SENATE FLOOR VERSION - SB772 SFLR 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 SENATE FLOOR VERSION March 4, 2025 AS AMENDED SENATE BILL NO. 772 By: Stewart of the Senate and Boles of the House [ counties - inventory of county property - process of disposition - effective date ] BE IT ENACTED BY THE PEOPLE OF THE STA TE OF OKLAHOMA: SECTION 1. AMENDATORY 19 O.S. 2021, Section 178.1, is amended to read as follows: Section 178.1. A. The board of county commissioners in each county of this state shall take, or cause to be taken, an inventory of all working tools, apparatus, machinery and equipment property belonging to the county or leased or otherwise let to it or to any department thereof, other than that which is affixed to and made a part of lands and buildings, as follows: 1. All working tools, apparatus, machinery, and equipment, the cost of which as to each complete working unit thereof is more than Five Hundred Dollars ($500.00) , and thereafter Two Thousand Five Hundred Dollars ($2,500.00) or more; SENATE FLOOR VERSION - SB772 SFLR 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 2. All supplies, materials, and equipm ent of a county used in the construction and maintenance of roads and bridges having an original cost of Two Thousand Five Hundred Dollars ($2,500.00) or more; 3. All supplies, materials, equipment, and telecommu nication goods of a county not used in the construction and maintenance of roads and bridges having an original cost of Two Thousand Five Hundred Dollars ($2,500.00) or more; 4. All information technology hardware, software, and devices, such as laptops, tablets, cameras, and cell phones of a coun ty having an original cost of Five Hundred Dollars ($500.00) or more; and 5. All firearms of a county having an original cost of Five Hundred Dollars ($500.00) or more. B. The board of county commissioners shall maintain or cause to be maintained a conti nuous inventory record thereof and of like tools, apparatus, machinery and equipment purchased, leased , or otherwise coming into the custody of the county or of any office, board, department, commission , or any or either thereof, and the disposition thereof whether sold, exchanged, leased or let where authorized by statute, junked, strayed , or stolen, and annually thereafter, or oftener more often in the event of death, resignation or removal of an elective officer with a term, to verify or cause to be verified by count and report of the same as of the end of a term SENATE FLOOR VERSION - SB772 SFLR 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 of office and as part and parcel of the accounting required by law of a retiring or re-elected officer, and, as to appointive heads of departments amenable directly to the board of county commiss ioners and as to quasi-governmental boards and commissions such as free fair boards, hospital boards , and the like, the same shall be as of the last business day immediately preceding the day certain commencing a new term of the board of county commissione rs; all in the manner as provided by law. SECTION 2. AMENDATORY 19 O.S. 2021, Section 421, as amended by Section 1, Chapter 337, O.S.L. 2023 (19 O.S. Supp. 2024, Section 421), is amended to read as follows: Section 421. After Nov ember 1, 2009, each board of county commissioners of the several counties in the state shall within thirty (30) days after the disposition of any tools, apparatus, machinery, and equipment, or anything required to be inventoried pursuant to Sections 178.1 and 1502 of this title belonging to the county or leased or otherwise let to it or any department thereof , the original cost of which is more than One Thousand Dollars ($1,000.00), whether sold, exchanged, junked, leased or let where authorized by statute, shall enter, or cause to be entered, in the minutes of the proceedings of the board the fact of such disposition, including complete description of item, serial number, the date property was acquired, the name an d address of the person or firm from whom property was acquired, the cost price at time of SENATE FLOOR VERSION - SB772 SFLR 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 acquisition or contract price if acquired under lease -rental agreement, the date of disposition, the name and address of the person or firm to whom property transferred, the price received therefor, and the reason for disposition. SECTION 3. AMENDATORY 19 O.S. 2021, Section 421.1, as amended by Section 2, Chapter 337, O.S.L. 2023 (19 O.S. Supp. 2024, Section 421.1), is amended to read as foll ows: Section 421.1. A. The board of count y commissioners is hereby authorized to use any tools, apparatus, machinery or, equipment, or anything required to be on inventory pursuant to Sections 178.1 and 1502 of this title belonging to the county, the original cost of which exceeded One Thousand D ollars ($1,000.00), as a trade-in on a cash purchase or lease purchase of any other tools, apparatus, machinery or, equipment, or property required to be inventoried pursuant to Sections 178.1 and 1502 of this tit le. B. To establish an appraised value for an item to be sold at public auction or traded in, the purchasing agent may refer to an industry-recognized appraisal manual for used construction equipment to estimate the value of the item being sold, or obtain appraisal quotes from at least two vendors in the business of selling items like the one being sold. C. Except when such items are disposed of pursuant to subsection E, F, or I of this section, the following procedures shall be used for the sale, by the board of county commissioners, of SENATE FLOOR VERSION - SB772 SFLR 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 any tools, apparatus, machinery or, equipment, the original cost of which exceeded One Thousand Dollars ($1,000.00) or any information technology hardware or software having an original cost of Five Hundred Dollars ($500.00) or more, or anything required to be on inventory pursuant to Sections 178.1 and 1502 of this title belonging to the county: 1. The board of county commissioners shall give notice of such sale by publication in a newspaper of general paid circulation in the county for two successive weekly issue s; 2. Bids for such tools, apparatus, machinery or, equipment, or anything required to be on inventory pursuant to Sections 178.1 and 1502 of this title on sale shall be in writing, sealed and delivered to the county clerk of such county; 3. At the next regular meeting of the board of county commissioners after the expiration of fifteen (15) days from the date of first publication of notice of the sale, the board of county commissioners shall open such bids and a ward such tools, apparatus, machinery or, equipment, or anything required to be on inventory pursuant to Sections 178.1 and 1502 of this title to the highest and best bidder with the option of rejecting all bids; and 4. The In lieu of advertising for sealed bids as provided above, the board of county commissioners may hold a public auction or use an Internet auction , which may include that includes online SENATE FLOOR VERSION - SB772 SFLR 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 bidding, in lieu of advertising for sealed bids as provided above . Such auction shall be advertised a s provided herein. D. A board of county co mmissioners may sell any materials, tools, apparatus, machinery or, equipment, or anything required to be on inventory pursuant to Sections 178.1 and 1502 of this title to a tribal governmental entity or state agency, if the agency is subject to the Oklaho ma Central Purchasing Act. The board of county commissioners may purchase materials, tools, apparatus, machinery or, equipment, or anything required to be on inventory pursuant to Sections 178.1 and 1502 of this title from a tribal governmental entity or state agency, if the agency is subject to the Oklahoma Central Purchasing Act. E. The board of county commissioners may, by resolution, enter into an agreement with any tribal governmental entity or other county or political subdivision for the purpose of selling, transferring, trading or otherwise disposing of equipment or, materials, or anything required to be on inventory pursuant to Sections 178.1 and 1502 of this title at a price agreed upon by both governing bodies. Transactions made pursuant to thi s subsection shall not be subject to the requirements in subsection C of this section. F. Advertisement of surplus property consigned to sell at a Circuit Engineering District auction shall be provided by the auction company under contract to conduct the sale. Advertising SENATE FLOOR VERSION - SB772 SFLR Page 7 (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 shall be provided to attract the most potential buyers. Advertising media may include, but not be limited to, sale flyers, newspapers, radio, television, and Internet postings. G. Pursuant to the authority of Section 1 of this title, b oards of county commissioners shall have authority, under such statute and in consideration of the procedures in this section to sell real property belonging to the county without declaring such property surplus under the following conditions: 1. A certified appraisal of the county property shall be performed to determine the market value of the property and accepted by the board of county commissioners; 2. After acceptance of the certified appraisal, the board o f county commissioners shall, pursuant to t he requirements of this section, give notice of such sale by publication in a newspaper of general paid circulation in the county for two successive weekly issues; 3. Bids for the real property shall be in writing, sealed and delivered to the county clerk of such county; 4. At the next regular meeting of the board of county commissioners after the expiration of fifteen (15) days from the date of first publication of notice of sale, the board of county commissioners shall open such bids; 5. A successful bid must be no less than the market value of the real property to be considered by the board of county SENATE FLOOR VERSION - SB772 SFLR Page 8 (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 commissioners for acceptance. The board of county commissioners reserves the right to reject any and all bids; 6. If more than one bid is above the mark et value of the real property, the board of county commissioners shall have the right to compel the potential buyers of the real property who have bid above the market amount to enter into public auction conducted by the chairman of the board of county com missioners after the opening of such bids, to establish the highest bid for the property in order to assure that the county is receiving adequate consideration for the property; 7. A majority vote of the board of county commissioners shall be required to determine the successful bidder of the real property. Upon awarding the bid, either through sealed bid or by conducting a public auction of those bidders who bid more than the market value of the real property, t he board of county commissioners shall have the right to pledge the occupied property, using an irrevocable bond or letter of credit, as provided for in paragraph 10 of this subsection, as collateral in order to finance bonds to purchase other real property or build a replacement building, or both; 8. If the sale price is less than the estimated cost of new land purchase or construction, then said sales contract shall be contingent upon the public approval of bond funding or other authorized funding to all ow the complete payment of the contemplated project; SENATE FLOOR VERSION - SB772 SFLR Page 9 (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 9. The board of county commissioners shall have authority pursuant to paragraphs 5 and 6 of Section 1 of this title to make any order concerning the sale of such property contingent upon a closing date in the future in order to continue to use s aid real property until a replacement building is completed. Upon completion of the replacement building, the board of county commissioners shall execute all documents and title transfers pertaining to said real property to the successful bidder; 10. The successful bidder shall execute an irrevocable bond or letter of credit with a surety company or bank licensed to do business in the State of Oklahoma and organized under the corporate laws of the State of Oklahoma and registered with the Secretary of State of Oklahoma equal to the amount of the purchase price of the real property within fifteen (15) days of awarding of the bid. Failure to provide either an irrevocable bond or letter of credit in favor of the board of county commissioners within said time limitation shall act as a rejection and cancellation by the board of the award of bid and said board may, at that point, enter into a contract with any secondary or subsequent bidder that meets the aforementioned qualifications without further notice; and 11. If there are no bids submitted or all submitted bids are less than the market value of the real property after the expiration of fifteen (15) days from the date of first publication of notice of sale, the board of county commissioners shall publish t he notice of SENATE FLOOR VERSION - SB772 SFLR Page 10 (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 sale and accept bids for a second time complying with the requirements of paragraphs 2 through 4 of this subsection. If there are no bids submitted or all submitted bids are less than the market value of the real property after the expiration of fifteen (15) days from the date of second publication of notice of sale, the board of county commissioners shall have the right to sell real property, upon majority vote, without any bidding procedure or aucti on, directly to any person or entity for an amount that is not less than the highest bid previously submitted through any previous bidding procedures provided in this subsection. H. The board of county commissioners may solicit telephone bids for the removal of recyclable materials. I. The board of county commissioners shall have the authority to trade in equipment to a vendor or on statewide contract by acquiring used equipment values pursuant to subsection B of this section. SECTION 4. AMENDATORY 19 O.S. 2021, Section 1 502, as amended by Section 2, Chapter 94, O.S.L. 2022 (19 O.S. Supp. 2024, Section 1502), is amended to read as follows: Section 1502. A. 1. The board of county commissioners or a designated employee shall: a. prescribe a uniform identification system f or all supplies, materials and, equipment, and information SENATE FLOOR VERSION - SB772 SFLR Page 11 (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 technology of a county used in the construction and maintenance of roads and bridges, and b. create and administer an inventory system , to be overseen by the county road and bridge inventory officer, for all: (1) equipment of a county having an original cost of Two Thousand Five Hundred Dollars ($2,500.00) or more for use in the construction and maintenance of roads and bridges, and (2) supplies and materials of a county purchased in lots of Two Thousand Five Hundred Dollars ($2,500.00) or more for use in the construction and maintenance of roads and bridges , and (3) information technology hardware, software, and devices, such as laptops, tablets, cameras, a nd cell phones of a county having an origin al cost of Five Hundred Dollars ($500.00) or more for use in the construction and maintenance of roads and bridges. Such person shall be the county road and bridge inventory officer. 2. a. In counties having a county budget board created pursuant to Section 1402 et seq. of this title, said board may, upon an affirmative vote of a majority of all the board members then in office, appoint a county SENATE FLOOR VERSION - SB772 SFLR Page 12 (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 road and bridge inventory officer who shall be employed by the county and shall have such duties as are provided in subparagraphs a and b of paragraph 1 of this subsection. In the event the board does not appoint a county road and bridge inventory officer the board of county commissioners or its designee shall be the county road and bridge inventory officer. The appointed county road and bridge inventory officer shall be under the general supervision and direction of the appointing authority. b. The appointed county road and bridge inventory officer shall be authorized nece ssary assistants to carry out the duties and responsibilities provided by law and as may be delegated by the appointing authority. Provided, the employment of such assistants shall be upon the approval of the appointing authority. The salary of the county road and bridge inventory officer and assistants shall be fixed by the appointing authority. c. The appointed county road and bridge inventory officer shall, at the expense of the county, be authorized adequate office space, furnishings, equipment and supplies to carry out the duties and responsi bilities of the county road and bridge inventory officer as SENATE FLOOR VERSION - SB772 SFLR Page 13 (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 provided by law and as may be delegated by the appointing authority. Provided, the acquisition of such furnishings, equipment and supplies shall be upon the approval of the appointing authority a nd the acquisition of office space shall be upon the approval of the board of county commissioners. B. The board of county commissioners shall: 1. Prescribe a uniform identification system for all supplies, materials, equipment and, information technolog y and, telecommunication goods , and firearms of a county not used in the construction and maintenance of roads and bridges; and 2. Create and administer an inventory system for all: a. equipment and telecommunication goods of a county having an original c ost of Two Thousand Five Hundred Dollars ($2,500.00) or more and not used in the construction and maintenance of roads and bridges, b. information technology hardware and, software, and devices, such as laptops, t ablets, cameras, and cell phones of a county having an original cost of Five Hundred Dollars ($500.00) or more and not used in the construction and maintenance of roads and bridges, and c. supplies and materials of a county purchased in lots of Two Thousand Five Hundred Dollars ($2,500.00) or SENATE FLOOR VERSION - SB772 SFLR Page 14 (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 more and not used in the construction and maintenance of roads and bridges , and d. firearms of a county having an original cost of Five Hundred Dollars ($500.00) or more and not used in the construction and maintenance of roads and bridges . The board of county commissioners may designate an employee of that office to administer such inventory system. SECTION 5. This act shall become effective November 1, 2025. COMMITTEE REPORT BY: COMMITTEE ON LOCAL AND COUNTY GOVERNMENT March 4, 2025 - DO PASS AS AMENDED