President Pro Tempore
Senator Brian Bingman, R-Sapulpa
State Capitol Room 422
Oklahoma City, Oklahoma 73105
For Immediate Release: February 17, 2015
committee advances plan to review tax credits
The Senate Finance committee on Tuesday approved two proposals
that would establish a process for measuring the effectiveness of
economic incentives. Authored by Senate President Pro Tempore Brian
Bingman, the legislation would create a system to provide regular,
independent evaluations of incentives to determine which are working
and which are not.
“Economic incentives have been a critical component of our
economic growth in recent years,” said Bingman, R-Sapulpa.
“While we need to preserve effective credits, we need a system
to help us determine which incentives are not giving us a return
on our investment. This legislation would establish a system to
provide us with the data we need to make fiscally sound decisions
on tax credits.”
Senate Bill 815 requires the development of review criteria to
determine the fiscal impact of incentives, assess whether incentives
are achieving goals, and make recommendations regarding whether
incentives should be changed, modified or repealed. Under the measure,
the Legislature would be provided with a report on incentives every
Senate Bill 806 would require that any economic incentive include
a measurable goal or goals when enacted.
Sen. Rick Brinkley, who presented the proposals on behalf of Pro
Tem Bingman, said it was vital for the state to establish a system
that can regularly provide lawmakers with accurate information on
the results of tax incentives.
“The state currently provides more than $1.7 billion in economic
incentives each year,” said Brinkley, R-Owasso. “Many
of these incentives have made our state a more attractive option
for business and industry. We need a system that can help us connect
our economic development policy to reliable data, and identify credits
that work effectively for businesses and those that do not.”
Senate Bills 815 and 806 now advance to the full Senate.
For more information, contact:
Sen. Bingman: (405) 521-5780