{"data":{"id":"us-ok/okla.-stat.-tit.-74-74-2256","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 74, § 74-2256","heading":"Authority to issue negotiable bonds - Resolution -","body":"Interest rate - Covenants - Trust indentures - Monies deemed trust\n\nfunds.\n\nA. The Commission shall have the power and is authorized to\n\nissue negotiable bonds in anticipation of the collection of all or\n\nany part of its revenues, not to exceed Five Million Dollars\n\n($5,000,000.00), for the purpose of constructing, reconstructing,\n\nimproving, bettering or extending any properties which it is\n\nauthorized to maintain or operate hereunder. The Commission shall\n\npledge all or any part of the revenues derived from the operation of\n\nthe parks controlled and operated by the Commission to the payment\n\nof the interest and principal of such bonds.\n\nB. The bonds authorized by this section shall be authorized by\n\nresolution of the Commission and may, as provided in such\n\nresolution:\n\n1. Be issued in one or more series;\n\n2. Bear such date or dates and may mature at such time not\n\nexceeding twenty-five (25) years from their respective dates;\n\n3. Bear interest at a rate or rates not exceeding ten percent\n\n(10%) per annum; and\n\n4. Contain such terms, covenants and conditions.\n\nC. The bonds authorized by this section may be sold in a manner\n\nand upon terms as determined by the Commission. The interest cost\n\nyield to maturity of any issue of bonds shall not exceed ten percent\n\n(10%) per annum, payable semiannually.\n\nD. Any resolution authorizing the issuance of bonds under this\n\nact may contain covenants including, but not limited to:\n\n1. The purpose or purposes to which the proceeds of the sale of\n\nbonds may be applied, and the deposit, use, and disposition thereof;\n\n2. The use, deposit, securing of deposits, and disposition of\n\nthe revenues of the Commission, including the creating and\n\nmaintenance of reserves;\n\n3. The issuance of additional bonds payable from revenues of\n\nthe Commission;\n\n4. The operation and maintenance of properties of the\n\nCommission;\n\n5. The insurance to be carried thereon, and the use, deposit\n\nand disposition of insurance monies;\n\n6. Books of account and the inspection and audit thereof and\n\nthe accounting methods of the Commission;\n\n7. The nonrendering of any free service by the Commission\n\nexcept for promotional activities as deemed in this act; and\n\n8. The preservation of the properties of the Commission so long\n\nas any of the bonds remain outstanding, from any mortgage, sale,\n\nlease or other encumbrances not specifically permitted by the terms\n\nof the resolution.\n\nE. At the discretion of the Commission, any bonds issued under\n\nthe provisions of this act may be secured by a trust indenture by\n\nand between the Commission and a corporate trustee, which may be any\n\ntrust company or bank having the powers of a trust company within\n\nthe state. Any trust indenture may pledge or assign the revenues\n\nfrom the operation of properties of the Commission, but shall not\n\nconvey or mortgage any properties, except such revenues. Any trust\n\nindenture or any resolution providing for the issuance of such bonds\n\nmay contain provisions for protecting and enforcing the rights and\n\nremedies of the bondholders as may be reasonable and proper and not\n\nin violation of law, including covenants setting forth the duties of\n\nthe Commission in relation to:\n\n1. The construction, improvement, maintenance, repair,\n\noperation and insurance of the improvements in connection with which\n\nsuch bonds shall have been authorized;\n\n2. The custody, safeguarding and application of all monies; and\n\n3. The employment of consulting engineers in connection with\n\nthe construction or operation of such improvements.\n\nF. It shall be lawful for any bank or trust company\n\nincorporated under the laws of the state, which may act as\n\ndepository of the proceeds of bonds or of revenues, to furnish\n\nindemnifying bonds or to pledge securities as may be required by the\n\nCommission. Any trust indenture may set forth the rights and\n\nremedies of the bondholders and of the trustee, and may restrict the\nof such improvements.\n\nF. It shall be lawful for any bank or trust company\n\nincorporated under the laws of the state, which may act as\n\ndepository of the proceeds of bonds or of revenues, to furnish\n\nindemnifying bonds or to pledge securities as may be required by the\n\nCommission. Any trust indenture may set forth the rights and\n\nremedies of the bondholders and of the trustee, and may restrict the\n\nindividual right of action by bondholders as is customary in trust\n\nagreements or trust indentures securing bonds and debentures of\n\ncorporations. In addition to the foregoing, any trust indenture may\n\ncontain other provisions as the Commission may deem reasonable and\n\nproper for the security of the bondholders. All expenses incurred\n\nin carrying out the provisions of any trust indenture may be treated\n\nas a part of the cost of operation of the improvements for which the\n\nbonds are authorized.\n\nG. Monies received pursuant to the authority of this act,\n\nwhether as proceeds from the sale of bonds or as revenues from the\n\noperations of the properties which have been identified for bond\n\nrepayment purposes, shall be deemed to be trust funds, to be held\n\nand applied solely as provided in this act. The resolution\n\nauthorizing the issuance of bonds of any issue, or the trust\n\nindenture securing such bonds, shall provide that any officer to\n\nwhom, or any bank or trust company to which, the monies shall be\n\npaid, shall act as trustee of the monies and shall hold and apply\n\nthe same for the purpose hereof, subject to such regulations as this\n\nact and such resolution or trust indenture may provide.","path":["OK Code","Title 74"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os74.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"67be35e416440c3d9ceb8e7b9fd522d259acc22af1de78a3dce63952062b1d88","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-74-74-2255","next":"us-ok/okla.-stat.-tit.-74-74-2257"},"notice":"GroundRules: Original legal text. Not legal advice."}