O k l a h o m a M u n i c i p a l L e a g u e L E G I S L A T I V E B U L L E T I N Issue No. 12-16 April 14, 2016

FILING TOOK TOP BILLING THIS WEEK

In This Issue The capitol was full of candidates filing for office. Yesterday, there were over 250 individuals who filed for office. There will be at least 38 new House and Senate members Filing Took Top Billing This next year: 31 are term-limited and 7 are choosing to not seek their legislative seat again. Week 1

Number of Bills Shrink – NUMBER OF BILLS SHRINK - PRIORITY ISSUES STILL ALIVE Priority Issues Still Alive 1

Public Safety Protection As this week began, legislators had 561 bills left to address. Over 250 bills failed to be District Bill Not Being Heard 1 heard by the deadline and can no longer be considered. There are over 287 House bills and joint resolutions and 274 Senate bills and joint resolutions to be considered. This does OHCA Town Hall Meetings not include the number of appropriation bills that will be filed after this week. Two of OML’s Discuss Medicaid Rebalancing 2 top priority issues are still alive and making their way through the process: 9-1-1 funding/accountability and E-fairness. Gov. Fallin Rolls Out Her Budget Proposal 2 HB 3126 passed the Senate yesterday by a vote of 38-5. This bill creates the Oklahoma 9- Gov. Fallin Signs Gun Bill 2 1-1 Management Authority Act with rule making authority given to the Oklahoma Department of Emergency Management. The bill specifies the Authority’s organization, Bills Signed by the Gov. 2 duties and limitations. A monthly fee of 75 cents is created on each wireless telephone

Bills Move to Governor’s connection and other communication device or service connection with the ability to dial 9- Desk 3 1-1 for emergency calls, services that are enabled by Voice over Internet Protocol (VoIP) or Internet Protocol (IP) and prepaid wireless retail transactions. Funds shall be used by Bills on the Move 3 public agencies only for services, equipment and operations related to 9-1-1 emergency

telephone systems. The definition of “public agency” is expanded to also include “public district, public trust, substate planning district, public authority or tribal authority located within this state”. It repeals 63 O.S. Sections 2821, 2841, 2842, 2843, 2843.1, 2843.2, 2844, 2847, 2851, 2852 and 2853.

The bill now heads back to the House to either accept or reject the Senate amendments. Oklahoma PUBLIC SAFETY PROTECTION DISTRICT BILL NOT BEING HEARD Municipal League

Legislative Bulletin is published We were told today by leadership in the House that SB 1240 by Sen. Mike Mazzei (R- by the Oklahoma Municipal Tulsa) and Rep. Weldon Watson (R-Tulsa) will not be heard this session. SB 1240 created League. Forward the Oklahoma Public Safety Protection District Act. Municipal governing bodies would have your comments or suggestions the authority to send to their citizens a question allowing them to fund Public Safety to: Protection Districts. The funding would have come from an annual assessment no greater than 5 mills on the dollar of assessed value of the types of property in the district as Oklahoma Municipal League provided in paragraphs 1, 2 and 3 of subsection A of Section 2803 of Title 68. The rd 201 N.E. 23 Street assessment did not apply to real property or personal property used for agriculture or OKC, OK 73105 Phone: 1-800-324-6651 / 405- industrial purposes. The proceeds were to be used solely for the operation and 528-7515 maintenance of the district, including expenses related to purchasing and maintaining Fax: 405-528-7560 public safety equipment, payment of salaries and benefits of city employees who provide Email: [email protected] law enforcement and/or fire protection public safety services within the district, and Internet: www.oml.org municipal expenses related to housing prisoners.

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OKLAHOMA HEALTH CARE AUTHORITY HOSTING GOVERNOR FALLIN SIGNS WEAPON BILL TOWN HALL MEETINGS TO DISCUSS MEDICAID REBALANCING Governor Fallin signed SB 1057 by Sen. (R-

Midwest City) and Rep. Kevin Calvey (R-OKC) on The Oklahoma Health Care Authority (OHCA) is hosting Thursday. This bill allows cities to prohibit guns at town hall meetings to discuss the Medicaid Rebalancing events if it is on property/building owned or controlled by Act of 2020 and will feature the Insure Oklahoma city, county, state and federal government, a public HealthStead Account (HSA), which will provide health property sports field or sporting event where an care access for Oklahoma adults working to improve elementary or secondary school, collegiate or their health status and earning potential. It will be professional event is played or an International Olympic available to Oklahomans below 133 percent of the Committee, fairgrounds during the Oklahoma and Tulsa federal poverty level (FPL). State Fair and if there is a contract for the event. The bill was amended on the Senate floor regarding parking lots; You are invited to attend the events being held across the language provides there will be no exclusions for the State. Click on this link to register and learn more particular sporting events. It will allow individuals to take about OHCA’s proposed plan. their firearms back to their cars in the parking lot if they happen to bring it to an event where weapons are GOVERNOR FALLIN ROLLS OUT HER BUDGET prohibited. The bill takes effect on November 1, 2016. PROPOSAL BILLS SIGNED BY THE GOVERNOR In a press conference yesterday, Governor Mary Fallin rolled out her budget proposal to shore up the $1.3 Cable Television/Municipal Authority: HB 2358 by billion dollar deficit. Her 5 concepts are transportation Rep. Weldon Watson (R-Tulsa) and Sen. David Holt (R- reform; tax reform; apportionment reform; government OKC) amends 11 O.S. Section 22-107.1 and 107.2 account reform and the general appropriations bill. She regarding municipal authority concerning ordinances, calls for removing the exemptions on the following: certificates, licenses, permits or franchises for cable television. Among the changes in this detailed bill: Sales to commercial airlines or $59,283,000.00 “video services is substituted for “cable television”, railroads rental payment for use of the public ways and grounds Advertising $47,667,000.00 within the municipality shall not exceed 5% of the annual Tickets to NBA and NHL $2,000,000.00 gross revenues derived by the video services provider games from the provision of video services within the Sales of horses $1,342,000.00 municipality, provision is made for ordinances regulating Out-of-state purchases credit $1,350,000.00 video services pursuant to the police power. The bill Sale of tickets to professional $492,000.00 defines “video services”. The bill went into effect on April sporting events 12, 2016. Total $112,134,000.00 95% $106,527,300.00 Improvement Districts/Marketing: SB 1206 by Sen. (R-Wynona) and Rep. Gary Banz (R- She also proposes restoring FY 2016 funding to the Midwest City) amends improvement districts in 11 O.S. Oklahoma Tax Commission, which adds $3.9 million for Section 39-103.1. A district may be comprised of a 2017 compliance initiatives that will generate $34.1 designated geographical area within the municipality and million in additional sales tax revenue. limited to only those properties within such geographical area on which a hotel or motel having 50 or more rooms Thanks to the members of the OML Municipal Liaison available for occupancy is located, if the sole purpose of Board, Bob Ponkilla, OKC and Ross VanderHamm, the district is to provide marketing services for private or Edmond, for attending meetings with OML Executive public events reasonably calculated to increase Director Carolyn Stager and Missy Dean and leadership occupancy and room rates for such properties as a in the House and Senate as well as the Governor to class. The bill takes effect on November 1, 2016. discuss the need for better compliance. Law Enforcement/Pawnbrokers: SB 1017 by Sen. (R-Shawnee) and Rep. Josh Cockroft (R- Tecumseh) amends 59 O.S. Section 1515. Any

2 pawnbroker shall make available a copy or report within other transmission line on said property. The bill requires two (2) days of any buy "or pawn" transaction to the local the court to conduct a hearing to determine if an law enforcement agency. Current law requires the copy alternative location would be possible. The amendment or report within three (3) days. The bill takes effect on failed. November 1, 2016. (OML SUPPORTS) Law Enforcement/Land Mobile Radio Public Safety Law Enforcement/Pornography: SB 880 by Sen. Interoperability Cooperative: SB 1112 by Sen. Gary Roger Thompson (R-Okmulgee) and Rep. John Pfeiffer Stanislawski (R-Tulsa) and Rep. Scott Biggs (R- (R-Mulhall) amends 21 O.S. Section 1024.4 requiring a Chickasha) establishes the Land Mobile Radio Public law enforcement agency to destroy obscene material or Safety Interoperability Cooperative. The bill requires the child pornography upon “final” conviction of the Cooperative to be governed by a committee consisting accused. This includes any computer, hard drive or of the Secretary of Finance or designee, Secretary of other electronic storage media. Final conviction includes Transportation or designee and the Secretary of the the exhaustion of or failure to timely pursue post- Safety and Security Cabinet or designee. The bill conviction and state and federal habeas corpus review. establishes the Cooperative to focus on unifying, The bill takes effect on November 1, 2016 stabilizing and enhancing the infrastructure and capabilities for land mobile radio public safety system Pensions/Firefighters: SB 1021 by Sen. Don communication. Barrington (R-Lawton) and Rep. Kevin Wallace (R- Wellston) amends 11 O.S. Section 49-103 by changing Law Enforcement/Scrap Metal Dealers: SB 1270 by the termination date for local firefighter pension and Sen. Brian Crain (R-Tulsa) and Rep. Pam Peterson (R- retirement boards from December 31, 2000 to December Tulsa) that creates the Scrap Metal Purchases 31, 2016. The bill takes effect on July 1, 2016. Database. This will allow a statewide database to be developed to curb the theft of scrap metal. (OML Pensions/Firefighters: SB 1022 by Sen. Don SUPPORTS) Barrington (R-Lawton) and Rep. Kevin Wallace (R- Wellston) clarifies language related to the transfer of Water/Delinquent Account: SB 1029 by Sen. David Roth and non-Roth funds in the Oklahoma Firefighters Holt (R-OKC) and Rep. Elise Hall (R-OKC) creates new Pension and Retirement System. The bill takes effect on law regarding termination for a delinquent account where July 1, 2016. water service is provided to real property by one public entity but that property receives sewer or waste water Pension/State Commission: HB 2258 by Rep. Randy service from another public entity. Under conditions in McDaniel (R-Edmond) and Sen. Jason Smalley (R- the bill, the governing body providing sewer or Stroud) amends the duty of the Oklahoma State Pension wastewater service may request the public entity Commission in a number of ways including reporting on providing water service to terminate water service. changes to investment policy and securities lending (OML SUPPORTS) program and short-term investment funds. The bill takes effect on November 1, 2016. BILLS ON THE MOVE

BILLS MOVE TO GOVERNOR’S DESK Administrative Procedures Act: SB 1236 by Sen. (D-OKC) and Rep. George Faught (R-Muskogee) Eminent Domain: SB 361 by Sen. (R- makes a number of changes in the Administrative Broken Arrow) and Rep. Lee Denney (R-Cushing) Procedures Act. Included are changes to definitions of amends eminent domain in a number of ways including “adopted”, “final rule” or “finally adopted rule”, new law appraiser compensation and amending 27 O.S. Section governing the Governor’s approval/disapproval of a rule 7.10 by changing the eminent domain power for a and, as an exception to the general principle, rules “common carrier pipeline” to a “common carrier”. The creating or increasing a fee shall require approval by the bill repeals 27 O.S. Sections 7.1 to 7.9 and 7.11. The Legislature by joint resolution. Emergency rules in effect bill passed the House on Wednesday by a vote of 61-24. on the first day of the session shall be void on September 15 “immediately” following sine die There was an attempt by Rep. Denney to amend the bill adjournment. 75 O.S. Section 308.3 is repealed. The and insert her language from HB 2276 that allowed a bill passed the House on Tuesday by a vote of 80-6. It property owner to file a request for judicial location now goes back to the Senate to either accept or reject exception with the county court if the owner objects to a the House amendments. corporation's desire to locate its pipeline, utility line or

3 Contractors/License Tax: SB 1489 by Sen. Nathan The companion bill, HB 3146 by Rep. Mike Sanders (R- Dahm (R-Broken Arrow) and Rep. Sean Roberts (R- Kingfisher) and Rep. (R-OKC) is waiting to Hominy) removes language regarding the tax assessed be heard on the Senate floor. Title is off the bill. by municipalities based on the number of licensed journeymen or apprentices under the supervision of Municipal Operations/Jurisdiction over Municipal licensed contractors. The bill passed the House on Property: HB 2523 by Rep. Dennis Casey (R-Morrison) Wednesday by a vote of 71-11. Title is stricken. It goes and Sen. A.J. Griffin (R-Guthrie) amends 11 O.S. back to the Senate to either accept or reject the House Section 22-116 which authorizes municipalities to have amendments. jurisdiction over any real property within or without its corporate limits belonging to the municipality. The Medical Facilities/Nursing Homes: SB 1149 by Sen. amendment removes the 350,000 population limit in A.J. Griffin (R-Guthrie) and Rep. Doug Cox (R-Grove) current law. In addition, in the event of dual municipal amends 11 O.S. Section 30-101 regarding operations of jurisdiction, municipalities are authorized to enter into medical facilities outside the municipal limits. It cooperative agreements defining and regulating the authorizes the municipal governing body to manage, governing jurisdiction. The bill passed the Senate on lease or operate a medical facility outside the municipal Wednesday by a vote of 41-0. It now goes back to the limits to provide a benefit to the community or lessen the House to either accept or reject the Senate burden of government that does not solely provide a amendments. (OML SUPPORTS) benefit by generating administrative fees. County hospitals are authorized in 19 O.S. Section 790.1 to Outdoor Advertising: HB 2553 by Rep. Harold Wright undertake the management, lease or operation of any (R-Weatherford) and Sen. Don Barrington (R-Lawton) other medical facility or institution located outside the amends 69 O.S. Section 1273 regarding outdoor county. Changes are also made to 60 O.S. Section 176. advertising on highways altering the definition of The bill is waiting to be heard on the House floor. “relocation permit”. All potential relocation sites which comply with all applicable federal, state, county or Municipal Audits/Income: SB 888 by Sen. Roger municipal codes or regulations must be exhausted Thompson (R-Okemah) and Rep. Steve Kouplen (D- before a relocation permit can be issued for a location Beggs) amends the municipal audit requirements of 11 not in compliance with all applicable restrictions on O.S. Section 17-105. Municipal income shall not include outdoor advertising signs set forth in a municipal or any grant monies provided to a municipality from any county code or ordinance. This language is also placed federal, state or other governmental entity. The bill in 69 O.S. Section 1275. The bill passed the Senate passed the House today by a vote of 51-51-29. today by a vote of 35-6. It now heads back to the House However, the emergency clause failed by a vote of 44- to either accept or reject Senate amendments. 33. Rep. Kouplen held it on a “Motion to Reconsider” by which the emergency clause failed. Pension/OPERS: HB 2264 by Rep. Randy McDaniel (R-Edmond) and Sen. Jason Smalley (R-Stroud) Municipal Court/DUI: SB 58 by Sen. (R- amends the employee contribution provision of the Porter) and Rep. Lisa Billy (R-Purcell) preempts Oklahoma Public Employee Retirement System by municipalities in the prosecution of offenses relating to modifying the time period of employee contribution rate driving under the influence of alcohol or any other selections in the Retirement Freedom Act from once per intoxicating substance or operating a motor vehicle while year to once per month for any contribution that is more impaired. The bill requires that district courts have than the 4.5 percent rate. The bill passed the Senate on exclusive original jurisdiction for an offense relating to Wednesday by a vote of 38-0. It now heads back to the impaired driving and requires the offenses to be filed House to either accept or reject Senate amendments. with the District Attorney of the district in which the offense occurs. This preemption shall not apply to Fire Departments/Equipment: SB 1493 by Rep. Jason prosecutions in municipal criminal courts of record. 11 Smalley (R-Stroud) and Rep. Scooter Park (R-Devol) O.S. Section 14-111 is amended to create a new $15 authorizes a municipality to enter into agreements for assessment for the Impaired Driver Database Revolving used equipment that has been tested and certified as Fund, municipal law enforcement officers must enter safe with a volunteer fire department and shall not be data into the Database when making an arrest for DUI liable for any damage caused by the use of such and 28 O.S. Section 153.1 is amended to reduce current equipment by the volunteer fire department. The bill municipal authority and receive costs from current laws passed the House floor this afternoon by a vote of 78-0. one half to one quarter with the remainder paid to the After enrollment, it will head to the Governor’s desk. DA’s Council Revolving Fund. The bill awaits a hearing on the House floor.

4 Rural Hospitals: SB 1336 by Sen. Brian Crain (R- Tulsa) and Rep. Casey Murdock (R-Felt) permits a hospital or two or more hospitals located within a county or adjacent counties, and a municipality, to jointly create a public trust and subsidiary districts for the purposes of submitting to voters of each such county the question of whether to impose a tax for the financial support of hospitals within each district. The bill requires the boundaries of a hospital trust be coextensive with the boundaries of a county or a group of member counties. The bill requires the county or counties and municipality, in which a hospital trust is established, to approve and be the beneficiary of the public trust according to statute. The bill establishes minimum requirements for the instrument creating the hospital trust. The bill was amended to include a medical facility owned or operated by a city or county that provides medical diagnosis or treatment to area citizens through a medical care clinic, laboratory radiology services or nursing home services”. The bill was amended to exempt agricultural land and industrial properties from the provisions of the bill. The bill failed by a vote of 50-35 before being brought back up and passing by a vote of 51-41. It now goes back to the Senate to either accept or reject House amendments. (OML SUPPORTS)

Solid Waste Fee: SB 695 by Sen. Holt (R-OKC) and Rep. Dank (R-OKC) permits the governing body of a public entity to collect on utility accounts that have unpaid solid waste service and storm water fees within the municipal limits to be collected in accordance with details provided in the bill. The bill is awaiting a hearing on the House floor.

Transportation/Rights-of-Way: HB 2898 by Rep. Scott Inman (D-Del City) and Sen. Jack Fry (R-Midwest City) amends 69 O.S. Section 1205 regarding the policy of the State Highway Commission in acquisition of all right-of- way. The bill provides that in addition to federal aid funds, if available, may be used to pay for the cost of removing or relocating municipally owned utility facilities. The state shall furnish funds necessary to match the federal funds. The bill passed the Senate on Wednesday by a vote of 39-2. It goes back to the House to either accept or reject the Senate amendments.

Water/Oil & Gas Recycling Program Act: HB 2651 by Rep. Seneca Scott (D-Tulsa) requires the Corporation Commission to work in conjunction with the Secretary of Energy and Environment, the Oklahoma Water Resources Board and the Department of Environmental Quality to encourage the industrial use of water produced in oil and natural gas operations. The bill passed the Senate on Wednesday by a vote of 41-0. It goes back to the House to either accept or reject the Senate amendments.

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