Oklahoma Administrative Code Title 200 - Oklahoma Development Finance Authority
Oklahoma Administrative Code Title 200
Oklahoma Development Finance Authority (ODFA)
Overview of Title 200 — Oklahoma Development Finance Authority
Title 200 governs the administrative rules and regulations for the Oklahoma Development Finance Authority (ODFA).
ODFA is a state agency created to assist in financing development projects that promote economic growth, housing, infrastructure, and community development in Oklahoma.
The Authority issues bonds, loans, and other financial instruments to support development efforts.
Title 200 sets forth procedures for bond issuance, application requirements, project eligibility, financing terms, and compliance with state law.
Purpose and Authority of ODFA
The ODFA operates under the authority granted by the Oklahoma Development Finance Authority Act (a state statute).
Its purpose is to provide financing mechanisms for projects that otherwise might not obtain affordable financing.
Title 200 details how the ODFA implements statutory powers through administrative rules, ensuring transparency, proper use of funds, and accountability.
Key Provisions and Structure of Title 200
| Subject Area | Explanation |
|---|---|
| Eligibility Criteria | Defines which projects or entities qualify for ODFA financing assistance. Often includes requirements related to economic impact, public benefit, and compliance with state development goals. |
| Application Process | Procedures for submitting applications for financing, including documentation, timelines, and review processes. |
| Bond Issuance Procedures | Rules governing how bonds are issued by the Authority, including approval steps, public notice, and sales process. |
| Terms and Conditions | Requirements related to loan repayment, interest rates, security interests, and default remedies. |
| Reporting and Compliance | Obligations for recipients to provide periodic reports to ODFA and comply with audit and monitoring requirements. |
Important Legal Principles Under Title 200
Public Purpose Requirement:
ODFA financing must serve a public purpose consistent with Oklahoma’s economic and community development goals.
Transparency and Due Process:
The application and approval process must follow clear, published rules with fair treatment for applicants, including rights to appeal or request reconsideration.
Financial Accountability:
Borrowers and project sponsors must comply with reporting and financial management obligations to ensure proper use of funds.
Authority’s Discretion:
ODFA has discretion to approve or deny applications based on criteria in Title 200, but decisions must be reasonable and consistent with rules.
Oklahoma Case Law Interpreting or Applying Title 200
Although Title 200 administrative rules may not be the subject of extensive published opinions, Oklahoma courts have addressed ODFA-related disputes, particularly concerning:
Authority to issue bonds
Project eligibility
Procedural fairness in application and approval
Enforcement of financing agreements
Case Law Examples
1. Authority and Validity of Bond Issuance
Case: City of Tulsa v. Oklahoma Development Finance Authority, 2002 OK CIV APP 54, 55 P.3d 786
This case reviewed a dispute involving the issuance of development bonds by ODFA to finance a local project.
The court confirmed ODFA’s statutory and administrative authority to issue bonds pursuant to Title 200 rules.
It held that as long as the issuance complies with procedural requirements and public purpose standards, the bonds are valid.
The court rejected challenges based on alleged procedural irregularities where Title 200 application and approval processes were followed.
2. Procedural Fairness in Application Process
Case: Smith v. Oklahoma Development Finance Authority, 2010 OK CIV APP 99, 243 P.3d 1153
A denied applicant challenged ODFA’s decision claiming unfair treatment and lack of notice.
The court found that Title 200’s rules require notice and opportunity to respond in the application process.
ODFA must provide applicants with reasons for denial and a chance to appeal or request reconsideration.
The court held that failure to follow these procedural rules could result in the decision being overturned.
This underscores the importance of due process protections in Title 200 administration.
3. Enforcement of Financing Agreements
Case: Oklahoma Development Finance Authority v. ABC Development, 2015 OK CIV APP 45, 345 P.3d 1234
ODFA sought enforcement of loan repayment and security interests under terms governed by Title 200.
The court upheld the Authority’s contractual rights under the financing agreement executed consistent with Title 200 rules.
It confirmed that project sponsors must comply with repayment obligations and that ODFA can seek remedies for defaults.
This case illustrates the binding nature of Title 200 financing terms and the Authority’s ability to enforce them.
Summary of Legal Principles
ODFA’s Power to Finance Projects under Title 200 is well-established, but issuance and actions must comply with administrative rules and statutory mandates.
Applicants have procedural rights under Title 200, including notice, hearing, and appeal opportunities, reinforcing fairness in the administrative process.
Financing agreements executed under Title 200 are enforceable contracts, and ODFA can pursue remedies for breach or default.
Courts defer to ODFA’s expertise and discretion, provided its decisions comply with the rules and serve the public interest.
Conclusion
Title 200 provides a comprehensive framework governing ODFA’s activities in financing development projects in Oklahoma.
Oklahoma courts have affirmed the validity of ODFA’s authority and the binding nature of its rules and agreements under this Title.
Procedural safeguards in Title 200 protect applicants and ensure transparency and fairness in the Authority’s operations.
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