the lands bordering the Red River pending in the courts of either of the party states or the United States as of the effective date of this compact.  The states intend that such litigation, if any, continue in the trial and appellate courts of the jurisdiction where pending, until the litigation is finally determined.

ARTICLE V.  PUBLIC RECORDS

A.  All public records in either party state concerning any lands the sovereignty over which is changed by this compact are accepted as evidence of record title to such lands, to and including the effective date of this compact, by the courts of the other state and the federal courts.

B.  As to lands the sovereignty over which is changed by this compact, the recording officials of the counties of each party state shall accept for filing certified copies of documents of title previously filed in the other state and documents of title using legal descriptions derived from the land descriptions of the other state.  The acceptance of a document for filing has no bearing on its legal effect or sufficiency.  The legal sufficiency of a document's form, execution, and acknowledgments and the document's ability to convey or otherwise affect title, are determined by the document itself and the real estate laws of the jurisdiction in which the land was located at the time the document was executed or took effect.

ARTICLE VI.  TAXES

A.  Except as provided by subsections B and C of this article, the lands the sovereignty over which is changed by this compact are, after the effective date of this compact, subject to taxation only by the state gaining sovereignty over the lands by this compact.  

B.  Taxes for the year of adoption of this compact for property the jurisdiction over which is changed by this compact may be lawfully imposed only by the state in which the property was located on January 1 of the year of adoption of this compact.  The taxes for the year of adoption may be levied and collected by that state or its authorized governmental subdivisions or agencies, and any liens or other rights accrued or accruing, including the right of collection, are fully recognized, except that all liens or other rights arising out of the imposition of those taxes must be claimed or asserted within five (5) years after this compact takes effect or they are barred.

C.  The party states recognize that the boundary between the states will change from time to time as a result of the natural actions of accretion, erosion, and avulsion and agree that for years subsequent to the year of adoption of this compact, the state within which lands adjoining the boundary line are located on January 1 of each year has the right to levy and collect taxes for the entire ensuing year.

D.  All taxes currently assessed by governmental entities in each party state as to lands that border or cross the boundary line established by this compact are presumed to be correct as to acreage within the particular jurisdiction, absent competent proof to the contrary presented in writing by the property owner or owners to the appropriate taxing agencies.  All such proof must be presented to the appropriate taxing agencies before May 1 of the year following the year in which this compact takes effect.  In subsequent years it is presumed that the acreage taxed in each jurisdiction for the previous year was correct unless evidence of change is furnished to or obtained by the various taxing agencies under rules and regulations adopted by those taxing agencies.

ARTICLE VII.  PROPERTY AND WATER RIGHTS

This compact does not change:

1.  The title of any person or entity, public or private, to any of the lands adjacent to the Red River;

2.  The rights, including riparian rights, if any, of any person or entity, public or private, that exist as a result of the person's or entity's title to lands adjacent to the Red River; or

3.  The boundaries of those lands.

ARTICLE VIII.  EFFECTIVE DATE

This compact takes effect when enacted by the states of Oklahoma and Texas and consented to by the United States Congress.

ARTICLE IX.  ENFORCEMENT

A.  This compact does not limit or prevent either party state from instituting or maintaining any action or proceeding, legal or equitable, in any court having jurisdiction, for the protection of any right under this compact or the enforcement of any of its provisions.

B.  This compact is not binding or obligatory on either party state unless and until it has been enacted by both states and consented to by the United States Congress.  Notice of enactment of this compact by each state shall be given by the Governor of that state to the Governor of the other state and to the President of the United States.  The president is requested to give notice to the governors of the party states of the consent to this compact by the United States Congress.

ARTICLE X.  AMENDMENTS

This compact remains in full force and effect unless amended in the same manner as it was created.

Added by Laws 1999, c. 316, § 2, emerg. eff. June 4, 1999.

§74-6107.  Negotiations to resolve differences.

NEGOTIATIONS TO RESOLVE DIFFERENCES

A.  If the State of Texas enters into the Red River Boundary Compact in substantially the form provided in Section 2 of this act, the designee of the Oklahoma Red River Boundary Commission has the authority to negotiate with the appropriate Texas representative to resolve any differences between the States of Oklahoma and Texas regarding matters covered by the compact.  The designee shall conduct the negotiations in cooperation with the Oklahoma Red River Boundary Commission.

B.  The designee shall report annually to the Governor of this state, or more frequently if necessary, on the status of the negotiations.

Added by Laws 1999, c. 316, § 3, emerg. eff. June 4, 1999.

§74-6108. Implementation of compact.

IMPLEMENTATION OF COMPACT

A.  If the State of Texas enters into the Red River Boundary Compact in substantially the form provided by Section 2 of this act, the designee of the Oklahoma Red River Boundary Commission has the authority to negotiate with the appropriate Texas representative to establish procedures for implementing the compact's provisions.  The designee shall conduct the negotiations in cooperation with the Oklahoma Red River Boundary Commission.

B.  The designee shall report annually to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate, or more frequently if necessary, on the status of the negotiations.

C.  A procedure for implementing a provision of the compact must be approved by the Governor of this state.

Added by Laws 1999, c. 316, § 4, emerg. eff. June 4, 1999.

§74-6109.  Relation to other law and litigation.

RELATION TO OTHER LAW AND LITIGATION

The Red River Boundary Compact does not affect:

1.  The Red River Compact, the text of which is set out in Section 1431 of Title 82 of the Oklahoma Statutes;  

2.  The riparian rights, if any, of adjacent landowners to access and use the waters of the Red River; or

3.  Litigation pending in either state involving title to land or boundaries of rivers or water bodies of that state.

Added by Laws 1999, c. 316, § 5, emerg. eff. June 4, 1999.

§74-6201.  Lease agreement with Greater Sand Springs Trust Authority.

A.  The Department of Central Services shall enter into a lease agreement with the Greater Sand Springs Trust Authority for a term of ninety-nine (99) years with respect to the real property and improvements constituting the former Hissom Memorial Treatment Center, as more particularly described by subsection C of this section.

B.  The lease agreement described in subsection A of this section:

1.  Shall allow the Greater Sand Springs Trust Authority to enter into agreements regarding the property described in subsection C of this section with third parties without the express consent of the Department of Central Services, including the right of the Authority to sublease all or any part of the real property described in subsection C of this section;

2.  Shall provide for the unrestricted access, use and development of the real property described in subsection C of this section by the Greater Sand Springs Trust Authority in order for the Authority to fulfill its purposes according to the terms of its trust indenture, including, but not limited to, the right of the Authority to construct capital improvements on, above or under the property to fulfill the purposes stated in the indenture of the Authority.  The lease shall provide that the Authority owns and maintains capital improvements constructed upon the real property with the funds of the Authority;

3.  Shall provide for the conveyance by the Department of Central Services to the Greater Sand Springs Trust Authority, by quit claim deed or by such other instrument of conveyance as the Department of Central Services and the Authority may mutually agree, for not more than a payment by the Authority to the Department of a nominal consideration not to exceed Ten Dollars ($10.00), of any parcel of real property described by the Authority and certified, by a majority of the trustees of the Authority, to be necessary for a complete development of the property described in subsection C of this section and necessary for the Authority to fulfill any purpose specified in its trust indenture.  A rebuttable presumption shall exist that any conveyance made pursuant to the provisions of this paragraph shall be considered to have been made for the general economic benefit of the residents of the beneficiary of the Greater Sand Springs Trust Authority and that the disposition of the parcel by the Authority is in furtherance of an essential governmental function by making a productive use of the parcel.  After conveyance of a parcel of real property to the Authority pursuant to this paragraph, the Authority shall have the exclusive right to exercise all powers, rights and privileges with respect to the parcel as authorized by law to the owner of any real property, including, but not limited to, the right to sell the parcel as provided by paragraph 4 of this subsection;

4.  Shall provide for the conveyance by the Authority to another legal entity, by quit claim deed or by such other instrument of conveyance as the Authority and the other legal entity may mutually agree, of any parcel of real property described by the Authority the proposed conveyance of which to be certified, by a majority of the trustees of the Authority, as necessary for a complete development of the property described in subsection C of this section and necessary for the Authority to fulfill any purpose specified in its trust indenture.  A rebuttable presumption shall exist that any conveyance made pursuant to the provisions of this paragraph shall be considered to have been made for the general economic benefit of the residents of the beneficiary of the Greater Sand Springs Trust Authority and that the disposition of the parcel by the Authority is in furtherance of an essential governmental function by making a productive use of the parcel.  If the Authority sells any part or all of the real property or improvements described in subsection C of this section subsequent to the conveyance to the Authority by the Department of Central Services, the Authority shall determine the value of the real property sold separate and apart from the value of the improvements, if any.  The Authority shall determine its direct and indirect costs for acquisition, maintenance, improvement, marketing and sale of any parcel of real property conveyed to a legal entity pursuant to this paragraph.  The Authority shall pay to the Department of Central Services the amount of consideration received by the Authority from the sale of the real property in excess of the direct and indirect costs incurred by the Authority.  The Department of Central Services shall budget all funds received from the sale of any parcel pursuant to this section.  These funds shall be expended by the Department of Central Services for the sole purpose of additional maintenance or improvements for the remainder of the real property or for improvements at the property described in this section.  Upon sale of the final parcel or real property and improvements pursuant to this section, the Department of Central Services shall remit the amount received and all remaining funds from previous sales for deposit to the credit of the Hissom Memorial Treatment Center Surplus Fund for appropriation pursuant to law;

5.  Shall provide that the Department of Central Services shall maintain the real property and the improvements located on the real property described in subsection C of this section in a manner conducive to the preservation of existing economic value of the real property and improvements, subject to the ordinary depreciation of the improvements, until such time as the Authority acquires ownership of a parcel whereupon the Authority and the Department of Central Services, by mutual written agreement, shall amend the lease to provide for proportionately diminished maintenance expenses to be incurred by the Department of Central Services or some other legal entity;

6.  Shall not require the payment of rent by the Greater Sand Springs Trust Authority in excess of One Dollar ($1.00) per year;

7.  Shall not require a purchase price for any option granted to the Greater Sand Springs Trust Authority to acquire any parcel of the property described by subsection C of this section in excess of Ten Dollars ($10.00);

8.  Shall not require the Department of Central Services to consent to a sublease of the property described by subsection C of this section by the Authority to any other legal entity; and

9.  Shall not impose the expense of maintenance or repair of the real property or improvements located on the property described by subsection C of this section upon the Greater Sand Springs Trust Authority, except as otherwise provided by paragraph 5 of this subsection.

C.  The real property and improvements which shall be leased by the Department of Central Services to the Greater Sand Springs Trust Authority as required by subsection A of this section are described as follows:

1.  "Tract 2" identified as:

a. a part of the North Half (N 1/2) of Section 16 and Part of the South Half (S 1/2) of Section 9, Township 19 North, Range 11 East of Indian Meridian, Tulsa County, Oklahoma, more particularly described as follows:  beginning at a point that is 430.00 feet east and 330.00 feet south of the northwest corner of the northeast quarter (NE 1/4) of Section 16, said point is 20.00 feet east of the east edge of an existing road; thence south and 20.00 feet east of the east edge of an existing road and said line extended south to a point on the northerly right-of-way line of the Burlington North Railroad right-of-way (formerly the S.L. & S.F. Railroad right-of-way); thence northwesterly on the northerly right-of-way line of said railroad right-of-way to a point on the west line of the northeast quarter (NE 1/4), said point being approximately 880.00 feet north from the center of Section 16; thence north on the west line of the northeast quarter (NE 1/4) to a point that is approximately 935.00 feet north of the center of Section 16 and said point is also on the northerly right-of-way line of said railroad right-of-way; thence northwesterly on said northerly right-of-way line of a point that is south 71 degrees 00' 59" east and 376.44 feet from the westerly line of Section 16; thence north 01 degrees 13' 03" west for a distance of 691.51 feet; thence south 88 degrees 57' 23" west for a distance of 353.00 feet to a point on the west line of said Section 16; thence north a distance of 85.00 feet on the west line of Section 16 to the northwest corner of Section 16; thence east on the north line of said Section 16 to the northeast corner of the northwest quarter (NW 1/4) of the northwest quarter (NW 1/4) of Section 16, same being the southwest corner of the southeast quarter (SE 1/4) of the southwest quarter (SW 1/4) of Section 9, Township 19 North, Range 11 East of I.M.; thence north on the west line of government lots 7 and 5 to the south bank (Meander Line of Right Bank) of the Arkansas River; thence southeasterly on the south bank (Meander Line of Right Bank) of the Arkansas River through government lots 4, 7 & 8 in Section 9 to the south line of Section 9; thence continuing southeasterly south bank (Meander Line of Right Bank) of Arkansas River and along the northeasterly line of government lot 2 (Meander Line of Right Bank) of Arkansas River and into the northeast quarter (NE 1/4) of Section 16 to a point that is 330.00 feet south of the north line of Section 16; thence west and parallel to the north line of a point that is 430.00 feet east and 330.00 feet south of the northwest corner of Section 16 to the point or place of beginning, and

b. together with all the improvements thereon and the appurtenances thereto belonging to such property; and

2.  "Tract A" identified as:

a. a part of the northeast quarter (NE 1/4) of Section 16, Township 19 North, Range 11 East of Indian Meridian, Tulsa County, Oklahoma, more particularly described as follows:  beginning at a point 430.00 feet east and 330.00 feet south of the northwest corner of the northeast quarter (NE 1/4); thence east and parallel to the north line of said northeast quarter (NE 1/4) to the south bank (Meander Line of Right Bank) of the Arkansas River; thence southeasterly on said south bank (Meander Line of Right Bank) of the Arkansas River to a point that is 20.00 feet northerly of an existing concrete channel; thence southwesterly parallel with and 20.00 feet northerly of said concrete channel for a distance of approximately 370.00 feet; thence west on a line that is 1100.00 feet south of the north line of said northeast quarter (NE 1/4) to a point that is 20.00 feet east of the east edge of an existing road, said point also being 430.00 feet east of the west line of said northeast quarter (NE 1/4); thence northerly and 20 feet east of the east edge of said road to the point or place of beginning, and

b. together with all the improvements thereon and the appurtenances thereto belonging to such property.

D.  The Authority shall have the right to access, ingress, egress, use and enjoyment of the roads existing on the property described by subsection C of this section as of the effective date of this act.

E.  With respect to the real property and improvements described in subsection C of this section and the lease agreement required by subsection A of this section, or any transfer of the property to the Authority, the Department of Central Services shall not be subject to the requirements of:

1.  Section 387 of Title 60 of the Oklahoma Statutes;

2.  Section 241 of Title 64 of the Oklahoma Statutes;

3.  Section 126.2 of this title;

4.  Section 129.4 of this title; or

5.  Section 456.7 of this title.

F.  With respect to the lease or sale of any part or all of the real property or improvements described in subsection C of this section, the Greater Sand Springs Trust Authority shall not be subject to the requirements of:

1.  Section 387 of Title 60 of the Oklahoma Statutes;

2.  Section 241 of Title 64 of the Oklahoma Statutes;

3.  Section 129.4 of this title; or

4.  Section 456.7 of this title.

Added by Laws 1997, c. 292, § 1, eff. July 1, 1997.  Amended by Laws 2000, c. 339, § 22, emerg. eff. June 6, 2000; Laws 2005, c. 96, § 1, eff. Nov. 1, 2005.

§74-6202.  Hissom Memorial Treatment Center Oversight Committee.

A.  There is hereby created the Hissom Memorial Treatment Center Oversight Committee.

B.  The Committee shall consist of the following persons:

1.  One person appointed by the Governor from a list of three nominees submitted by the Speaker of the House of Representatives;

2.  One person appointed by the Governor from a list of three nominees submitted by the President Pro Tempore of the Senate; and

3.  One person appointed by the Governor from a list of three nominees submitted by the City Council of the City of Sand Springs.

C.  The duties of the Committee shall be to:

1.  Monitor the continued maintenance of the real property and improvements described in subsection C of Section 1 of this act to ensure that the improvements do not diminish in economic value further than is reasonable to be expected given the condition of the improvements and available financial resources;

2.  Assist the Greater Sand Springs Trust Authority and the Department of Central Services in providing for the orderly and beneficial development of the real property and improvements constituting the former Hissom Memorial Treatment Center; and

3.  Serve as an additional resource of information for persons or legal entities that express an interest in occupying, using or purchasing any part or all of the real property constituting the former Hissom Memorial Treatment Center.

D.  The Committee shall be subject to the provisions of the Oklahoma Open Meeting Act.

E.  The Committee shall be subject to the provisions of the Oklahoma Open Records Act, including the provisions regarding information that may be kept confidential pursuant to Section 24A.10 of Title 51 of the Oklahoma Statutes.

F.  No person appointed to any of the positions constituting the Committee who is, at the time of the appointment to the Committee or subsequent to the date of appointment, a public official or officer shall be deemed to be serving in a dual capacity and such person shall be specifically exempt from the provisions of Section 6 of Title 51 of the Oklahoma Statutes.

G.  The Committee shall:

1.  Act in the interest of and for the economic benefit of persons and business entities in the region of the facility formerly known as the Hissom Memorial Treatment Center with the objective of economic development;

2.  Make recommendations in the event of disputes or issues regarding the development, use or occupancy of the real property described by subsection C of Section 1 of this act, but shall not have the power to bind any party to such recommendation; and

3.  Make such reports or recommendations to the Board of Trustees of the Greater Sand Springs Trust Authority at such times and regarding such topics as may be pertinent to the development of the real property and improvements described in subsection C of Section 1 of this act.

H.  The Committee shall act in an advisory capacity only and shall not have the power or authority to require the Greater Sand Springs Trust Authority to obtain permission or consent from the Committee in order to take any action with respect to the real property or improvements described in subsection C of Section 1 of this act.  No power or authority conferred upon the Committee shall in any way be construed as a limit or modification of the powers granted to the Greater Sand Springs Trust Authority pursuant to its trust indenture.

I.  The Committee shall not have authority or power to perform any act that is inconsistent with the powers, rights or duties of the Department of Central Services with respect to the real property described by subsection C of Section 1 of this act.

Added by Laws 1997, c. 292, § 2, eff. July 1, 1997.

§74-6203.  Hissom Memorial Treatment Center Surplus Fund.

There is hereby created in the State Treasury a fund for the Department of Central Services to be designated the "Hissom Memorial Treatment Center Surplus Fund".  The fund shall be subject to legislative appropriation and shall consist of all monies deposited into the fund by law.

Added by Laws 1997, c. 292, § 3, eff. July 1, 1997.

§747001.  Short title.

This act, Section 7001 et seq. of this title, shall be known and may be cited as the "Oklahoma State Employee Charitable Contribution Act".

Added by Laws 1989, c. 142, § 1, emerg. eff. May 1, 1989.  Amended by Laws 1993, c. 103, § 1, eff. Jan. 1, 1995.

§74-7002.  State Charitable Campaign.

In an effort to provide the employees of the State of Oklahoma with a convenient and responsible system which will allow them to contribute through payroll deduction to several fully accountable private nonprofit social, health and welfare organizations on a voluntary basis, there is hereby created a combined charitable solicitation to be called the "State Charitable Campaign".

Added by Laws 1989, c. 142, § 2, emerg. eff. May 1, 1989.  Amended by Laws 1993, c. 103, § 2, eff. Jan 1, 1995; Laws 2004, c. 312, § 13, eff. July 1, 2004.

§74-7003.  Definitions.

As used in the Oklahoma State Employee Charitable Contribution Act:

1.  "Federation" means a legally constituted grouping of at least five health and social service agencies that are bound together to raise and distribute charitable contributions;

2.  "State presence" means a test to determine whether the agency actually provides service to people in the State of Oklahoma;

3.  "Local advisory review committee" means a group of state employees in a facility or agency assisting in the local involvement of state employees in the campaign;

4.  "Principal combined fund raising organization" means the organization in the State of Oklahoma responsible for the charitable contribution campaign; and

5.  "State Agency Review Committee" means a group of state employees responsible for overseeing at the state level the conducting of the State Charitable Campaign.

Added by Laws 1989, c. 142, § 3, emerg. eff. May 1, 1989.  Amended by Laws 1993, c. 103, § 3, eff. Jan 1, 1995; Laws 2004, c. 312, § 14, eff. July 1, 2004.

§74-7004.  Administration of Campaign - Legal compliance.

The State Charitable Campaign shall be administered in accordance with the provisions of the Oklahoma State Employee Charitable Contribution Act and shall comply with all applicable federal, state and local statutes and ordinances.

Added by Laws 1989, c. 142, § 4, emerg. eff. May 1, 1989.  Amended by Laws 1993, c. 103, § 4, eff. Jan 1, 1995; Laws 2004, c. 312, § 15, eff. July 1, 2004.

§74-7005.  State Agency Review Committee - Chairman - Duties and responsibilities.

A.  The State Agency Review Committee shall be composed of the Administrator of the Office of Personnel Management, or designee and six (6) state employees, of which two shall be appointed by the Governor, two shall be appointed by the President Pro Tempore of the Senate and two shall be appointed by the Speaker of the House of Representatives.  Members shall serve at the pleasure of their appointing authorities.  The provisions of Section 6 of Title 51 of the Oklahoma Statutes shall not apply to appointments to the Committee.  The Committee is created to continue until July 1, 2006, in accordance with the provisions of the Oklahoma Sunset Law.

B.  The Committee annually shall elect a chairman from its membership.  The Administrator of the Office of Personnel Management shall serve as chairman until the first such election.

C.  The State Agency Review Committee shall have the following duties and responsibilities:

1.  Arrange for publication of information about the application process;

2.  Review applications of federations electing to participate in the State Charitable Campaign and certify that a federation and each of its member agencies meet the eligibility criteria set forth in Sections 7009 and 7010 of this title;

3.  Notify in writing each of the applying federations of its acceptance or rejection.  Provided, if a federation is rejected, the Committee shall provide the reason for rejection of each of the member agencies of the federation;

4.  Hear appeals of rejected agencies;

5.  Delegate to the principal combined fund raising organization the primary responsibility for the staffing of and the financial obligations necessary to comply with the provisions of this subsection;

6.  Develop a pledge card to be used throughout the State Charitable Campaign;

7.  Select a principal combined fund raising organization to assist the Committee in gathering and accumulating the applications; and

8.  Promulgate rules to implement the provisions of the Oklahoma State Employee Charitable Contribution Act.

D.  The Office of Personnel Management shall provide such staff support as is required by the Committee.

E.  The State Agency Review Committee is authorized to appoint such advisory councils and task forces as it deems necessary for counsel, advice and review concerning the formulation and administration of the rules, application review process and the

implementation of the Oklahoma State Employee Charitable Contribution Act.

Added by Laws 1989, c. 142, § 5, emerg. eff. May 1, 1989.  Amended by Laws 1990, c. 291, § 2, eff. Sept. 1, 1990; Laws 1994, c. 109, § 1, emerg. eff. April 24, 1994; Laws 2000, c. 20, § 1; Laws 2004, c. 312, § 16, eff. July 1, 2004.

NOTE:  Laws 1993, c. 103, § 5 repealed by Laws 1994, c. 109, § 2, emerg. eff. April 24, 1994.

§74-7006.  Repealed by Laws 1993, c. 103, § 11, emerg. eff. April 23, 1993.

§74-7007.  State principal combined fund raising organization - Definition - Duties and responsibilities.

A.  The state principal combined fund raising organization shall be a local federation in the State of Oklahoma that provides, through one specific annual public solicitation for funds, substantial voluntary financial support for charitable agencies that depend on public subscription for support in the state and that has the necessary staff and volunteer support to administer the charitable contribution campaign.

B.  The state principal combined fund raising organization shall have the following duties and responsibilities:

1.  Work with the State Agency Review Committee to develop the charitable contribution campaign plan for the State Charitable Campaign;

2.  Develop the charitable contribution campaign materials and publicity for the State Charitable Campaign;

3.  Recruit and train the volunteers, departmental coordinators and solicitors in a bipartisan manner; develop and keep records on all the accounts to be solicited; and cultivate the accounts to encourage participation in the charitable contribution campaign;

4.  Keep all fiscal and financial records of the activities and submit to the State Agency Review Committee a separate accounting of all proceeds of the State Charitable Campaign;

5.  Submit to the participating federations a detailed accounting of the amount of money designated to the federation and to each of its member agencies; and

6.  Disperse the allocation checks to the participating agencies.

C.  Each state employee shall receive from the state principal combined fund raising organization general information material with each federation listed and each of its member agencies listed under the federation.  Each agency and federation shall be identified by a code number.  If descriptions of each agency are used in the general information material, they shall be provided to the state principal combined fund raising organization by the federations.

D.  Each state employee shall be given the option to designate his or her gifts.  Undesignated gifts shall be allocated pursuant to the provisions of subsection E of this section.

E.  Undesignated money shall be distributed in the same proportion as designated dollars within the State of Oklahoma.

F.  Allocations shall be distributed quarterly; provided, for campaigns of One Hundred Thousand Dollars ($100,000.00) or less, allocations shall be distributed semiannually.  Any interest earned from funds held prior to distribution will be distributed proportionally to the distribution of undesignated funds.

Added by Laws 1989, c. 142, § 7, emerg. eff. May 1, 1989.  Amended by Laws 1990, c. 291, § 3, eff. Sept. 1, 1990; Laws 1993, c. 103, § 6, eff. Jan. 1, 1995; Laws 2004, c. 312, § 17, eff. July 1, 2004.

§747008.  Reimbursement cost of administration of local campaigns  Limit.

The reimbursement cost for developing the charitable contribution campaign materials, training the solicitors and the overall administration of the campaign by the state principal combined fund organization shall be no greater than ten percent (10%) of the charitable contribution campaign proceeds or actual cost, whichever is less.  The cost shall be borne by each of the federations or organizations proportionally.  A charitable campaign budget shall be presented to the State Agency Review Committee by the state principal combined fund raising organization.

Added by Laws 1989, c. 142, § 8, emerg. eff. May 1, 1989.  Amended by Laws 1993, c. 103, § 7, eff. Jan 1, 1995.

§74-7009.  Participating agencies - Qualifications - Criteria - Applications.

A.  Participation in the State Charitable Campaign shall be limited to voluntary, charitable, health and welfare agencies that provide or support direct health and welfare services to individuals or their families and meet the criteria set out in this section.  The health and welfare services shall be available to state employees, unless they are rendered to needy persons overseas.  The services shall directly benefit human beings, whether children, youth, adults, the aged, the ill and infirm, or the mentally or physically handicapped.  The services shall consist of care, research, or education in the fields of human health or social adjustment and rehabilitation; relief for victims of natural disasters and other emergencies; or assistance to those who are impoverished and, therefore, in need of food, shelter, clothing, and basic human welfare services.

B.  For the purposes of the State Charitable Campaign, basic human welfare service shall not include:

1.  Organizations whose primary purpose is the direct or indirect support of institutions of higher education;

2.  Lobbying; and

3.  Religious activities.

C.  To be included in the State Charitable Campaign, a voluntary charitable agency, in addition to meeting the other requirements set forth in this section, shall:

1.  Be a nonprofit, tax-exempt charitable organization and submit to the participating federation a 501(c)(3) exemption from the Internal Revenue Service;

2.  Be incorporated or authorized to do business in this state as a private, nonprofit organization;

3.  Register, annually, with the Secretary of State to solicit or accept contributions in this state;

4.  Submit to the participating federation an audit of the agency, conducted by an accounting firm or individual holding a permit to practice public accounting in this state according to the generally accepted standards of accounting for nonprofit organizations; and

5.  Submit to the participating federation a copy of the annual form 990.

D.  Applications to the State Charitable Campaign shall be submitted to the State Agency Review Committee from local federations which shall include United Ways, United Funds, Combined Health Appeals, International Social Service Agencies and any other local federation consisting of at least five local agencies which meet the requirements of this section.  Each federation shall certify the application for its member agencies and shall give state charitable agencies precedence over national agencies if both qualify for the charitable contribution campaign.  Applications from individual agencies shall not be accepted.

Added by Laws 1989, c. 142, § 9, emerg. eff. May 1, 1989.  Amended by Laws 1990, c. 291, § 4, eff. Sept. 1, 1990; Laws 1991, c. 68, § 1, emerg. eff. April 12, 1991; Laws 1993, c. 103, § 8, eff. Jan. 1, 1995; Laws 1999, c. 421, § 42, eff. Nov. 1, 1999; Laws 2004, c. 312, § 18, eff. July 1, 2004.

§74-7009.1.  Voluntary charitable agencies with budget of less than $50,000 - No audit required.

Notwithstanding the provisions of Section 7009 of Title 74 of the Oklahoma Statutes, if the annual budget of a voluntary charitable agency is less than Fifty Thousand Dollars ($50,000.00), no annual audit shall be required.

Added by Laws 1993, c. 103, § 9, emerg. eff. April 23, 1993.

§74-7010.  Admission of agencies to campaign - State presence test - Exemptions.

A.  A charitable agency wishing to be admitted to the State Charitable Campaign shall be required to demonstrate state presence.  The agency must comply with all of the following criteria in order to meet the state presence test:

1.  The agency must provide or procure direct human care services for persons residing in the state in which the charitable contribution campaign will be conducted;

2.  The agency shall have a board of directors that serves without compensation;

3.  A majority of the members of the board of directors shall be residents of the state;

4.  Consumers of service from the state shall be represented within the membership of the board of directors; and

5.  A substantial portion of the agency's annual budget shall be derived from public solicitations in the State of Oklahoma.

B.  Agencies whose primary focus is the providing of services to the needy overseas and Combined Health Agencies operating in this state shall be exempt from complying with the criteria set out in subsection A of this section and need not demonstrate state presence.

C.  The Armed Forces Veterans Homes Foundation shall be exempt from the provisions of this section and shall be authorized to participate in the State Charitable Campaign.

Added by Laws 1989, c. 142, § 10, emerg. eff. May 1, 1989.  Amended by Laws 1990, c. 291, § 5, eff. Sept. 1, 1990; Laws 1993, c. 103, § 10, eff. Jan. 1, 1995; Laws 2004, c. 312, § 19, eff. July 1, 2004.

§74-7011.  Repealed by Laws 1993, c. 103, § 11, emerg. eff. April 23, 1993.

§74-7050.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7051.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7052.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7053.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7054.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7055.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7056.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7057.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7058.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7059.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7060.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7061.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7062.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7063.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7064.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7065.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7066.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7067.  Repealed by Laws 2001, c. 303, § 3, eff. July 1, 2001.

§74-7068.  Abolition of Medical Technology and Research Authority - Transfer of powers, duties, and responsibilities to University of Oklahoma.

A.  The Medical Technology and Research Authority of Oklahoma is hereby abolished.  Effective July 1, 2001, the powers, duties, and responsibilities of the Authority as set forth in subsection C of this section shall be transferred to the University of Oklahoma.  All employees, property, records, unexpended funds, and outstanding financial obligations and encumbrances of the Authority are hereby transferred to the University of Oklahoma.

B.  1.  Employees transferred to the University of Oklahoma pursuant to this section shall retain pay and benefits, to the extent possible, including longevity, insurance benefits for themselves and their dependents, seniority, and rights and other privileges and benefits.

2. a. An employee transferred pursuant to the provisions of this section may elect to remain as a member of the Oklahoma Public Employees Retirement System and, if the employee elects to do so, shall file an election on a form prescribed for that purpose with the Oklahoma Public Employees Retirement System not later than December 31, 2001, or the employee may elect to become a member of the Teachers' Retirement System of Oklahoma and, if the employee elects to do so, shall file an election on a form prescribed for that purpose with the Teachers' Retirement System of Oklahoma not later than December 31, 2001.  

b. If an employee files the election provided for in this paragraph to continue membership in the Oklahoma Public Employees Retirement System, the University of Oklahoma shall pay the required employer contributions applicable to the participating employers in the Oklahoma Public Employees Retirement System pursuant to Section 920 of Title 74 of the Oklahoma Statutes and the employee shall continue to pay employee contributions as required by Section 919.1 of Title 74 of the Oklahoma Statutes.

c. Until an employee files an election pursuant to this paragraph, the employee shall continue to be a member of the Oklahoma Public Employees Retirement System and the University of Oklahoma shall make required employer contributions pursuant to Section 920 of Title 74 of the Oklahoma Statutes.

d. If an employee transferred pursuant to this section elects a vested benefit to be paid from the Oklahoma Public Employees Retirement System, and if the employee has accumulated sick leave, on June 30, 2001, equal to or in excess of one hundred thirty (130) days then, notwithstanding the actual amount of accumulated sick leave the employee has accrued on the date as of which the vested benefit is elected, the provisions of Section 913 of Title 74 of the Oklahoma Statutes shall be applicable to the computation of participating service credit based upon accumulated sick leave for such employee.

3. a. An employee transferred pursuant to the provisions of this section may elect to become a member of the Teachers' Retirement System of Oklahoma pursuant to the election authorized by this section.  If the employee makes an election to become a member of the Teachers' Retirement System of Oklahoma, the employee may acquire service credit in the Teachers' Retirement System of Oklahoma pursuant to the provisions of Section 17-116.2 of Title 70 of the Oklahoma Statutes.

b. On and after the date that an employee makes an election to become a member of the Teachers' Retirement System of Oklahoma pursuant to subparagraph a of paragraph 2 of this subsection, the University of Oklahoma shall make required contributions pursuant to Section 17-108.1 of Title 70 of the Oklahoma Statutes and the employee shall make required contributions imposed pursuant to Section 17-116.2 of Title 70 of the Oklahoma Statutes.

c. On and after the date that an employee files the election to become a member of the Teachers' Retirement System of Oklahoma, the University of Oklahoma and the employee making the election shall be subject to all requirements of the provisions of Sections 17-101 et seq. of Title 70 of the Oklahoma Statutes governing the Teachers' Retirement System of Oklahoma.

C.  The following powers, duties, and responsibilities of the Authority shall be transferred to the University of Oklahoma:

1.  The regulation and control of all vehicular parking within the district, including vehicular parking in parking garages, on parking lots, along driveways and along public or private streets, and at all other locations within the district.  The University of Oklahoma is specifically empowered to regulate the number of vehicular parking spaces within the district, the hours of operation and availability of vehicular parking spaces, the charges to be assessed to the users of vehicular parking spaces and standards of construction and operation with respect to all vehicular parking facilities or areas within the district.  In furtherance of the foregoing, the University may enter into agreements with the City of Oklahoma City or other governmental agencies with respect to enforcement of parking regulations; however, in all cases, the jurisdiction, power and authority to regulate vehicular parking granted by this act to the University shall be superior to and shall control over any parking jurisdiction possessed by any other agency of state government, political subdivision or municipality.  No vehicular parking spaces shall be created or allowed to continue within the district unless authorized by the University.  Notwithstanding anything contained herein to the contrary, vehicular parking garages and hard-surfaced parking lots existing on May 1, 1990, not within public streets or rights-of-way, and having individual capacities in excess of ten (10) vehicular parking spaces, shall not be subject to the powers of the University as granted by this paragraph as to parking regulation unless, with respect to an individual property, the holder of same shall consent to such regulation by the University.  Those parties not consenting to regulation by the University shall be responsible for the maintenance and operation of their respective parking garages; and

2.  The regulation and control of vehicular parking within the secondary district as follows:  No parking garages or parking lots shall be constructed or used without the prior approval of the University; however, vehicular parking accessory to a building, provided to meet the minimum vehicular parking requirements of the City of Oklahoma City for such building, need not obtain approval of the University; provided further, all parking in excess of such minimum requirements shall obtain the approval of the University.  University approval shall not be required for vehicular parking garages or parking lots existing on May 1, 1990.  Parking accessory to a residence shall not require University approval.

D.  As used in this section:

1.  "District" means an area of Oklahoma County described as follows:  Beginning at a point on the centerline of the Centennial Expressway which intersects N.E. 11th Street, extended, thence east along the north right-of-way line of N.E. 11th Street and N.E. 11th Street extended to the west right-of-way line of Stiles Avenue, thence north along the west right-of-way line of Stiles Avenue to the north right-of-way line of N.E. 13th Street, thence east along the north right-of-way of N.E. 13th Street to the east right-of-way of Lincoln Boulevard, thence north along the west right-of-way line of Lincoln Boulevard to the intersection of the north right-of-way line of the east-west alley, extended, located in Block 7, Howe's Capitol Addition, thence east along the north right-of-way line of said alley and said alley, extended, to the west right-of-way line of Lindsay Avenue, thence north along the west right-of-way line of Lindsay Avenue to the north right-of-way line of N.E. 14th Street, thence east along the north right-of-way line of N.E. 14th Street to the west right-of-way line of Phillips Avenue, thence north along the west right-of-way line of Phillips Avenue to the north right-of-way line of N.E. 16th Street, thence east along the north right-of-way line of N.E. 16th Street to the east right-of-way line of McMecham Parkway, McMecham Parkway, also known as McMechan Parkway, also known as McMeachan Parkway, thence south along the east right-of-way line of McMecham Parkway, thence south along the east right-of-way line of McMecham Parkway to the north right-of-way line of N.E. 15th Street, thence east along the north right-of-way line of N.E. 15th Street to the east right-of-way line of Kelley Avenue, thence south along the east right-of-way line of Kelley Avenue to the north right-of-way line of N.E. 13th Street, thence northeasterly and east along the north right-of-way line of N.E. 13th Street to the east right-of-way line of Lottie Avenue, thence south along the east right-of-way line of Lottie Avenue to the south right-of-way line of N.E. 8th Street, thence west along the south right-of-way line of N.E. 8th Street to the east right-of-way line of North Lindsay Avenue, thence south along the east right-of-way line of Lindsay Avenue to the south right-of-way line of N.E. 6th Street and N.E. 6th Street, extended, thence west along the south right-of-way line of N.E. 6th Street to the east right-of-way line of Lincoln Boulevard, thence south along the east right-of-way line of Lincoln Boulevard to the south right-of-way line of N.E. 4th Street, thence west along the south right-of-way line of N.E. 4th Street to the centerline of the Centennial Expressway, thence north along the centerline of the Centennial Expressway to intersect with the north right-of-way line of N.E. 11th Street extended, being the point of beginning; and

2.  "Secondary district" means an area extending one thousand five hundred (1,500) feet beyond the boundaries of the district, but in no case west of the centerline of the Centennial Expressway.

Added by Laws 2001, c. 303, § 2, eff. July 1, 2001.

§74-7101.  Renumbered as § 840-2.10 of this title by Laws 1994, c. 242, § 54.

§74-8000.1.  Tulsa Race Riot - Legislative findings and intent.

The Oklahoma Legislature hereby finds, pursuant to the final report of The 1921 Tulsa Race Riot Commission regarding the 1921 Tulsa Race Riot of May 31-June 1, 1921, and the riot=s place in the history of race relations in Oklahoma:

1.  The root causes of the Tulsa Race Riot reside deep in the history of race relations in Oklahoma and Tulsa which included the enactment of Jim Crow laws, acts of racial violence (not the least of which was the 23 lynchings of African-Americans versus only one white from 1911) against African-Americans in Oklahoma, and other actions that had the effect of "putting African-Americans in Oklahoma in their place" and to prove to African-Americans that the forces supportive of segregation possessed the power to "push down, push out, and push under" African-Americans in Oklahoma;

2.  Official reports and accounts of the time that viewed the Tulsa Race Riot as a "Negro uprising" were incorrect.  Given the history of racial violence against African-Americans in Oklahoma, including numerous lynchings by white mobs, and the breakdown of the rule of law in Tulsa on May 31-June 1, 1921, it is understandable that African-Americans believe they needed to assist Tulsa police in protecting Dick Rowland, an African-American accused of attempting to rape a white woman, against an assembled white mob.  The documentation assembled by The 1921 Tulsa Race Riot Commission provides strong evidence that some local municipal and county officials failed to take actions to calm or contain the situation once violence erupted and, in some cases, became participants in the subsequent violence which took place on May 31 and June 1, 1921, and even deputized and armed many whites who were part of a mob that killed, looted, and burned down the Greenwood area;

3.  The staggering cost of the Tulsa Race Riot included the deaths of an estimated 100 to 300 persons, the vast majority of whom were African-Americans, the destruction of 1,256 homes, virtually every school, church and business, and a library and hospital in the Greenwood area, and the loss of personal property caused by rampant looting by white rioters.  The Tulsa Race Riot Commission estimates that the property costs in the Greenwood district was approximately $2 million in 1921 dollars or $16,752,600 in 1999 dollars.  Nevertheless, there were no convictions for any of the violent acts against African-Americans or any insurance payments to African-American property owners who lost their homes or personal property as a result of the Tulsa Race Riot.  Moreover, local officials attempted to block the rebuilding of the Greenwood community by amending the Tulsa building code to require the use of fire-proof material in rebuilding the area thereby making the costs prohibitively expensive;

4.  Perhaps the most repugnant fact regarding the history of the 1921 Tulsa Race Riot is that it was virtually forgotten, with the notable exception of those who witnessed it on both sides, for seventy-five (75) years.  This "conspiracy of silence" served the dominant interests of the state during that period which found the riot a "public relations nightmare" that was "best to be forgotten, something to be swept well beneath history=s carpet" for a community which attempted to attract new businesses and settlers;

5.  The work of many individual Oklahomans and now of The 1921 Tulsa Race Riot Commission has forever ended the "conspiracy of silence" surrounding the events in Tulsa of May 31-June 1, 1921, and their aftermath.  The Commission has subsequently turned the responsibility for how the State of Oklahoma will respond to the historical record to the 48th Oklahoma Legislature; and

6.  The 48th Oklahoma Legislature in enacting the 1921 Tulsa Race Riot Reconciliation Act of 2001 concurs with the conclusion of The 1921 Tulsa Race Riot Commission that the reason for responding in the manner provided by this act is not primarily based on the present strictly legal culpability of the State of Oklahoma or its citizens.  Instead, this response recognizes that there were moral responsibilities at the time of the riot which were ignored and has been ignored ever since rather than confront the realities of an Oklahoma history of race relations that allowed one race to "put down" another race.  Therefore, it is the intention of the Oklahoma Legislature in enacting the 1921 Tulsa Race Riot Reconciliation Act of 2001 to freely acknowledge its moral responsibility on behalf of the state of Oklahoma and its citizens that no race of citizens in Oklahoma has the right or power to subordinate another race today or ever again.

Added by Laws 2001, c. 315, § 2.

§74-8001.  Renumbered as § 683.25 of Title 63 by Laws 1996, c. 244, § 11, eff. July 1, 1996.

§74-8002.  Renumbered as § 683.26 of Title 63 by Laws 1996, c. 244, § 11, eff. July 1, 1996.

§74-8003.  Renumbered as § 683.28 of Title 63 by Laws 1996, c. 244, § 11, eff. July 1, 1996.

§74-8004.  Repealed by Laws 1996, c. 244, § 10, eff. July 1, 1996.

§74-8005.  Repealed by Laws 1996, c. 244, § 10, eff. July 1, 1996.

§74-8006.  Renumbered as § 683.32 of Title 63 by Laws 1996, c. 244, § 11, eff. July 1, 1996.

§74-8007.  Renumbered as § 683.33 of Title 63 by Laws 1996, c. 244, § 11, eff. July 1, 1996.

§74-8008.  Renumbered as § 683.34 of Title 63 by Laws 1996, c. 244, § 11, eff. July 1, 1996.

§74-8101.  Legislative findings and declarations.

A.  The Oklahoma State Legislature hereby finds and declares that:

1.  Statistical studies chronicling the status of African-American males in American society reveal startling and disturbing conditions and trends;

2.  By every indicia measuring achievement, success and quality of life in American society, African-American males are facing a prodigious struggle for survival while fighting formidable opponents;

3.  African-American males make up only three and two-tenths percent (3.2%) of the population of Oklahoma, but are victims of twenty-one and eight-tenths percent (21.8%) of the state's homicides and comprise twenty-one and five-tenths percent (21.5%) of all persons under the control of the State Department of Corrections;

4.  National statistics indicate that one of every twenty-two African-American males will die as a result of homicide and that one of every six African-American males will be arrested by the age of nineteen years;

5.  African-American males make up only three percent (3%) of Oklahoma's total college and university enrollment;

6.  African-American males suffer from more debilitating health problems, a higher death rate and a lower life expectancy than males in other ethnic and racial groups;

7.  Between the years 1973 and 1988, the average real annual income for African-American males in the United States between the ages of twenty and twenty-four years fell by more than fifty percent (50%); and

8.  There is no statewide repository of data available on the status of African-American males.

Added by Laws 1993, c. 96, § 1, emerg. eff. April 18, 1993.

§74-8102.  Creation.

There is hereby established the Oklahoma Task Force on the Status of African-American Males.

Added by Laws 1993, c. 96, § 2, emerg. eff. April 18, 1993.

§74-8103.  Membership - Temporary appointments - Chair and vice chair.

A.  The Oklahoma Task Force on the Status of African-American Males shall consist of twenty-one (21) members, seven of whom shall be appointed by the President Pro Tempore of the Oklahoma Senate, seven of whom shall be appointed by the Speaker of the Oklahoma House of Representatives, and seven of whom shall be appointed by the Governor, as follows:

1.  Appointments to the Task Force shall include, but not be limited to, members of the State Senate and the House of Representatives, professionals in the fields of criminal justice, health and social services, education, employment, economic development, commerce and the media.  State officers or employees may be appointed to the Task Force;

2.  The initial appointments to the Task Force shall be made not later than July 1, 1993, provided that appointments may be made immediately upon passage of this act;

3.  Whenever an appointment to the Task Force is not made by July 1, 1993, the position shall be filled, on a temporary basis, by a person appointed by a quorum of the Task Force.  A person appointed by a quorum of the Task Force shall, however, serve only until the appropriate appointing authority makes a permanent appointment.  For purposes of this paragraph, a quorum of the Task Force shall be ten (10) members, except that none of these ten members shall have been appointed by a quorum of the Task Force;

4.  The President Pro Tempore of the Oklahoma State Senate shall designate a chair for the Task Force from among the Senate appointees; and

5.  The Speaker of the Oklahoma House of Representatives shall designate a vice-chair for the Task Force from among the House of Representatives appointees.

B.  Members of the Task Force shall serve without compensation but may be reimbursed by the appointing authority for necessary travel pursuant to the State Travel Reimbursement Act, Section 500.1 et seq. of Title 74 of the Oklahoma Statutes.

Added by Laws 1993, c. 96, § 3, emerg. eff. April 18, 1993.

§74-8104.  Duties and responsibilities.

A.  It shall be the duty and responsibility of the Oklahoma Task Force on the Status of African-American Males to:

1.  Appoint advisory committees with recognized expertise in the targeted areas listed in paragraph 2 of this section;

2.  Conduct research to determine the nature and extent of the problems concerning African-American males in targeted areas which shall include, but not be limited to, employment, education, criminal justice, social services, health, economic empowerment and the media;

3.  Hold public hearings for the purpose of collecting data;

4.  Identify existing federal, state and local programs that address problems and solutions relevant to the targeted areas of study;

5.  Develop community education and public awareness programs especially designed for African-American males; and

6.  Develop strategies to improve the social condition of African-American males.

B.  Staffing for the Task Force shall be provided by the staffs of the Senate and the House of Representatives.

C.  The Task Force may meet or consult with any persons as may be able to assist the Task Force in carrying out its duties pursuant to this act.

D.  The Task Force shall report its findings to the Legislature and the Governor, upon request, beginning January 31, 1994, and annually thereafter, through January 31, 1996.

Added by Laws 1993, c. 96, § 4, emerg. eff. April 18, 1993.

§74-8121.  Task Force on Electronic Commerce.

A.  There is hereby created to continue until June 1, 2007, the Task Force on Electronic Commerce.  The purpose of the Task Force shall be to study the technology of and applications for electronic commerce and to prepare recommendations for legislative and other action needed to assure the availability and use of electronic commerce technology in the state.

B.  The Task Force shall be composed of fifty (50) members as follows:

1.  The Secretary of State or designee;

2.  The Director of State Finance or designee;

3.  The Director of the Information Services Division of the Office of State Finance or designee;

4.  The Attorney General or designee;

5.  The Director of the Department of Central Services or designee;

6.  The Director of the Oklahoma Department of Commerce or designee;

7.  The Chancellor of the Oklahoma State Regents for Higher Education or designee;

8.  The Chief Justice of the Oklahoma Supreme Court or designee;

9.  The State Auditor and Inspector or designee;

10.  The Superintendent of Public Instruction or designee;

11.  The Administrator of the Oklahoma Securities Commission or designee;

12.  One member who represents the Uniform Commercial Code Filing Office in the office of the county clerk of Oklahoma County;

13.  The Chair of the Evidence Code Committee for the Oklahoma Bar Association;

14.  Three members of the House of Representatives appointed by the Speaker of the House of Representatives;

15.  One member who represents a statewide association of professional engineers and architects to be appointed by the Speaker of the House of Representatives;

16.  Three members of the Senate appointed by the President Pro Tempore of the Senate;

17.  Two members who represent a business association to be appointed by the Governor;

18.  Two members who represent the banking industry to be appointed by the Governor;

19.  One member who represents a state banking association to be appointed by the President Pro Tempore of the Senate;

20.  Two members who represent the insurance industry to be appointed by the Governor;

21.  Two members of the Oklahoma Bar Association to be appointed by the Governor;

22.  One member who represents large manufacturing businesses to be appointed by the Governor;

23.  One member who represents small manufacturing businesses to be appointed by the Governor;

24.  One member from a software or computer services business entity to be appointed by the Governor;

25.  One member who represents the land title profession to be appointed by the Speaker of the House of Representatives;

26.  Two members who represent the telecommunications industry, one to be appointed by the President Pro Tempore of the Senate and one to be appointed by the Speaker of the House of Representatives;

27.  One member who represents a federal governmental agency with offices in Oklahoma to be appointed by the President Pro Tempore of the Senate;

28.  Two members who represent vocational-technical education, one to be appointed by the Speaker of the House of Representatives and one to be appointed by the Governor;

29.  One member who represents credit unions to be appointed by the President Pro Tempore of the Senate;

30.  One member who represents a public school district to be appointed by the Speaker of the House of Representatives;

31.  One member representing the transportation industry appointed by the Governor;

32.  One member representing a statewide oil and gas royalty owners association to be appointed by the Speaker of the House of Representatives;

33.  One member representing a statewide organization of cities and towns to be appointed by the President Pro Tempore of the Senate;

34.  Two members, one who represents a large retailer located in Oklahoma that conducts a majority of its business by means of electronic commerce to be appointed by the Speaker of the Oklahoma House of Representatives and one who represents a small retailer located in Oklahoma that conducts a majority of its business by means of electronic commerce to be appointed by the President Pro Tempore of the State Senate;

35.  One member from a business or firm specializing in web design to be appointed by the Speaker of the House of Representatives;

36.  One member from city government from a city below ten thousand (10,000) in population according to the latest Federal Decennial Census;

37.  One member from county government from a county below thirty thousand (30,000) in population according to the latest Federal Decennial Census; and

38.  Two members at large, one to be appointed by the Speaker of the House of Representatives and one to be appointed by the President Pro Tempore of the Senate.

C.  Members who were serving on the Task Force as of June 1, 2001, shall automatically be appointed to serve on the Task Force on Electronic Commerce after June 1, 2001.

D.  Meetings shall be held at the call of the chairperson.  The Task Force shall meet at such time as established by the chairperson.

E.  The Task Force shall:

1.  Study the technology of and applications for electronic commerce;

2.  Review and compare electronic commerce legislation from other states;

3.  Survey vendors which have developed technology for electronic commerce and review the available technology;

4.  Study the cost of implementing and maintaining a state electronic signature certification program;

5.  Make recommendations on an appropriate structure for a state electronic signature certification program; and

6.  Make recommendations for implementing electronic commerce procedures for state agencies.

F.  Members of the Task Force shall receive no compensation for serving on the Task Force, but shall receive travel reimbursement as follows:

1.  Legislative members of the Task Force shall be reimbursed for their necessary travel expenses incurred in the performance of their duties in accordance with Section 456 of this title from the legislative body in which they serve;

2.  State agency employees who are members of the Task Force shall be reimbursed for travel expenses incurred in the performance of their duties by their respective agencies in accordance with the State Travel Reimbursement Act; and

3.  All other Task Force members shall be reimbursed by the Oklahoma Department of Commerce for travel expenses incurred in performance of their duties on the Task Force, in accordance with the State Travel Reimbursement Act.

G.  As necessary to carry out its charge, the Task Force may seek technical assistance from specialists in electronic commerce technology.

H.  Staffing for the Task Force shall be provided jointly by the staff for the House of Representatives and the State Senate.

Added by Laws 2001, c. 282, § 3, eff. July 1, 2001.  Amended by Laws 2004, c. 180, § 1, eff. July 1, 2004.

§74-8151.  Repealed by Laws 2000, c. 251, § 4, eff. July 1, 2000.

§74-8201.  Repealed by Laws 2001, c. 277, § 16, eff. July 1, 2001.

§74-8201.1.  Tulsa Race Riot Memorial of Reconciliation Design Committee - Membership and duties.

A.  There is hereby created The 1921 Tulsa Race Riot Memorial of Reconciliation Design Committee.  The purpose of the Design Committee shall be to recommend the design of The 1921 Tulsa Race Riot Memorial of Reconciliation and to provide oversight and advice to the Oklahoma Historical Society in the development, construction and operations of such memorial.  Monies appropriated by the Legislature necessary for construction and design of the memorial shall be set at an amount not to exceed Five Million Dollars ($5,000,000.00).

B.  The Committee shall consist of seventeen (17) members as follows:

1.  Two members of the Oklahoma House of Representatives appointed by the Speaker of the House of Representatives;

2.  Two members of the Oklahoma State Senate appointed by the President Pro Tempore of the Senate;

3.  Two members appointed by the Governor;

4.  The former Chair of The 1921 Tulsa Race Riot Commission at the time that the Commission terminated, or a designee;

5.  The Executive Director of the Oklahoma Historical Society, or a designee;

6.  The Executive Director of the Oklahoma Tourism and Recreation Department, or a designee;

7.  The Mayor of the City of Tulsa, or a designee;

8.  The Chair of the Tulsa City Council, or a designee;

9.  The Chair of the Board of County Commissioners of Tulsa County, or designee;

10.  One member, appointed by the Mayor of the City of Tulsa, who shall be a resident in the area of the ward or equivalent political subdivision of the City of Tulsa known as "Greenwood", and historically identified as "Black Wall Street of America";

11.  Two nonlegislator Tulsa County residents, one of whom shall be appointed by the Speaker of the Oklahoma House of Representatives and one of whom shall be appointed by the President Pro Tempore of the Oklahoma State Senate; and

12.  The executive directors or equivalent officers, or their designees, of the Metropolitan Tulsa Chamber of Commerce and the chamber of commerce organization for the Greenwood Area.

C.  The members shall annually elect a chair and vice-chair from among the membership.  Meetings of the Design Committee shall be subject to the provisions of the Oklahoma Open Meeting Act and the Oklahoma Open Records Act.

D.  Members of the Design Committee shall receive no compensation for their service on the Design Committee, but shall receive travel reimbursement as follows:

1.  Legislative members of the Design Committee shall be reimbursed for necessary travel expenses incurred in the performance of their duties in accordance with the provisions of Section 456 of  this title;

2.  Nonlegislative state agency members of the Design Committee shall be reimbursed by their agencies pursuant to the provisions of the State Travel Reimbursement Act; and

3.  Other members of the Design Committee shall be reimbursed by the Oklahoma Historical Society pursuant to the provisions of the State Travel Reimbursement Act.

E.  Staffing for the Design Committee shall be provided by the staffs of the Oklahoma House of Representatives, the Oklahoma State Senate and the Oklahoma Historical Society.

F.  The duties of the Design Committee shall be to:

1.  Develop criteria for and solicit public comment and input on the development and design of The 1921 Tulsa Race Riot Memorial of Reconciliation;

2.  Develop and implement criteria for The 1921 Tulsa Race Riot Memorial of Reconciliation Design Competition which shall include, but not be limited to, solicitation of designs from appropriate persons or entities.  The Design Committee shall select three designs as finalists from among the designs submitted through the competition and shall present the selected designs to the public for comment and input.  The Design Committee shall give due consideration to the comments received from the public in choosing the design that, in the opinion of a majority of the Design Committee members, is most appropriate to commemorate the lives of the victims and honor the survivors of The 1921 Tulsa Race Riot.  The Design Committee shall forward the selected design to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate;

3.  From the three finalists, select the design winner and an alternate whose designs shall be forwarded to the Executive Director of the Oklahoma Historical Society;

4.  Provide oversight and advice to the Oklahoma Historical Society during the development, design and construction of The 1921 Tulsa Race Riot Memorial of Reconciliation; and

5.  Assist with the creation of a nonprofit organization the principal purpose of which shall be to assist in implementing the provisions of the 1921 Tulsa Race Riot Reconciliation Act of 2001.

G.  The Executive Director of the Oklahoma Historical Society shall be responsible for awarding all contracts related to the construction of the memorial.  The Executive Director, in consultation with the Committee, may elect to use the alternate design or recommend the reopening of the award process if the winning design construction exceeds the anticipated budget for the memorial.

Added by Laws 2000, c. 36, § 3, emerg. eff. April 6, 2000.  Amended by Laws 2001, c. 315, § 3; Laws 2002, c. 395, § 1, eff. Nov. 1, 2002.

§74-8201.2.  1921 Tulsa Race Riot Memorial of Reconciliation Revolving Fund.

A.  There is hereby created in the State Treasury a revolving fund for the Oklahoma Historical Society to be designated The 1921 Tulsa Race Riot Memorial of Reconciliation Revolving Fund.  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of:  revenue received pursuant to publication of the final report of The 1921 Tulsa Race Riot Commission; funds received from a joint venture between the City of Tulsa and The 1921 Tulsa Race Riot Commission; gifts; donations; or private, state, or federal grant funds.

B.  All monies accruing to the credit of such fund are hereby appropriated and may be budgeted and expended by the Oklahoma Historical Society for the purpose of paying for expenses associated with publication of the final report of The 1921 Tulsa Race Riot Commission and expenses incurred by The 1921 Tulsa Race Riot Memorial of Reconciliation Design Committee in developing criteria for, selecting the design of, and providing oversight and advice during the development, design and construction of The 1921 Tulsa Race Riot Memorial of Reconciliation.

C.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

Added by Laws 2001, c. 36, § 4, emerg. eff. April 6, 2000.  Amended by Laws 2001, c. 315, § 4.

§74-8202.  Repealed by Laws 2001, c. 277, § 16, eff. July 1, 2001.

§74-8203.  Raising monies for purposes of 1921 Tulsa Race Riot Reconciliation Act of 2001.

It is the intent of the Legislature that the Oklahoma Capitol Complex and Centennial Commemoration Commission and the not-for-profit corporation authorized by Section 98.4 of Title 73 of the Oklahoma Statutes to assist the Commission shall cooperate in raising public and private monies for the purposes set forth in the 1921 Tulsa Race Riot Reconciliation Act of 2001.

Added by Laws 2001, c. 315, § 5.

§74-8204.  Acquisition and development of property for The 1921 Tulsa Race Riot Memorial of Reconciliation.

A.  The Oklahoma Historical Society is hereby authorized to acquire real property for the site for the location of The 1921 Tulsa Race Riot Memorial of Reconciliation.  The site selection shall involve the cooperation of The 1921 Tulsa Race Riot Memorial of Reconciliation Committee.  The Society shall assume the performance of all existing and future obligations related to the development, design, operation and maintenance of The 1921 Tulsa Race Riot Memorial of Reconciliation created in Section 8201.1 of Title 74 of the Oklahoma Statutes.

B.  The Society shall hold and use the land transferred to the Oklahoma Historical Society pursuant to the provisions of subsection A of this section for the development, design, construction and operation of The 1921 Tulsa Race Riot Memorial of Reconciliation commemorating the lives of the victims and honoring the survivors of The 1921 Tulsa Race Riot.  The Society shall erect the memorial pursuant to procedures outlined in Section 8201.1 of Title 74 of the Oklahoma Statutes.

Added by Laws 2000, c. 36, § 2, emerg. eff. April 6, 2000.  Amended by Laws 2000, c. 418, § 23, eff. July 1, 2000; Laws 2001, c. 315, § 6, eff. Sept. 1, 2001.  Renumbered from § 4.13 of Title 53 by Laws 2001, c. 315, § 21.

§74-8205.  Certification of list of surviving residents of the Greenwood community.

The Executive Director of the Oklahoma Historical Society shall certify on or before October 1, 2001, an official list of surviving residents on May 31 through June 1, 1921, of the Greenwood community in the City of Tulsa when the Tulsa Race Riot took place who are known to be living as of the effective date of this act, from the research of The Tulsa Race Riot Commission and any other survivors of the 1921 Tulsa Race Riot who can document that they should be included.  No additional persons shall be added to the list after October 1, 2001.

Added by Laws 2001, c. 315, § 7.

§74-8221.  Short title.

Sections 8221 through 8226 of this title shall be known and may be cited as the "Greenwood Area Redevelopment Authority Act".

Added by Laws 2001, c. 315, § 8.  Amended by Laws 2002, c. 395, § 2, eff. Nov. 1, 2002.

§74-8222.  Definitions.

As used in this act:

1.  "Authority" means the Greenwood Area Redevelopment Authority; and

2.  "Greenwood Area" means those portions of the City of Tulsa sustaining significant damage during the period of civil unrest occurring during the months of May and June 1921, and further identified as follows:

That area of the City of Tulsa bordered on the west by the Tulsa County-Osage County line, on the south by Archer Street, on the east by Lewis Avenue, and on the north the boundary extended beyond Pine Street to approximately 56th Street.

Added by Laws 2001, c. 315, § 9.  Amended by Laws 2004, c. 74, § 1.

§74-8223.  Greenwood Area Redevelopment Authority - Board of Trustees.

A.  There is hereby created the Greenwood Area Redevelopment Authority.  The Authority shall be an instrumentality of the state.

B.  The Authority is created in order to provide a method to facilitate the redevelopment of the Greenwood Area.

C.  In addition to other responsibilities imposed pursuant to the Greenwood Area Redevelopment Authority Act, the mission of the Authority shall be to assist in finding methods for other entities, both in the private sector and public sector, to promote the investment, reinvestment, development and revitalization of qualified metropolitan areas.

D.  The Authority shall be governed by a board of trustees which shall consist of twenty (20) members to be appointed or who shall serve on the board of trustees for the Authority as follows:

1.  Two members to be appointed by the Speaker of the House of Representatives, one of whom shall be a legislator from the area of the City of Tulsa;

2.  Two members to be appointed by the President Pro Tempore of the Oklahoma State Senate, one of whom shall be a legislator from the area of the City of Tulsa;

3.  Two members to be appointed by the Governor;

4.  Five members to be appointed by the mayor of the City of Tulsa;

5.  The executive director, or a designee, of the Tulsa Metropolitan Chamber of Commerce;

6.  The executive director, or a designee, of the Chamber of Commerce serving the Greenwood Area;

7.  The executive director, or a designee, of the Oklahoma Department of Commerce;

8.  The executive director, or a designee, of the Oklahoma Bankers' Association;

9.  Two persons to be selected by the Oklahoma Municipal League with the following qualifications:

a. a person with experience in the use of venture capital or seed capital to promote investment or reinvestment in metropolitan areas, and

b. a person with qualifications deemed suitable for the purposes of the Authority as determined by the Oklahoma Municipal League;

10.  Two persons to be appointed by the board of county commissioners of Tulsa County; and

11.  The President of Oklahoma State University - Tulsa, or a designee.

E.  The Authority shall be authorized to conduct its meetings as required in order to perform the duties imposed upon the Authority pursuant to law.  The Authority shall be subject to the provisions of the Oklahoma Open Meeting Act.

F.  A simple majority of the members present shall be required to approve any actions taken by the Authority.

G.  No person appointed to or otherwise serving on the board of trustees of the Authority shall be required to vacate any public office otherwise subject to the requirements of Section 6 of Title 51 of the Oklahoma Statutes and for purposes of such requirements, the position of trustee shall not be considered a public office.

Added by Laws 2001, c. 315, § 10.  Amended by Laws 2002, c. 395, § 3, eff. Nov. 1, 2002.

§74-8224.  Powers of Authority.

A.  The Authority shall have the power to:

1.  Adopt a seal for its official use;

2.  Contract;

3.  Own property;

4.  Accept gifts and donations;

5.  Invest funds under its control; and

6.  Such other powers as are not inconsistent with the duties and responsibilities imposed upon the Authority.

B.  The Authority shall not have the power to:

1.  Acquire property through the use of eminent domain;

2.  Become indebted in any manner; or

3.  Take any action in derogation of the rights, whether based on contract or otherwise, established pursuant to any agreements entered into between private entities, between public entities or by one or more private and one or more public entities.

Added by Laws 2001, c. 315, § 11.

§74-8225.  Long-term development plan.

A.  In addition to other responsibilities imposed upon it by law, the Greenwood Area Redevelopment Authority shall develop a long-term plan for the redevelopment of the Greenwood Area.  The Authority may engage the services of such advisors, consultants or other persons or business entities as may be required in order to formulate the plan.

B.  The plan shall include:

1.  An assessment of the existing conditions of the Greenwood Area, including, but not limited to:

a. population,

b. per capita income,

c. employment or unemployment rates,

d. workforce characteristics,

e. assessed value,

f. existing land use regulations or restrictions,

g. available utilities such as water, electricity, solid and other waste disposal and access to telecommunication services, including but not limited to conventional or fiber optic cable,

h. identification of persons or entities doing business within the Greenwood Area,

i. identification of existing infrastructure such as water, sewer, roads, and other public sector assets which are material to business location, business investment and business reinvestment decisions,

j. traffic volume and characteristics,

k. any existing economic development incentives applicable to persons or entities within the Greenwood Area, including but not limited to areas which qualify as enterprise zones pursuant to Section 690.1 et seq. of Title 62 of the Oklahoma Statutes and any existing or proposed increment or incentive districts pursuant to the Local Development Act, Section 850 et seq. of Title 62 of the Oklahoma Statutes, and

l. such other demographic data or characteristics as the Authority or its consultants or advisors consider to be relevant to the mission and responsibilities imposed upon the Authority pursuant to this section;

2.  Specific recommendations regarding the redevelopment and reinvestment of capital within the Greenwood Area, including, but not limited to recommendations regarding the uses of real property most conducive to the redevelopment and reinvestment of the Greenwood Area, whether for residential dwellings, wholesale or retail business activity, commercial and industrial activity, governmental uses, community assets such as parks and similar development, and such other uses of the Greenwood Area real property most conducive to a sustained and viable redevelopment and reinvestment resulting in a productive use of the real property and improvements located within the Greenwood Area;

3.  An analysis of the efforts of other states or political subdivisions with respect to the redevelopment and reinvestment of areas with economic characteristics similar to the Greenwood Area with recommendations to duplicate successful models or programs, whether through the stimulation of private investment, the use of government resources to stimulate private investment, community development programs and other methods as deemed advisable by the Authority;

4.  A specific list of resources that might be utilized in the redevelopment and reinvestment effort, including, but not limited to:

a. federal grants or loans or programs offered through any federal agency such as the United States Department of Commerce and the United States Department of Housing and Urban Development,

b. state programs available to individuals or business entities, whether in the form of grants or loans or other programs, which would have the effect of stimulating redevelopment and reinvestment in the Greenwood Area,

c. local programs available to individuals or business entities which would have the effect of stimulating redevelopment and reinvestment in the Greenwood Area, and

d. any program or resource available through private not-for-profit organizations that would be compatible with the goals and objectives of the Authority with respect to its duties for the development of the long-term plan and the identification of specific actions which could be taken to stimulate redevelopment and reinvestment in the Greenwood Area; and

5.  A projected timetable with specific dates to achieve the recommended development of the Greenwood Area including specific actions to be taken by persons, business entities, financial service providers, contractors, consultants, or other persons or entities in order to achieve the recommendations of the Authority within a realistic period of time.

C.  The long-term plan of the Authority shall be presented to the mayor of the City of Tulsa, the Speaker of the Oklahoma House of Representatives, the President Pro Tempore of the Oklahoma State Senate and the Governor not later than September 1, 2003.

Added by Laws 2001, c. 315, § 12.  Amended by Laws 2002, c. 395, § 4, eff. Nov. 1, 2002; Laws 2003, c. 269, § 2, emerg. eff. May 26, 2003.

§74-8226.  Assistance to Authority by other entities.

The Oklahoma Department of Commerce, the Oklahoma Tax Commission, the Oklahoma Employment Security Commission and all other state agencies, boards, commissions, departments and other entities shall provide such assistance to the Authority as may be required in order for the Authority to perform the duties imposed upon it pursuant to law.

Added by Laws 2001, c. 315, § 13.

§74-8301.  Contributions for construction of World War II memorial in Washington, D.C.

A.  It is the intent of the Oklahoma Legislature to honor all individuals and specifically Oklahomans who served in the Armed Forces of the United States during World War II, the many who died, and those who supported the war effort from home by committing to contribute to the construction of a World War II memorial to be located in Washington, D.C.

B.  If funds are made available for such purpose, the Department of Veterans Affairs shall provide an amount of not less than Two Hundred Sixty-five Thousand Dollars ($265,000.00) to the World War II memorial, which represents approximately One Dollar ($1.00) for every person from Oklahoma who served in the war.

C.  The Department may accept contributions of money on behalf of Oklahoma World War II veterans from veterans' organizations or other private organizations, entities, or persons to meet the state's commitment as set forth in subsection B of this section for the construction of the World War II memorial.  The Department may request contributions from the Oklahoma Historical Society, the Oklahoma Tourism and Recreation Department, the State Regents for Higher Education, the Department of Human Services, and any other state agency or public entity the Department deems appropriate.

D.  The Department shall pay the money collected or credited for the purpose of the World War II memorial to the American Battle Monuments Commission for the construction of a memorial on federal land in the District of Columbia to honor members of the United States Armed Forces who served in World War II.

Added by Laws 2000, c. 284, § 1, eff. July 1, 2000.

§74-8302.  Rural Area Development Task Force.

A.  There is hereby created the Rural Area Development Task Force.  The Task Force shall consist of eleven (11) members to be selected as follows:

1.  One member to be appointed by the Speaker of the House of Representatives;

2.  One member to be appointed by the President Pro Tempore of the Senate;

3.  Five members to be appointed by the Governor, each of whom shall have demonstrated experience or interest in one or more issues affecting rural development, including, but not limited to, private sector financial expertise, economic development at the state or local level, agricultural economics, health care services, communications technology, business site location decisions, rural housing or such other areas of expertise as the Governor deems to be in the best interests of service as a member of the Task Force;

4.  One member who shall be the Executive Director of the Oklahoma Department of Commerce or a designee;

5.  One member who shall be the Director of the Oklahoma Department of Agriculture, Food and Forestry or a designee;

6.  One member to be selected by the board of directors of Rural Enterprises, Inc.; and

7.  One member to be selected by Oklahoma Association of Regional Councils, with the advice and consent of each of the substate planning districts.

B.  The Task Force shall select from among its membership a chair and vice-chair.  The Task Force shall be authorized to meet at such times as may be required in order to perform the duties imposed upon it by law.

C.  Except as otherwise provided by this subsection, the Task Force shall be subject to the Oklahoma Open Meeting Act and the Oklahoma Open Records Act.  For purposes of providing assistance to the Advisory Team for the Rural Action Partnership Program, the Rural Area Development Task Force shall be authorized to conduct meetings by teleconference or videoconference, if required.  For purposes of any action requiring a vote of the Task Force to provide such assistance to the Advisory Team, the Task Force may take such action by affirmative vote of a simple majority of the members of the Task Force present or participating in such teleconference or videoconference.

D.  The Task Force shall study and examine ways in which the State of Oklahoma:

1. Can effectively develop its rural economy;

2. Promote rural areas of the State of Oklahoma for purposes of business site location efforts;

3.  Support the Oklahoma Department of Commerce in implementation of the Rural Action Partnership Program and existing efforts to assist rural areas of the state with economic development efforts;

4.  Can modify existing incentives or create additional incentives that are likely to result in the formation of business capital and job creation which directly benefits the communities located in primarily rural areas of the state;

5.  Can modify existing incentives or create additional incentives that promote and support individuals engaged in agriculture, aquaculture, farming, ranching, agricultural product processing and all forms of business activity that add significant value to inputs developed with labor and capital originating from the state; and

6.  Take such other actions as may be conducive to the improvement of the rural Oklahoma economy and creation of quality employment in rural areas and to enhance the quality of life for rural residents.

E.  The Task Force may request such assistance as it may require from the Oklahoma Department of Commerce, the Oklahoma Department of Agriculture, Food and Forestry, the Oklahoma Employment Security Commission, the Oklahoma Tax Commission, the Oklahoma Tourism and Recreation Department, the Oklahoma Department of Career and Technology Education, and such other entities of state government as the Task Force may deem relevant to its mission and duties.

F.  Staff assistance for the Task Force shall be provided by the Oklahoma House of Representatives and the State Senate.

G.  The Task Force shall examine the final recommendations of any previous Task Force, Commission, working group, association or other entity that has previously undertaken a study of rural economic development efforts within the ten (10) years preceding the effective date of this act.  The Task Force shall determine the extent to which any of such recommendations have been implemented, either pursuant to changes in state law or policy, and to the extent possible, the Task Force shall determine whether the implementation of the recommendation from such prior studies was effective.

H.  The Task Force shall develop recommendations specifically designed to improve the economic development of rural areas of the State of Oklahoma, whether through formation of business capital, job creation, job training, agricultural development, small business formation and entrepreneurship programs, or other method identified by the Task Force as having potential for improvement of economic and related conditions in rural areas of the state.

I.  On and after the effective date of this act, the Task Force shall provide such assistance to the Advisory Team for the Rural Action Partnership Program as may be required.

Added by Laws 2003, c. 269, § 1, emerg. eff. May 26, 2003.  Amended by Laws 2004, c. 471, § 3, eff. July 1, 2004.

§74-8303.  Rural Action Partnership Program - Duties - Annual evaluation - Purpose.

A.  There is hereby created within the Oklahoma Department of Commerce the Rural Action Partnership Program.

B.  The Rural Action Partnership Program shall be responsible for coordinating and assisting in:

1. Establishing a statewide toll free telephone program to serve as a point of first contact between persons, business entities, groups, associations, organizations, state and local government officials and others for purposes of facilitating contact with service providers, providing information regarding primarily rural economic development entities, programs, resources and activities and to provide assistance to persons, firms and representatives of governmental entities attempting to establish or expand a for-profit business in a rural area of the state;

2.  Assisting in the coordination of primarily rural economic development programs offered within the state;

3.  Administering a rural economic development and employer regional outreach program that divides the state into at least four areas with each such area to be served by at least one rural regional economic development coordinator who shall assist in the establishment and coordination of rural economic development partnerships;

4.  The accumulation and organization of information to be used as a rural economic development resource database, including, but not limited to, contact information for persons, firms, groups, organizations and others involved in rural economic development issues, availability of federal, state and local incentive programs, and, subject to available funding, the development and maintenance of a rural development Internet web site to promote access to such information;

5.  A comprehensive survey of natural resources located or available in primarily rural areas of the state in order to match potential value-added business activity with such resources;  

6.  The sponsorship, with key economic development partners, of periodic rural development summits or conferences for purposes of communicating about the existence of the Rural Action Partnership Program, availability of assistance, development of additional services consistent with the mission of the Program and such matters as may be conducive to improving the delivery of services with respect to rural development programs and rural economic development; and

7.  Providing such services and developing such programs, functions or initiatives that may be necessary for or that would promote the development of rural resources and the rural economy.

C.  The mission of the Rural Action Partnership Program shall be to foster healthy and sustainable rural communities through small business retention, expansion, and entrepreneurial development.

D.  The primary emphasis for the regional economic development outreach specialists shall be to serve the needs of the communities or regions with declining populations or with economic indicators that suggest additional information and resources would be of benefit to improve the economic conditions of such community.

E.  The Oklahoma Department of Commerce, in support of the mission of the Rural Action Partnership Program, may request the assistance of the Oklahoma Water Resources Board, Department of Environmental Quality, Oklahoma Corporation Commission, Oklahoma Tax Commission, Oklahoma Employment Security Commission, Oklahoma Department of Agriculture, Food, and Forestry, Oklahoma Department of Tourism, Department of Transportation, the Oklahoma State Regents for Higher Education, the Oklahoma Department of Career and Technology Education or such other agencies, boards, commissions, departments or other entities of state government as may be required in order to assist with the implementation of the programs for which the Rural Action Partnership Program is responsible.   

F.  The Oklahoma Department of Commerce shall conduct an annual evaluation of the Rural Action Partnership Program.  Not later than December 31, 2007, the Executive Director of the Oklahoma Department of Commerce shall make a report regarding the actions and functions of the Rural Action Partnership Program to the Governor, Speaker of the Oklahoma House of Representatives and the President Pro Tempore of the State Senate.  The report shall summarize the activity and results of the Program and may contain recommendations for changes in the functions of the Program, including changes in funding.

Added by Laws 2004, c. 471, § 1, eff. July 1, 2004.

§74-8304.  Rural Action Partnership Program - Advisory team.

A.  There shall be an Advisory Team for the Rural Action Partnership Program.   

B.  The Advisory Team shall not have any direct control or policy making authority with respect to the Rural Action Partnership Program.  The Rural Action Partnership Program shall be the responsibility of the Executive Director of the Oklahoma Department of Commerce.

C.  The Advisory Team shall consist of:

1.  The Executive Director of the Oklahoma Department of Commerce or a designee;

2.  A person to be selected by action of the Board of Directors of Rural Enterprises of Oklahoma, Inc.;

3.  A person to be selected by action of the Board of Directors of the Oklahoma Association of Regional Councils;

4.  A person to be selected by the governing entity for the Oklahoma Small Business Development Centers;

5.  A person to be selected by the Oklahoma Association of R.C. and D. Councils;

6.  A person to be designated by the Commissioner of the Department of Agriculture, Food, and Forestry;

7.  A person to be designated by the Governor's Council of Workforce and Economic Development;

8.  A person to be selected by the Board of the Oklahoma Alliance for Manufacturing Excellence;  

9.  A person to be selected by the Oklahoma Department of Career and Technology Education;

10. A person to be selected by the Oklahoma State Regents for Higher Education;

11. A person to be selected by the Oklahoma Department of Transportation; and

12.  Three persons to be selected by the Governor to represent rural businesses and rural communities.

D.  For purposes of the Oklahoma Open Meeting Act, the Advisory Team shall be deemed a public body, but shall be authorized to conduct its meetings by teleconference.

E.  The Advisory Team shall be authorized to meet as often as may be required to assist in the development of the Rural Action Partnership Program and may request assistance from the Rural Area Development Task Force for such purpose.

Added by Laws 2004, c. 471, § 2, eff. July 1, 2004.

§74-8401.  War on Terror Memorial Design Committee.

A.  There is hereby created the War on Terror Memorial Design Committee.  The purpose of the Committee shall be to recommend the design of the Memorial and to provide oversight and advice to the Oklahoma Historical Society in the site selection, design, construction, and funding sources of the Memorial.

B.  The Committee shall consist of twelve (12) members as follows:

1.  Two members of the Oklahoma House of Representatives appointed by the Speaker of the House of Representatives;

2.  Two members of the Oklahoma State Senate appointed by the President Pro Tempore of the Senate;

3.  Two members appointed by the Governor;

4.  The Lieutenant Governor, or a designee;

5.  The Executive Director of the Oklahoma Historical Society, or a designee;

6.  The Executive Director of the Oklahoma Tourism and Recreation Department, or a designee;

7.  The Director of the Department of Central Services, or a designee;

8.  The President of the Oklahoma Veterans Council, or a designee; and

9.  The Executive Director of the Oklahoma Arts Council, or a designee.

C.  The members shall annually elect a chair and vice-chair from among the membership.  Meetings of the Committee shall be subject to the provisions of the Oklahoma Open Meeting Act and the Oklahoma Open Records Act.

D.  Members of the Committee shall receive no compensation for their service on the Committee, but shall receive travel reimbursement as follows:

1.  Legislative members of the Committee shall be reimbursed for necessary travel expenses incurred in the performance of their duties in accordance with the provisions of Section 456 of Title 74 of the Oklahoma Statutes;

2.  Nonlegislative state agency members of the Committee shall be reimbursed by their agencies pursuant to the provisions of the State Travel Reimbursement Act; and

3.  Other members of the Committee shall be reimbursed by the Oklahoma Historical Society pursuant to the provisions of the State Travel Reimbursement Act.

E.  Staffing for the Committee shall be provided by the staffs of the Oklahoma House of Representatives, the Oklahoma State Senate and the Oklahoma Historical Society.

F.  The duties of the Committee shall be to:

1.  Develop criteria for and solicit public comment and input on the development and design of the Memorial;

2.  Develop and implement criteria for a design competition which shall include, but not be limited to, solicitation of designs from appropriate persons or entities.  The Committee shall select three designs as finalists from among the designs submitted through the competition and shall present the selected designs to the public for comment and input.  The Committee shall give due consideration to the comments received from the public in choosing the design that, in the opinion of a majority of the Committee members, is most appropriate to commemorate the lives of the soldiers that served and honor the survivors of the War on Terror;

3.  From the three finalists, select the design winner and an alternate whose designs shall be forwarded to the Executive Director of the Oklahoma Historical Society; and

4.  Provide oversight and advice to the Oklahoma Historical Society during the site selection, design, and construction of the Memorial.

G.  The Executive Director of the Oklahoma Historical Society shall be responsible for awarding all contracts related to the construction of the Memorial.  The Executive Director, in consultation with the Committee, may elect to use the alternate design or recommend the reopening of the award process if the winning design construction exceeds the anticipated budget for the Memorial.

H.  Upon completion of the Memorial, the Department of Central Services shall be responsible for the maintenance and upkeep of the Memorial.

Added by Laws 2005, c. 380, § 1, eff. Nov. 1, 2005.

§74-8402.  Korean War Veterans Memorial.

A.  The Department of Central Services is hereby authorized to negotiate with an Internal Revenue Code Section 501(c)(3) tax-exempt corporation for the purpose of designating a site within the State Capitol Complex Park for the Korean War Veterans Memorial.

B.  Any contract, pursuant to this section, must be approved by the Oklahoma Capitol Improvement Authority.

Added by Laws 2005, c. 380, § 2, eff. Nov. 1, 2005.

§74-9001.  Short title.

This act shall be known and may be cited as the "Support Training Results in Valuable Employment (STRIVE) Act".

Added by Laws 1998, c. 218, § 1, eff. July 1, 1998.

§74-9002.  Legislative findings.

The Legislature finds that some citizens encounter difficulty entering the workforce or maintaining stable employment as a result of a lack of self-discipline, insufficient interpersonal skills, and the inability to recognize the intrinsic value of personal and professional habits that are conducive to sustained employment with an employer, positive working relationships with coworkers and the foundation for success both as an employee and as a prospective employer or entrepreneur.  In order to address the problems created by the inability of some people to acquire employment positions that are meaningful for them as employees and as people, the Legislature enacts the Support Training Results in Valuable Employment (STRIVE) Act.

Added by Laws 1998, c. 218, § 2, eff. July 1, 1998.

§74-9003.  Study to be conducted - Report.

A.  The Oklahoma Department of Commerce and the Oklahoma Department of Corrections shall conduct a study to determine the feasibility of establishing a Support Training Results in Valuable Employment (STRIVE) program.

B.  The Director of the Oklahoma Department of Commerce and the Director of the Oklahoma Department of Corrections shall obtain information about STRIVE programs from representatives of nonprofit entities located in other states, federal officials, state officials, local officials or other persons with relevant information about the STRIVE program.

C.  The Director of the Oklahoma Department of Commerce and the Director of the Oklahoma Department of Corrections shall make a report of their respective findings and recommendations to the Speaker of the House of Representatives, the President Pro Tempore of the Senate and the Governor not later than November 1, 1998.  The report, which may be submitted separately or jointly, shall contain a specific recommendation regarding the effectiveness of STRIVE programs in other jurisdictions and specific courses of action for the Legislature, community action agencies, nonprofit entities, local government or other relevant entities to pursue, if applicable, in order to assist citizens of the state with the goal of full employment and the acquisition and retention of skills which are necessary to maintain a productive labor force and for the full development of the potential in the Oklahoma economy.

Added by Laws 1998, c. 218, § 3, eff. July 1, 1998.

§74-9004.  Repealed by Laws 2005, c. 108, § 6, eff. July 1, 2005.

§74-9030.  Short title.

This act shall be known and may be cited as the "Oklahoma Art in Public Places Act".

Added by Laws 2004, c. 254, § 1.

§74-9030.1.  Legislative findings - Purpose - Administering agency.

A.  The Legislature recognizes the responsibility of Oklahoma to foster culture and the arts and declares that a portion of expenditures for capital projects including, but not limited to, bond issues for state construction be set aside for the acquisition of works of art to be placed in public construction or on public lands.

B.  The purpose of the Oklahoma Art in Public Places Act is to enhance public construction and encourage state cultural development.

C.  The administering agency shall be the Oklahoma Historical Society which is authorized to promulgate rules to administer the Oklahoma Art in Public Places Act.

Added by Laws 2004, c. 254, § 2.

§74-9030.2.  Definitions.

As used in the Oklahoma Art in Public Places Act:

1.  "Art", "artwork", or "work of art" means all forms of original creations of visual art, except for blasphemous material as defined by Section 901 of Title 21 of the Oklahoma Statutes or indecent or obscene material as defined by Section 1024.1 of Title 21 of the Oklahoma Statutes, including, but not limited to:

a. sculpture, in any material or combination of materials, whether in the round, bas-relief, high relief, mobile, fountain, kinetic, or electronic,

b. painting, including murals and frescoes,

c. mosaic,

d. photography,

e. fine crafts made from clay, fiber and textiles, wood, glass, metal, plastics or any other material, or any combination thereof,

f. drawing,

g. calligraphy,

h. mixed media composed of any combination of forms or media,

i. unique architectural stylings or embellishments, including architectural crafts,

j. ornamental gateways, and

k. restoration or renovation of existing works of art of historical significance;

2.  "Artist" means a practitioner in the visual arts committed to producing high quality work, as recognized by the peers and critics of the artist, on a regular basis.  The term "artist" shall not include the architect of a public building under construction or any member of the architectural firm of the architect;

3.  "Society" means the Oklahoma Historical Society;

4.  "Division" means the Art in Public Places Division;

5.  "Maintenance" means the ongoing upkeep required for artworks to retain their structural and aesthetic integrity;

6.  "Appointing authority" shall be the Director or designee of the Project Agency;

7.  "Project" means any capital expenditure, including, but not limited to, bond issues, with the purpose of renovating or constructing public buildings costing Two Hundred Fifty Thousand Dollars ($250,000.00) or more;

8.  "Project agency" means institutions within The Oklahoma State System of Higher Education or the department, board, commission, institution, or agency of the state subject to the Oklahoma Art in Public Places Act.  The legislative and judicial branches of the State of Oklahoma shall be subject to the procedures of the Oklahoma Art in Public Places Act or shall implement another process to include art in locations subject to the control of those branches.  Provided, that the expenditure for commissioning art by the legislative and judicial branches shall be no less than that established by Section 6 of this act;

9.  "Project architect" means the person or firm designing the public construction project;

10.  "Public construction" or "public building" means any state building, facility, structure or park constructed, including any state-owned lands or space surrounding or integral to the building, facility, structure or park.  The term "public construction" or "public building" shall not include:

a. water, sewer, public utility projects, prisons, projects with the primary purpose of complying with the standards of the Americans with Disabilities Act, and data processing purchases which are not part of a public construction project and any capital projects undertaken by political subdivisions of the state as defined by paragraph 8 of Section 152 of Title 51 of the Oklahoma Statutes on buildings or land that they control, and

b. capital projects subject to federal public art laws.

Participation in the Oklahoma Art in Public Places Act shall be permissive for road, highway, turnpike, and bridge construction projects of the Department of Transportation and the Oklahoma Transportation Authority;

11.  "Public land" means a site owned by the State of Oklahoma with major public access and visibility that serves a business, social, or environmental need; and

12.  "Repair" means those extraordinary activities required to repair or restore a malfunctioning or damaged work of art.

Added by Laws 2004, c. 254, § 3.

§74-9030.3.  Administration of act - Art in Public Places Oversight Committee.

A.  The Oklahoma Historical Society may create an Art in Public Places Division to administer the Oklahoma Art in Public Places Act.

B.  There is hereby created an Art in Public Places Oversight Committee comprised of:

1.  The Director of the Department of Central Services, or designee;

2.  The Director of the Oklahoma Arts Council, or designee;

3.  The Director of the Oklahoma Historical Society, or designee;

4.  The Director of the Department of Transportation, or designee;

5.  The Chancellor of the Oklahoma State Regents for Higher Education or designee;

6.  One artist appointed by the Director of the Oklahoma Arts Council;

7.  One architect appointed by the Director of Central Services;

8.  One engineer appointed by the Director of Central Services; and

9.  One museum director/curator appointed by the Director of the Oklahoma Historical Society.

C.  1.  All appointed members shall serve a term of three (3) years and may be reappointed for one additional three-year term.

2.  The Director of the Oklahoma Historical Society shall be the initial chair of the Committee.  The officers of the Committee shall be a chair, a vice-chair, and a secretary elected at the last meeting of each fiscal year.  Appointments to fill officer vacancies shall be made by the chair between elections.

3.  Meetings shall be held at the call of the chair, and for the initial appointments, a majority of the members present shall constitute a quorum.

D.  Except as provided for in subsections F and G of this section, the Oversight Committee is empowered with overseeing each of the following phases of the development and management of the Oklahoma Art in Public Places Act:

1.  Develop job specifications for a Division Director of the Art in Public Places Division, who shall not be subject to the Merit System of Personnel Administration;

2.  Make recommendations for the implementation of the Art in Public Places Program to the Director of the Oklahoma Historical Society; and

3.  Develop methods of selection of artists, criteria for selection, final approval of site projects, maintenance and repair of works of art, and periodic evaluation of the Program.

E.  Artwork or art restoration projects in the administrative control of the Oversight Committee pursuant to the Oklahoma Art in Public Places Act shall not be subject to the Oklahoma Central Purchasing Act, but the projects shall be subject to a call for entries process established by the Oversight Committee.

F.  Members shall be reimbursed for necessary travel expenses in accordance with the State Travel Reimbursement Act.

G.  The State Capitol Preservation Commission shall retain its administrative control over art projects for the Capitol and the Governor's Mansion as provided for in Section 4104 of Title 74 of the Oklahoma Statutes.

H.  The governing boards for institutions of higher education or local boards of trustees shall perform the duties of the Oversight Committee for art projects on the campuses that they oversee.

Added by Laws 2004, c. 254, § 4.

§74-9030.4.  Site committee - Capitol and Governor's Mansion - Recommendations to oversight committee - Division Directors - Art to be property of state.

A.  1.  A site committee shall be appointed by the appointing authority of the project agency, except for art projects on higher education campuses, for each project and, if the project involves a facility with more than one agency, a representative from each agency shall be appointed.

2.  The site committee for the Capitol and the Governor's Mansion shall be the State Capitol Preservation Commission.  The Commission shall be exempt from oversight provisions of the Public Places Oversight Committee.

3.  The site committee is charged with making recommendations to the Oversight Committee, selection of the location for the artwork, media for the artwork, artist selection, development of a project-specific educational program for tourism and public school curriculum, and coordination of the dedication ceremony.  The site committee shall report back to the Oversight Committee which has final approval authority.

4.  Each site committee shall include the Art in Public Places Division Director, the project agency appointing authority or designee, and the project architect.  The site committee shall also be comprised of not less than one local arts professional, one local artist, two community representatives, and one art educator who will be appointed by the project agency director.

5.  The committee is limited to the duration of the project.

B.  Upon completion of installation and final acceptance, any work of art commissioned shall become property of the State of Oklahoma.

Added by Laws 2004, c. 254, § 5.

§74-9030.5.  Funding by state agencies - Maximum assessment - Allocation to Art in Public Places Administrative and Maintenance Revolving Fund.

A.  1.  All state agencies, including institutions within The Oklahoma State System of Higher Education, all state departments, boards, councils, and commissions shall allocate, as a nondeductible item out of any expenditures for capital projects including, but not limited to, bond issues for state construction excluding costs for bond issuance and related reserves, an amount of one and one-half percent (1 1/2%) of the expenditure to the Oklahoma Historical Society for the purpose of funding the Oklahoma Art in Public Places Act, except as otherwise provided by subsection B of this section.

2.  The maximum assessment for any project shall not exceed Five Hundred Thousand Dollars ($500,000.00).  This assessment shall not apply to any private donations for a capital project.  This allocation shall be applicable to all state agency capital projects approved by the appointing authority after September 1, 2004.  The works of art commissioned pursuant to the Oklahoma Art in Public Places Act may be placed on public lands, integral to or attached to a public building or structure, or detached within or outside a public building or structure.

B.  1.  Of the assessment provided for in subsection A of this section, four-fifths (4/5) shall be placed in the Commissioning of Art in Public Places Revolving Fund, created in Section 7 of Enrolled Senate Bill No. 1347 of the 2nd Session of the 49th Oklahoma Legislature, for the commission of any work of art for the Oklahoma Art in Public Places Act.  Institutions within The Oklahoma State System of Higher Education shall remain in complete administrative control of their four-fifths (4/5) assessment pursuant to this subsection for the acquisition of art.  The remaining one-fifth (1/5) of the assessment shall be reserved for the Art in Public Places Administrative and Maintenance Revolving Fund created by Section 8 of Enrolled Senate Bill No. 1347 of the 2nd Session of the 49th Oklahoma Legislature.

2.  Monies deposited in the Art in Public Places Administrative and Maintenance Revolving Fund shall be divided equally between the subaccounts in the fund for:

a. the maintenance and repair of works of art commissioned pursuant to the Oklahoma Art in Public Places Act, and

b. the administrative and educational costs incurred by the Division.

Added by Laws 2004, c. 254, § 6.  Amended by Laws 2004, c. 400, § 2, eff. Sept. 1, 2004.

§74-9030.6.  Commissioning of Art in Public Places Revolving Fund.

A.  1.  There is hereby created in the State Treasury a revolving fund for the Oklahoma Historical Society to be designated the "Commissioning of Art in Public Places Revolving Fund".  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Society from the sources provided for in Section 6 of this act.

2.  The Society shall establish a separate subaccount for each project.  Monies in these subaccounts may be used to match monies from other private and public sources for commissioning art in accordance with the Oklahoma Art in Public Places Act.

3.  All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Oklahoma Historical Society for the commissioning of art and insurance for the art in accordance with the Oklahoma Art in Public Places Act.

4.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

B.  If there are monies from a project for the commissioning of art not spent, those monies may be pooled in the fund for the commissioning of art in, on, or near other state buildings.

Added by Laws 2004, c. 254, § 7.

§74-9030.7.  Art in Public Places Administrative and Maintenance Revolving Fund - Transfer of funds in excess of one million dollars.

A.  1.  There is hereby created in the State Treasury a revolving fund for the Oklahoma Historical Society to be designated the "Art in Public Places Administrative and Maintenance Revolving Fund".  All monies accruing to the credit of said fund are hereby appropriated and may be budgeted and expended by the Society.  The fund shall be a continuing fund, not subject to fiscal year limitations, and shall consist of all monies received by the Society from the sources provided for in Section 6 of this act.

2.  This fund shall consist of two subaccounts, one account for maintenance and repair purposes and one account for administrative and education purposes.  Monies accruing to the credit of the subaccount for maintenance and repair shall be used for the purpose of restoring art in all state public buildings including, but not limited to, public buildings at institutions within The Oklahoma State System of Higher Education.

3.  Expenditures from the fund shall be made upon warrants issued by the State Treasurer against claims filed as prescribed by law with the Director of State Finance for approval and payment.

B.  Whenever the unencumbered balance in this fund exceeds One Million Dollars ($1,000,000.00), the assessment shall be placed in the Commissioning of Art in Public Places Revolving Fund to the credit of the subaccount established for the project upon which the assessment was made.

Added by Laws 2004, c. 254, § 8.