Legislative Referendum 376
Public Infrastructure Districts
This measure adds a new section, section 9E, to article 10 of the Oklahoma Constitution. Section 9E will permit the creation of public infrastructure districts to provide support, organization, operation, and maintenance of services. To create such a district, proponents for creating the district must file a petition with the municipality. The petition must include the signatures of one hundred percent of all surface property owners falling within the district’s proposed boundaries. The municipality possesses the right to impose limitations on the district’s powers prior to approving the district. Once approved, the district will be governed by a board of trustees. Through the board, the district may issue bonds to pay for all or part of all public improvements implemented by and for the public infrastructure district. The district will be limited to issuing bonds issued for such improvements not exceeding ten (10) mills. For repayment of the bonds, the district, acting through its board of trustees, will levy and assess a special assessment on all property benefiting from the improvements in the district. Section 9E also authorizes the Legislature to enact laws necessary for the implementation of public infrastructure districts.
Shall The Proposal Be Approved?
Legislative Referendum 376 | Public Infrastructure Districts
If passed, State Question 833 will amend the Oklahoma Constitution to authorize municipalities to create Public Infrastructure Districts (PID) to finance infrastructure improvements.
A PID is a means to fund infrastructure improvements. While it works like a tax, it is actually an assessment on property. A group of property owners within the proposed district, such as a housing subdivision or a retail shopping center, determines that an extra need is necessary. Examples of those needs, which would apply only within the PID’s boundaries, are expanded public transportation, improvements to water and sewer, additional park maintenance, or upgrades to internet service.
The process to establish a PID is to initiate a petition that includes the signatures of all property owners within the proposed district. The petition must be filed for city approval and once city approval is received, a PID can be created.
The district would then have the authority to issue bonds for making the public improvements.
If the bond is approved, the board of trustees that governs the PID can levy an extra amount (in addition to property taxes) on properties benefiting from any improvement projects. That levy, which will be limited to issuing bonds not exceeding ten (10) mills, would be used to reimburse the PID for the cost of the improvement projects. Ten mills is equal to $10 in tax for every $1,000 of a property’s assessed value.
A “yes” vote supports allowing municipalities to create public infrastructure districts when all property owners within the proposed district sign a petition and allowing public infrastructure districts to issue bonds for public improvements.
A “no” vote opposes allowing municipalities to create public infrastructure districts with the authority.
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