SECTION 90:10-3-8. Substantial changes to Council of Bond Oversight approved applications

(a)   The following shall be considered substantial changes to the nature of an obligation and shall require the issuer to submit a new application to the Council for approval:

(1)   a change in the mode of the obligation from fixed rate to variable rate;

(2)   an increase of more than 10% in the amount of variable rate obligations to be issued;

(3)   an extension of the final maturity of the proposed issue;

(4)   a change in the security pledge, excluding any decision by the issuer to utilize widely accepted credit enhancement techniques; and/or

(5)   any other change the State Bond Advisor deems substantial.

(b)   A change in the amount of the obligation shall not be deemed substantial if the amount of the proposed increase is not greater than 10% of the authorization.

(c)   If the amount of the change of an approved obligation is between 10% and 20% of the authorization, the State Bond Advisor shall, in his discretion, determine whether or not such change is substantial. The State Bond Advisor shall prepare a memorandum for the Council stating reasons as to why the increase is not considered a substantial change and does not need to be returned to the Council for approval.

(d)   Any change in the amount of the obligation greater than 20% of the original amount approved shall be deemed a substantial change and must be resubmitted to the Council.

(e)   All increases in the amount of obligations backed by the Credit Enhancement Reserve Fund shall be deemed substantial changes. For purposes of applications to approve obligations backed by the Credit Enhancement Reserve Fund, any resubmission of a previously approved application shall not constitute an "appeal" pursuant to 62 O.S., Section 695.9(B)(2).

(f)   Approval shall expire one hundred eighty (180) days after such approval. If such approval expires, nothing shall prevent the State Governmental Entity from submitting a new application for Council approval.

(g)   Applicants having received approval may request and the Oklahoma State Bond Advisor may grant, at the Oklahoma State Bond Advisor's discretion, a single one-hundred-eighty-day extension. Any request for an extension must be made at least five (5) business days prior to the expiration of the original approval. Applicants failing to request an extension in this manner may re-file with the Council.

[Source: Added at 9 Ok Reg 2252, eff 6-25-92; Amended at 9 Ok Reg 3831, eff 9-15-92; Amended at 10 Ok Reg 2569, eff 6-26-93; Amended at 16 Ok Reg 673, eff 12-28-98 (emergency); Amended at 16 Ok Reg 1735, eff 6-11-99; Amended at 20 Ok Reg 455, eff 1-2-03 (emergency); Amended at 20 Ok Reg 2260, eff 7-11-03]