An Act
ENROLLED SENATE
BILL NO. 280 By: Quinn of the Senate
and
Humphrey, Boles, Gann and
Lepak of the House
An Act relating to county budget process; allowing
counties to establish certain funds; defining terms;
establishing source of funds; providing parameters
for when funds can be used; allowing for the Office
of the State Auditor and Inspector to establish
proper documentation ; providing for codifica tion;
providing an effective date; and decla ring an
emergency.
SUBJECT: County budget processes
BE IT ENACTED BY THE PEOPLE OF THE STA TE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 3034 of Title 68, unless there
is created a duplication in numbering, reads as follows:
This act shall permit counties with an excise board as per
Section 3005.1 of Title 68 of the Oklahoma S tatutes or budget board
as per Section 1407 of Title 19 of the Oklahoma Statutes to
establish a rainy day fund and capital reserve fund, such that each
will be its own continuing fund carrying over its balance from year
to year.
SECTION 2. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 3034.1 of Title 68, unless there
is created a duplication in numbering, reads as follo ws:
ENR. S. B. NO. 280 Page 2
A. As used in this act, a “rainy day fund” shall be a cash
account to pay for unforeseen future emergencies or loss in revenue
for the county budget. The rainy day fund shall be funded with
surplus funds or monies receipted over and above the itemize d
estimate of needs for the general fund. Such transfers from the
surplus funds shall occur at the time of the budget approval. The
balance of the rainy day fund shall not be part of the general
budget within the estimate of needs but shall be recorded on the
estimate of needs as a special fund. When the county has excess
funds, the county may by resolut ion deposit the funds in the rainy
day fund. However, after funds are so transferred, the y are not
transferable back to the original source. The rainy day fund may
contain up to, but not more than, fifty percent (50% ) of the
previous year’s approved budget.
B. 1. Up to one-half (1/2) of the balance of the rainy day
fund may be used for natural disast ers that are declared such by the
Governor, board of county commissioners or by the federal
government. Such expenditures must be spent in accordance with
Section 1500 et seq. of Title 19 of the Oklahoma Statutes .
2. Up to one-eighth (1/8) of the balance of the rainy day fund
may be used to supplement the county’s current general budget if it
is less than the previous year ’s budget.
3. Up to one-eighth (1/8) of the balance of the rainy day fund
may be used to supplement the current year ’s revenue when
collections come in shorter than estimated and a revenue failure is
declared by the board of county commissioners.
SECTION 3. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 3034.2 of Title 68, unless there
is created a duplication in numbering, reads as follows:
A. As used in this act, a “capital reserve fund ” shall be a
cash account, which may be used to pay for long-term capital needs
of the county. The capital reserve fund shall be funded from the
general budget or other legal source. The balance of the cap ital
reserve fund shall not be part of the ge neral budget within the
estimate of needs but shall be recorded on the estimate of needs as
a special fund. When the county has excess funds, the county may by
resolution deposit the funds in the capital reserve fund. However,
ENR. S. B. NO. 280 Page 3
after the funds are so transferred, they are not transferable back
to the original source.
B. Expenditures may be made out of the capital reserve fund as
needed and determined by the board of authority. Expenditures are
limited to county facilities. Such expenditures must be spent in
accordance with Section 1500 et seq. of Title 19 of the Oklaho ma
Statutes.
C. The Office of the State Auditor and Inspector may establish
proper documents and procedures.
SECTION 4. This act shall become effective July 1, 2021.
SECTION 5. It being immediately necessary for the prese rvation
of the public peace, health or safety, an emergency is hereby
declared to exist, by reason whereof this act shall take effect and
be in full force from and after its passage and approval.
ENR. S. B. NO. 280 Page 4
Passed the Senate the 4th day of March, 2021.
Presiding Officer of the Senate
Passed the House of Representatives the 12th day of April, 2021.
Presiding Officer of the House
of Representatives
OFFICE OF THE GOVERNOR
Received by the Office of the Governor this _______ _____________
day of _________________ __, 20_______, at _______ o'clock _______ M.
By: _____________________________ ____
Approved by the Governor of the State of Oklahoma this _____ ____
day of _________________ __, 20_______, at _______ o'clock _______ M.
_________________________________
Governor of the State of Oklahoma
OFFICE OF THE SECRETARY OF STATE
Received by the Office of the Secretary of State this _______ ___
day of __________________, 20 _______, at _______ o'clock _______ M.
By: _______________________________ __