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SENATE FLOOR VERSION
February 13, 2024
SENATE BILL NO. 1713 By: Jech
An Act relating to interlocal cooperative agreements;
amending 70 O.S. 2021, Section 5 -117b, which relates
to interlocal cooperative agreements between boards
of education of two or more school districts;
requiring certain boards of directors to maintain
certain positions on board; updating statutory
language; 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. 2021, Section 5 -117b, is
amended to read as follows:
Section 5-117b. A. The boards of education of any two or more
school districts may enter into an interlocal cooperative agreement
for the purpose of joint ly and comparatively performing any of the
services, duties, functions, activities, obligations, or
responsibilities which are authorized or required by law to be
performed by school distr icts of this state. Two or more school
districts may enter into an interlocal cooperative agreement for the
purpose of forming buying po ols and purchasing cooperatives. As
used in this section, “interlocal cooperative agreement ” means an
agreement which is entered into by the boards of education of t wo or
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more school districts pursuant to the provisions of this section.
This section shall not prohibit school distr icts from entering into
cooperative agreements authorized un der Section 5-117 of this title
or interfere with existing cooperative agreements between school
districts. If the boards of education of any two or more school
districts enter into an interlocal cooperative agreement the
following conditions may apply:
1. An interlocal cooperative agreement shall establish a board
of directors which shall be responsib le for administering the joint
or cooperative undertaking. The agreement shall specify the
organization, terms, and composition of, and manner of appointme nt
to, the board of directors an d shall make provision for
restructuring or terminating the board up on partial or complete
termination of the agreement. The board of di rectors shall be
selected by the board of education of each contracting school
district and may include but not be limited to a board member,
administrator, or teacher from each contracting school district.
Vacancies in the membership of the board of directors shall be
filled within thirty (30) days from the date of the vacancy in the
manner specified in the agreement . Provided, however, an interlocal
cooperative agreement entered into pursuant to this act for the
purpose of providing insurance for Oklahoma educational instit utions
shall maintain at least one of each of the following positions on
the board of directors:
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a. an individual who is a member of the American Academy
of Actuaries, and
b. an individual with more than ten (10 ) years of
professional experience in property and casualty
insurance;
2. An interlocal cooperative agreement which is optional to
school districts and shall be effective only after it is approved by
the State Board of Education and the board of directors may be
designated as a local education agency for som e or all state and
federal application, reporting, and auditing procedures. An
interlocal cooperative board of directors that has been designated
as a local education agency shall comply with state and federal law
and the regulations of the State Board of Education;
3. An interlocal cooperative agreement shall be subject to
change or termination by a recommendation of the State Board of
Education;
4. The duration of an interlocal cooperative agreement for
joint or cooperative action in performing any of the services,
duties, functions, activ ities, obligations, or responsibilities,
other than the provision of special education services, which are
authorized or required by law of school districts in this state,
shall be for a term of not less than one (1) year. Notice of int ent
of a school district to withdraw from the cooperative agreement mu st
be given no later than March 15 for the ensuing school year;
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5. An interlocal cooperative agreement shall specify the method
or methods to be employed for disposing of property upon partial or
complete termination of the agreement;
6. Within the limitations provided by law, an interlocal
cooperative agreement may be c hanged or modified by majority consent
of the interlocal cooperative board of directors;
7. Except as otherwise speci fically provided in this section,
any powers, privileges, or authority exercised or capable of being
exercised by any school district of t his state, or by any board of
education thereof, may be jointly exercised pursuant to the
provisions of an interlocal cooperative agreement . Federal grant
money, applied for on behalf of a school district, may be disbursed
directly to a an interlocal cooperative with the consent of the
school districts comprising the inte rlocal cooperative. No powers,
privileges, or authority with respect to the levy and collection of
taxes or the applica tion for or receipt of State Aid formula money,
or the issuance of b onds shall be created or effectuated for joint
exercise pursuant to the provisions of an interlocal cooperative
agreement; and
8. Payments from the general fund of each school district which
enters into any interlocal cooperative agreement for the purpose of
financing the joint or cooperative undertaking provided for by t he
agreement shall be operating expenses.
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B. Nothing contained in this section shall be construed to
abrogate, interfere with, impair, qualify, or affect in any manner
the exercise and enjoyment of all the powers, privileges , and
authority conferred upon school districts and boards of education by
law, except that boards of educat ion and school districts are
required to comply with the provisions of this section when entering
into an interlocal cooperative agreement that meets the definition
of an interlocal cooperative agreement.
SECTION 2. This act shall become effective July 1, 2024.
SECTION 3. It being immediately necessary for the preservation
of the public peace, health or safety, an emer gency is hereby
declared to exist, by reason whereof this act shall take effect and
be in full force from a nd after its passage and approval.
COMMITTEE REPORT BY: COMMITTEE ON RETIREMENT AND INSURANCE
February 13, 2024 - DO PASS