Bill > SB1390

This bill modifies the apportionment of gross production taxes in Oklahoma, primarily focusing on changes to how tax revenues from natural gas and oil are distributed across various state funds and local government entities. The bill extends certain fiscal provisions through fiscal year 2032, specifically adjusting the allocation of gross production tax revenues for different tax rates on natural gas and oil. Key changes include modifying the percentage of tax revenue directed to the General Revenue Fund, county highway funds, and school districts, as well as extending funding for specific revolving funds like the Oklahoma Tourism and Recreation Department Capital Expenditure Revolving Fund and the Oklahoma Conservation Commission Infrastructure Revolving Fund. For natural gas taxed at a five percent rate, the bill reduces the percentage going to the General Revenue Fund from 80% to 40% beginning July 1, 2025, and introduces a new provision to remit 40% to the Preserving and Advancing County Transportation Fund, capped at $75 million annually. The bill also adjusts the total amount that can be deposited into various revolving funds, maintaining a $150 million annual cap through fiscal year 2026 and modifying the cap for subsequent years. The legislation is set to become effective on July 1, 2026, and contains an emergency clause for immediate implementation.

Budget and Finance

http://www.oklegislature.gov/BillInfo.aspx?Bill=sb1390&Session=2600