2016 Oklahoma Statutes
Title 82. Waters and Water Rights
§82-1284. Issuance and sale of bond obligations.

A. The district may from time to time issue its obligations in such principal amounts as the district shall deem necessary to provide sufficient funds to carry out any of its corporate purposes and powers and to pay for any costs or expenses of the district incident to and necessary or convenient to carry out its corporate purposes and powers.

B. Every issue of obligations of the district shall be payable out of the revenues or funds of the district, subject to any agreements with the holders of particular obligations pledging any particular revenues or funds. The district may issue such types of obligations as it may determine, including obligations as to which the principal and interest are payable exclusively from the revenues from one or more projects, or from an interest therein or a right to the products and services thereof, or from one or more revenue producing contracts made by the district with any person, or public agency, or its revenues generally. Any such obligations may be additionally secured by a pledge or assignment of any revenue producing contracts made by the district with any person or of any grant, subsidy or contribution from any person or a pledge of any income or revenues, funds or monies of the district from any source whatsoever.

C. All obligations of the district shall have all the qualities of negotiable instruments under the laws of the state.

D. Obligations of the district shall be authorized by a resolution of the board of directors adopted by at least three-fourths (3/4) of the members of the Board as constituted. Obligations shall bear interest at a rate not exceeding a rate of fourteen percent (14%) and may be executed or issued under such contract or under a trust indenture, bond resolution, or other security or contractual agreement, in one or more series, and shall bear such date or dates, mature at such time or times which may be fixed or may change at such time or times and in accordance with a specified formula or method of determination, be in such form, either coupon or registered, carry such conversion, registration, and exchange privileges, have such rank or priority, be executed in such manner, be payable in such medium of payment at such place or places within or without the state, be subject to such terms of redemption with or without premium, and contain or be subject to such other terms as the bond resolution, trust indenture or other security or contractual agreement may provide, and shall not be restricted by the provisions of any other law limiting the amounts, maturities or other terms of obligations of eligible public agencies or private persons. Any bond obligations shall be sold at par, in such manner as the board of directors shall determine, at public sale. The board of directors may also authorize bonds to be issued and sold from time to time and delegate to such officer or agent of the district as the board of directors shall select the power to determine the time and manner of sale and the maturities of such bonds, which may be fixed or may vary at such time or times and in accordance with a specified formula or method of determination, and such other terms and conditions, as may be deemed appropriate by the officer or agent of the district designated by the board of directors. However, the amounts and maturities of such bonds shall be within the limits prescribed by the board of directors in its resolution delegating such officer or agent the power to authorize the sale and issuance of such bonds.

E. Pending preparation of definitive obligations, the district may issue temporary obligations which shall be exchanged for the definitive obligations.

F. Obligations of the district may be issued under the provisions of this act without obtaining the consent of any department, division, commission, board, bureau or agency of the state and without any other proceeding or the happening of any other condition or occurrence except as specifically required by this act. G. 1. At least five (5) business days prior to delivery of and payment for any bond obligations, there shall be filed with the Attorney General of the State of Oklahoma and the Secretary of State a preliminary copy of the official statement, prospectus or other offering document pertaining to the issuance; within fifteen (15) business days after the sale or sales of said bond obligations, there shall be filed with the Attorney General of the State of Oklahoma, the Secretary of State and the Oklahoma Securities Commission a copy, in final form, of the official statement, prospectus or other offering document. If no official statement, prospectus or other offering document is used in connection with the sale of such bond obligations, in lieu thereof, there shall be filed a copy of the draft and final proceedings of the district authorizing the sale and issuance of such bond obligations. Within fifteen (15) business days after the sale or sales of said bonds, the district shall file with the Attorney General a copy of all transcripts of proceedings of the district and all resolutions passed and actions taken by it in connection with the authorization, issuance and sale of the bond obligations. The bond resolution, trust indenture or other security or contractual agreement under which any bonds are issued shall constitute a contract with the holders of the bond obligations and may contain such provisions as the board of directors and holders of obligations agree to.

2. a.Within ten (10) business days after receipt of transcripts of all proceedings of the district and all resolutions passed and actions taken by it in connection with the authorization, issuance and sale of bond obligations, the Attorney General of the State of Oklahoma shall examine and approve or disapprove all of such proceedings and, if he finds such bond proceedings and sale to be constitutional and lawful, shall execute a certificate and file such certificate of record in the office of the Secretary of State. Such certificate shall be in substantially the following form:

I have examined all proceedings had in connection with the issuance of the ___________ Regional Water District bonds in the aggregate principal amount of $___________, dated ________, authorized and sold pursuant to ____________, and find said proceedings and sale to be constitutional, lawful and regular in all particulars and that said bonds will be valid obligations of the ________ Regional Water District. Unless suit thereon shall be brought in the Supreme Court of Oklahoma within thirty (30) days from the date of this certificate, said bonds shall be incontestable for all purposes.

_________________ ________________________________

Date Attorney General of Oklahoma

b.Upon the filing of such certificate, bonds issued pursuant to proceedings so examined by the Attorney General shall be incontestable for all purposes upon the expiration of thirty (30) days from the date of such certificate, unless suit be brought in the Supreme Court of Oklahoma prior to the expiration of said period. A facsimile of such Attorney General's certificate shall appear on each bond so issued. Failure of the Attorney General to approve or otherwise act as required herein shall, for all purposes, be deemed an approval of such proceedings and a waiver of the requirement for his certification. In the absence of an express certification, the thirty-day period for the filing of suit in the Supreme Court of Oklahoma shall commence upon the eleventh day following receipt of the transcript of proceedings of the district in the office of the Attorney General. The Supreme Court of Oklahoma is hereby vested with exclusive jurisdiction over any litigation involving the validity of any bonds issued under the provisions of this act.

H. Except as provided for in subsection G of this section, any pledge of revenues, securities, contract rights or other personal property made by the district pursuant to this act shall be valid and binding from the date the pledge is made. The revenues, securities, contract rights or other personal property so pledged and then held or thereafter received by the district or any fiduciary shall immediately be subject to the lien of the pledge without any physical delivery thereof or further act, and the lien of the pledge shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the district without regard to whether such parties have notice thereof. The bond resolution, trust indenture, security agreement or other instrument by which a pledge is created need not be filed or recorded in any manner.

I. The principal of, premium, if any, and interest upon any bond obligations issued by the district shall be payable solely from the revenues or funds pledged or available for their payment as authorized in this act. The bond obligation shall contain a statement that it constitutes an obligation of the district, that the principal thereof, premium, if any, and interest thereon are payable solely from revenues or funds of the district and that neither the state nor any political subdivision thereof, nor any public agency which has contracted with the district, is obligated to pay the principal of, premium, if any, or interest on the bond obligations and that neither the faith and credit nor the taxing power of the state or any such political subdivision thereof or of any such public agency is pledged to the payment of the principal of, premium, if any, or the interest on the bond obligations.

Added by Laws 1985, c. 353, § 11, emerg. eff. July 30, 1985.