MIKE JACKSON

Issue Areas: Economic Development, Taxation and Financial Services; Energy/Natural Resources

The spirit of cooperation continued during the second week of legislative session. Many bills progressed through the committee process, and the legislature continues to work together efficiently.  

We’re encouraged to see legislative interest in protecting businesses from unreasonable and punitive rules and regulations. This week HB 2150—which limits government interference with mineral rights—passed the House Energy committee. The bill specifies that certain actions by local governments are an unconstitutional taking of property. SB 1005 reduces regulation on brush burning by eliminating some of the requirements for smoke suppression without affecting safety. The bill does not apply to urban counties. 

HB 1853 passed the House Business and Commerce committee without opposition. The bill reinstates income tax credits earned under the Enterprise Zone and Leverage Act. This credit has been instrumental in reinvigorating communities across the state and shouldn’t have been allowed to sunset before the Incentive Evaluation Commission’s review of the benefits. That review is scheduled for later this year.

SB 749 allows local governments and private business to pool finances for funding infrastructure projects. This request bill from the Oklahoma Department of Commerce would facilitate collaboration, expand infrastructure development and increase economic development opportunities across the state.

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EMILY CROUCH

Issue Areas: Health Care; Workforce Development

A bill that could recoup additional funds for the state’s Medicaid program passed in a Senate committee earlier this week. SB 251 by Senator Daniels requires the Oklahoma Health Care Authority to contract out all medical expense recoveries duties to a third party. Another state agency recently contracted out these recovery services and saw a significant increase in their collections for the state.

The Senate Health and Human Services met for the first time earlier this week and considered a number of bills. SB 801 by Senator Smalley changes a requirement that certified registered nurse anesthetists (CRNA) work “in collaboration with” a medical doctor, an osteopathic physician, a podiatric physician or a dentist licensed in Oklahoma. Currently, CRNAs are required to work “under the supervision of” a medical doctor, an osteopathic physician, a podiatric physician or a dentist. The bill will now be considered by all senators on the Senate floor.

A teacher pay raise proposal supported by Gov. Stitt was approved by a House committee on Wednesday. HB 1780 by Speaker McCall increases the teacher minimum salary schedule by $1,200, which would place Oklahoma’s starting salary for a teacher at $37,801. Texas is still first in the region for teacher pay, and this salary increase would bump Oklahoma to the top position. Estimates for the $1,200 salary increase are just over $70 million.

While competitive salaries are important for recruitment and retention of teachers, accountability of our schools is equally imperative. Several bills have been filed this session to eliminate or roll back the state’s annual school site report cards, which are based on a school’s performance and required by federal law. HB 1415 , HB 2060 and SB 298 are troublesome to the business community. To learn more about Oklahoma’s School Report Cards, click here .

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CORDON DEKOCK

Aerospace, Defense, Technology and Telecommunications;

Transportation & Infrastructure

This week, commercial driver license (CDL) testing reform took two big steps forward. SB 378 , which directs the Department of Public Safety to create a framework for third-party CDL testing, and SB 610 passed through committee. Oklahoma currently has thousands of unfilled jobs for commercial drivers, and these overhauls have the potential to help businesses meet their workforce needs while reducing transportation costs.

Two infrastructure proposals also passed unanimously in committees this week. SB 749 creates a new public-private partnership pool that would allow companies and public entities—including defense entities such as Fort Sill or Tinker Air Force Base—to jointly invest in infrastructure. HB 2143 establishes the McClellan-Kerr Arkansas River Navigational System Infrastructure (MKARNS) Revolving Fund to protect money designated for economic development or critical maintenance along the waterway. Click here to read the State Chamber Research Foundation’s issue brief on the McClellan-Kerr Waterway.

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ADRIA BERRY

Human Resources & Labor Law; Legal Reform; Workers' Compensation

Representative Jon Echols—along with 26 other House members— authored HB 2597, which would allow for Oklahomans to carry firearms without a permit. The bill passed with a vote of 70-30 in the House on Wednesday and is now headed to the Senate where Senator Kim David will author the bill.  

Currently, Oklahoma citizens are required to have a permit to carry a firearm. This bill changes that requirement and removes mandatory permitting. The State Chamber worked with the Coalition for Business & Property Owners’ Rights and Representative Echols to increase protections for business and property owners who want to continue creating their own policies regarding weapons on their property. Amendments to the bill make it a misdemeanor to violate a business or property owner’s policies on firearms on their premises. It also creates a carve-out for colleges and universities. 

On Wednesday, the legislative Joint Committee on Medical Marijuana met for the last time. They reviewed what is known as the “Unity” bill and recommended amendments to the language. The bill has not been published yet, but we are told it will be released within the next day or two, so we will send it out in next week’s newsletter.  

This bill contains the much-anticipated workplace safety and legal remedy provisions drafted by our outside attorney and approved by our internal working group on behalf of State Chamber members. We are told that legislative leaders still want to fast track this bill and get it put into law quickly. We’ll update you again next week about the status of this bill once we know when it will be heard in the House and Senate.  

The 178-page workers’ compensation bill,  HB 2367, was not heard in the House Judiciary committee this week despite being on the agenda. The State Chamber has many concerns about this bill because of the language contained in it that would roll back or soften the 2013 reforms to the workers’ compensation system.  

The old workers’ comp system was extremely flawed. Employers paid in more than $1 billion, making Oklahoma the home of the 6 ^th highest premiums in the nation. The system was slow and back-logged, so employees stayed home longer than necessary and couldn’t get back to work in a timely manner. Fast forward five years since the overhaul to the workers’ comp system, and we’ve seen 32% decreases to premiums and a savings of over $300 million for Oklahoma employers. Injured workers are getting back to work much quicker and through the cost savings, businesses have been able to expand and grow in our state, creating more jobs. The new system has been consistently attacked since its inception, and this year we’re seeing an uptick in legislators who are willing to file bills that would make major changes to the system.

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Nearly 700 business, community and government leaders from across the state attended our annual Legislative Reception Wednesday evening at the Oklahoma History Center. Distinguished guests included Governor Kevin Stitt, 81 legislators and several state officials and cabinet members. The event was preceded by a State Chamber Board of Directors Meeting— including a special keynote address by the Governor— and a VIP Reception.

In his remarks to the State Chamber Board, Stitt underscored his commitment to reforms that will strengthen our state and make our government more effective and accountable. 

Many thanks to our exclusive sponsors for this event, Blue Cross Blue Shield of Oklahoma and Enel Green Power North America as well as our 2019 Event Sponsors .

Thanks to all who joined us and supported this event. The energy and enthusiasm in the room was strong, and we greatly enjoyed your company and conversation!

In the second edition of our In Session with the State Chamber podcast, Senator James Leewright and Representative John Pfeiffer share insights on the first eventful weeks of legislative session, their caucus priorities and what to expect in coming months.

Together with State Chamber hosts Fred Morgan and Mike Jackson, they tackle the need for government reforms and accountability, the role of public/private partnerships and legislative developments related to energy, education, SALT parity and more.

They also speak candidly about efforts by both chambers of the Legislature and the new Governor to govern and collaborate most effectively.

Subscribe to the podcast on  iTunes  or  Google Play .  You can also access the podcast via  our website  or Soundcloud .

The Sac and Fox Nation is a federally recognized tribal nation of over 4,000 enrolled members. The Nation is led by the Business Committee, comprised of five elected officials: Principal Chief Kay Rhoads, Second Chief Audrey Rose Lee, Secretary Jacklyn King, Treasurer Jared King and Committee Member Robert Williamson. The Nation’s jurisdiction lies in portions of Payne, Lincoln and Pottawatomie counties, with the capitol complex located outside of Stroud. The annual Sac and Fox Pow Wow is held at the Jim Thorpe Memorial Park, located at the capitol complex. This popular event brings thousands of visitors to Stroud every year. Sauk Business Enterprises and Sac and Fox Economic Development Holdings, LLC are the Nation’s economic development entities. The Nation owns two casinos located in Stroud and Shawnee.

The Nation’s impact in central Oklahoma is significant. In addition to being a major employer in Lincoln County, the Nation expended $17,888,908.00 on repairs, maintenance, and new construction of roads and bridges over the last decade. Over the last five years the Nation has donated $467,803.00 to local charities, schools and organizations.  Learn more .

There are specific business transactions that are more complicated in Oklahoma than in other states due to current tax laws. Transactions not performed by an entity on a regular basis, such as an individual selling tangible personal property at a private garage sale, are exempt from state and local sales tax in most states under what is called an “occasional sale rule,” but not in Oklahoma.

Learn more about occasional sales rules in other states and possible next steps for Oklahoma.