{"data":{"id":"us-ok/okla.-stat.-tit.-70-70-1-117","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 70, § 70-1-117","heading":"General fund - Capital and noncapital expenditures","body":"A. The general fund of any school district is hereby defined as\n\na current expense fund and shall consist of all revenue or monies\n\nthat can legally be expended within a certain specified fiscal year,\n\nbut shall not be considered as including any money derived from a\n\nspecial building fund levy made in accordance with the provisions of\n\nSection 10 of Article X of the Oklahoma Constitution, nor shall it\n\ninclude any monies derived from the sale of bonds issued under the\n\nprovisions of Section 26 of Article X of the Oklahoma Constitution.\n\nAll monies derived from the proceeds of the school levies made\n\npursuant to the provisions of Section 9 of Article X of the Oklahoma\n\nConstitution shall be placed in the general fund provided by this\n\nsection. Expenditures from the general fund shall be noncapital in\n\nnature. All monies derived from state-dedicated revenue, state-\n\nappropriated revenue unless otherwise provided for by law, and\n\ncounty sources shall be placed in the general fund provided for by\n\nthis section. Except as provided for in subsections F, K, and L of\n\nthis section, a district shall not be authorized to make capital\n\nexpenditures as defined by this section from the general fund.\n\nB. For purposes of this section, state-dedicated revenue shall\n\nbe any registration or license fees, taxes, or penalties collected\n\nat the state level and distributed to common school districts.\n\nCounty sources shall be all funds collected by the county and\n\ndistributed to common school districts but shall not include any\n\nfunds derived from the building fund levy made in accordance with\n\nthe provisions of Section 10 of Article X of the Oklahoma\n\nConstitution or funds derived from the sinking fund levy made in\n\naccordance with the provisions of Section 26 of Article X of the\n\nOklahoma Constitution.\n\nC. For the purposes of this section, a capital expenditure\n\nshall be an expenditure which results in the acquisition of fixed\n\nassets or additions to fixed assets. Capital expenditures shall\n\ninclude, but shall not be limited to, purchases of land or existing\n\nbuildings, purchases of real property, improvements of grounds and\n\nsites for construction purposes, all expenditures for construction\n\nof buildings unless authorized by the State Board of Education or\n\nthe State Board of Career and Technology Education upon application\n\nto the appropriate state board pursuant to subsection F of this\n\nsection, additions to buildings, remodeling of buildings if such\n\nremodeling involves changes to roof structures or load-bearing\n\nwalls, professional services, salaries and expenses of architects\n\nand engineers hired or assigned to capital projects except for such\n\nservices, salaries, and expenses as are applicable in preparation\n\nfor a bond issue, expenditures for the initial installation and\n\nextension of service systems and built-in heat or air equipment to\n\nexisting buildings, expenditures for the replacement of a building\n\nwhich has been destroyed, installments and lease payments on\n\nproperty including interest that have a terminal date and result in\n\nthe acquisition of property, and expenditures for preliminary\n\nstudies made prior to the time that authority to proceed with a\n\nconstruction project is given if authority is received within the\n\nsame fiscal year that the expenditure was made.\n\nD. Noncapital expenditures shall include, but shall not be\n\nlimited to, expenditures for maintenance, repair, and replacement of\n\nproperty and equipment, initial or additional purchases of furniture\n\nand equipment, direct expenses for maintenance of plant including\n\ngrounds, salaries for maintenance of plant including salaries for\n\nthe upkeep of grounds, and repair and replacement of building\n\nstructures which do not add to existing facilities and which do not\n\ninvolve changes in roof structures or load-bearing walls and which\n\nare not classified as a capital expenditure by this section.\nture\n\nand equipment, direct expenses for maintenance of plant including\n\ngrounds, salaries for maintenance of plant including salaries for\n\nthe upkeep of grounds, and repair and replacement of building\n\nstructures which do not add to existing facilities and which do not\n\ninvolve changes in roof structures or load-bearing walls and which\n\nare not classified as a capital expenditure by this section.\n\nE. The State Board of Education shall adopt and amend\n\nregulations regarding the classification, definition, and financial\n\nadministration of funds, accounts, and expenditures in accordance\n\nwith the requirements of this section.\n\nF. A school district shall be authorized to make capital\n\nexpenditures from the general fund to defray the cost of rebuilding\n\na school building only if a school building or facility has been\n\ndestroyed by a fire or natural disaster, such as flood, tornado, or\n\nother act of God, or by an act of a public enemy of the United\n\nStates or this state and monies received by the district through\n\ninsurance coverage, federal reimbursement, contributions, and\n\nallocation from the State Board of Education from the State Public\n\nCommon School Building Equalization Fund are insufficient to rebuild\n\nthe facility. Capital expenditures from the general fund pursuant\n\nto this subsection shall be limited to an amount necessary to defray\n\nthe cost of rebuilding the facility which exceeds monies received by\n\nthe school district through insurance, federal reimbursement,\n\ncontributions, and state allocations.\n\nG. Schools which receive gifts, donations, or state-\n\nappropriated monies for the purpose of capital expenditures or\n\nprojects shall place such monies in the building fund, as provided\n\nby Section 1-118 of this title, and not in the general fund. School\n\ndistricts which receive gifts, grants, or donations of monies for\n\nnoncapital expenditures may place the monies in the general fund,\n\nand such monies shall not be required to be used during the year in\n\nwhich the money was received but may accumulate from year to year.\n\nH. School districts which receive monies from rental, sale, or\n\nlease of buildings, impact aid monies, or grants, gifts, or\n\ndonations for capital purposes, whether from state, federal, or\n\nother sources, may place such monies in the building fund authorized\n\nby Section 1-118 of this title or the general fund authorized by\n\nthis section.\n\nI. Any construction of a building included as a capital\n\nexpenditure from the general fund of a school district which is\n\nauthorized and has had a contractual agreement concerning such\n\nconstruction executed prior to July 1, 1991, may be proceeded with\n\nand completed as authorized prior to July 1, 1991, as a capital\n\nexpenditure from such general fund.\n\nJ. School districts receiving revenues authorized by Section 9B\n\nof Article X of the Oklahoma Constitution shall be authorized to\n\nmake capital expenditures from the general revenue fund no greater\n\nthan the amount levied by the incentive millage.\n\nK. Upon the approval of the State Board of Education, a school\n\ndistrict shall be authorized to make capital expenditures as defined\n\nin this section from its general fund if:\n\n1. A bond issue has been rejected at an election by the school\n\ndistrict electors voting on that question within the current school\n\nyear, as certified by the secretary of the county election board; or\n\n2. The school district has voted indebtedness at any time\n\nwithin the preceding three (3) school years through the issuance of\n\nbonds or through approval by voters of issuance of new bonds for\n\nmore than eighty-five percent (85%) of the maximum allowable\n\npursuant to the provisions of Section 26 of Article X of the\n\nOklahoma Constitution as shown on the school district budget filed\n\nwith the State Board of Equalization for the current school year and\n\ncertifications by the Attorney General prior to April 1 of the\nuance of\n\nbonds or through approval by voters of issuance of new bonds for\n\nmore than eighty-five percent (85%) of the maximum allowable\n\npursuant to the provisions of Section 26 of Article X of the\n\nOklahoma Constitution as shown on the school district budget filed\n\nwith the State Board of Equalization for the current school year and\n\ncertifications by the Attorney General prior to April 1 of the\n\ncurrent school year. The State Board of Education shall establish\n\nthe rules to administer the provisions of this subsection which\n\nshall include, but not be limited to, specification of a maximum\n\namount of general fund monies to be used for capital expenditures,\n\nthe purposes for which such funds may be expended, and the period of\n\ntime in which such funds shall be encumbered.\n\nL. Other provisions of this section notwithstanding, a school\n\ndistrict shall be authorized to make capital expenditures from the\n\ngeneral fund if the total assessed property valuation per average\n\ndaily attendance is less than sixty percent (60%) of the state\n\naverage total assessed property valuation per average daily\n\nattendance and if, for each year in which general fund revenue is\n\nused for capital expenditures, the district has voted the five-mill\n\nbuilding fund levy authorized in Section 10 of Article X of the\n\nOklahoma Constitution and has voted indebtedness through the\n\nissuance of new bonds for at least eighty-five percent (85%) within\n\nthe last three (3) years of the maximum allowable pursuant to the\n\nprovisions of Section 26 of Article X of the Oklahoma Constitution\n\nas shown on the school district budget filed with the State Board of\n\nEqualization for the current school year and certifications by the\n\nAttorney General prior to April 1 of the school year. Provided, the\n\nmaximum amount of general fund revenue used for capital expenditures\n\npursuant to this subsection shall not exceed five percent (5%) of\n\nthe total yearly revenue to the general fund. Such fund may not be\n\nused for capital expenditures for more than five (5) consecutive\n\nyears and may only be utilized for remodeling or construction of\n\nclassroom facilities and such ancillary facilities to such\n\nclassrooms as may be necessary. Provided, further, the\n\nSuperintendent of Public Instruction shall certify in writing, prior\n\nto the expenditure of the funds for which provision is made in this\n\nsubsection, that such expenditures are in compliance with the\n\nprovisions of this subsection.","path":["OK Code","Title 70"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os70.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"e83a0854243be750cb099c5840fa02c53a2d9af9f7148a3253425f57a60d4549","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-70-70-1-116.3","next":"us-ok/okla.-stat.-tit.-70-70-1-118"},"notice":"GroundRules: Original legal text. Not legal advice."}