Okla. Stat. tit. 62, § 62-57.63

The Commission, acting for and on behalf of the State of

Oklahoma, shall issue, sell and deliver as hereinafter provided,

"State of Oklahoma Institutional Building Bonds of 1965" in a total

principal amount of Fifty-four Million Seven Hundred Fifty Thousand

Dollars ($54,750,000.00). Said Commission shall issue and deliver

said bonds as follows:

Series A, in the principal sum of Fifteen Million Four Hundred

Twenty-five Thousand Dollars ($15,425,000.00), following the

approval by the people of the State of Oklahoma of House Joint

Resolution No. 552; Series B, in the sum of Twelve Million Dollars

($12,000,000.00), on or about June 25, 1966, and the remaining

portion of said bonds as provided by the 31st Oklahoma Legislature.

It is hereby expressly provided and pledged for the benefit of the

purchasers, owners and holders of said bonds that the portion of

seven cents ($0.07) of the tax on each package of cigarettes levied

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by Section 302 of House Bill No. 511, enacted by the 30th Oklahoma

Legislature constituting the remainder of revenue available from the

revenues lawfully levied and collected by the State of Oklahoma on

the sale of cigarettes not already committed to other obligations of

the State of Oklahoma, or so much as may be necessary, shall be

devoted irrevocably to the payment and discharge of the interest on,

and the principal of, the bonds issued hereunder as the same become

due, and to create an adequate reserve to assure such payments when

due; and said revenues shall be, and hereby are, irrevocably pledged

for such purposes. There is hereby created, in the State Treasury, a

fund to be known as the "State of Oklahoma Institutional Building

Bonds of 1965 Sinking Fund" which sinking fund is hereby irrevocably

pledged to the payment of the interest on, and principal of, the

bonds issued hereunder; and monies to the credit thereof shall be

paid out only in the manner and at the time and places provided for

in the resolution or resolutions of the Commission authorizing the

issuance of the bonds. Beginning on the first day of the month

following the adoption of said constitutional amendment, the

Oklahoma Tax Commission, when transmitting to the State Treasurer

the monthly collection of the tax on cigarettes, shall also transmit

to the State Treasurer a schedule showing the net proceeds of seven

cents ($0.07) of the tax on each package of cigarettes levied by

Section 302 of House Bill No. 511 enacted by the 30th Oklahoma

Legislature. It shall be the duty of the State Treasurer, upon

receiving said taxes and schedules from the Oklahoma Tax Commission,

to deposit in said sinking fund, such portions of the cigarette tax

or taxes hereinabove pledged to the payment of the bonds issued

hereunder as may be necessary to assure prompt payment of the

interest on, and the principal of, said bonds as the same falls due

and to comply with the covenants hereof with respect to reserve

requirements. The State Treasurer shall deposit in the above-

created sinking fund for the fiscal years 1965-1966 and 1966-1967,

the amount necessary to pay the interest upon the outstanding bonds.

The State Treasurer shall deposit in the above-created sinking fund

the following sums for the following fiscal years for the payment of

the principal upon Series A Bonds:

Commencing July 1, 1967, the sum of Two Hundred Twenty-five

Thousand Dollars ($225,000.00); commencing July 1, 1968 and 1969,

the sum of Three Hundred Thousand Dollars ($300,000.00) each year;

for the fiscal years commencing July 1, 1970, to and including the

fiscal year commencing July 1, 1976, the sum of Five Hundred

Thousand Dollars ($500,000.00) each year; for the fiscal years

commencing July 1, 1977, to and including the fiscal year commencing

July 1, 1988, the sum of Eight Hundred Thousand Dollars

($800,000.00) each year; for the fiscal year commencing July 1,
00) each year;

for the fiscal years commencing July 1, 1970, to and including the

fiscal year commencing July 1, 1976, the sum of Five Hundred

Thousand Dollars ($500,000.00) each year; for the fiscal years

commencing July 1, 1977, to and including the fiscal year commencing

July 1, 1988, the sum of Eight Hundred Thousand Dollars

($800,000.00) each year; for the fiscal year commencing July 1,

1989, the sum of One Million Five Hundred Thousand Dollars

($1,500,000.00) and for the payment of the principal on the Series B

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Bonds, in the fiscal years July 1, 1968, to and including July 1,

1973, the sum of Two Hundred Thousand Dollars ($200,000.00) each

year; for the fiscal year commencing July 1, 1974, to and including

July 1, 1978, the sum of Five Hundred Thousand Dollars ($500,000.00)

each year; for the fiscal years commencing July 1, 1979 to and

including July 1, 1988, the sum of Seven Hundred Thousand Dollars

($700,000.00) each year and for the fiscal year commencing July 1,

1989, the sum of One Million Three Hundred Thousand Dollars

($1,300,000.00), and in addition thereto, the amounts necessary for

the payment of interest. In the event that the payments into the

above-created sinking fund in any fiscal year plus the accumulation

in such sinking fund is not sufficient to pay the principal and

interest due the following July 15 then it shall be the duty of the

State Treasurer to pay into said Sinking Fund from the cigarette

funds such sum of money as may be necessary to pay said principal

and interest. The cigarette tax monies hereinabove pledged to the

retirement of said bonds shall constitute the primary revenue

dedicated to the payment of the interest on, and the principal of,

the bonds issued hereunder, but it is further pledged, for the

purchasers, owners and owner of said bonds, that the State of

Oklahoma, if and when it shall appear to be necessary, hereby

devotes irrevocably to the payment of the interest on, and principal

of said bond, any monies in the General Revenue Fund of the State of

Oklahoma not otherwise obligated, committed or appropriated, and the

State Treasurer is directed to apply such General Revenue Fund of

the State of Oklahoma for such purpose. The State of Oklahoma

further pledges to the purchasers, owners and holders of said bonds

that it will, if and when it shall appear to be necessary, impose

and collect a tax and devote the proceeds thereof, or so much

thereof as may be necessary for the purpose of paying the principal

and interest of the bonds issued hereunder as they come due. The

bonds issued hereunder, and the interest thereon, shall be general

obligations of the State of Oklahoma, and the full faith, credit and

resources of the State of Oklahoma are pledged to their payment. The

Commission is authorized to incorporate in the face of each of the

bonds issued under this act, pledges the same or substantially the

same as those made herein. The pledges and covenants so made by the

Commission shall constitute the commitment of the State of Oklahoma,

made in full good faith, in its sovereign capacity, and shall be

binding upon said state and the Legislature, officers,

instrumentalities and agents thereof, so long as any of the interest

on, or principal of, said bonds shall remain outstanding and unpaid.

The Commission is authorized to make such other equally-binding

covenants and agreements, not inconsistent with this act or House

Joint Resolution No. 552 Of the 30th Oklahoma Legislature, as it

deems to be needful and appropriate to the general purpose of

effectuating this act.

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