Greetings All:

My City desires to purchase parcels of real property from a city employee.  I look to Art. 10 Sec. 11 of the Oklahoma Constitution:

"The receiving, directly or indirectly, by any officer of the State, or of any county, city, or town, or member or officer of the Legislature, of any interest, profit, or perquisites, arising from the use or loan of public funds in his hands, or moneys to be raised through his agency for State, city, town, district, or county purposes shall be deemed a felony. Said offense shall be punished as may be prescribed by law, a part of which punishment shall be disqualification to hold office."

My thought was that this constitutional provision did not/does not prohibit a purchase of the property at a fair market value. I also believe that an exception exists to this type of one-time transaction, but at present I am unable to recall the specific exception and whether it is in statute or case law..

Any assistance or contrary thoughts are appreciated.  Thank you.

Employees are not officers unless they hold an official position

Robert C. Thompson
Cheek & Falcone, PLLC
6301 Waterford Blvd., Suite 320
Oklahoma City, Okla. 73118
direct telephone:405-286-9560
direct fax: 405-286-9680
Firm telephone: 405-286-9191
rthompson@cheekfalcone.com

From: Oama oama-bounces@lists.imla.org on behalf of Michael Beason mbeason@altusok.gov
Sent: Tuesday, October 20, 2020 2:24:25 PM
To: oama@lists.imla.org oama@lists.imla.org
Subject: [Oama] Purchase of Real Property From a City Employee

Greetings All:

My City desires to purchase parcels of real property from a city employee.  I look to Art. 10 Sec. 11 of the Oklahoma Constitution:

“The receiving, directly or indirectly, by any officer of the State, or of any county, city, or town, or member or officer of the Legislature, of any interest, profit, or perquisites, arising from the use or loan of public funds in his hands, or moneys to be raised through his agency for State, city, town, district, or county purposes shall be deemed a felony. Said offense shall be punished as may be prescribed by law, a part of which punishment shall be disqualification to hold office.”

My thought was that this constitutional provision did not/does not prohibit a purchase of the property at a fair market value. I also believe that an exception exists to this type of one-time transaction, but at present I am unable to recall the specific exception and whether it is in statute or case law..

Any assistance or contrary thoughts are appreciated.  Thank you.

Look at statute below for prohibited conduct

Oklahoma Statutes Citationized
[https://www.oscn.net/Images/Applications/search/WDFolderOpen.gif] https://www.oscn.net/applications/OCISWeb/index.asp?level=1&ftdb=STOKST11 Title 11. Cities and Towns
[https://www.oscn.net/Images/Applications/search/WDFolderOpen.gif] https://www.oscn.net/applications/OCISWeb/index.asp?level=1&ftdb=STOKST11#Chapter1-OklahomaMunicipalCode Chapter 1 - Oklahoma Municipal Code
[https://www.oscn.net/Images/Applications/search/WDFolderOpen.gif] https://www.oscn.net/applications/OCISWeb/index.asp?level=1&ftdb=STOKST11#ArticleVIII-Officers-GeneralProvisions Article Article VIII - Officers - General Provisions
[https://www.oscn.net/Images/Applications/search/WDDocument.gif] Section 8-113 - Prohibited Conduct
Cite as: O.S. §, __ __

A. Except as otherwise provided by this section, no municipal officer or employee, or any business in which the officer, employee, or spouse of the officer or employee has a proprietary interest, shall engage in:

1. Selling, buying, or leasing property, real or personal, to or from the municipality;

2. Contracting with the municipality; or

3. Buying or bartering for or otherwise engaging in any manner in the acquisition of any bonds, warrants, or other evidence of indebtedness of the municipality.

B. The provisions of this section shall not apply to any officer or employee of any municipality of this state with a population of not more than five thousand (5,000) according to the latest Federal Decennial Census, who has a proprietary interest in a business which is the only business of that type within five (5) miles of the corporate limits of the municipality. However, any activities permitted by this subsection shall not exceed Two Thousand Five Hundred Dollars ($2,500.00) for any single activity and shall not exceed Fifteen Thousand Dollars ($15,000.00) for all activities in any calendar year. Provided, however, such activity may exceed Fifteen Thousand Dollars ($15,000.00) per year if the municipality purchases items therefrom that are regularly sold to the general public in the normal course of business and the price charged to the municipality by the business does not exceed the price charged to the general public.

C. Provisions of this section shall not apply where competitive bids were obtained consistent with municipal ordinance or state law and two or more bids were submitted for the materials, supplies, or services to be procured by the municipality regardless of the population restrictions of subsection B of this section, provided the notice of bids was made public and open to all potential bidders.

D. All bids, both successful and unsuccessful, and all contracts and required bonds shall be placed on file and maintained in the main office of the awarding municipality for a period of five (5) years from the date of opening of bids or for a period of three (3) years from the date of completion of the contract, whichever is longer, shall be open to public inspection and shall be matters of public record.

E. For purposes of this section, "employee" means any person who is employed by a municipality more than ten (10) hours in a week for more than thirteen (13) consecutive weeks and who enters into, recommends or participates in the decision to enter into any transaction described in subsection A of this section. Any person who receives wages, reimbursement for expenses, or emoluments of any kind from a municipality, any spouse of the person, or any business in which the person or spouse has a proprietary interest shall not buy or otherwise become interested in the transfer of any surplus property of a municipality or a public trust of which the municipality is beneficiary unless the surplus property is offered for sale to the public after notice of the sale is published.

F. For purposes of this section, "proprietary interest" means ownership of more than twenty-five percent (25%) of the business or of the stock therein or any percentage which constitutes a controlling interest but shall not include any interest held by a blind trust.

G. Any person convicted of violating the provisions of this section shall be guilty of a misdemeanor. Any transaction entered into in violation of the provisions of this section is void. Any member of a governing body who approves any transaction in violation of the provisions of this section shall be held personally liable for the amount of the transaction.

H. Notwithstanding the provisions of this section, any officer, director or employee of a financial institution may serve on a board of a public body. Provided, the member shall abstain from voting on any matter relating to a transaction between or involving the financial institution in which they are associated and the public body in which they serve.

Historical Data

CONFIDENTIALITY NOTE:  This transmission is protected by the Electronic Communications Privacy Act, 18 U.S.C. Sections 2510-2521 and intended to be delivered only to the named addressee(s) This e-mail message is intended only for the personal use of the recipient(s) named above. This message is or may be an attorney-client communication and as such privileged and confidential. If you are not an intended recipient, you may not review, copy or distribute this message. If you have received this communication in error, please notify us immediately by e-mail and delete the original message.

s/ David A. Davis
LAW OFFICE OF DAVID A. DAVIS
4312 N. Classen Blvd.
OKLAHOMA CITY, OK 73118
405 840-6353
405 557-0777 (FAX)
ddavislaw@live.commailto:ddavislaw@live.com

From: Oama oama-bounces@lists.imla.org on behalf of Robert Thompson rthompson@cheekfalcone.com
Sent: Tuesday, October 20, 2020 3:32 PM
To: Michael Beason mbeason@altusok.gov; oama@lists.imla.org oama@lists.imla.org
Subject: Re: [Oama] Purchase of Real Property From a City Employee

Employees are not officers unless they hold an official position

Robert C. Thompson
Cheek & Falcone, PLLC
6301 Waterford Blvd., Suite 320
Oklahoma City, Okla. 73118
direct telephone:405-286-9560
direct fax: 405-286-9680
Firm telephone: 405-286-9191
rthompson@cheekfalcone.com

From: Oama oama-bounces@lists.imla.org on behalf of Michael Beason mbeason@altusok.gov
Sent: Tuesday, October 20, 2020 2:24:25 PM
To: oama@lists.imla.org oama@lists.imla.org
Subject: [Oama] Purchase of Real Property From a City Employee

Greetings All:

My City desires to purchase parcels of real property from a city employee.  I look to Art. 10 Sec. 11 of the Oklahoma Constitution:

“The receiving, directly or indirectly, by any officer of the State, or of any county, city, or town, or member or officer of the Legislature, of any interest, profit, or perquisites, arising from the use or loan of public funds in his hands, or moneys to be raised through his agency for State, city, town, district, or county purposes shall be deemed a felony. Said offense shall be punished as may be prescribed by law, a part of which punishment shall be disqualification to hold office.”

My thought was that this constitutional provision did not/does not prohibit a purchase of the property at a fair market value. I also believe that an exception exists to this type of one-time transaction, but at present I am unable to recall the specific exception and whether it is in statute or case law..

Any assistance or contrary thoughts are appreciated.  Thank you.

I would be reluctant to make that call since this is a criminal statute.  The question would be: Do the terms of the statute apply to a public trust of which the municipality is the beneficiary and likely the trustees are the members of the governing body of the municipality?

CONFIDENTIALITY NOTE:  This transmission is protected by the Electronic Communications Privacy Act, 18 U.S.C. Sections 2510-2521 and intended to be delivered only to the named addressee(s) This e-mail message is intended only for the personal use of the recipient(s) named above. This message is or may be an attorney-client communication and as such privileged and confidential. If you are not an intended recipient, you may not review, copy or distribute this message. If you have received this communication in error, please notify us immediately by e-mail and delete the original message.

s/ David A. Davis
LAW OFFICE OF DAVID A. DAVIS
4312 N. Classen Blvd.
OKLAHOMA CITY, OK 73118
405 840-6353
405 557-0777 (FAX)
ddavislaw@live.commailto:ddavislaw@live.com

From: Oama oama-bounces@lists.imla.org on behalf of Kimberlee Spady Kim@spadylaw.com
Sent: Tuesday, October 20, 2020 4:19 PM
To: oama@lists.imla.org oama@lists.imla.org
Subject: Re: [Oama] Purchase of Real Property From a City Employee

A public trust could purchase the property from the municipal employee, couldn’t it?

Kim Spady

From: Oama oama-bounces@lists.imla.org On Behalf Of david davis
Sent: Tuesday, October 20, 2020 3:42 PM
To: Robert Thompson rthompson@cheekfalcone.com; Michael Beason mbeason@altusok.gov; oama@lists.imla.org
Subject: Re: [Oama] Purchase of Real Property From a City Employee

Look at statute below for prohibited conduct

Oklahoma Statutes Citationized
[https://www.oscn.net/Images/Applications/search/WDFolderOpen.gif] https://www.oscn.net/applications/OCISWeb/index.asp?level=1&ftdb=STOKST11 Title 11. Cities and Towns
[https://www.oscn.net/Images/Applications/search/WDFolderOpen.gif] https://www.oscn.net/applications/OCISWeb/index.asp?level=1&ftdb=STOKST11#Chapter1-OklahomaMunicipalCode Chapter 1 - Oklahoma Municipal Code
[https://www.oscn.net/Images/Applications/search/WDFolderOpen.gif] https://www.oscn.net/applications/OCISWeb/index.asp?level=1&ftdb=STOKST11#ArticleVIII-Officers-GeneralProvisions Article Article VIII - Officers - General Provisions
[https://www.oscn.net/Images/Applications/search/WDDocument.gif] Section 8-113 - Prohibited Conduct
Cite as: O.S. §, __ __

A. Except as otherwise provided by this section, no municipal officer or employee, or any business in which the officer, employee, or spouse of the officer or employee has a proprietary interest, shall engage in:

1. Selling, buying, or leasing property, real or personal, to or from the municipality;

2. Contracting with the municipality; or

3. Buying or bartering for or otherwise engaging in any manner in the acquisition of any bonds, warrants, or other evidence of indebtedness of the municipality.

B. The provisions of this section shall not apply to any officer or employee of any municipality of this state with a population of not more than five thousand (5,000) according to the latest Federal Decennial Census, who has a proprietary interest in a business which is the only business of that type within five (5) miles of the corporate limits of the municipality. However, any activities permitted by this subsection shall not exceed Two Thousand Five Hundred Dollars ($2,500.00) for any single activity and shall not exceed Fifteen Thousand Dollars ($15,000.00) for all activities in any calendar year. Provided, however, such activity may exceed Fifteen Thousand Dollars ($15,000.00) per year if the municipality purchases items therefrom that are regularly sold to the general public in the normal course of business and the price charged to the municipality by the business does not exceed the price charged to the general public.

C. Provisions of this section shall not apply where competitive bids were obtained consistent with municipal ordinance or state law and two or more bids were submitted for the materials, supplies, or services to be procured by the municipality regardless of the population restrictions of subsection B of this section, provided the notice of bids was made public and open to all potential bidders.

D. All bids, both successful and unsuccessful, and all contracts and required bonds shall be placed on file and maintained in the main office of the awarding municipality for a period of five (5) years from the date of opening of bids or for a period of three (3) years from the date of completion of the contract, whichever is longer, shall be open to public inspection and shall be matters of public record.

E. For purposes of this section, "employee" means any person who is employed by a municipality more than ten (10) hours in a week for more than thirteen (13) consecutive weeks and who enters into, recommends or participates in the decision to enter into any transaction described in subsection A of this section. Any person who receives wages, reimbursement for expenses, or emoluments of any kind from a municipality, any spouse of the person, or any business in which the person or spouse has a proprietary interest shall not buy or otherwise become interested in the transfer of any surplus property of a municipality or a public trust of which the municipality is beneficiary unless the surplus property is offered for sale to the public after notice of the sale is published.

F. For purposes of this section, "proprietary interest" means ownership of more than twenty-five percent (25%) of the business or of the stock therein or any percentage which constitutes a controlling interest but shall not include any interest held by a blind trust.

G. Any person convicted of violating the provisions of this section shall be guilty of a misdemeanor. Any transaction entered into in violation of the provisions of this section is void. Any member of a governing body who approves any transaction in violation of the provisions of this section shall be held personally liable for the amount of the transaction.

H. Notwithstanding the provisions of this section, any officer, director or employee of a financial institution may serve on a board of a public body. Provided, the member shall abstain from voting on any matter relating to a transaction between or involving the financial institution in which they are associated and the public body in which they serve.

Historical Data

CONFIDENTIALITY NOTE:  This transmission is protected by the Electronic Communications Privacy Act, 18 U.S.C. Sections 2510-2521 and intended to be delivered only to the named addressee(s) This e-mail message is intended only for the personal use of the recipient(s) named above. This message is or may be an attorney-client communication and as such privileged and confidential. If you are not an intended recipient, you may not review, copy or distribute this message. If you have received this communication in error, please notify us immediately by e-mail and delete the original message.

s/ David A. Davis
LAW OFFICE OF DAVID A. DAVIS
4312 N. Classen Blvd.
OKLAHOMA CITY, OK 73118
405 840-6353
405 557-0777 (FAX)
ddavislaw@live.commailto:ddavislaw@live.com

From: Oama <oama-bounces@lists.imla.orgmailto:oama-bounces@lists.imla.org> on behalf of Robert Thompson <rthompson@cheekfalcone.commailto:rthompson@cheekfalcone.com>
Sent: Tuesday, October 20, 2020 3:32 PM
To: Michael Beason <mbeason@altusok.govmailto:mbeason@altusok.gov>; oama@lists.imla.orgmailto:oama@lists.imla.org <oama@lists.imla.orgmailto:oama@lists.imla.org>
Subject: Re: [Oama] Purchase of Real Property From a City Employee

Employees are not officers unless they hold an official position

Robert C. Thompson

Cheek & Falcone, PLLC

6301 Waterford Blvd., Suite 320

Oklahoma City, Okla. 73118

direct telephone:405-286-9560

direct fax: 405-286-9680

Firm telephone: 405-286-9191

rthompson@cheekfalcone.commailto:rthompson@cheekfalcone.com

From: Oama <oama-bounces@lists.imla.orgmailto:oama-bounces@lists.imla.org> on behalf of Michael Beason <mbeason@altusok.govmailto:mbeason@altusok.gov>
Sent: Tuesday, October 20, 2020 2:24:25 PM
To: oama@lists.imla.orgmailto:oama@lists.imla.org <oama@lists.imla.orgmailto:oama@lists.imla.org>
Subject: [Oama] Purchase of Real Property From a City Employee

Greetings All:

My City desires to purchase parcels of real property from a city employee.  I look to Art. 10 Sec. 11 of the Oklahoma Constitution:

“The receiving, directly or indirectly, by any officer of the State, or of any county, city, or town, or member or officer of the Legislature, of any interest, profit, or perquisites, arising from the use or loan of public funds in his hands, or moneys to be raised through his agency for State, city, town, district, or county purposes shall be deemed a felony. Said offense shall be punished as may be prescribed by law, a part of which punishment shall be disqualification to hold office.”

My thought was that this constitutional provision did not/does not prohibit a purchase of the property at a fair market value. I also believe that an exception exists to this type of one-time transaction, but at present I am unable to recall the specific exception and whether it is in statute or case law..

Any assistance or contrary thoughts are appreciated.  Thank you.

Also, I would consider the source of the funds.

Wiley "Butch" Williams
Deputy Municipal Counselor
200 N. Walker,  4th Floor
Oklahoma City, Oklahoma 73102
Direct: 405-297-2685
Mobile: 405-824-5198

From: Oama oama-bounces@lists.imla.org On Behalf Of david davis
Sent: Tuesday, October 20, 2020 4:25 PM
To: Kimberlee Spady Kim@spadylaw.com; oama@lists.imla.org
Subject: Re: [Oama] Purchase of Real Property From a City Employee

I would be reluctant to make that call since this is a criminal statute.  The question would be: Do the terms of the statute apply to a public trust of which the municipality is the beneficiary and likely the trustees are the members of the governing body of the municipality?

CONFIDENTIALITY NOTE:  This transmission is protected by the Electronic Communications Privacy Act, 18 U.S.C. Sections 2510-2521 and intended to be delivered only to the named addressee(s) This e-mail message is intended only for the personal use of the recipient(s) named above. This message is or may be an attorney-client communication and as such privileged and confidential. If you are not an intended recipient, you may not review, copy or distribute this message. If you have received this communication in error, please notify us immediately by e-mail and delete the original message.

s/ David A. Davis
LAW OFFICE OF DAVID A. DAVIS
4312 N. Classen Blvd.
OKLAHOMA CITY, OK 73118
405 840-6353
405 557-0777 (FAX)
ddavislaw@live.commailto:ddavislaw@live.com

From: Oama <oama-bounces@lists.imla.orgmailto:oama-bounces@lists.imla.org> on behalf of Kimberlee Spady <Kim@spadylaw.commailto:Kim@spadylaw.com>
Sent: Tuesday, October 20, 2020 4:19 PM
To: oama@lists.imla.orgmailto:oama@lists.imla.org <oama@lists.imla.orgmailto:oama@lists.imla.org>
Subject: Re: [Oama] Purchase of Real Property From a City Employee

A public trust could purchase the property from the municipal employee, couldn't it?

Kim Spady

From: Oama <oama-bounces@lists.imla.orgmailto:oama-bounces@lists.imla.org> On Behalf Of david davis
Sent: Tuesday, October 20, 2020 3:42 PM
To: Robert Thompson <rthompson@cheekfalcone.commailto:rthompson@cheekfalcone.com>; Michael Beason <mbeason@altusok.govmailto:mbeason@altusok.gov>; oama@lists.imla.orgmailto:oama@lists.imla.org
Subject: Re: [Oama] Purchase of Real Property From a City Employee

Look at statute below for prohibited conduct

Oklahoma Statutes Citationized
[https://www.oscn.net/Images/Applications/search/WDFolderOpen.gif] https://gcc01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.oscn.net%2Fapplications%2FOCISWeb%2Findex.asp%3Flevel%3D1%26ftdb%3DSTOKST11&data=04%7C01%7CWiley.Williams%40okc.gov%7Cd5ed5a5f08074d1f6bf508d8753ec589%7C837e0d97dd9d4d0097e688f05a32ee59%7C0%7C0%7C637388260480783472%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C2000&sdata=3enpVcs25AzLFlTQ1dmXO1dtPOJdR71Kk7oWyIoqw6o%3D&reserved=0 Title 11. Cities and Towns
[https://www.oscn.net/Images/Applications/search/WDFolderOpen.gif] https://gcc01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.oscn.net%2Fapplications%2FOCISWeb%2Findex.asp%3Flevel%3D1%26ftdb%3DSTOKST11%23Chapter1-OklahomaMunicipalCode&data=04%7C01%7CWiley.Williams%40okc.gov%7Cd5ed5a5f08074d1f6bf508d8753ec589%7C837e0d97dd9d4d0097e688f05a32ee59%7C0%7C0%7C637388260480793469%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C2000&sdata=qVgTY1Fi31UJrK7BJatnnQBbE%2B9MbgK8z0SvS9nn5I0%3D&reserved=0 Chapter 1 - Oklahoma Municipal Code
[https://www.oscn.net/Images/Applications/search/WDFolderOpen.gif] https://gcc01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.oscn.net%2Fapplications%2FOCISWeb%2Findex.asp%3Flevel%3D1%26ftdb%3DSTOKST11%23ArticleVIII-Officers-GeneralProvisions&data=04%7C01%7CWiley.Williams%40okc.gov%7Cd5ed5a5f08074d1f6bf508d8753ec589%7C837e0d97dd9d4d0097e688f05a32ee59%7C0%7C0%7C637388260480793469%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C2000&sdata=v8dD3Ee%2Fumn%2FoUM1C3Oh4%2B9hpaMaLNfnlXcIY6lvK1U%3D&reserved=0 Article Article VIII - Officers - General Provisions
[https://www.oscn.net/Images/Applications/search/WDDocument.gif] Section 8-113 - Prohibited Conduct
Cite as: O.S. §, __ __

A. Except as otherwise provided by this section, no municipal officer or employee, or any business in which the officer, employee, or spouse of the officer or employee has a proprietary interest, shall engage in:

1. Selling, buying, or leasing property, real or personal, to or from the municipality;

2. Contracting with the municipality; or

3. Buying or bartering for or otherwise engaging in any manner in the acquisition of any bonds, warrants, or other evidence of indebtedness of the municipality.

B. The provisions of this section shall not apply to any officer or employee of any municipality of this state with a population of not more than five thousand (5,000) according to the latest Federal Decennial Census, who has a proprietary interest in a business which is the only business of that type within five (5) miles of the corporate limits of the municipality. However, any activities permitted by this subsection shall not exceed Two Thousand Five Hundred Dollars ($2,500.00) for any single activity and shall not exceed Fifteen Thousand Dollars ($15,000.00) for all activities in any calendar year. Provided, however, such activity may exceed Fifteen Thousand Dollars ($15,000.00) per year if the municipality purchases items therefrom that are regularly sold to the general public in the normal course of business and the price charged to the municipality by the business does not exceed the price charged to the general public.

C. Provisions of this section shall not apply where competitive bids were obtained consistent with municipal ordinance or state law and two or more bids were submitted for the materials, supplies, or services to be procured by the municipality regardless of the population restrictions of subsection B of this section, provided the notice of bids was made public and open to all potential bidders.

D. All bids, both successful and unsuccessful, and all contracts and required bonds shall be placed on file and maintained in the main office of the awarding municipality for a period of five (5) years from the date of opening of bids or for a period of three (3) years from the date of completion of the contract, whichever is longer, shall be open to public inspection and shall be matters of public record.

E. For purposes of this section, "employee" means any person who is employed by a municipality more than ten (10) hours in a week for more than thirteen (13) consecutive weeks and who enters into, recommends or participates in the decision to enter into any transaction described in subsection A of this section. Any person who receives wages, reimbursement for expenses, or emoluments of any kind from a municipality, any spouse of the person, or any business in which the person or spouse has a proprietary interest shall not buy or otherwise become interested in the transfer of any surplus property of a municipality or a public trust of which the municipality is beneficiary unless the surplus property is offered for sale to the public after notice of the sale is published.

F. For purposes of this section, "proprietary interest" means ownership of more than twenty-five percent (25%) of the business or of the stock therein or any percentage which constitutes a controlling interest but shall not include any interest held by a blind trust.

G. Any person convicted of violating the provisions of this section shall be guilty of a misdemeanor. Any transaction entered into in violation of the provisions of this section is void. Any member of a governing body who approves any transaction in violation of the provisions of this section shall be held personally liable for the amount of the transaction.

H. Notwithstanding the provisions of this section, any officer, director or employee of a financial institution may serve on a board of a public body. Provided, the member shall abstain from voting on any matter relating to a transaction between or involving the financial institution in which they are associated and the public body in which they serve.

Historical Data

CONFIDENTIALITY NOTE:  This transmission is protected by the Electronic Communications Privacy Act, 18 U.S.C. Sections 2510-2521 and intended to be delivered only to the named addressee(s) This e-mail message is intended only for the personal use of the recipient(s) named above. This message is or may be an attorney-client communication and as such privileged and confidential. If you are not an intended recipient, you may not review, copy or distribute this message. If you have received this communication in error, please notify us immediately by e-mail and delete the original message.

s/ David A. Davis
LAW OFFICE OF DAVID A. DAVIS
4312 N. Classen Blvd.
OKLAHOMA CITY, OK 73118
405 840-6353
405 557-0777 (FAX)
ddavislaw@live.commailto:ddavislaw@live.com

From: Oama <oama-bounces@lists.imla.orgmailto:oama-bounces@lists.imla.org> on behalf of Robert Thompson <rthompson@cheekfalcone.commailto:rthompson@cheekfalcone.com>
Sent: Tuesday, October 20, 2020 3:32 PM
To: Michael Beason <mbeason@altusok.govmailto:mbeason@altusok.gov>; oama@lists.imla.orgmailto:oama@lists.imla.org <oama@lists.imla.orgmailto:oama@lists.imla.org>
Subject: Re: [Oama] Purchase of Real Property From a City Employee

Employees are not officers unless they hold an official position

Robert C. Thompson

Cheek & Falcone, PLLC

6301 Waterford Blvd., Suite 320

Oklahoma City, Okla. 73118

direct telephone:405-286-9560

direct fax: 405-286-9680

Firm telephone: 405-286-9191

rthompson@cheekfalcone.commailto:rthompson@cheekfalcone.com

From: Oama <oama-bounces@lists.imla.orgmailto:oama-bounces@lists.imla.org> on behalf of Michael Beason <mbeason@altusok.govmailto:mbeason@altusok.gov>
Sent: Tuesday, October 20, 2020 2:24:25 PM
To: oama@lists.imla.orgmailto:oama@lists.imla.org <oama@lists.imla.orgmailto:oama@lists.imla.org>
Subject: [Oama] Purchase of Real Property From a City Employee

Greetings All:

My City desires to purchase parcels of real property from a city employee.  I look to Art. 10 Sec. 11 of the Oklahoma Constitution:

"The receiving, directly or indirectly, by any officer of the State, or of any county, city, or town, or member or officer of the Legislature, of any interest, profit, or perquisites, arising from the use or loan of public funds in his hands, or moneys to be raised through his agency for State, city, town, district, or county purposes shall be deemed a felony. Said offense shall be punished as may be prescribed by law, a part of which punishment shall be disqualification to hold office."

My thought was that this constitutional provision did not/does not prohibit a purchase of the property at a fair market value. I also believe that an exception exists to this type of one-time transaction, but at present I am unable to recall the specific exception and whether it is in statute or case law..

Any assistance or contrary thoughts are appreciated.  Thank you.

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I am happy that David provided the statute because I just couldn't lay my hands on it while traveling.  Several of us have had many discussions about interpretation of this statute.  It sounds as if a council member, board member, or employee could not even rent a pavilion at a park.  Nonetheless, the plain reading of the statute seems to indicate that it cannot be done.  My suggestion would be to have the Council or Board initiate a condemnation action. I know that this is time consuming, but it certainly provides a layer of separation.

Thank you all for your GREAT guidance!

Beth Anne Childs

The Childs Law Firm, PLLC

1015 South Detroit Avenue

Tulsa, Oklahoma. 74120

(918) 521-3092

From: Oama oama-bounces@lists.imla.org on behalf of Michael Beason mbeason@altusok.gov
Sent: Tuesday, October 20, 2020 2:24 PM
To: oama@lists.imla.org oama@lists.imla.org
Subject: [Oama] Purchase of Real Property From a City Employee

Greetings All:

My City desires to purchase parcels of real property from a city employee.  I look to Art. 10 Sec. 11 of the Oklahoma Constitution:

“The receiving, directly or indirectly, by any officer of the State, or of any county, city, or town, or member or officer of the Legislature, of any interest, profit, or perquisites, arising from the use or loan of public funds in his hands, or moneys to be raised through his agency for State, city, town, district, or county purposes shall be deemed a felony. Said offense shall be punished as may be prescribed by law, a part of which punishment shall be disqualification to hold office.”

My thought was that this constitutional provision did not/does not prohibit a purchase of the property at a fair market value. I also believe that an exception exists to this type of one-time transaction, but at present I am unable to recall the specific exception and whether it is in statute or case law..

Any assistance or contrary thoughts are appreciated.  Thank you.