{"data":{"id":"us-ok/okla.-stat.-tit.-74-74-9055","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 74, § 74-9055","heading":"Loans","body":"A. The Oklahoma Development Finance Authority is hereby\n\nauthorized to provide loans from the Unregulated Utility Consumer\n\nProtection Fund, created pursuant to Section 7 of this act, to\n\nunregulated utilities for the purposes provided in this act.\n\nB. Prior to executing any loan agreement with an unregulated\n\nutility, the Authority shall have determined the approved qualified\n\ncosts of the unregulated utility. The principal amount of a loan to\n\nan unregulated utility shall not exceed the approved qualified\n\ncosts.\n\nC. Loans made by the Authority shall be made pursuant to notes,\n\nbonds, revenue bonds or other appropriate form of evidence of\n\nindebtedness to the Authority by the unregulated utility. The\n\ninterest rate and loan term shall be determined by the Authority.\n\nAs part of the loan documents or other documents evidencing\n\nindebtedness under this subsection, the unregulated utility shall\n\nagree and pledge to collect and remit sufficient amounts to repay\n\nits indebtedness over the loan term agreed with the Authority. The\n\nAuthority is authorized to issue credit with loan terms of and up to\n\nthirty (30) years.\n\nD. In the event an unregulated utility receives a loan pursuant\n\nto the provisions of this act, the unregulated utility shall base\n\ncustomer charges mitigated pursuant to this act on the then-current\n\nmonthly billing of the customer and shall line-item such charges on\n\nthe monthly bill of the unregulated utility customer.\n\nE. On the same date a loan is issued, the Authority shall\n\nnotify in writing the Governor, the President Pro Tempore of the\n\nSenate and the Speaker of the House of Representatives. This\n\nnotification shall include the amount and terms of the loan.\n\nF. The Authority shall be authorized to take a security\n\ninterest in any property or revenues of the unregulated utility, and\n\na pledge of the revenues from the unregulated utility including\n\ncustomer charges may be pledged by the unregulated utility for such\n\npurposes.\n\nG. During the term of a loan, no person or entity other than\n\nthe unregulated utility that is a party to the loan, shall provide a\n\nservice relied upon for the security of any loan issued pursuant to\n\nthis section and as identified in the loan documents or related\n\nsecurity documents.\n\nH. The Authority is hereby authorized to issue utility revenue\n\nbonds or other obligations to provide adequate funds to capitalize\n\nthe Unregulated Utility Consumer Protection Fund created pursuant to\n\nSection 7 of this act and meet the funding needs of loans approved\n\nby the Authority. The Authority is authorized to issue negotiable\n\nutility revenue bonds as may, in the opinion of the Authority, be\n\nnecessary for such purposes, and to provide for the payment of such\n\nbonds and the rights of the bond holders, as provided in this act.\n\nThe bonds may be issued in one or more series, may be sold in such\n\nmanner and at such price or prices, may bear such date or dates, may\n\nmature at such time or times, may be in such denomination or\n\ndenominations, may be in such form either coupon or registered, may\n\ncarry such registration or conversion privileges, may be executed in\n\nsuch manner, may be payable in such medium of payments, at such\n\nplace or places, may be subject to such terms of redemption, with or\n\nwithout premium, and may bear such rate or rates of interest, and\n\nshall be subject to such call for redemption as may be provided by\n\nresolution or resolutions to be adopted by the Authority and as are\n\nconsistent with the terms of the loan or loans, security and other\n\ndocuments agreed with unregulated utilities. The Authority may\n\npledge the Unregulated Utility Consumer Protection Fund, revenues\n\nfrom one or more loans to a single series or issuance of bonds as it\n\nmay provide by resolution or resolutions to be adopted by the\n\nAuthority. Bonds issued under this section shall have all of the\nty and other\n\ndocuments agreed with unregulated utilities. The Authority may\n\npledge the Unregulated Utility Consumer Protection Fund, revenues\n\nfrom one or more loans to a single series or issuance of bonds as it\n\nmay provide by resolution or resolutions to be adopted by the\n\nAuthority. Bonds issued under this section shall have all of the\n\nqualities and incidents of negotiable paper, and the bonds and the\n\ninterest earned on said bonds shall not be subject to taxation by\n\nthe State of Oklahoma, or by any county, municipality or political\n\nsubdivision therein.\n\nI. The Authority may issue utility revenue refunding bonds for\n\nthe purpose of refinancing or restructuring its outstanding\n\nobligations. If bonds are issued under this subsection, the bonds\n\nmay either be sold or delivered in exchange for the outstanding\n\nobligations. If sold, the process may be either applied to the\n\npayment of the obligations refunded or deposited in escrow for the\n\nretirement thereof.\n\nJ. The utility revenue bonds or other obligations issued\n\npursuant to this section shall not at any time be deemed to\n\nconstitute a debt of the state or of any political subdivision\n\nthereof or a pledge of the full faith and credit of the state or any\n\npolitical subdivision. Such bonds or other obligations shall\n\ncontain on the face thereof a statement that neither the faith and\n\ncredit or the taxing power of the state or any political subdivision\n\nthereof is pledged or may hereafter be pledged to the payment of the\n\nprincipal of or interest on the bonds. Any utility revenue bonds or\n\nother obligations issued pursuant to this section shall contain on\n\nthe face thereof a statement to the following effect:\n\n“Neither the full faith and credit nor the taxing power of the\n\nState of Oklahoma is pledged to the payment of the principal of, or\n\ninterest on, this bond”.\n\nK. The State Treasurer is hereby authorized to purchase from\n\nthe Authority at private sale all or any part of the bonds issued\n\nunder this section as an investment of the public monies in his or\n\nher possession. It shall be the responsibility of the State\n\nTreasurer to invest only that portion of such public monies as he or\n\nshe deems to be more than sufficient to meet current expenditures\n\npayable from public monies. The State Treasurer is authorized to\n\nbuy and the Authority is authorized to sell to the State Treasurer\n\nat private sale so many of the bonds authorized by this section as\n\nmay be safely purchased for investment of public monies by the State\n\nTreasurer without handicapping the state in promptly meeting its\n\nobligations. The State Treasurer may later sell such bonds as are\n\nnecessary to ensure sufficient cash on hand is available to meet\n\ncurrent expenditures payable from public monies.\n\nL. Bonds issued under this section shall be delivered to the\n\npurchaser only upon payment of par and accrued interest to the date\n\nof delivery, together with any premium bid.\n\nM. The proceeds of the sale of bonds issued under this section,\n\nand revenues received with respect to loans issued pursuant to\n\nsubsection A of this section, shall be deposited in the State\n\nTreasury in the Unregulated Utility Consumer Protection Fund created\n\npursuant to Section 7 of this act, where they shall remain subject\n\nto disposition to be provided for by the Authority consistent with\n\nthis act, provided that the State Treasurer shall invest the monies\n\nin an interest-bearing account; and provided further, that all such\n\ninvestments of the monies must be so made that the same may be\n\nliquidated in time to enable the Authority to pay, in due course,\n\nthe valid indebtedness incurred by the Authority for the purposes\n\nset forth in this section.\n\nN. Any bank, trust or insurance company organized under the\n\nlaws of Oklahoma may invest its capital, surplus and reserve funds\naccount; and provided further, that all such\n\ninvestments of the monies must be so made that the same may be\n\nliquidated in time to enable the Authority to pay, in due course,\n\nthe valid indebtedness incurred by the Authority for the purposes\n\nset forth in this section.\n\nN. Any bank, trust or insurance company organized under the\n\nlaws of Oklahoma may invest its capital, surplus and reserve funds\n\nand other funds under its control in bonds issued under this\n\nsection.","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":"6ead86d074456c8f942e0bf281bbd7be3fc729c2e0a4c766fe253ef944c9be90","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-74-74-9054","next":"us-ok/okla.-stat.-tit.-74-74-9056"},"notice":"GroundRules: Original legal text. Not legal advice."}