{"data":{"id":"us-ok/okla.-stat.-tit.-68-68-3003","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 68, § 68-3003","heading":"Revenue from nonrecurrent sources not to be included in","body":"political subdivisions estimate of probable income - Exceptions -\n\nExclusion from minimum program income of school districts - Federal\n\nfunds.\n\nA. It shall be unlawful for the governing board of any county,\n\ncity, town, school district, or other governmental subdivision of\n\nthis state, in preparation of its budget for any fiscal year, to\n\nestimate as probable income from sources other than ad valorem tax\n\nof such governmental subdivision of the state and other than any\n\nexcise or other tax assessed by legislative enactment and\n\ndistributed in lieu of ad valorem taxes, any revenue from\n\nnonrecurrent sources, regardless of such collections in the\n\nimmediately preceding fiscal year, to be derived from or the result\n\nof sales, forfeitures, penalties, gifts, federal aid allotments of\n\nevery kind, windfalls, seizures, sheriff’s sales, court actions\n\nwhether civil or criminal, injunctions or protests won or released\n\nby dismissal, or from any other such source not normally recurrent\n\nyear after year and so made recurrent by legislative enactment.\n\nProvided, that upon a finding by the governing board of any county,\n\ncity, town, school district, or other governmental subdivision of\n\nthis state, that a source of income, although nonrecurrent, will\n\nactually be available for the next ensuing fiscal year, the board\n\nmay include such income in its estimate of probable income.\n\nProvided, that shared revenues of the federal government, if\n\nascertainable, shall be allowed to be included in the estimates. It\n\nshall also be unlawful for any excise board to approve or require\n\nthe same, or for any supervisory state board, commission, or\n\nofficer, or for any agent or employee of either thereof to\n\ncountenance, approve, or require the same or to diminish in any\n\ndegree the distribution or allotment of state revenues or\n\nappropriations by reason of such collections in a prior year or\n\nprospect of such collections in the ensuing year; nor shall any\n\nrevenue received by a school district from gross production taxes\n\nduring the immediately preceding fiscal year, which was payable to\n\nsuch district in another year or years, be considered as minimum\n\nprogram income of such district for state aid purposes. The\n\nprovisions of Section 21 of Title 21 of the Oklahoma Statutes shall\n\nbe applicable where the foregoing prohibitions are disregarded.\n\nRevenue received by a school district during the immediately\n\npreceding year, which was earned by, or which was payable to, such\n\nschool district in another year or years, shall not be considered as\n\nminimum program income of such district for state aid purposes.\n\nB. All funds received by counties, cities, towns, or other\n\nsubdivisions of government in this state, hereinafter referred to as\n\nthe recipient government, from the federal government pursuant to\n\nthe distribution of funds authorized by the state shall be deposited\n\nin the treasury of the recipient government in a fund which shall be\n\nrecorded and accounted for separately and apart from all other\n\nfunds. Principal and interest received from investments of the\n\nfederal monies, proceeds from the sale of assets purchased from the\n\nfederal monies, and other miscellaneous income derived from the\n\ndirect operation of the federal monies may be deposited in the fund\n\nfrom which the federal monies were deposited if required by the\n\nfederal government or by the governing board of the recipient\n\ngovernment.\n\nThe unappropriated cash balance on hand may be appropriated as\n\nneeded upon the request of the governing board of the recipient\n\ngovernment and approval by the county excise board; provided, if the\n\ngoverning board of the recipient government determines the need to\n\ndo so, it may estimate the amount remaining to be collected from its\n\nentitlement from federal funds during the remainder of its fiscal\n\nyear and include such estimate in its request for appropriations.\nd upon the request of the governing board of the recipient\n\ngovernment and approval by the county excise board; provided, if the\n\ngoverning board of the recipient government determines the need to\n\ndo so, it may estimate the amount remaining to be collected from its\n\nentitlement from federal funds during the remainder of its fiscal\n\nyear and include such estimate in its request for appropriations.\n\nThe estimate shall not exceed the amount of the entitlement which is\n\nto be received during the remainder of the recipient government’s\n\nfiscal year or, if the amount of the entitlement has not been\n\ncertified, ninety percent (90%) of such funds received during a\n\ncorresponding period of the previous fiscal year; provided, that if\n\nthe entitlement is less than that estimated or if the entitlement to\n\nbe collected during the recipient government’s fiscal year, in\n\naddition to the unappropriated cash balance, is reduced below the\n\namount appropriated for the fiscal year, the governing board of the\n\nrecipient government shall request the county excise board for an\n\nadequate reduction of appropriations in the fund.\n\nAll disbursements made from the fund in which federal monies are\n\ndeposited shall be made in the same manner as those made from the\n\ngeneral fund of the recipient government; provided, that no warrants\n\nshall be drawn on the fund unless sufficient monies are available to\n\npay the warrants.\n\nAll forms and procedures necessary for the effective operation\n\nof this act shall be prescribed by the office of the State Auditor\n\nand Inspector.\n\nC. All monies distributed by federal, state, or tribal\n\ngovernments and received by any state agency, board, or commission\n\nto administer and distribute to counties, cities, towns, or other\n\nsubdivisions of the government in this state, hereinafter referred\n\nto as the recipient government, that do not follow procedures in\n\nsubsection B of this section may utilize the letter of commitment\n\nappropriation process as specified in this subsection. The\n\nrecipient government shall receive approval for the program as\n\nrequired by the agency, board, or commission administering the\n\nprogram and by the federal government, if required. Once approved,\n\nthe state agency, board, or commission may authorize a letter of\n\ncommitment of federal, state, or tribal monies available to the\n\nrecipient government. The excise board may approve an appropriation\n\nin the amount of the letter of commitment. Each recipient\n\ngovernment may establish a separate appropriation within a special\n\nrevenue fund designated for federal, state, or tribal monies. The\n\nrecipient government may encumber funds in an amount not to exceed\n\nthe sum of the total letter of commitment, which is a binding\n\ncommitment of funding which the recipient government will receive\n\nfor the project or projects eligible for such federal funding. The\n\nencumbrance of funds authorized by this section shall be made in\n\naccordance with procedures prescribed by the State Auditor and\n\nInspector and shall be administered in accordance with rules and\n\nregulations concerning such distribution adopted by the federal\n\ngovernment and the state agency, board, or commission. Any\n\nexpenditure incurred by the recipient government using the letter of\n\ncommitment appropriation process and disallowed by the federal,\n\nstate, or tribal government or state agency, board, or commission\n\nadministering the funds shall be paid by the recipient government.","path":["OK Code","Title 68"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os68.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"c84834c624c149926793e60fefa07825c9bdc9ffada01ad05c6cea2c289289bd","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-68-68-3002","next":"us-ok/okla.-stat.-tit.-68-68-3004"},"notice":"GroundRules: Original legal text. Not legal advice."}