{"data":{"id":"us-ok/okla.-stat.-tit.-60-60-177.2","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 60, § 60-177.2","heading":"Issuance of bonds or other evidence of indebtedness -","body":"Oklahoma Commission on School and County Funds Management - Powers\n\nand duties.\n\nA. No public trust, school district or county shall issue any\n\nbonds, notes, certificates of participation, certificates of\n\nindebtedness or any other evidence of indebtedness, excluding\n\nnonpayable warrants and agreements with a depository bank to honor\n\npayment of checks when there are insufficient funds, for the purpose\n\nof short-term cash management by any school district or county\n\nunless such school district or county shall have been approved for\n\nparticipation by the Oklahoma Commission on School and County Funds\n\nManagement.\n\nAs used in this section, \"short-term cash management\" means any\n\nborrowing or any method employed by a school district or county to\n\nobtain funds in advance of the receipt of tax revenue, and shall\n\ninclude, but not be limited to, the issuance of certificates of\n\nindebtedness, certificates of participation, tax-anticipation notes,\n\nbonds, notes, or any other evidence of indebtedness. It shall not\n\ninclude debt issued pursuant to a vote of the electors of the school\n\ndistrict or county pursuant to the Constitution.\n\nB. The Oklahoma Commission on School and County Funds\n\nManagement, shall consist of the State Superintendent of Public\n\nInstruction, the Director of the Oklahoma Department of Career and\n\nTechnology Education, and the State Bond Advisor. The Commission\n\nshall:\n\n1. Receive requests of school districts and counties for\n\nauthorization to participate in a short-term cash management program\n\nwhere the proceeds will be used to facilitate cash-flow management.\n\nThe requests must be received by the Commission on or before April 1\n\nin order for the school district or county to be considered for\n\nparticipation during the next fiscal year, unless such date is\n\nextended by the Commission;\n\n2. Within five (5) business days of receiving a request,\n\nforward the request to the appropriate certifying authority. If the\n\nrequest and accompanying material meet the requirements of this act,\n\nthe certifying authority must return the request and accompanying\n\ninformation to the Commission with a written review and comment\n\nwithin sixty (60) days of receipt of the request from the\n\nCommission. The certifying authority for school districts shall be\n\nthe State Superintendent of Public Instruction and for technology\n\ncenter school districts, shall be the Director of the Oklahoma\n\nDepartment of Career and Technology Education and for counties,\n\nshall be the State Board of Equalization;\n\n3. Approve or reject each request for participation, and\n\nforward notice of the decision of the Commission to the requesting\n\nschool district or county and to the Office of the Governor. The\n\nCommission shall approve or reject a request within thirty (30) days\n\nfollowing the date it receives the request and accompanying\n\ninformation with a written review and comment from a certifying\n\nauthority;\n\n4. Certify the need for funds generated by the proposed short-\n\nterm cash management based on the financial projections of the\n\nschool district or county, including the projected cash-flow\n\nshortfall, estimated income, and anticipated surplus balances on\n\nJune 30 of the current fiscal year in the general and building funds\n\nof the school district or county. Accumulative cash-flow shortfall\n\nprojections must be determined using the method specified by Section\n\n148 of the Internal Revenue Code;\n\n5. Establish reasonable limits for fees, commissions and other\n\ncompensation paid to any person or firm involved with the proposed\n\nshort-term cash management program;\n\n6. Establish participation limitations for a school district or\n\na county using the method specified in Section 148 of the Internal\n\nRevenue Code. No school district or county shall participate in a\n\nshort-term cash management program in an amount which exceeds the\n\ndetermination of need pursuant to the accumulative cash-flow\nor firm involved with the proposed\n\nshort-term cash management program;\n\n6. Establish participation limitations for a school district or\n\na county using the method specified in Section 148 of the Internal\n\nRevenue Code. No school district or county shall participate in a\n\nshort-term cash management program in an amount which exceeds the\n\ndetermination of need pursuant to the accumulative cash-flow\n\nprojections as specified in paragraph 4 of this subsection or forty\n\npercent (40%) of the approved annual budget of the school district\n\nor county, whichever is less;\n\n7. Establish limitations which prohibit school districts and\n\ncounties which are participating in a short-term cash management\n\nprogram from issuing nonpayable warrants if proceeds are available\n\nfrom the short-term cash management program;\n\n8. Submit an annual report, by December 15 of each year, to the\n\nSpeaker of the House of Representatives, the President Pro Tempore\n\nof the Senate, the Governor, the State Auditor and Inspector and the\n\nAttorney General, detailing the participation of each school\n\ndistrict and county for the prior fiscal year in the short-term cash\n\nmanagement programs authorized by this act; and\n\n9. Prescribe methods and procedures by which school districts\n\nor counties may request authorization to participate in short-term\n\ncash management programs.\n\nC. School districts and counties desiring to participate in a\n\nshort-term cash management program as provided in subsection A of\n\nthis section shall file a request with the Commission on such forms\n\nas the Commission shall prescribe. Such request shall be\n\naccompanied by:\n\n1. A resolution adopted by the board of education of the school\n\ndistrict or by the county commissioners of a county. Such\n\nresolution shall state that the school district or county intends to\n\nand has need to participate in a short-term cash management program\n\nand that the board of education or county commission has authorized\n\nthe submission of such request;\n\n2. A letter signed by the underwriter of the short-term cash\n\nmanagement program that specifies the name and address of all\n\npersons and firms receiving compensation, directly or indirectly,\n\ninvolved with the proposed short-term cash management program. All\n\npersons and firms designated shall not be paid out of school or\n\ncounty funds. For purposes of this paragraph, school or county\n\nfunds shall not include the proceeds from certificates of\n\nindebtedness or certificates of participation generated from a\n\nshort-term cash management program;\n\n3. A verification from the Administrator of the Oklahoma\n\nDepartment of Securities that all persons receiving compensation,\n\ndirectly or indirectly, for providing advice to the school districts\n\nor counties concerning participation in the program or for endorsing\n\nparticipation in the program are appropriately registered with the\n\nOklahoma Department of Securities as investment advisers or\n\ninvestment adviser representatives, as applicable, and that all\n\npersons receiving compensation, directly or indirectly, for the\n\nplacement of the certificates of participation or like securities\n\nwith investors are registered as broker-dealers or agents, as\n\napplicable;\n\n4. The estimated income and expenditures of the school district\n\nor county for the year for which the school district or county\n\nwishes to participate in a short-term cash management program. The\n\nappropriate certifying authority shall develop and provide an income\n\nand expenditure disclosure form for use by a school district or\n\ncounty which desires to participate in a short-term cash management\n\nprogram which follows the applicable portions of the information\n\nreturn required by Section 148 of the Internal Revenue Code. The\n\ninformation supplied in the disclosure form must reflect the ability\n\nof the school district or county to pay off an amount equal to the\n\ndistrict's or county's liability on the program from the income from\nwhich desires to participate in a short-term cash management\n\nprogram which follows the applicable portions of the information\n\nreturn required by Section 148 of the Internal Revenue Code. The\n\ninformation supplied in the disclosure form must reflect the ability\n\nof the school district or county to pay off an amount equal to the\n\ndistrict's or county's liability on the program from the income from\n\nthe fiscal year of participation, prior to approval for\n\nparticipation by the Commission. If the Commission determines that\n\na question exists concerning any information submitted pursuant to\n\nthis subsection, the Commission may request any additional\n\ninformation from the school district or county that it deems\n\nnecessary;\n\n5. A copy of the most recent information return for a short-\n\nterm cash management program filed with the Internal Revenue Service\n\npursuant to Section 149(e) of the Internal Revenue Code;\n\n6. An affidavit by all persons, firms, corporations or business\n\nenterprises of any kind which provide services for compensation on\n\nany financing to implement a short-term cash management program,\n\nwhich shall be signed under oath on a form approved by the\n\nCommission and which shall state that such persons, firms,\n\ncorporations or business enterprises have not given any money or\n\nother thing of value, other than a bona fide campaign contribution,\n\nto any public official or to any public employee of a school\n\ndistrict or county participating in such a cash management program.\n\nAny such person, firm, corporation or business enterprise shall also\n\nfile a disclosure statement on a form approved by the Commission,\n\nwhich shall disclose all campaign contributions of any kind made to\n\nany public official of a school district or county participating in\n\nsuch a short-term cash management program and shall also disclose\n\nthe identity of any officer, director, agent or employee of such\n\nperson, firm, corporation or business enterprise who is an officer\n\nor employee of a school or county participating in a short-term cash\n\nmanagement program, or who is related to such officers or employees\n\nwithin the third degree of affinity or consanguinity;\n\n7. A notarized sworn affidavit executed by each member of a\n\nboard of education of a school district, the superintendent of\n\nschools and the treasurer of the school district or by each county\n\ncommissioner of a county and the county treasurer, which states that\n\nthe person or any member of the immediate family of the person has\n\nno direct or indirect financial interest in the short-term cash\n\nmanagement program being requested. The affidavit shall be on a\n\nform prescribed by the Commission;\n\n8. A summary report detailing all expenses incurred by a school\n\ndistrict or county in participating in a short-term cash management\n\nprogram. The report shall be on a form prescribed by the\n\nCommission; and\n\n9. Any application and other materials including any other\n\nnecessary financial information, as may be required by the\n\nCommission.\n\nD. If the information required to be submitted pursuant to this\n\nsection meets all requirements established by the Commission and the\n\nCommission has approved such information and participation, and the\n\nparticipation is otherwise in accordance with law, the Oklahoma\n\nCommission on School and County Funds Management shall authorize the\n\nparticipation of the school district or county in the short-term\n\ncash management program. The Commission shall notify the school\n\ndistrict or county in writing, whether the requirements of this\n\nsection have been satisfied and approved.\n\nE. School districts and counties participating in a short-term\n\ncash management program authorized by this section shall report to\n\nthe Commission the probable income and expenses of anticipated\n\ninvestment income. The report shall not include probable income or\nsion shall notify the school\n\ndistrict or county in writing, whether the requirements of this\n\nsection have been satisfied and approved.\n\nE. School districts and counties participating in a short-term\n\ncash management program authorized by this section shall report to\n\nthe Commission the probable income and expenses of anticipated\n\ninvestment income. The report shall not include probable income or\n\nexpenses related to participation in a short-term cash management\n\nprogram.\n\nF. The ability of a school district or county to issue general\n\nobligation bonds shall not be modified by this act.\n\nG. The Office of the Attorney General shall provide legal\n\nassistance to the Oklahoma Commission on School and County Funds\n\nManagement.","path":["OK Code","Title 60"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os60.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"a4d7fdb49e702a68cc9100ccd3e55ebd34445e8ae946d7aee353205a0ae07a12","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-60-60-177.1","next":"us-ok/okla.-stat.-tit.-60-60-177.3"},"notice":"GroundRules: Original legal text. Not legal advice."}