Oklahoma 2022 2022 Regular Session

Oklahoma Senate Bill SB22 Introduced / Bill

Filed 11/16/2020

                     
 
 
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STATE OF OKLAHOMA 
 
1st Session of the 58th Legislature (2021) 
 
SENATE BILL 22 	By: Floyd 
 
 
 
 
 
AS INTRODUCED 
 
An Act relating to boards of education; amendi ng 70 
O.S. 2011, Section 5-117, as last amended by Section 
1, Chapter 149, O.S.L. 2018 (70 O. S. Supp. 2020, 
Section 5-117), which relates to powers and duties of 
boards of education; directing a nonprofit 
organization that is lea sing certain property to be 
given the right of first refusal to purc hase the 
property; establishing terms a nd conditions for such 
sale; providing an effective date; and declaring an 
emergency. 
 
 
 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
SECTION 1.     AMENDATORY     70 O.S. 2011, Section 5-117, as 
last amended by Section 1, Chapter 149, O.S.L. 2018 (70 O.S. Supp. 
2020, Section 5-117), is amended to read as follows: 
Section 5-117. A.  The board of education of each school 
district shall have power to: 
1.  Elect its own officers; provided that the chair of the board 
authorized in Section 5-107B of this title shall be elected by the 
electors of the scho ol district; 
2.  Make rules, not inconsistent with the law or rules of the 
State Board of Education, governing th e board and the school s ystem   
 
 
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of the district, including conve rting all or part of a traditional 
public school to a conversion school; 
3.  Maintain and operate a complete public school system of such 
character as the board of education shall deem best suit ed to the 
needs of the school district; 
4.  Designate the scho ols to be attended by the children of the 
district; 
5.  Provide and operate, when deemed advisable, cafeterias or 
other eating accommodations, thrift banks or other facilities for 
the teaching and practice of thrift an d economy, bookstores, print 
shops, and vocational and other shops; 
6.  Provide informational material concerning schoo l bond 
elections and millage elections, including but not limited to all 
pertinent financial information relative to the bond issue, a 
statement of revenue sources necessary t o retire proposed bonds, a 
statement of current bonded indebtedness of the school district, and 
a statement of proposed use of funds to be generated by the proposed 
bond issue.  The informationa l material shall not con tain the words 
“vote yes” or “vote no” or any similar words or statement any place 
on such informational material; 
7.  Purchase, construct or rent, and operate and maintain, 
classrooms, libraries, auditoriums, gymnasiums, stadiums, recreation 
places and playgrounds, teacherages, school bus gar ages, 
laboratories, administration buildings, and other schoolhouses and   
 
 
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school buildings, and acquire sites and equipment for the operation 
of public schools or conversion schools; 
8. a. Insure the school district or its employees against 
any loss, damage or liability as defined by Sections 
702 through 708 of Title 36 of the Oklahoma Statutes, 
or other forms of insurance provided for in Title 36 
of the Oklahoma Statutes. 
b. Subject to the restri ctions of liability in t he 
Governmental Tort Claims Act: 
(1) insure the school district against all or any 
part of any liability it may incur f or death, 
injury or disability of any person, or for damage 
to property, either real or personal, 
(2) insure any employee of the school d istrict 
against all or any part of the employee’s 
liability for injury or damage resulting from an 
act or omission in t he scope of employment, or 
(3) insure against the expense of defending a claim 
against the school district or its employee, 
whether or not liability exists on such claim. 
c. As used in this subsection, “employee” means any 
person who has acted in behalf of a school district, 
whether that person is acting on a permanent or 
temporary basis with or without being compens ated or   
 
 
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on a full-time or part-time basis.  Employee also 
includes all elected or appointed officers, members of 
governing bodies of a school d istrict, and persons 
appointed, and other persons designated by a school 
district to act in its behalf. 
d. The cost or premium of any suc h insurance is a proper 
expenditure of the school district. 
e. Any insurance authorized by law to be purchased, 
obtained or provided by a school district may be 
provided by: 
(1) self-insurance, which may be, but is not required 
to be, funded by appropriati ons to establish or 
maintain reserves for self-insurance purposes.  
Any self-insurance reserve fund shall be 
nonfiscal and shall not be considered in 
computing any levy when the school district makes 
its annual estimate for needed a ppropriations, 
(2) insurance in any insurer authorized to tran sact 
insurance in this state, 
(3) insurance secured in accordance with any other 
method provided by law, or 
(4) any combination of insurance authorized by this 
section.   
 
 
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f. Two or more school dis tricts or public agencie s, by 
interlocal agreement made pursua nt to the Interlocal 
Cooperation Act, may provide insurance for any purpose 
by any one or more of the methods specified in this 
section.  The pooling of self -insured reserves, claims 
or losses among governments as authorized in this 
section shall not be co nstrued to be transacting 
insurance nor otherwise subject to the provisions of 
the laws of this state regulating insurance or 
insurance companies, except as to the provisions of 
Section 607.1 of Title 36 of the Oklahom a Statutes.  
Two or more school distri cts may also be insured under 
a master policy or contract of insurance.  Premium 
costs may be set individually for each school district 
or apportioned among participating school districts as 
provided by the master poli cy or contract; 
9.  Acquire property b y condemnation proceedings in the same 
manner as land is condemned for railroad p urposes.  School district 
funds may be used to erect buildings on leased land on which other 
buildings have been erected prior to April 3 , 1969, or on land which 
is leased from a governmental entity; 
10. Lease real or personal property to the state or any 
political subdivision thereof or a not -for-profit entity operating 
pursuant to Section 868 of Title 18 of the Ok lahoma Statutes for   
 
 
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nominal cash consideration for so long as t he use of the property by 
the lessee substantially benefits, in whole or in part , the same 
public served by the school district ; 
11. a. Dispose of personal or real property no longer needed 
by the district by sale, exchange, lease, lease-
purchase, sale and partial lease back, or otherwise. 
Real property shall be conveyed pursuant to a public 
sale, public bid, or private sale; provided however, 
unless otherwise prohibited by law, the board of 
education of a consolidated or annexed school district 
or any other school district may convey real property 
to a local political subdivision or to an educational 
institution within The Oklahoma State System of Higher 
Education or to a housing authority form ed pursuant to 
the provisions of Section 1057 of Title 63 of the 
Oklahoma Statutes without consideration. Prior to the 
sale of any real property , the board of education 
shall have the real property appraised.  The appraisal 
shall be confidential until the real property is sold.  
When the real property is sold, the board of education 
shall make the appraisal available for public 
inspection.  Prior to the conveyance of any real 
property by private sale, the board of education shall 
have offered the real prop erty for sale by public sale   
 
 
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or public bid.  Any conveyance of real property by 
private sale to a nonprofit organization, association, 
or corporation to be used for public purposes, unless 
for exchange, shall contain a reversionary clause 
which returns the real property to the board of 
education upon the cessation of the use without profit 
or for public purposes by the purchaser or the assigns 
of the purchaser, 
b. If a board of education makes the decision to dispose 
of real or personal property that is leased by a 
nonprofit organization at the time the decision is 
made, whether such disposal is by public sale, public 
bid or private sale, the nonprofit organization shall 
have a right of first refusal to purchase the property 
on the following terms and condit ions: 
(1) if a board of education receives a bid or offer 
in a public sale, public bid or private sale for 
any real or personal property that it desires to 
accept, then it shall provide notice t o the 
nonprofit organization leasing the property .  The 
notice shall include the ident ity of the 
prospective purchaser of the property, the terms 
and conditions of the proposed sale and the   
 
 
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purchase price to be paid by the prospective 
purchaser, and 
(2) the nonprofit organization shall have thirty (30) 
days after receipt of the notice to in form the 
board of education that it elects to purchase the 
property on the same terms and conditions set 
forth in the notice, in which event the board of 
education shall convey the property to the 
nonprofit organization on all the s ame terms and 
conditions set forth in the notice; provided, 
however, that if any portion of the consideration 
included in the purchase price set forth in the 
notice is not in cash, then the nonprofit 
organization shall be entitled to pay the fair 
market value in cash of such noncash 
consideration; 
12.  Purchase necessary p roperty, equipment, furniture, and 
supplies necessary to maintain and operate an adequate school 
system; 
13.  Incur all expenses, within the limitations provided for by 
law, necessary to perform all powers grante d by the provisions of 
this section; 
14.  Contract with and fix the duties and compensation of 
physicians, dentists, optometrists, nur ses, attorneys,   
 
 
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superintendents, principals, teachers, bus drivers, janitors , and 
other necessary employees of the distric t; 
15.  Establish a written policy for reimb ursement of necessary 
travel expenses of employees and members of the board.  The policy 
may include in-district travel from the site of employment 
assignment which is n ecessary in the performance of employment 
duties.  The written policy shall specify pro cedures, contain 
documentation requirements, and may include payment of meal expenses 
during authorized travel on a per diem allowance basis rather than 
itemized documentation; 
16.  Pay necessary travel expenses and other related expenses of 
prospective employees for sponsored visits to the school district 
pursuant to a written policy specifyin g procedures containing 
documentation requirements equal to or greater than the requirements 
specified by law for state em ployees in the State Travel 
Reimbursement Act; 
17.  Provide for employees’ leaves of absence without pay; 
18.  Exercise sole control o ver all the schools and prope rty of 
the district, subject to other provisions o f the Oklahoma School 
Code; 
19.  Allow district-owned school buses to be used for 
transportation of students from other districts or educational 
institutions while within the di strict on educational tours. This 
shall not restrict the authority of the boar d to authorize any other   
 
 
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use of such buses which may now be permitted by law or rule of the 
State Board of Education; 
20.  Enter into contractual agreements with the board of 
trustees of a multicounty libra ry system, as defined in Section 4 -
103 of Title 65 of the Oklahoma Statutes, a city-county library 
commission, as defined in Section 152 of Title 65 of the Oklahoma 
Statutes, or a rural single county library system, as defined in 
Section 1-104 of Title 65 of the Oklahoma Statutes, on such terms as 
may be mutually agreed, except no district board o f education may 
enter into any agreement und er which the library services for the 
school would be provided at any site other than the school site or 
which would result in library services that do not meet 
accreditation standards as required by law or rule; 
21.  Perform all functions necessary to the administration of a 
school district in Oklahoma as specified in the Oklahoma School 
Code, and in addition thereto, tho se powers necessarily implied but 
not delegated by law to any other agency or official; 
22.  Prepare and distribute at the expense of the school 
district any and all material which has the purpose of informing the 
public about district activities; 
23.  Solicit and accept any gift, grant, or donation of mo ney or 
property for the use of the school d istrict.  Any gift, grant, or 
donation of money may be deposited in the general fund or building 
fund of the school district; and   
 
 
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24.  Pay necessary meal and lodgi ng expenses of school district 
students and sponsors involved in authorized school-sponsored 
cocurricular activities.  The board of educa tion shall establish a 
written policy for reimbursement of necessary meal and lodging 
expenses of school district stude nts and sponsors.  The written 
policy shall specify procedures, contain documentation require ments, 
and designate the funds from which re imbursement may be made.  
Reimbursement may be made from the General Fund. 
B.  The board of education of any school dis trict may rent real 
and personal property, if such items are necessary for the operation 
of the school, and pay the rental charges for th e usage during any 
fiscal year, or portion thereof, out of appropriations made and 
approved for current expense purpose s during the fiscal year.  Any 
rental contract extending beyond June 30 of the fiscal year sh all be 
void unless it contains provisions fo r mutual ratification of 
renewal pursuant to the conditions provided for in this subsectio n.  
It is the intent of this subsection to authorize boards of education 
to enter into lease contracts but not to incur an y obligation 
against the school district in excess of the income and revenue 
provided for such purposes for the fiscal year in which t he lease 
contract is operativ e.  Any lease or lease -purchase agreement 
entered into by any board of education shall state the purchase 
price of real or personal prope rty so leased.  The lease or lease-
purchase shall not be extended so as to cause payment o f more than   
 
 
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the original purchase price of the real or personal property, plus 
interest not to exceed the legal rate.  Whe n the purchase price plus 
interest has been paid, the property shall belong to the lessee and 
the lessor shall deliver a deed or bill of sale to the property to 
the lessee.  When any real or personal property has been leased or 
rented during any fiscal yea r pursuant to the provisions of any 
contract which permits continuance of the rental for the remainder 
of the fiscal year, the renting or leasing of the property s hall be 
continued for the remainder of the fiscal year unless the board of 
education renting or leasing the same certifies by proper reso lution 
entered in the minutes of the board of education that the 
continuance of the rental is unnecessary and contrary to the public 
interest.  Any lease -purchase agreement entered into shall include 
the right of a school district to acquire buildings, equ ipment or 
other facilities or discrete components thereof or improve school 
sites through a lease-purchase agreement.  A school district may use 
proceeds derived from th e sale of bonds as authorized by Section 26 
of Article X of the Oklahoma Constitution t o make lease-purchase 
payments, including interest, under a lease -purchase agreement.  For 
purposes of this subsection, the term “acquired” as used in Section 
26 of Article X of the Oklahoma Constitution shall me an the 
possession, control, or power to disp ose of personal or real 
property.   
 
 
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C.  The boards of education of two or more school distri cts may 
enter into cooperativ e agreements and maintain joint programs 
including, but not limited to, courses of instructio n for 
handicapped children, courses of instr uction in music and other 
subjects, practical instruction for trades and vocations, practi cal 
instruction in driver tra ining courses, and health programs 
including visual care by persons legally licensed for such purpose, 
without favoritism as to either pr ofession.  The revenues necessary 
to operate a joint program approved in cooperative agree ments, 
whether from federal, state or local sources, including the 
individual contributions of participating school distri cts, shall be 
deposited into a fund separate from all other appropriated funds.  
The beginning fund balance each year, combined with a ll actual 
revenues, including collected and estimated revenues, must be 
appropriated before being expended.  Purchase orde rs shall be issued 
against available appropr iations and, once goods or services have 
been received, either payable or nonpayable warra nts shall be issued 
in payment of all purchase orders.  The fund shall be repor ted as a 
separate appropriated fund in all the financial reports of the 
school district which is chosen by the other school districts to 
keep the accounting records of the joint program. 
D.  The boards of education of two or more school districts may 
enter into a mutual contract or separate contrac ts with a 
superintendent, administrator, or teacher or with a person to   
 
 
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provide support services, to serve as superintendent, administ rator, 
or teacher, as appropr iately qualified, or to provide support 
services, for each contracting district upon such ter ms and 
conditions as the parties may agree. Nothing in this act section 
shall be construed to authorize or require annexation or 
consolidation of any school distr icts or the closing of any school 
site except pursuant to law as set forth in Section 7-101 et seq. of 
this title. 
E.  Any school distric t may operate or maintain a school or 
schools on any military reservation which is within the boun daries 
of the school district or which is adjacent to the school distri ct, 
and provide the instruction in the scho ol or schools to children of 
personnel on the military reservation and, in doing so, shall 
conform to all federal laws and requirements. 
F.  The board of education of each school district shall adopt 
and maintain on file in the office of the superintendent of schools 
appropriate personnel policy and sick leave guide.  The guide shall 
be made available to the public. 
G.  The board of education of any school district with an 
average daily membership of thirty thousan d (30,000) or more and all 
or part of which school district is located in a county havi ng more 
than five hundred thousand (500,000) population according to the 
latest Federal Decennial Census may contract w ith a public or 
private nonsectarian entity for th at entity to provide educational   
 
 
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and administrative services for the school district.  The 
educational services provided by a contracting entity may include 
but are not limited to the d elivery of instructio nal service in core 
and noncore academic subjects to the students enrolled in the school 
district at one or more school sites or parts of sites within the 
district pursuant to the terms of an educational services contract.  
All educational service provider s and their employees and 
representatives and all educational and administrative services 
provided under an educational services contract shall be exempt from 
all statutes and rules relating to schools, boards of education and 
school districts to the same extent that a charter school is exempt 
under the Oklahoma Charter Schools Act.  For all purpo ses, including 
but not limited to attendance , funding from all sources and 
accountability, all students who are provided services by a 
contracting entity pursuant to an educational services contract 
shall at all times be and remain students of the school d istrict. 
SECTION 2.  This act shall become effective July 1, 2021. 
SECTION 3.  It being immediately necessary for the preservation 
of the public peace, health or safety, an emergency is hereby 
declared to exist, by reason wh ereof this act shall take effect and 
be in full force from and after its passage and approval. 
 
58-1-278 EB 11/16/2020 3:45:49 PM