§ 27B. Political subdivisions--Public utilities financing--Indebtedness
Oklahoma Statutes AnnotatedConstitution of the State of Oklahoma [Annotated]
OK Const. Art. 10, § 27B
§ 27B. Political subdivisions--Public utilities financing--Indebtedness
A. Any incorporated city or town may borrow money or issue bonds, notes or other evidences of indebtedness, which debt shall be payable from and secured by revenues over a term of years, for the purpose of financing the purchase, construction, or improvement of any public utility or combination of public utilities which shall be owned exclusively by such city or town in the following manner:
2. If the question of financing the purchase or construction of a public utility or combination of public utilities has been approved by a majority vote of the qualified voters voting on the question at an election, or if improvements to a public utility or combination of public utilities pursuant to paragraph 3 of this subsection are authorized, the governing body of a city or town may borrow money or issue bonds, notes or other evidences of indebtedness, which debt shall be payable from and secured by revenues over a term of years, upon an affirmative vote of at least three-fourths ( ¾ ) of all the members of such governing body;
3. Any additions, extensions, reconstruction, maintenance, repairs or other improvement to any public utility or combination of public utilities of a city or town may be financed by the city or town if the original financing of the purchase or construction of the public utility was approved by a majority vote of the qualified voters voting on the question at an election, or if the public utility or combination of public utilities acquired by the city or town was financed originally by bonds or other debt of a public trust of which the city or town is a beneficiary, excluding an industrial trust. Any such bonds or other debt originally issued by a public trust of which the city or town is a beneficiary, excluding an industrial trust, may be refunded by the governing body of the city or town in the manner provided in paragraph 2 of this subsection.
C. The revenue indebtedness or contractual obligations of any city or town incurred pursuant to this section shall be a limited obligation payable from and secured by a lien and charge on revenues or funds so pledged for their payment by the governing body of the city or town, and shall not constitute an indebtedness of the city or town for the purpose of any constitutional or statutory limitation.
D. This section shall be independent and shall not be limited by or limit other provisions of the Oklahoma Constitution or statutes relating to financing public utilities or indebtedness of a city or town, nor shall it be exclusive as to other agencies of this state authorized by law to incur indebtedness. As used in this section, the words “public utility” shall have the same meaning as the words “public utilities” in Section 27 of Article X of the Constitution.
E. Notwithstanding any provision to the contrary, the provisions of this section shall not apply to the purchase of any utility regulated by the Oklahoma Corporation Commission or to the purchase of any facility or property of any such utility, unless the purchase is made with the agreement and consent of the utility, including its agreement and consent as to a specific price to be paid in connection with the purchase.
Credits
Added by State Question No. 626, Legislative Referendum No. 280, adopted at election held on Aug. 28, 1990.
OK Const. Art. 10, § 27B, OK CONST Art. 10, § 27B
Current with amendments approved through June 30, 2020.
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