SB 366 — School district boards of education; directing a board of education to provide certain notice if a lessee does not timely elect to purchase certain property. Effective date. Emergency.

NO.

366 Page 4 (2) insurance in any insurer authorized to transact insurance in this state, (3) insurance secured in accordance with any other method provided by law, or (4) any combination of insurance authorized by this section.

Two or more school districts or public agencies, by interlocal agreement made pursuant to the Interlocal Cooperation Act, may provide insurance for any purpose SENATE FLOOR VERSION - SB366 SFLR Page 4 (Bold face denotes Committee Amendments) by any one or more of the methods specified in this section.

School district fundsENGR. may be used to erect buildings on leased land on which other buildings have been erected prior to April 3, 1969, or on land which is leased from a governmental entity;

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NO.

366 Page 5 funds may be used to erect buildings on leased land on which other buildings have been erected prior to April 3, 1969, or on land which is leased from a governmental entity;

SENATE FLOOR VERSION - SB366 SFLR Page 5 (Bold face denotes Committee Amendments) 11.

providedprovided, however, unless otherwise prohibited by law, the board of education of a consolidated or annexed school district or any other school district may convey real property to a local political subdivision or to an educational institution within The Oklahoma State System of Higher Education or to a housing authority formed pursuant to the provisions of Section 1057 of Title 63 of the Oklahoma Statutes without consideration.

The appraisal shallENGR. be confidential until the real property is sold.

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366 Page 6 shall be confidential until the real property is sold.

Any conveyance of real property by private sale to a nonprofit organization, association, or corporation to be used for public purposes, unless SENATE FLOOR VERSION - SB366 SFLR Page 6 (Bold face denotes Committee Amendments) for exchange, shall contain a reversionary clause which returns the real property to the board of education upon the cessation of the use without profit or for public purposes by the purchaser or the assigns of the purchaser, b.

(1) if a board of education receives a bid or offer in a public sale, public bid, or private sale for any real or personal property that it desires to accept, then it shall provide notice to the lesseeENGR. of the property.

TheS. notice shall include the identity of the prospective purchaser of the property, the terms and conditions of the proposed sale, and the purchase price to be paid by the prospective purchaser, and (2) the lessee shall have thirty (30) days after receipt of the notice to inform the board of education that it elects to purchase the property on the same terms and conditions set forth in the SENATE FLOOR VERSION - SB366 SFLR Page 7 (Bold face denotes Committee Amendments) notice, in which event the board of education shall convey the property to the lessee on all the same terms and conditions set forth in the notice;

B.

NO.

366 Page 7 lessee of the property.

The notice shall include the identity of the prospective purchaser of the property, the terms and conditions of the proposed sale, and the purchase price to be paid by the prospective purchaser, and (2) the lessee shall have thirty (30) days after receipt of the notice to inform the board of education that it elects to purchase the property on the same terms and conditions set forth in the notice, in which event the board of education shall convey the property to the lessee on all the same terms and conditions set forth in the notice;

For the purposes of this section, “eligible charter school” means a public charter school authorizedENGR. pursuant to the Oklahoma Charter Schools Act and is located within the geographic boundaries of the school district, c.

(1)S. If a board of education proposes to sell, lease, or otherwise transfer a district facility or any underutilized portion of a district facility to any person or entity, the board of education shall provide written notice of the proposed transaction to each eligible charter school.

ForB. SENATE FLOOR VERSION - SB366 SFLR Page 8 (Bold face denotes Committee Amendments) the purposes of this section, “district facility” means any school building or portion of a school building with or without improvements that is owned, leased, or otherwise controlled by the school district and that is used for classroom instruction or was used for classroom instruction within the previous twenty (20) years.

ForNO. the purposes of this section, a district facility shall be considered underutilized if the facility or a portion thereof was not used for instructional or program purposes for a majority of the instructional days during the immediately preceding school year including space suitable for classroom use that is used for storage or if the facility or a portion thereof was used at less than sixty percent (60%) of student capacity for instructional or program purposes during the immediately preceding school year, (2) if the board of education decides to accept a bid, offer, or proposal to sell, lease, or otherwise transfer a district facility or any underutilized portion thereof, the notice required by division (1) of this subparagraph shall include the identity of the prospective SENATE FLOOR VERSION - SB366 SFLR Page 9 (Bold face denotes Committee Amendments) purchaser or lessee, the material terms and conditions of the proposed transaction, and the proposed purchase or lease rate, (3) an eligible charter school shall have thirty (30) days after receipt of the notice to notify the board of education that it elects to purchase or lease the district facility or an underutilized portion thereof on the same terms and conditions.

Upon366 timelyPage election,8 theauthorized boardpursuant of education shall convey or lease the property to the eligibleOklahoma charterCharter schoolSchools onAct those terms and conditions,is (4)located ifwithin more than one eligible charter school timely elects to purchase or lease a district facility or an underutilized portion thereof, the boardgeographic ofboundaries education shall conduct a random lottery selection among the eligible charter schools, (5) a board of education shall not establish covenants, policies, or other agreements that prevent or restrict the saleschool ordistrict, leasec. of district facilities or unused portions thereof to eligible charter schools, and (6) the provisions of this subparagraph shall not be construed to limit the right of first refusal SENATE FLOOR VERSION - SB366 SFLR Page 10 (Bold face denotes Committee Amendments) granted to a lessee pursuant to subparagraph b of this paragraph;

(1) If a board of education proposes to sell, lease, or otherwise transfer a district facility to any person or entity, the board of education shall provide written notice of the proposed transaction to each eligible charter school.

For the purposes of this section, “district facility” means any school building or portion of a school building with or without improvements that is owned, leased, or otherwise controlled by the school district and that is used for classroom instruction or was used for classroom instruction within the previous twenty (20) years, (2) if the board of education decides to accept a bid, offer, or proposal to sell, lease, or otherwise transfer a district facility, the notice required by division (1) of this subparagraph shall include the identity of the prospective purchaser or lessee, the material terms and conditions of the proposed transaction, and the proposed purchase or lease rate, ENGR.

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B.

NO.

366 Page 9 (3) an eligible charter school shall have thirty (30) days after receipt of the notice to notify the board of education that it elects to purchase or lease the district facility on the same terms and conditions.

Upon timely election, the board of education shall convey or lease the property to the eligible charter school on those terms and conditions, (4) if more than one eligible charter school timely elects to purchase or lease a district facility, the board of education shall conduct a random lottery selection among the eligible charter schools, (5) a board of education shall not establish covenants, policies, or other agreements that prevent or restrict the sale or lease of district facilities to eligible charter schools, and (6) the provisions of this subparagraph shall not be construed to limit the right of first refusal granted to a lessee pursuant to subparagraph b of this paragraph;

13.ENGR.

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366 Page 10 13.

Contract with and fix the duties and compensation of physicians, dentists, optometrists, nurses, attorneys, superintendents, principals, teachers, bus drivers, janitorsjanitors, and other necessary employees of the district;

Pay necessary travel expenses and other related expenses of prospective employees for sponsored visits to the school district pursuant to a written policy specifying procedures containing documentation requirements equal to or greater than the requirements SENATE FLOOR VERSION - SB366 SFLR Page 11 (Bold face denotes Committee Amendments) specified by law for state employees in the State Travel Reimbursement Act;

18.ENGR.

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366 Page 11 18.

Enter into contractual agreements with the board of trustees of a multicounty library system, as defined in Section 4- 103 of Title 65 of the Oklahoma Statutes, a city-county library commission, as defined provided in Section 152 of Title 65 of the Oklahoma Statutes, or a rural single county library system, as defined in Section 1-104 of Title 65 of the Oklahoma Statutes, on such terms as may be mutually agreed, except no district board of education may enter into any agreement under which the library services for the school would be provided at any site other than the school site or which would result in library services that do not meet accreditation standards as required by law or rule;

SENATE FLOOR VERSION - SB366 SFLR Page 12 (Bold face denotes Committee Amendments) 21.

22.ENGR.

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366 Page 12 22.

Reimbursement may be made from the General Fund.Fund district’s general fund.

Any SENATE FLOOR VERSION - SB366 SFLR Page 13 (Bold face denotes Committee Amendments) rental contract extending beyond June 30 of the fiscal year shall be void unless it contains provisions for mutual ratification of renewal pursuant to the conditions provided for in this subsection.

ItENGR. is the intent of this subsection to authorize boards of education to enter into lease contracts but not to incur any obligation against the school district in excess of the income and revenue provided for such purposes for the fiscal year in which the lease contract is operative.

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366 Page 13 It is the intent of this subsection to authorize boards of education to enter into lease contracts but not to incur any obligation against the school district in excess of the income and revenue provided for such purposes for the fiscal year in which the lease contract is operative.

Any lease-purchase agreement entered into shall include SENATE FLOOR VERSION - SB366 SFLR Page 14 (Bold face denotes Committee Amendments) the right of a school district to acquire buildings, equipmentequipment, or other facilities or discrete components thereof or improve school sites through a lease-purchase agreement.

A school district may use proceedsENGR. derived from the sale of bonds as authorized by Section 26 of Article X of the Oklahoma Constitution to make lease-purchase payments, including interest, under a lease-purchase agreement.

ForS. purposes of this subsection, the term “acquired” as used in Section 26 of Article X of the Oklahoma Constitution shall mean the possession, control, or power to dispose of personal or real property.

B.

NO.

366 Page 14 proceeds derived from the sale of bonds as authorized by Section 26 of Article X of the Oklahoma Constitution to make lease-purchase payments, including interest, under a lease-purchase agreement.

For purposes of this subsection, the term “acquired” “acquiring” as used in Section 26 of Article X of the Oklahoma Constitution shall mean the possession, control, or power to dispose of personal or real property.

The revenues necessary to operate a joint program approved in cooperative agreements, whether from federal, statestate, or local sources, including the individual contributions of participating school districts, shall be deposited into a fund separate from all other appropriated funds.

The beginning fund balance each year, combined with all actual revenues, including collected and estimated revenues, must beshall SENATEbe FLOOR VERSION - SB366 SFLR Page 15 (Bold face denotes Committee Amendments) appropriated before being expended.

Purchase orders shall be issued against available appropriations and, once goods or services have been received, either payable or nonpayable warrants shall be issued inENGR. payment of all purchase orders.

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B.

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366 Page 15 in payment of all purchase orders.

SENATE FLOOR VERSION - SB366 SFLR Page 16 (Bold face denotes Committee Amendments) F.

G.ENGR.

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B.

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366 Page 16 G.

The educational services provided by a contracting entity may includeinclude, but are not limited toto, the delivery of instructional service in core and noncore academic subjects to the students enrolled in the school district at one or more school sites or parts of sites within the district pursuant to the terms of an educational services contract.

All educational service providers and their employees and representatives and all educational and administrative services provided under an educational services contract shall be exempt from all statutes and rules relating to schools, boards of educationeducation, and school districts to the same extent that a charter school is exempt under the Oklahoma Charter Schools Act.

For all purposes includingincluding, but not limited toto, attendance, funding from all sources and accountability, all students who are provided services by a SENATE FLOOR VERSION - SB366 SFLR Page 17 (Bold face denotes Committee Amendments) contracting entity pursuant to an educational services contract shall at all times be and remain students of the school district.

SECTIONENGR. 3.

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B.

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366 Page 17 SECTION 3.

COMMITTEEPassed REPORTthe BY:Senate the 17th day of March, 2026.

COMMITTEE7 ONPresiding EDUCATIONOfficer Marchof 3,the 2026Senate -9 DOPassed PASSthe ASHouse AMENDEDof BYRepresentatives CSthe SENATE____ FLOORday VERSIONof -__________, SB3662026. SFLR Page 18 (Bold face denotes Committee Amendments)

Presiding Officer of the House of Representatives ENGR.

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B.

NO.

366 Page 18