OK HB2389

Oklahoma Capitol Improvement Authority authorized to issue notes, bonds, or other obligations generating net proceeds of $58,555,000 for State Department of Health projects, including acquisition of real property, construction of buildings, office space, and a new State Health Laboratory.

Authority may hold title to real and personal property and improvements until obligations are retired or defeased, then lease property to State Department of Health with title transferring to the Department upon final redemption or defeasance.

Authority authorized to capitalize interest on obligations for up to one year from issuance date, with Legislature intending to appropriate funds to State Department of Health for rental payments to retire the obligations.

Authority may issue obligations through competitive or negotiated sale, hire bond counsel and financial professionals, create reserves from proceeds, and impose maturity limit of no later than 20 years from first principal maturity date.

Obligations, transfers, and interest earnings are exempt from state and local taxation; investments must comply with State Treasurer guidelines; provisions of Title 73, Section 151 et seq. apply; act effective July 1, 2017, with emergency declaration.