House Bill No. 1961 aims to enhance the Oklahoma Aircraft Engine Testing Development Grant Program by expanding its scope to include rocket engine testing. The bill amends existing sections of the law to modify the program's title to the "Oklahoma Aircraft and Rocket Engine Testing Development Grant Program" and updates the purpose of the grant program to support both aircraft and rocket engine testing capabilities. It also establishes eligibility criteria for public, private, and nonprofit entities seeking funding, which includes demonstrating industry support and providing a minimum of 40% matching funds for their projects.

Additionally, the bill creates a revolving fund within the State Treasury specifically for the Oklahoma Aircraft and Rocket Engine Testing Development Grant Program. This fund will consist of various sources of revenue, including public and private donations, and will be used to finance grants under the program. The legislation includes provisions for grant agreements, requiring awardees to submit quarterly reports and repay funds if project terms are not met. The bill is set to take effect on July 1, 2025, and declares an emergency for its immediate implementation.