OKLAHOMA CITY (May 19, 2009) - The Governor has signed into law House Bill 1294 by Representative Jason Murphey, R-Guthrie and Senator Randy Brogdon, R-Owasso, to enable rural Road District to fund their projects on a pay-as-you-go basis instead of having to issue long term debt.

"I believe that all levels of government entities incur debt too often and pay millions of dollars in unnecessary interest. The savings from implementing the principles in House Bill 1294 will stay in the people’s pockets where they belong instead of being used to go to unnecessary fees and interest," Murphey said.

Murphey says the idea came from a member of a a rural Logan County road district who explained that one of the big challenges facing the district is Oklahoma's statutory scheme which encourages public boards to incur debt for their long term projects instead of allowing them to participate in a pay-as-you-go project where no debts would be incurred.

Murphey sponsored the bill for two successive years prior to realizing legislative success.

"Hopefully HB 1294 will better enable road districts to improve their roads. Anyone in Logan County can tell you about the unimproved condition of many county roads and this is a tool that will hopefully help solve that problem," Murphey added.

Murphey stated that best way to describe the plan is to compare it to the personal financial investment strategy articulated by radio show host Dave Ramsey. "Just as individuals should within their means and debt-free so should the government," he said.