SB1780 HFLR Page 1
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
HOUSE OF REPRESENTATIVES - FLOOR VERSION
STATE OF OKLAHOMA
2nd Session of the 58th Legislature (2022)
COMMITTEE SUBSTITUTE
FOR ENGROSSED
SENATE BILL NO. 1780 By: Jech, Daniels, Pemberton,
Murdock, Dossett (J.J.),
Pederson, David, Coleman,
Quinn, Rader, Floyd,
Bergstrom, Kirt, Kidd, and
Burns of the Senate
and
Frix, Dobrinski,
Patzkowsky, Luttrell, Mize,
Moore, Culver, Strom,
Newton, Rosecrants, Burns,
West (Josh), Kendrix,
Sneed, Blancett, Munson,
and McBride of the House
COMMITTEE SUBSTITUTE
[ public finance – Oklahoma Capitol Improvement
Authority – museums – Oklahoma Historical Society –
obligations – effective date ]
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 312 of Title 73, unless there is
created a duplication in numbering, reads as follows:
SB1780 HFLR Page 2
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
A. In addition to any other authorization provided by law, the
Oklahoma Capitol Improvement Authority is authorized to issue
obligations to acquire real property, together with improvements
located thereon, and personal property, for purposes of
construction, repair and rehabilitation, and improvements to real
and personal property, of existing Oklahoma Historical Society
facilities in a total amount necessary to generate net proceeds of
Forty-six Million Dollars ($46,000,000.00) after providing for cost
of issuance, credit enhancement, reserves, and other associated
expenses related to the financing. Provided, no proceeds authorized
by this section shall be expended on the Oklahoma Museum of Popular
Culture created by Section 2294 of Title 74 of the Oklahoma
Statutes.
B. The Authority may hold title to the real and personal
property and improvements until such time as any obligations issued
for this purpose are retired or defeased and may lease the real
property and improvements and the tangible personal property th e
acquisition of which or improvement or refurbishment of which is
authorized by subsection A and subsection J of this section to the
Oklahoma Historical Society, museums, and sites. Upon final
redemption or defeasance of the obligations created pursuant to this
section, title to the real and personal property and improvements
shall be transferred from the Autho rity to the Oklahoma Historical
Society.
SB1780 HFLR Page 3
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
C. For the purpose of paying the costs for acquisition and
construction of the real property and improvem ents and personal
property and making the repairs, planning, staging, refurbishments
and improvements to real and personal property, and for the purpose
authorized in subsection D of this section, the Authority is hereby
authorized to borrow monies on the credit of the income and revenues
to be derived from the leasing of such real and personal property,
parking facilities and improvements and, in anticipation of the
collection of such income and revenues, to issue negotiable
obligations in a total amount n ecessary to generate Forty -six
Million Dollars ($46,000,000.00) in project funds, whether issued in
one or more series. The Authority is authorized to capitalize
interest on the obligations issued pursuant to the authority granted
by this section for a pe riod not to exceed two (2) years from the
date of issuance. Excluding any capitalized interest period, it is
the intent of the Legislature to appropriate to the Oklahoma
Historical Society sufficient monies to make rental payments for the
purposes of retiring the obligations created pursuant to this
section. To the extent funds are available from the proceeds o f the
borrowing authorized by this subsection, the Authority shall provide
for the payment of professional fees and associated costs related to
the projects authorized in this act.
D. The Authority may issue obligations in one or more series
and in conjunction with other issues of the Authority. The
SB1780 HFLR Page 4
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
Authority is authorized to hire bond counsel, financial consultants,
and such other professionals as it may deem necessary to provide for
the efficient sale of the obligations and may utilize a portion of
the proceeds of any borrowing to create such reserves as may be
deemed necessary and to pay costs associated with the issuance and
administration of su ch obligations.
E. The obligations authorized under this section may be sold at
either competitive or negoti ated sale, as determined by the
Authority, and in such form and at such prices as may be authorized
by the Authority. The Authority may enter into agreements with such
credit enhancers and liquidity providers as may be determined
necessary to efficiently market the obligations. The obligations
may mature and have such provisions for redemption as shall be
determined by the Authority, but in no even t shall the final
maturity of such obligations occur later than twenty -five (25) years
from the first princip al maturity date.
F. Any interest earnings on funds or accounts created for the
purposes of this section may be utilized as partial payment of the
annual debt service or for the purposes directed by the Authority.
G. The obligations issued under this sec tion, the transfer
thereof, and the interest earned on such obligations, including any
profit derived from the sale thereof, shall not be subject t o
taxation of any kind by this state, or by any county, municipality,
or political subdivision therein.
SB1780 HFLR Page 5
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
H. The Authority may direct the investment of all monies in any
funds or accounts created in connection with the offering of the
obligations authorized under this section. Such investments shall
be made in a manner consistent with the investment guidelines of the
State Treasurer. The Authority may place additional restrictions on
the investment of such monies if necessary to enhance the
marketability of the obligations.
I. Insofar as they are not in conflict with the provisions of
this section, the provision s of Sections 151 through 186 of Title 73
of the Oklahoma Statutes shall apply to this section.
J. Unless at least fifty percent (50%) of the proc eeds
authorized by the provisions of this section have been obtained by
sale of obligations by the Authority within three (3) years from the
effective date of this act, the provisions of this section shall
cease to have the force or effect of law with resp ect to any further
issuance of obligations by the Authority otherwise authorized by
this section. The provis ions of this subsection shall not be
construed to limit the liability of the Authority with respect to
obligations issued pursuant to this section if the obligations were
issued prior to the termination of the remaining issuing capacity
nor shall the provisions of this subsection be construed in any way
to impair rights of any person or entity which has purchased any
obligations of the Authority purs uant to the provisions of this
section which were authorized at the time of such purchase.
SB1780 HFLR Page 6
BOLD FACE denotes Committee Amendments. 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
SECTION 2. This act shall become effective November 1, 2022.
COMMITTEE REPORT BY: COMMITTEE ON APPROPRIATIONS AND BUDGET , dated
04/11/2022 - DO PASS, As Amended and Coauthored.