Bill Summary by Subject with Overview

2020 LEGISLATIVE SESSION OVERVIEW

The Second Session of the 57th Legislature convened on Monday, February 3, with Governor Kevin Stitt giving his second State of the State address. Lawmakers filed more than 2,300 new bills and joint resolutions prior to the start of session. These joined nearly 2,000 carryover bills from the 2019 legislative session. This resulted in more than 1,100 pieces of legislation with municipal impacts on our tracking lists to begin this session.

February was an outstanding month for OML’s priority bills. Nine pieces of legislation requested by the League passed in their committees with several being heard and passing on the chamber floor weeks before their deadlines. However, in mid-March, following the COVID-19 global pandemic, the legislature came to a multi-week halt.

On March 17, the last day the legislature met before adjourning to the Call of the Chair in both chambers, the House and Senate passed an extremely important bill for public bodies. SB 661 by Sen. Brent Howard (R-Altus) and Speaker Charles McCall (R-Atoka) temporarily amends the Oklahoma Open Meetings Act in order to allow boards, commissions, and other groups the flexibility to conduct meetings by teleconference or videoconference in order to comply with the CDC recommendation that no more than ten (10) people can gather at this time.

The Legislature reconvened briefly under special protocols on Monday, April 6 in special session to approve the Catastrophic Health Emergency Powers Act. This gave Governor Stitt unprecedented authority to help fight the pandemic in Oklahoma. When the legislature met again in special session on May 5, these powers were extended to May 30, 2020.

As a result of the COVID-19 pandemic, very few bills continued through the legislative process in May. Less than 200 bills made it to the Governor’s desk, which is a steep decline from the nearly 600 bills he signed last year. There was a shared disappointment amongst many organizations that many good bills did not receive the necessary hearings to gain the Governor’s approval. HB 1992, the bill that would create Public Safety Districts, was no exception. Even though we received feedback from 31 of the 47 Senators that they would vote for the bill, leadership ultimately decided it would not make the list of bills to be considered this year. We will continue to work throughout the legislative interim to build support for Public Safety Districts in 2021.

In response to concerns from our members regarding the budgeting statute requiring municipal governments pass an annual budget in these fiscally uncertain times, OML worked quickly with the legislature to provide a solution. SB 187 by Sen. John Montgomery (R-Lawton) and Rep. Zack Taylor (R- Seminole) was passed nearly unanimously in both chambers and signed by the Governor on May 20. With an emergency clause on the bill, the Municipal Government COVID-19 Emergency Budget Act went into effect that day. We are tremendously grateful to the legislature and Governor for their quick action on this important legislation.

There were many twists and turns during the limited days the legislature did meet in May. Multiple bills sent to the Governor’s desk were vetoed this session, with nearly a dozen of those receiving enough votes in the House and Senate to override those vetoes. Pursuant to the provisions in SCR 12, the Second Regular Session of the 57th Legislature was adjourned on Friday, May 29 at 5:00 p.m.

Bills Successfully Stopped OML continues to be recognized at the State Capitol as the unified voice of Oklahoma municipal governments in shaping policy and safeguarding local control. Throughout this session, there were numerous bills filed attempting to preempt local control and hinder vital revenue sources including sales tax exemptions, residential building design preemption, oil and gas takings, workers’ compensation for emergency responders, and more. Nearly 130 bills that we actively opposed were halted in the legislative process. Here are just a few that were successfully stopped:

HB 2150 by Rep. John Pfieffer (R-Mulhall) and Sen. Mark Allen (R-Spiro) creates a taking whenever a municipality, county, or political subdivision other than the Corporation Commission adopts or implements an ordinance, resolution, rule, regulation, or other form of official policy concerning oil and gas operation as described in the bill. This includes substantially interfering with the use and enjoyment of the mineral estate, imposing or enforcing a limitation that adversely impacts the use and development of minerals, or prohibits access to develop the mineral estate, thereby substantially reducing the fair market value of the mineral estate. This does not apply to any ordinance, resolution, rule, regulation or other forms of official policy adopted or implemented prior to December 31, 2014.

This bill was a carryover from the 2019 session. OML created a working group comprised of municipal officials from communities with high volumes of drilling activity as well as oil and gas representatives. Throughout the legislative interim, the working group continued to meet. Education tours of drilling and production sites led to open communication and a better understanding of both sides’ positions.

In 2019, this bill passed in the House, received a do pass recommendation in the Senate Judiciary Committee (title stricken) with a vote of 6 – 5. Due to the hard work of this group, HB 2150 was not heard on the Senate floor this year.

HB 2271 by Rep. Josh West (R-Grove) and Sen. Darrell Weaver (R-Moore) modifies situations in which mental injury or illness is a compensable workers’ compensation injury to include police officers, firefighters, EMTs or any employee of an emergency service who is likely to be among the first people to arrive at and assist at the scene of an emergency.

This bill passed quickly through the House. OML met with the House and Senate authors to request this bill not move forward until more research is done on the issue. Numerous meetings took place in the legislative interim and throughout the legislative session this year. This bill did not receive a Senate hearing this year. We will continue the dialogue with all stakeholders in this legislative interim to reach an agreement on language for next year.

HB 3152 by Rep. Ryan Martinez (R – Edmond) failed by a vote of 6 – 9 in the House Business and Commerce Committee on February 26. This bill would prohibit a municipality or county from regulating design elements of a single-family residential building unless certain conditions were met.

HB 3397 by Rep. Marcus McEntire (R-Duncan) and Sen. Chris Kidd (R-Addington) creates the Municipal Utility Oversight Act. Included in its provisions is the creation of a utility review board appointed mostly by district judges. The Board has jurisdiction over complaints and will hold hearings, including allowing evidence regarding errors or discrepancies in the utility bill. There are provisions for service not to be cut off, and if the Board holds for the customer, the determination is final with no right to appeal. If the municipality prevails before the utility review board, the parties will go to the governing body and present

their case with the decision made concluding the matter. There are also requirements for utility bills, methods for computing the bill, and meter reading regulation including required tests.

This bill passed in the House by a vote of 90-4. We asked that this bill not be considered in the Senate, and it died for lack of a hearing.

SB 1102 by Sen. Rob Standridge (R-Norman) and Rep. Kevin West (R-Moore) modifies the Catastrophic Health Emergency Powers Act by removing local officials’ authority during a catastrophic health emergency to provide treatment to affected individuals from the population at large. The Governor during a catastrophic health emergency is given the authority to grant local officials’ certain defined authorities. It adds language to protect civil liberties while ensuring public safety. The membership of the Oklahoma Catastrophic Health Emergency Planning Task Force is amended to add several members. It requires the Governor to notify the Legislature of requested powers prior to a catastrophic health emergency declaration. The Governor must state the requested powers he or she is seeking under an extended catastrophic health emergency. The State Election Board must promulgate emergency rules, not subject to the Administrative Procedures Act to ensure election integrity while protecting public health.

This bill was filed near the end of session and narrowly passed the House with a vote of 53-44. After communicating the detrimental impact of this legislation for municipal governments, Senate leadership refused to hear the bill on the floor.

EFFECTIVE DATE OF BILLS

There are four ways that a bill can go into effect. If the measure has only an emergency clause, it will go into effect upon the Governor’s signature. However, if a bill has an effective date, the new law will go into effect on the date declared in the bill. If there is no effective date or emergency clause included, the law automatically becomes effective 90 days after Sine Die adjournment. If the bill has an effective date and an emergency clause, as do most appropriation measures, it will go into effect on the effective date. If the bill says “not codified,” these sections of law do not require permanent inclusion in state statutes, such as appropriations sections or matters of a limited-time nature.

HOUSE BILLS OF MUNICIPAL INTEREST THAT PASSED

Eminent Domain: HB 1048 by Rep. Danny Sterling (R-Tecumseh) and Sen. Julie Daniels (R-Bartlesville) is new law establishing requirements for a condemning authority to acquire surface rights for a public purpose. Written notice shall be given to the landowner subject to the acquisition that the landowner may elect to retain, through severance, the groundwater rights, if any, that are attached to the property to be acquired. An exception is made for a condemning authority that is seeking to acquire groundwater rights based on an affidavit of need or resolutions of necessity that sets our requirements in the bill.

The bill goes into effect on November 1, 2020.

Health Insurance/Non-Discrimination: HB 2587 by Rep. Sean Roberts (R-Hominy) and Sen. Julie Daniels (R-Bartlesville) is new law creating the Nondiscrimination in Health Care Coverage Act impacting discrimination toward those with physical and mental disabilities, advanced age or chronic illness. Both public and private payers have a moral, legal and ethical obligation to make health care reimbursement decisions in a transparent fashion utilizing nondiscriminatory criteria. The bill contains definitions, a prohibition from employing a “dollars-per-quality adjusted life year, or similar measure that discounts the value of a life because of an individual’s disability, as a threshold to establish what types of health care is cost effect or recommended.” The bill includes comment requirements, consultation mandates with various groups and stakeholder engagement, reporting requirements and the like.

The bill goes into effect on November 1, 2020.

Public Finance/Jail Trusts: HB 2668 by Rep. Mark Lepak (R-Claremore) and Sen. Adam Pugh (R-Edmond) adds jail trusts created by a board of county commissioner in a county with a population greater than 600,000 to the list of political subdivisions that are under the jurisdiction of courts of records for money judgements.

The bill went into effect on May 20, 2020.

Law Enforcement/Porch Piracy Act: HB 2777 by Rep. Ross Ford (R-Broken Arrow) and Sen. Lonnie Paxton (R-Tuttle) creates the Oklahoma Porch Piracy Act of 2020. The measure establishes penalties and fines for any person that holds, conceals, destroys, or takes mail from the mailbox or premise of another person.

The bill goes into effect on November 1, 2020.

Sunset/Various Agencies: HB 2823 by Rep. Tom Gann (R-Inola) and Sen. Dave Rader (R-Tulsa) the bill sunsets various agencies through July 1, 2023. Some of those agencies impact municipalities include: Construction Industries Board, Water Quality Management Advisory Council, Hazardous Waste Management Advisory Council, Solid Waste Management Advisory Council and Radiation Management Advisory Council.

The bill goes into effect on July 1, 2020.

Initiative and Referendums: HB 2871 by Rep. David Perryman (D-Chickasha) and Sen. J.J. Dossett (D- Sperry) authorizes registered voters signing petitions who participate in the Address Confidentiality Program may use the address given to the registered voter by the Attorney General.

The bill goes into effect on November 1, 2020.

HIPPA: HB 2938 by Rep. Sheila Dills (R-Tulsa) and Sen. Joe Newhouse (R-Broken Arrow) permits the release of certain medical information when such release is authorized or required under the Health Insurance Portability and Accountability Act of 1996.

The bill went into effect on May 21, 2020.

Law Enforcement/Domestic Abuse: HB 3251 by Rep. Jon Echols (R-OKC) and Sen. Kim David (R-Porter) adds domestic abuse by strangulation, domestic assault with a dangerous weapon, domestic assault and battery with a dangerous weapon and domestic assault and battery with a deadly weapon as violent crimes.

The bill goes into effect on November 1, 2020.

Law Enforcement/Disability: HB 3330 by Rep. David Perryman (D-Chickasha) and Sen. Lonnie Paxton (R- Tuttle) creates the Sergeant Schoolfield Line of Duty Disability Act. It adds a modification to the disability pension standard for members of the Police Pension System. If the injury results form a violent act against the officer in the performance of their duty, the Pension Board shall find a 100% disability. The bill defines "violent act" as an attack by a dangerous weapon.

Section 2 of this bill went into effect on May 21, 2020.

Sections 1 and 3 of the bill go into effect on June 15, 2020.

COLA: HB 3350 by Rep. Avery Frix (R-Muskogee) and Sen. Roger Thompson (R-Okemah) authorizes cost of living adjustment (COLA) between two and four percent for retirees of the following pension systems: Police Pension and Retirement System, Firefighters Pension and Retirement System, Public Employees Retirement System, Law Enforcement Retirement System, Retirement Systems for Justices and Judges, and Teachers’ Retirement System.

Section 1 of the bill went into effect on May 21, 2020.

Sections 2 through 7 of the bill go into effect on July 1, 2020.

Personal Privacy Protection Act: HB 3613 by Rep. Terry O’Donnell (R-Catoosa) and Sen. Julie Daniels (R- Bartlesville) is new law creating the Personal Privacy Protection Act impacting a “public agency” which includes political subdivisions or any other local governmental unit, agency, authority, council, board or commission; or any state or local court. “Personal affiliation information” mean any record or other compilation of data that identifies a person with any 501(c) entity. It prohibits requiring individuals or a Section 501(c) entity to provide this information or compel its release or public disclosure. In addition, a current or prospective contractor must not be compelled to provide the public agency with a list of Section 501(c) entities to which it provides support. The bill contains a list of what is not prohibited by the Act. There is a penalty provision which includes fines, treble damages, criminal penalties and the payment of costs, including attorney fees. Personal affiliation information cannot release, publicize or publicly disclose any personal affiliation information.

The bill goes into effect on November 1, 2020.

Preemption/Building Codes: HB 3619 by Rep. Terry O’Donnell (R-Catoosa) and Sen. Mark Allen (R-Spiro) amends 11 O.S. Section 14-107 prohibiting municipalities and the county from adopting real estate development building or construction ordinances, rules or codes restricting or prohibiting connections to the facilities of utility providers lawfully operating in the state. Nor may these entities discriminate in the adoption of such rules or codes against one or more utility providers based in whole or in part upon the nature or source of the utility service provided.

The bill goes into effect on November 1, 2020.

Initiative and Referendums: HB 3826 by Speaker Charles McCall (R-Atoka) and Pro Tempore Greg Treat (R-OKC) amends the process for initiative and referendums in Title 34. It requires the Secretary of State to verify three or more data points prior to approving an individual’s signature on a petition, which may include the voter’s first name, last name, zip code, house number and numerical month and date of birth. The Secretary of State is authorized to promulgate rules to that are necessary. The Secretary of State is also required to design a form, subject to change, for signatures that must be used by proponents of initiatives or referendums when collecting signatures.

The bill goes into effect on November 1, 2020.

Insurance Apportionments: HB 3864 by Rep. Kevin Wallace (R-Wellston) and Sen. Roger Thompson (R- Okemah) amends 36 O.S. Section 6470.19 by allocating taxes from captive insurance companies to fund the state’s pension systems in various percentages including the Firefighter Pension System and Police Pension System.

The bill goes into effect on July 1, 2020.

OPERS: HB 3939 by Rep. Mark Lepak (R-Claremore) and Sen. Marty Quinn (R-Claremore) updates the date for when the distribution of a member’s benefit must begin to no later than the date required by Section 401 of the federal Internal Revenue Code.

The bill goes into effect on July 1, 2020.

Political Subdivisions Opioid Abatement Grants Act: HB 4138 by Rep. Kevin Wallace (R-Wellston) and Rep. Kyle Hilbert (R-Depew) and Sen. Roger Thompson (R-Okemah) and Sen. Dave Rader (R-Tulsa) creates the Political Subdivisions Opioid Abatement Grants Act to promote and protect the health of Oklahomans by suing grant money to abate the opioid crisis in a comprehensive manner that includes cooperation and collaboration with political subdivisions. The bill creates a nine-member Oklahoma Opioid Abatement Board. The board shall conduct an initial disbursement of opioid grant awards to participating eligible participants. The opioid grant award criteria is as follows: (1) the number of people per capita suffering from opioid use disorder in the participating political subdivision, or in the absence of such information, the opioid prescription rate in the political subdivision compared to the national average opioid prescription rate; (2) the number of opioid overdose deaths in the participating political subdivision; and (3) the amount of opioids distributed within the participating political subdivision.

The bill goes into effect August 27, 2020.

OMES/Pay for Success Program: HB 4154 by Rep. Kevin Wallace (R-Wellston) and Rep. Kyle Hilbert (R- Depew) and Sen. Roger Thompson (R-Okemah) and Sen. Dave Rader (R-Tulsa) appropriates from the Office of Management and Enterprise Services $1,920,000 to the Pay for Success program. Of that amount, seventy-five (75%) shall be utilized by the Office in equal amounts for municipalities of the state with populations of 350,000 or more as determined by the latest Federal Decennial Census.

The bill goes into effect August 27, 2020.

Appropriations/DPS: HB 4161 by Rep. Kevin Wallace (R-Wellston) and Rep. Kyle Hilbert (R-Depew) and Sen. Roger Thompson (R-Okemah) and Sen. Dave Rader (R-Tulsa) directs the Department of Public Safety to complete and implement fully all duties related to REAL ID no later than June 30, 2021. The bill authorized the department to spend $1,250,000 for any necessary expenditure, including but not limited to equipment, related to 911 services on Oklahoma turnpikes. It directs $300,000 to be used for the implementation of a medical marijuana pilot program. It also directs DPS to use appropriated funds to hold a Trooper Academy.

The bill goes into effect August 27, 2020.

SENATE BILLS OF MUNICIPAL INTEREST THAT PASSED

Municipal Government COVID-19 Emergency Budget Act: SB 187 by Sen. John Montgomery (R-Lawton) and Rep. Zack Taylor (R-Seminole) creates the Municipal Government COVID-19 Emergency Budget Act to address municipal budgeting concerns due to COVID-19. The new law allows for a temporary budget not to exceed six (6) months in duration. Additionally, it loosens some of the posting and process requirements due to the time constraints facing municipal governments.

The bill went into effect on May 20, 2020.

Elections/Absentee Ballots: SB 210 by Pro Tempore Greg Treat (R-OKC) and Speaker Charles McCall (R- Atoka) allows alternative procedures for verifying absentee ballots during elections held during the calendar year of 2020 when the election occurs during or within 45 days of a state of emergency due to COVID-19. The bill allows a person who requests an absentee ballot to attach a photocopy of certain identification cards with the ballot instead of having the ballot notarized. It also sets a process for absentee ballots for registered voters in veterans centers and nursing homes. It requires absentee ballots to be notarized in future year’s elections.

The bill went into effect on May 7, 2020.

Labor/Lactation Breaks: SB 285 by Sen. Kim David (R-Porter) and Rep. Carol Bush (R-Tulsa) mandates every state agency to allow an employee who is lactating reasonable paid break time each day to use the designated lactation room. It is permissive for any employer who is other than a state agency to allow for such breaks.

The bill goes into effect on November 1, 2020.

COVID-19 Public Emergency Limited Liability Act: SB 300 by Sen. Julie Daniels (R-Bartlesville) and Rep. Terry O’Donnell (R-Catoosa) is new law creating the COVID-19 Public Health Emergency Limited Liability Act. The bill provides health care providers with immunity from civil liability for any loss or harm to a person with a suspected or confirmed diagnosis of COVID-19 caused by an act or omission by the facility or provider that occurs during the COVID-19 public health emergency, provided the act or omission was not the result or gross negligence or willful or wanton misconduct. The provisions of the measure shall remain in effect until October 31, 2020, or until such time as the Governor affirmatively concludes the emergency declarations.

The bill went into effect on May 12, 2020.

Open Meeting Act/Teleconference: SB 661 by Sen. Brent Howard (R-Altus) and Speaker Charles McCall (R-Atoka) temporarily amends the Oklahoma Open Meetings Act in order to allow boards, commissions, and other groups the flexibility to conduct meetings by teleconference or videoconference in order to comply with the CDC recommendation that no more than ten (10) people can gather at this time. The bill requires the meeting notice and agenda to be prepared in advance of the meeting and indicate if the meeting will include teleconferencing or videoconferencing and also state each member’s remote appearance and the identity of any public body member or members who will be physically present at the meeting site. It prohibits anyone from changing their location once the agenda has been posted.

The bill went into effect on March 18, 2020.

Firearms/Red Flag/Preemption: SB 1081 by Sen. Nathan Dahm (R-Broken Arrow) and Rep. Jay Steagall (R-Yukon) prohibits municipalities from enacting policies that would allow a court or other entity to restrict gun access to people deemed to be an imminent danger.

The bill went into effect on May 19, 2020.

Public Safety/Schools: SB 1198 by Sen. Rob Standridge (R-Norman) and Rep. Sherrie Conley (R-Newcastle) is new law requiring school districts to coordinate with emergency medical services providers to develop plans for athletic events or activities held at school district facilities.

The bill goes into effect on July 1, 2020.

Underground Facilities Act: SB 1225 by Sen. Mark Allen (R-Spiro) and Rep. Terry O’Donnell (R-Catoosa) amends the Oklahoma Underground Facilities Damage Prevention Act in several ways. This includes changes to the definition of “certified project”, alterations to the notice provision of 63 O.S. Section 142.6 and authorizing public agencies, as defined by this act, to have access to the record of underground facilities.

The bill goes into effect on November 1, 2020.

OWRB/State Flood Plan: SB 1269 by Sen. Dave Rader (R-Tulsa) and Sen. Lonnie Sims (R-Jenks) is new law authorizing OWRB to adopt, contingent on available funding a comprehensive state flood plan. There are requirements for the plan including infrastructure evaluation, a state-wide list and analysis of flood control and mitigation projects, study of special flood hazard areas and legislative recommendations. The bill creates the State Flood Resiliency Revolving Fund for the benefit of the Oklahoma Water Resources Board and its funds used to implement the recommendations and provisions on the comprehensive flood plan.

The bill goes into effect on November 1, 2020.

Medical Care Provider/Assault: SB 1290 by Sen. Darrell Weaver (R-Moore) and Rep. Cynthia Roe (R- Lindsay) creates the Medical Care Provider Protection Act. The bill modifies the definition of the term “medical care provider” as it relates to assault and battery upon medical care providers that include doctors, residents, interns, nurses, nurses’ aides, ambulance attendants and operators, paramedics, emergency medical technicians, laboratory technicians, radiologic technologists, physical therapists, physician assistants, chaplains, volunteers, pharmacists, nursing students, medical students and members of a hospital security force.

It also requires every hospital, health clinic and ambulance service to display at all times in prominent place a printed sign with a minimum height of 20 inches and a minimum width of 14 inches, with each letter to be a minimum of one-fourth inch in height, to read: ‘WARNING: ASSAULTING A MEDICAL PROFESSIONAL WHO IS ENGAGED IN THE PERFORMANCE OF HIS OR HER OFFICIAL DUTIES IS A SERIOUS CRIME.” It requires every hospital, health clinic and ambulance service to report all assaults on medical care providers to the State Department of Health on an annual basis.

Local Development Act: SB 1362 by Sen. Dave Rader (R-Tulsa) and Rep. Scott Fetgatter (R-Okmulgee) amends the Oklahoma Local Development and Enterprise Zone Incentive Leverage Act regarding state and local enterprise matching payments. Amendments are made to 62 O.S. Section 842 removing the current prohibition for using the state local government matching payment for project costs for “any development within a project plan that provides for more than 10% of the net leasable space of such development to be used for retail purposes”. Substituted is “for more than 50% “except for such portions that includes grocery or specialty food store enterprises” that provide healthy nutrition options and that improve access within ½ mile of any low income and low access geographies.

The bill goes into effect on July 1, 2020.

Workers’ Compensation/Chiropractic Services: SB 1375 by Sen. Kim David (R-Porter) and Rep. Chris Kannady (R-OKC) amends the Workers’ Compensation Act by adding “chiropractic” services to required treatment, including in certified workplace medical plans.

The bill goes into effect on November 1, 2020.

Tobacco Products/Age Limit: SB 1423 by Sen. Greg McCortney (R-Ada) and Rep. Kevin Wallace (R- Wellston) makes several changes to tobacco and vapor products. Included is increasing the legal selling, receiving and possession age from 18 to 21 with over ten statutes in Title 37 and 63 O.S. Section 1-1530 being changed to incorporate this age amendment.

The bill went into effect on May 19, 2020.

Firefighters Retirement and Pension System: SB 1665 by Sen. Paul Rosino (R-OKC) and Rep. Josh West (R-Grove) updates statutory references to workers compensation laws that relates to the Oklahoma Firefighter Pension and Retirement System.

The bill takes effect 90 days after Sine Die.

Licensed Lenders/Preemption: SB 1682 by Sen. James Leewright (R-Bristow) and Rep. Marcus McEntire (R-Duncan) preempts the field on legislation on those businesses and occupations licensed, regulated and controlled under the Department of Consumer Credit that has the effect of regulating the interest rates or fees or through zoning or other measures, to unduly restrict the business location. The plaintiff has the right to injunctive relief.

The bill goes into effect on November 1, 2020.

Oklahoma Advanced Mobility Pilot Program: SB 1688 by Sen. Micheal Bergstrom (R-Adair) and Speaker Charles McCall (R-Atoka) is new law creating the Oklahoma Advanced Mobility Pilot Program Act. It requires the Program to work with communities and their economic developers to help to prosper and create jobs in the emerging Unmanned Aerial Systems Industry, contingent upon the availability of funds.

The bill goes into effect on November 1, 2020.

Residential Build Design: SB 1713 by Sen. Kim David (R-Porter) and Rep. Ryan Martinez (R-Edmond) is new law forbidding municipalities to regulate the adoption or imposition of new single-family residential 16 © 2020 Oklahoma Municipal League, Inc.

building design elements or implement new policies that have that effect, unless a number of elements are followed as specified in the bill. There are elements to regulation as well as new definitions.

The bill went into effect on May 21, 2020.

Hospitals/Regulations: SB 1748 by Sen. Chris Kidd (R-Addington) and Rep. Carol Bush (R-Tulsa) amends Title 63 regarding hospitals and changes the definition of hospital to add the new phrase “primarily engaged.” Changes are made to posting notices including in a hospital emergency department specifying the rights of individuals and suspension and revocation of licenses.

The bill goes into effect on November 1, 2020.

Elections/Absentee Ballots: SB 1779 by Pro Tempore Greg Treat (R-OKC) and Speaker Charles McCall (R- Atoka) prohibits absentee ballot harvesting at any election conducted by a county election board, the State Election Board or any political subdivision It does not consider giving an individual a stamp, envelope or both as a gift. The bill prohibits a person from applying for an absentee ballot on behalf of another person by any means.

The bill went into effect on May 21, 2020.

Farmers Market and Farmers Hub: SB 1785 by Sen. Chuck Hall (R-Perry) and Rep. Garry Mize (R-Edmond) is new law creating the Oklahoma Farmers Market and Farmers Hub Act. The bill contains definitions, duties for the Department of Agriculture and specific requirements as explained in the bill that must be met including compliance with all local, state and federal laws regarding retail sales including tax compliance and all licensing from the state and federal entities. There is a list of what can be sold, requirements for proper licenses, permits or registrations from applicable local, state and federal agencies, proper identification, and sales logs.

The bill goes into effect on November 1, 2020.

Oil and Gas Produced Water: SB 1875 by Sen. Dave Rader (R-Tulsa) and Rep. Terry O’Donnell (R-Catoosa) is new law creating the Oil and Gas Produced Water and Waste Recycling and Reuse Act. The bill finds produced water and waste has minimal or no intrinsic value and it is in the public interest to designate who owns and is responsible for this produced water and waste and to treat it for the beneficial uses and ensure appropriate disposal according to Corporation Commission rules.

The bill goes into effect on November 1, 2020.

City-County Health Department: SB 1905 by Sen. Darrell Weaver (R-Moore) and Rep. Mark McBride (R- Moore) increases the minimum population a county must possess in order to automatically be granted a city-county board of health, from 225,000 to 500,000. Counties with populations between 225,000 and 500,000 are allowed to create a city-county board of health.

The bill goes into effect on November 1, 2020.

COVID-19 Civil Liability: SB 1946 by Pro Tempore Greg Treat (R-OKC) and Speaker Charles McCall (R- Atoka) establishes immunity from civil liability for persons or entities conducting in the business in the state from actions related to an injury from exposure or potential exposure to COVID-19 if the act or 17 © 2020 Oklahoma Municipal League, Inc.

omission alleged to violate a duty of care of the person or agent was in compliance or consistent with federal or state regulations, a Presidential or Gubernatorial Executive Order, or guidance applicable at the time of the alleged exposure. The person or agent will not be liable if the conduct is consistent with any applicable guidance when two or more sources of guidance are applicable to the conduct or risk at the time of the alleged exposure.

The bill went into effect on May 21, 2020.

COVID-19 Product Protection Act: SB 1947 by Pro Tempore Greg Treat (R-OKC) and Speaker Charles McCall (R-Atoka) creates the COVID-19 Product Protection Act. It establishes immunity from civil liability from actions resulting in a personal injury, death or property damage caused by a product provided by a person or entity that designs, manufactures, labels, sells, distributes, or donates a qualified product during and in response to the COVID-19 public health emergency that is utilized by a government entity, health care facility, health care provider, first responder, or essential business. A qualified product includes personal protection equipment, medical devices, or supplies used to treat COVID-19 including products that are used or modified for an unapproved use to treat COVID-19 or prevent the spread of COVID-19. Entities that utilize the provided products are also exempted from any civil liability that may emerge out of an injury or death related to the use of such products. The provisions of the measure also apply to persons or entities that do not manufacture or design such products in the normal course of business. This immunity shall not apply under certain circumstances. The provisions of the measure shall apply to any claim arising on or after the emergency declared by the Governor of Oklahoma related to COVID-19 by Executive Order 2020-07 on March 15, 2020.

The bill went into effect on May 21, 2020.

TSET/Medicaid Funding/Constitutional Question: SJR 27 by Sen. Kim David (R-Porter) and Rep. Kevin Wallace (R-Wellston) sends to the vote of the people a State Question to amend Section 40 of Article 10 of the Oklahoma Constitution. If approved the amount paid to the Tobacco Settlement Endowment Trust Fund for fiscal year and every fiscal year thereafter is reduced to 25%. The measure adds that the funds may be expended to draw down federal matching funds for the Medicaid program.

BILLS BECAME LAW OVER OBJECTION OF GOVERNOR STITT

Insurance Premium Tax/Pension Systems: HB 2742 by Rep. Kevin Wallace (R-Wellston) and Rep. Kyle Hilbert (R-Depew) and Sen. Roger Thompson (R-Okemah) and Sen. Dave Rader (R-Tulsa) modifies the apportionment of the insurance premium tax for fiscal years 2021 and 2022 by reducing the percentage apportioned to the Oklahoma Firefighters Retirement, Oklahoma Police and Oklahoma Law Enforcement Systems and directing it into the Education Reform Revolving Fund (HB 1017) Fund. There is a five (5) year repayment plan for these three systems. The apportionment could cease if it is no longer needed. The Legislature is given the authority to modify the apportionments and/or timeline.

The bill goes into effect on September 1, 2020.

ROADS Fund: HB 2743 by Rep. Kevin Wallace (R-Wellston) and Rep. Kyle Hilbert (R-Depew) and Sen. Roger Thompson (R-Okemah) and Sen. Dave Rader (R-Tulsa) modifies the fiscal year 2020-2021 amount accruing to the Rebuilding Oklahoma Access and Driver Safety (ROADS) Fund by $180,000,000 and directs it into the Education Reform Revolving Fund.

The bill goes into effect on August 27, 2020.

Rural Broadband Expansion Act: HB 4018 by Speaker Charles McCall (R-Atoka) and Sen. James Leewright (R-Bristow) creates the Oklahoma Rural Broadband Expansion Act creating the Rural Broadband Expansion Council. The council is to study rural broadband access, costs, likelihood of changes, needed policy changes possible incentives, funding, state or local regulatory policies and the like. The Council has a right to information from state agencies as well as political subdivisions and public trusts.

The bill goes into effect on May 22, 2020

Rural Broadband Expansion Council: SB 1002 by Sen. James Leewright (R-Bristow) and Rep. Jon Echols (R-OKC) amends Section 3 of HB 4018 by adding two additional members to the Rural Broadband Expansion Council: a representative of a wireless telecommunications provider not affiliated with an incumbent local exchange carrier in Oklahoma appointed by the Speaker and a representative a rural electric cooperative appointed by the Pro Tempore.

The bill goes into effect on May 22, 2020.

LEGISLATION VETOED BY GOVERNOR STITT

Affordable Housing Tax Credit: HB 2760 by Rep. Kevin Wallace (R-Wellston) and Sen. Roger Thompson (R-Okemah) reduced from $4 million to $2 million, the annual cap for tax credits issued pursuant to the Oklahoma Affordable Housing Act.

The veto message is as follows: This is to advise you that on this date pursuant to the authority vested in me by Section 11 of Article VI of the Oklahoma Constitution to approve or object to legislation present to me, I have vetoed House Bill 2760.

House Bill 2760 reduces the total amount of credits offered under the Affordable Housing Tax Credit from $4,000,000 to $2,000,000. My office has received numerous phone calls and emails from constituents across the state expressing concern about the implications of this bill. The effective date of this legislation is retroactive, and thus negatively affects projects currently under contract for this year. Furthermore, due to the nature of these projects and the way the credit works, our state would not see financial return until FY2023.

I support and advocate for comprehensive tax policy reform in our State. We must have a larger conversation about overhauling Oklahoma’s tax policy towards diversification and long-term sustainability. However, during an economic downturn, we should not single out winners and losers, but tackle broad and meaningful reform. I look forward to working with the legislature in the future to accomplish this much needed task.

For the aforementioned reasons, I have vetoed House Bill 2760.

Marijuana: HB 3228 by Rep. Jon Echols (R-OKC) and Sen. Rob Standridge (R-Norman) was a comprehensive bill amending a number of areas of medical marijuana in Oklahoma. Included were changes to a number of license holders including regulation as well as fees and fines recordkeeping, review time by the Department of Health. In addition, marijuana growers were authorized to sell pre- rolled cigarettes containing pure flower only and no additives, the location of retail marijuana establishments are prohibited within 1,000 feet from any public or private school with requirements of how the distance is measured, a number of definitions are changed in the Medical Marijuana and Patient Protection Act, changes were made to regulation by the Oklahoma Medical Marijuana Authority including fees, fines and emergency powers. The bill provided that once a certificate of compliance was submitted to the Oklahoma Medical Marijuana Authority showing full compliance as outlined in this section, no additional certificate of compliance would be required for license renewal unless a change of use or occupancy occurs, or there is any change concerning the facility or location that would by law require additional inspection, licensure, or permitting by the state or municipal government.

House Bill 3228 is a lengthy bill that alters Oklahoma's medical marijuana program. The language in the bill makes substantial policy changes to the medical marijuana program that were not fully scrutinized through normal legislative procedures before the bill was

received by my office in the middle of the night Saturday. While there is much room for improvement in the way our state's program operates, this bill does not address those items in a way I can support.

For the aforementioned reasons. I have vetoed House Bill 3228.

Sales Tax Exemption/University Hospital Trust: SB 1703 by Sen. Roger Thompson (R-Okemah) and Rep. Ryan Martinez (R-Edmond) expanded the current sales tax exemptions for the University Hospitals Trust by adding nonprofit entities which have entered into joint operating agreements with the Trust.

Senate Bill 1703 adds the University Hospital Trust (UHT) to a list of public entities that are eligible for sales tax exemptions. The measure also allows the UHT the ability to extend their exemption to a contractor with whom they have a public contract. Though I am supportive of the great hospitals in our state that care for Oklahomans every day, this is not the right time to grow the list of tax exemptions that will end up causing tough budget times to be more difficult over the next few years. The cost to the state for such an exemption would be an estimated decrease in state sales tax collections of $11,125,421 and would make next year’s projected one billion dollar revenue shortfall even larger. This change would also negatively impact sales tax collection by millions of dollars at the local level. Further, there is no language in the current bill that specifies how this money is to be spent by the UHT.

For the aforementioned reasons, I have vetoed Senate Bill 1703.