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Oklahoma Legislature· SB 1332Placed on General Order

An act relating to the Oklahoma Water Resources 7 Board, 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 1332           By: Kirt
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6                            AS INTRODUCED

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7         An Act relating to the Oklahoma Water Resources

7         Board; creating the Targeted Housing and Responsible

8         Infrastructure for Vital Economies (THRIVE) Act;

8         providing short title; establishing certain program;

9         stating purpose of program; requiring certain

9         application rating; providing criteria; providing for

10        clawback of funds; defining terms; requiring certain

10        report; requiring certain prioritization of vendors;

11        requiring promulgation of rules; creating the THRIVE

11        Communities Program Revolving Fund; stating purpose

12        of fund; establishing fund source; providing for

12        allocation of certain funds; making an appropriation;

13        providing for noncodification; providing for

13        codification; and providing an effective date.

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16 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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17  SECTION 1.      NEW LAW  A new section of law not to be

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18 codified in the Oklahoma Statutes reads as follows:
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19  This act shall be known and may be cited as the "Targeted

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20 Housing and Responsible Infrastructure for Vital Economies (THRIVE)
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21 Act".
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22  SECTION 2.      NEW LAW  A new section of law to be codified

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23 in the Oklahoma Statutes as Section 1085.66 of Title 82, unless
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24 there is created a duplication in numbering, reads as follows:
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    Req. No. 2747                                              Page 1
1   A. 1. The Oklahoma Water Resources Board shall establish and

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2 administer the Targeted Housing and Responsible Infrastructure for
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3 Vital Economies (THRIVE) Communities Program. The purpose of the
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4 program shall be to develop competitive zero-interest loans for
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5 eligible entities seeking to implement housing plans that need
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6 water, wastewater, or stormwater projects for housing development
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7 completion.
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8   2. The Board shall develop an application preference rating

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9 system for approval based on the following criteria including, but
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10 not limited to:
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11  a. project alignment with long-term vision and goals for

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12                 housing in the community,

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13  b. expansion of housing stock options and fulfilling

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14                 identified housing needs in the area of the proposed

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15                 project,

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16  c. defined opportunity for economic development with

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17                 additional housing units developed,

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18  d. opportunity to expand workforce housing availability,

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19  e. available financing for the housing development,

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20  f. conservation and fiscal sustainability efforts for the

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21                 infrastructure, and

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22  g. pledge of matching funds, either through the entity or

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23                 a third-party source.

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    Req. No. 2747                                       Page 2
1   3. For the purposes of this section, "eligible entity" shall

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2 have the same meaning as provided in Section 1085.32 of Title 82 of
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3 the Oklahoma Statutes.
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4   B. All loans authorized pursuant to the provisions of this act

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5 shall include a clawback provision in the funding agreement with an
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6 eligible entity. For purposes of this subsection, a "clawback
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7 provision" means a condition precedent to participate in the program
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8 whereby a loan recipient agrees in writing, signed by all parties,
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9 to reimburse the program all or any part of the loan disbursed to
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10 the recipient upon the failure of the recipient to fulfill loan
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11 contract terms.
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12  C. The Board shall publish an annual report on the Board's

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13 website regarding the projects completed pursuant to the provisions
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14 of this act. The report shall also display the status of proposed
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15 and approved projects, estimated completion dates, resulting housing
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16 units completed, unused or misaligned funds recaptured, and any
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17 other information deemed necessary by the Board.
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18  D. Any eligible entity receiving monies pursuant to the THRIVE

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19 Communities Program shall prioritize the utilization of contractors,
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20 businesses, and other vendors that are based in this state pursuant
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21 to Section 85.17A of Title 74 of the Oklahoma Statutes.
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22  E. The Board shall promulgate rules to effectuate the

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23 provisions of this act and loan criteria for the program.
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    Req. No. 2747                                             Page 3
1   SECTION 3.     NEW LAW    A new section of law to be codified

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2 in the Oklahoma Statutes as Section 1085.67 of Title 82, unless
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3 there is created a duplication in numbering, reads as follows:
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4   A. 1. There is hereby created in the State Treasury a

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5 revolving fund for the Oklahoma Water Resources Board to be
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6 designated the "THRIVE Communities Program Revolving Fund". The
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7 fund shall be a continuing fund, not subject to fiscal year
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8 limitations, and shall consist of all monies appropriated pursuant
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9 to Section 4 of this act. All monies accruing to the credit of the
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10 fund are hereby appropriated and may be budgeted and expended by the
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11 Board for the purposes provided in this act. The Board may enter
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12 into contracts with financial institutions and execute such
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13 instruments as may be necessary to hold and disseminate loan funds
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14 in accordance with applicable regulations and Board policies.
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15  2. Notwithstanding any other provisions of law, income and

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16 investment return on fund principal and interest income and
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17 repayment of principal on loans made from the balance of the fund
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18 shall accrue to the fund.
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19  B. 1. The Board may have full discretion of all monies within

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20 the fund for enhancements, leveraging, and reserve capacities for
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21 the Board loan and grant programs, system evaluation and risk
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22 assessment assistance, and long-range infrastructure planning.
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23  2. The Board may reserve up to two percent (2%) per year from

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24 the fund for the purpose of administering the THRIVE Communities
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    Req. No. 2747                                               Page 4
1 Program. Any remaining funds may be allocated to satisfy the
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2 purposes of paragraph 1 of this subsection.
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3   C. The funds remaining following reserves and allocations made

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4 pursuant to subsection B of this section shall be loaned to eligible
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5 entities as prescribed by the program. Loan monies shall be
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6 allocated based on the most current census data available from the
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7 Federal Decennial Census or American Community Survey and shall be
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8 as follows:
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9   1. Thirty-three percent (33%) of the allocated funds shall be

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10 for approved projects located within a municipality or county with a
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11 population of more than four hundred thousand (400,000), or the
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12 equivalent thereof for other eligible entities as prescribed by the
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13 Board;
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14  2. Thirty-three percent (33%) of the allocated funds shall be

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15 for approved projects located within a municipality or county with a
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16 population that is greater than thirty thousand (30,000) but less
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17 than four hundred thousand (400,000), or the equivalent thereof for
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18 other eligible entities as prescribed by the Board; and
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19  3. Thirty-four percent (34%) of the allocated funds shall be

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20 for approved projects located within a municipality or county with a
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21 population of less than thirty thousand (30,000), or the equivalent
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22 thereof for other eligible entities as prescribed by the Board.
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23  After fiscal year 2027, remaining reserves may be accessed by

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24 any eligible entities. The Oklahoma Water Resources Board shall
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    Req. No. 2747                                           Page 5
1 establish rules to update allocations to ensure geographic
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2 representation while maximizing the number and scale of projects
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3 completed.
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4   SECTION 4. There is hereby appropriated to the THRIVE

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5 Communities Program Revolving Fund from any monies not otherwise
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6 appropriated from the General Revenue Fund of the State Treasury for
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7 the fiscal year ending June 30, 2027, the sum of One Hundred Million
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8 Dollars ($100,000,000.00) or so much thereof as may be necessary to
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9 perform the duties imposed upon the Oklahoma Water Resources Board
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10 by law.
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11  SECTION 5. This act shall become effective November 1, 2026.

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    Req. No. 2747                                             Page 6
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