OK SB1656

Establishes a procedure for creating municipal fire protection districts within incorporated cities and towns upon petition by 25% of property owners or by municipal governing body resolution requiring 60% voter approval.

Requires districts to include all lands within municipal boundaries and any completely surrounded unincorporated land, with district boundaries determined by the municipal governing body after public hearing.

Authorizes the municipal governing body to serve as the board of directors with power to appoint a fire chief, employ firefighters, establish regulations, prepare budgets, and levy annual assessments on ad valorem taxed property to pay operational costs and bond obligations.

Requires fire protection districts with revenues of $50,000 or more annually to undergo audits by certified public accountants filed with the State Auditor and Inspector within 120 days of fiscal year end, with audit costs paid by the district.

Becomes effective November 1, 2010, and allows districts to contract for fire protection services with properties outside municipal boundaries for annual agreed payments.