Oklahoma § 68-4202 - Purpose – Legislative intent – Incentive payments

§ 68-4202. Purpose – Legislative intent – Incentive payments

A. It is the purpose of this act to implement the provisions of

the constitutional amendment contained in Enrolled Senate Bill No.

755 of the 1st Session of the 50th Oklahoma Legislature.

B. It is the intent of the Legislature that:

1. The State of Oklahoma provide appropriate incentives to

support retention of manufacturing establishments:

a.

that yield higher long-term benefits for job retention

and increase the wealth of the state,

Oklahoma Statutes - Title 68. Revenue and Taxation

b.

that create competitive advantages for the State of

Oklahoma in attracting and retaining industries and

jobs, and

c.

that hold the promise of significant modernization and

retooling that will assure the stability of the

industry in Oklahoma and, by doing so, help enlarge

the tax base and stabilize the economy of the State of

Oklahoma when there is a direct threat to the existing

revenue base and wealth of the state because existing

establishments are at risk of being lost to other

states or nations;

2. The amount of incentives provided pursuant to this act in

connection with a particular establishment be directly related to

benefits caused by retention of jobs and investment and the placing

of new investment, created as a result of the establishment

modernizing and retooling in, and thereby remaining and growing in

the State of Oklahoma as reflected by the economic impact,

historical contributions trends and tax revenue projections

analyses;

3. The Quality Investment Committee created by this act, the

Oklahoma Department of Commerce, the Oklahoma Tax Commission, the

Governor, the President Pro Tempore of the Senate and the Speaker of

the House of Representatives implement the provisions of this act

and exercise all powers as authorized in this act. The exercise of

powers conferred by this act shall be deemed and held to be the

performance of essential public purposes; and

4. Nothing herein shall be construed to constitute a guarantee

or assumption by the State of Oklahoma of any debt of any

individual, company or corporation or association. Nor does this

act authorize the credit of the State of Oklahoma to be given,

pledged or loaned to any individual, company, corporation or

association. Nothing herein shall be construed to constitute a gift

by the State of Oklahoma to any individual, company, corporation or

association.

C. In fiscal years when the provisions of subparagraph a of

paragraph 6 of Section 23 of Article X of the Oklahoma Constitution

are not applicable and the balance at the beginning of such fiscal

year in the Constitutional Reserve Fund is equal to or greater than

Eighty Million Dollars ($80,000,000.00), up to Ten Million Dollars

($10,000,000.00) may be expended for the purpose of providing

incentives to support retention of at-risk manufacturing

establishments in this state in order to retain employment for

residents of this state. Such incentives shall be paid by the

Oklahoma Tax Commission upon a unanimous finding by the Governor,

the Speaker of the House of Representatives and the President Pro

Tempore of the Senate that:

Oklahoma Statutes - Title 68. Revenue and Taxation

1. Such incentives have been recommended by the Quality

Investment Committee created by this act pursuant to criteria set

out by law;

2. The incentive will result in a substantial benefit to this

state; and

3. Payment of the incentive would be in accordance with law.

Added by Laws 2006, c. 1, § 2, eff. July 1, 2007, following passage

of State Question No. 725 (SB 755, Laws 2005, c. 239) on Nov. 7,

2006.