Pro Tem Treat: "We cannot have both grocery and income tax cut this year"

When it comes to Gov. Stitt's desire to pass an income tax cut and eliminate the grocery sales tax, Senate GOP leadership is loath to pursue both. Pro Tem Treat is set on only moving on the grocery tax.

Pro Tem Treat Comments on Board of Equalization Numbers

OKLAHOMA CITY (Feb. 15th) – Senate Pro Tem Greg Treat, R-Oklahoma City, today issued the following statement after the Oklahoma Board of Equalization released the estimate of revenue that will be available for lawmakers to spend on government services.

“These numbers are certainly encouraging, and they show a lot of promise,” Pro Tem Treat said. “With these numbers and the current savings we have, now is the time to cut the grocery tax. Cutting the grocery tax will give Oklahomans immediate relief every time they leave the grocery store and will be more beneficial than any other form of tax cut.

Gov. Stitt on budget funds certification: "No more excuses" - let's cut taxes

Gov. Stitt wants both an income tax cut and the elimination of the grocery sales tax. It seems that State House leadership agrees with him, but State Senate leaders want only the grocery sales tax cut. Who will prevail?

GOVERNOR STITT URGES LEGISLATURE TO ADVANCE TAX CUTS AFTER BOE CERTIFIES AVAILABLE STATE FUNDS

OKLAHOMA CITY (February 15, 2024) - Today, Governor Kevin Stitt released the following statement urging the Oklahoma Legislature to advance tax cut legislation after the Oklahoma State Board of Equalization (BOE) certified the Legislature will have $11.1 billon in authorized funds for FY 25:

Gov. Stitt calls special session for personal income tax cut

Gov. Stitt is giving the Legislature another shot at passing a personal income tax. Previously, the House has supported the idea, but the Senate has not. Maybe this time will be different?

GOVERNOR STITT CALLS SPECIAL SESSION

OKLAHOMA CITY (January 16, 2024) - Today, Governor Kevin Stitt called for a special session of Oklahoma’s 59th Legislature beginning January 29, 2024, to seek a .25% reduction in the personal income tax for every Oklahoman.

Gov. Stitt comments on $9.1B estimate for next state budget

GOVERNOR STITT ISSUES STATEMENT ON OKLAHOMA STATE BOARD OF EQUILIZATION CERTIFICATION

OKLAHOMA CITY (Dec. 27, 2021) — Governor Kevin Stitt issued the following statement today after the Oklahoma State Board of Equalization certified an estimate indicating lawmakers will have $9.1 billion in certified and authorized funds for the 2023 fiscal budget year, which begins July 1, 2022.

“This past fiscal year, Oklahoma’s economy has bounced back in a big way and continues to improve,” said Gov. Stitt “State revenues are climbing while we are cutting taxes for every Oklahoman. I am committed to investing in our future by adding to what is already the largest state savings account in history, and ensure we remain fiscally responsible with Oklahomans' tax dollars."

During the meeting, Gov. Stitt brought attention to $1.1 billion in one time carryover and special cash held over from the FY-2021 budget.

Revenue failure declared for FY2020, Gov. Stitt points to longterm state budget impact

Board of Equalization declares revenue failure for FY2020

Governor Stitt provides update on long term impact to state budget

OKLAHOMA CITY (April 20, 2020) – The Board of Equalization declared a $416,883,273 revenue failure for Fiscal 2020 in a virtual meeting held Monday afternoon.

Declaring a revenue failure allows the Legislature to access money from savings to fill the gap in the FY2020 budget.

During the meeting, Oklahoma Tax Commission Executive Director Jay Doyle presented an updated look at how COVID-19 and the downturn in oil and gas are affecting revenue forecasts for Fiscal 2021, which begins July 1.

While the Board of Equalization’s February report provided $8.244 billion of spending authority for the Legislature, the latest projection shows just $6.878 billion available, a difference of $1.366 billion.

Gov. Stitt: revenue failure of $416M expected for current fiscal year

Governor Stitt updates Oklahomans on COVID-19’s impact to state finances

Governor, legislative leaders working to protect core services from revenue shortfall

OKLAHOMA CITY (April 3, 2020) – Governor Kevin Stitt announced today the State of Oklahoma is expected to experience a revenue failure of approximately $416 million for the remainder of fiscal year 2020 which ends June 30.

“This revenue failure is not unexpected given the significant impacts of the COVID-19 pandemic as well as the dramatic downturn in the oil and gas markets,” said Gov. Stitt. “Times like these further reinforce how critically important it was for our House and Senate leadership to work with me to save an additional $200 million during last year’s budget surplus.”

Under normal circumstances, this revenue failure would automatically result in 6.2% budget cuts to all state agencies. However, Gov. Stitt has called for a special virtual meeting of the Board of Equalization at 1 p.m. Monday to begin the formal procedures necessary for the state legislature to tap into the state’s savings account.

The State of Oklahoma’s Rainy Day Fund currently has a balance of $806 million, up to $302 million of which is constitutionally available to the legislature to supplement the FY20 budget. Additionally, due to the governor’s declaration of an emergency, the legislature is authorized to access an additional 25% of the Rainy Day Fund, or $201 million. 

Gov. Stitt and his administration have been in communication with House and Senate leadership and are working on the best plan to mitigate any potential cuts to state agencies.

“When our health department officials, public safety workers, emergency responders and so many others are working tirelessly to help the people of Oklahoma, I want everyone to know that we will prioritize protecting our core services for dealing with the COVID-19 crisis.” said Gov. Stitt.

“As the last few weeks have demonstrated, it will take time to fully understand the impact COVID-19 will have on our state revenue. We must be very cautious and remain fiscally prudent to restrain spending as we work with the legislature on next year’s budget.”

Governor, Senate leaders comment on FY2021 Budget certification figures

GOVERNOR STITT ISSUES STATEMENT ON OKLAHOMA BOARD OF EQUALIZATION CERTIFICATION

Oklahoma City, Oklahoma (December 20, 2019) – Governor Kevin Stitt today issued the following statement after the state Board of Equalization certified an estimate indicating lawmakers will have $8.3 billion to build a budget for the 2021 fiscal year, which begins July 1, 2020.

“Oklahoma’s state revenues are beginning to plateau after losing more than 60% of oil and gas drilling activity since this time last year. The fiscal discipline displayed in the FY’20 budget, by setting aside an extra $200 million to achieve $1 billion in savings, is already proving its value in protecting core public services and strengthening the state’s credit rating. Despite these changes in revenue collections, the State of Oklahoma remains on strong footing. It is critical we protect it by demonstrating fiscal restraint and efficiency in the FY’21 budget process and by continuing to advance policies that encourage job creation and economic diversity.”

During the meeting, Stitt gave attention to a one-time cash source of $310 million as part of the spending authority estimate. Without this one time source, the revenue projection for FY’21 would be 3.7 percent less than FY’20.

The Board of Equalization will return in February to certify a final estimate on how much lawmakers will have to build a budget during the upcoming legislative session.

Senate Pro Tem, Appropriations chair comment on revenue certification

OKLAHOMA CITY – Oklahoma Senate Republican leadership commented Friday on the state Board of Equalization’s preliminary revenue certification.

“Overall, we are cautiously optimistic about the revenue outlook for next year. While there is concern in the decline in gross production taxes collected on natural gas, other sectors of the economy are performing well and helping to fill in that revenue gap. Additionally, steps taken by the Legislature in recent years to shore up our financial standing are working. The Senate will resume its work on budget hearings and examining agency budget requests as we await the final certification numbers due in February upon which the Legislature will write the budget,” said Senate President Pro Tempore Greg Treat, R-Oklahoma City.

The Board of Equalization certified more than $8.3 billion for Fiscal Year 2021, a $9.3 million (0.1 percent) increase from Fiscal Year 2020.

“Any growth in a budget is good, but we have to be cautious in our outlook and continue to monitor economic conditions as we prepare the budget. And before the first drop of ink is spilled in writing the state budget, we already have nearly $200 million in obligations for things like the ad valorem reimbursements to schools, the bond debt on the Capitol, and increased costs for teacher health care benefits. The Senate appropriators have already held budget hearings, and we’ll keep doing our work and crunching the numbers to ensure we maximize every tax dollar as we write next year’s budget,” said Senator Roger Thompson, R-Okemah and Senate Appropriations Committee chair.

The state Board of Equalization was established in 1907 in the state Constitution. The board issues an official estimate of the revenue available for the Oklahoma Legislature to spend in the coming budget year. The board members include the governor, lieutenant governor, state auditor and inspector, state treasurer, attorney general, superintendent of public instruction, and the president of the board of agriculture.

The board will meet again in February to issue the final revenue certification upon which the Legislature will write the next budget.