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Oklahoma Legislature· SB 1261Second Reading referred to Education Committee then to Appropriations Committee

An act relating to higher education, the official text

Shown verbatim: the complete text as captured from the official PDF posted by the Oklahoma Legislature, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
1                    STATE OF OKLAHOMA

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2                  2nd Session of the 60th Legislature (2026)

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3 SENATE BILL 1261            By: Hamilton

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6                             AS INTRODUCED

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7   An Act relating to higher education; defining term;

7   prohibiting certain institutions of higher education

8   from being authorized to accept certain donations,

8   gifts, grants, or devises; providing for promulgation

9   of rules; amending 51 O.S. 2021, Section 24A.16a,

9   which relates to confidentiality of certain donors;

10  prohibiting institutions or agencies of The Oklahoma

10  State System of Higher Education from keeping certain

11  donor information confidential; amending 70 O.S.

11  2021, Section 4306, as amended by Section 576,

12  Chapter 486, O.S.L. 2025 (70 O.S. Supp. 2025, Section

12  4306), which relates to authorization of state higher

13  educational institutions, agencies, or entities to

13  accept gifts; exempting names of donors to certain

14  foundations from disclosure for certain audit;

14  updating statutory language; providing for

15  codification; providing an effective date; and

15  declaring an emergency.

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1 8 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:

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19  SECTION 1.       NEW LAW  A new section of law to be codified

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2 0 in the Oklahoma Statutes as Section 3260 of Title 70, unless there

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2 1 is created a duplication in numbering, reads as follows:

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22  A. For the purposes of this section, "foreign source" means:

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23  1. A foreign government including any agency of a foreign

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2 4 government; and

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    Req. No. 2863                                              Page 1
1   2. An agent including a subsidiary or affiliate of a foreign

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2 legal entity acting on behalf of a foreign source.

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3   B. Upon the effective date of this act, no institution of

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4 higher education within The Oklahoma State System of Higher

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5 Education shall be authorized to accept donations, gifts, grants, or

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6 devises from a foreign source.

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7   C. The Oklahoma State Regents for Higher Education may

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8 promulgate rules to implement the provisions of this section.

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9   SECTION 2.     AMENDATORY     51 O.S. 2021, Section 24A.16a, is

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1 0 amended to read as follows:

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11  Section 24A.16a. Institutions or agencies of The Oklahoma State

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1 2 System of Higher Education may keep shall be prohibited from keeping

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1 3 confidential all any information pertaining to donors and

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1 4 prospective donors to or for the benefit of the institutions or

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1 5 agencies.

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16  SECTION 3.     AMENDATORY     70 O.S. 2021, Section 4306, as

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1 7 amended by Section 576, Chapter 486, O.S.L. 2025 (70 O.S. Supp.

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1 8 2025, Section 4306), is amended to read as follows:

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19  Section 4306. A. All state higher educational institutions,

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2 0 constituent agencies, or other entities are hereby authorized to

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2 1 accept and receive any and all grants or contracts of all kinds,

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2 2 gifts, devises, and bequests of money or property, either real or

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2 3 personal, which may be, or which may heretofore have been tendered

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2 4 to them by grant or contract, will, or gift, conditionally or

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    Req. No. 2863                                              Page 2
1 unconditionally; and the Board of Regents of said such institutions,

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2 constituent agencies, or other entities are hereby directed,

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3 authorized, and empowered to hold such funds or property in trust,

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4 or invest or sell them and use either principal or interest or the

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5 proceeds of sale for the benefit of such institutions or entities or

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6 the students or others for whose benefit such institutions or

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7 entities are conducted; all in any manner which is consistent with

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8 the terms of the gift as stipulated by the donor and with the

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9 provisions of any applicable laws. Money donated to a college- or

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1 0 university-related foundation for student scholarships or grants to

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1 1 students of an institution of The Oklahoma State System of Higher

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1 2 Education shall not be loaned or given to any regent, officer,

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1 3 director, or employee of such foundation or institution or to any

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1 4 relative of such person within the third degree of affinity or

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1 5 consanguinity. The following, however, shall not be prohibited:

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16  1. Students in the employ of employed by such foundation or

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1 7 institution may be given scholarships; and

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18  2. Scholarships may be awarded to an otherwise disqualified

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1 9 relative of any faculty member, staff employee, foundation or

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2 0 institution officer, or maintenance worker of such foundation or

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2 1 institution if such relative is meritoriously qualified.

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22  B. Any person willfully violating the prohibitions of

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2 3 subsection A of this section shall be guilty of a Class D1 felony

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2 4 offense punishable by imprisonment as provided for in subsections B

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    Req. No. 2863                                             Page 3
1 through F of Section 20N of Title 21 of the Oklahoma Statutes, or by

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2 a fine of not more than Twenty Thousand Dollars ($20,000.00), or by

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3 both such fine and imprisonment. Any person found guilty of said

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4 such violations shall also be subject to immediate removal from

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5 office or employment where applicable.

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6   C. The Oklahoma State Regents for Higher Education, any

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7 institution or agency of The Oklahoma State System of Higher

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8 Education, or the regents or governing board of such institution or

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9 agency shall not directly or indirectly transfer any funds to any

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1 0 college- or university-related foundation or render services or

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1 1 provide any thing of value to any such foundation without receiving

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1 2 documented adequate payment or reimbursement therefor according to

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1 3 written contract; provided, nothing herein shall be construed as

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1 4 prohibiting payment by the institution or agency of claims for

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1 5 expenses of fund raising fundraising for the benefit of the

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1 6 institution or agency by state employees if such fund raising

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1 7 fundraising activities are approved in advance by the governing

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1 8 board of regents responsible for such institution or agency and made

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1 9 a part of the minutes of the meeting of the board.

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20  D. Neither the Oklahoma State Regents for Higher Education nor

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2 1 any institution or agency of The Oklahoma State System of Higher

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2 2 Education shall receive any funds, services, or thing of value from

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2 3 any college- or university-related foundation which has any officers

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2 4 or employees who are officers or employees of any institution or

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    Req. No. 2863                                                Page 4
1 agency of the State System or State Regents unless such foundation

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2 makes all its financial records and documents, including work

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3 papers, except for and names of donors, available to auditors who

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4 are performing audits of the institution or agency.

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5   SECTION 4. This act shall become effective July 1, 2026.

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6   SECTION 5. It being immediately necessary for the preservation

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7 of the public peace, health, or safety, an emergency is hereby

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8 declared to exist, by reason whereof this act shall take effect and

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9 be in full force from and after its passage and approval.

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11  60-2-2863      EB  12/17/2025 9:13:03 AM

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    Req. No. 2863                                            Page 5
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