A. To pay all or any part of the cost of the improvement, the governing body may issue, in the name of the city or a public trust entity acting on behalf of the city, bonds in one or more series and in amounts not exceeding the total cost of the improvement financed by each series, including costs of issuance, capitalized interest, funding of reserves, premiums for reserve surety bonds, and obtaining bond insurance, letters of credit or other credit enhancement or liquidity instruments in connection with each series. If the bonds recite that:

1. The proceedings relating to making the improvement and levying the assessments to pay for the improvement have been done in compliance with law; and

2. All prerequisites to the fixing of the assessment lien against the tract or parcel of land benefited by the improvement have been performed;

such recital shall be conclusive evidence of the facts recited.

B. The bonds shall:

1. Recite the terms and conditions for their issuance;

2. Be payable from the money collected from the assessment authorized in Section 39-111 of this title;

3. Bear a rate of interest not less than two percent (2%) of the rate of interest on the deferred installments of the assessment; and

4. Mature not later than thirty (30) years after the date of issuance of the bonds of a particular series.

C. Payment of the bonds issued for a storm sewer, lighting, street, alley, curb, gutter or sidewalk improvement may be supplemented from gasoline tax money remitted by the State of Oklahoma on or before a date not more than twelve (12) months after the last deferred installment of an assessment is due from the owner of a tract or parcel of land so assessed. Payment of the bonds issued for a water, sewer, gas, electric or other improvement may be supplemented from the funds received by the water, sewer, gas, electric or other facility on or before a date not more than twelve (12) months after the last deferred installment of an assessment is due from the owner of a tract or parcel of land so assessed.

D. The bonds may be issued to the contractor in payment for the construction of the improvement or may be issued and sold:

1. In payment of the city's proportion of the cost of the improvement;

2. In payment of the proportionate cost if the improvement is done in cooperation with another governmental agency;

3. In payment of the construction of the improvement done under contract; or

4. In reimbursement to the city if the city constructed the improvement with city owned or leased equipment and city employees.

E. Any city may contract for the issuance and sale of bonds or assignable certificates.

F. Bonds or assignable certificates may be sold at a public or private sale at a discount.

G. After the passage of thirty (30) days from the publication of the ordinance or resolution authorizing the issuance of district bonds, any action attacking the validity of any proceedings had or taken by the governing body of the city preliminary to and in the authorization and issuance of the bonds described in the notice is perpetually barred.

Added by Laws 1978, c. 233, § 15, emerg. eff. April 25, 1978. Amended by Laws 1983, c. 170, § 24, eff. July 1, 1983; Laws 2007, c. 362, § 11, eff. Nov. 1, 2007.