Prior to the close of the legislative session in Oklahoma in May of 2025, we published this article about the bills we wanted to see addressed: https://okgrassroots.com/legislative-update-bills-passed-in-house-go-to-senate-and-vice-versa-be-informed-and-make-your-positions-known/
First article in this series was on Bills passed in 2025
Second article in this series was on Good Senate Bills that Never Made it to the Floor for a Vote
Third article in this series is this one on Tax Credits, Rebates, Grants, Sales Tax Exemptions and Subsidies for Businesses Bills.
We are preparing to work on the scorecard and see if our representatives paid more attention to the OKGOP platform this year than last. That is planned for release prior to January 1st. So stay tuned.
Special thanks to Nancy McDaniel for compiling these lists for us to publish. It is a ton of work and is much appreciated! Her summaries are incredibly helpful, but if you want to read the entirety of a bill, please go to okhouse.gov or oksenate.gov then to ‘Legislation and Laws’ and then do a Bill Search.
If the first two articles in our series did not fire you up to take action – this one should do it! One must ask who do these people really represent? Support candidates who take NO LOBBYIST MONEY!
Tax Credits, Rebates, Grants, Sales Tax Exemptions and
Subsidies for Businesses
SB235 (2025) Pugh/Kerbs – Grow Your Own Educator GRANT program. Passed May 28, 2025
SB239 (2025) Wingard – This bill TRIED to repeal Oklahoma statute O.S. 68 (2021) Section 2357.32A which relates to TAX CREDITS on the sale of electricity generated by zero-emission facilities. There was two years remaining. The Senate Revenue and tax committee voted 5 to 5, a tie, therefore considered the measure as failed and the TAX CREDITS continue for 2 more years. (No votes were Gollihare, Radar, Howard, Kirt, Mann).
SB249 (2025) Thompson, K/Townley – Extends the expiration date for TAX INCENTIVES provided by the Oklahoma Tourism Development Act to January 1, 2032. Passed May 7, 2025
SB287 (2025) Pugh/Miller -TAX CREDITS for aerospace industry. Passed May 22, 2025
SB324 (2025) Thompson, K/Hill – TAX CREDITS for research and development with no specific industry named. Passed May 29, 2025
SB469 (2025) Boles/Woods – Oklahoma Emission Reduction Technology REBATE Program. Passed April 23, 2025
SB578 (2025) Coleman/Kelley – Quality Events Act – Extends GRANTS for 5 MORE years. Passed April 28, 2025
SB663 (2025) Pugh/Hill – The Workforce Coordination Revolving Fund may be used to create a workforce data integration system as well as provide GRANTS for critical workforce needs. Passed May 20, 2025
SB687 (2025) Hall/Caldwell, T – Broadband SALES TAX REBATE PROGRAM. Passed May 29, 2025
SB688 (2025) Hall/Hilbert – EXEMPTIONS OF AD VALORUM TAXES for payroll for manufacturing aerospace equipment. Passed May 20, 2025
SB713 (2025) Jech/Newton – TAX INCREASE FOR THE PEOPLE via bonds. A county can issue revenue bonds to purchase light mitigating technology for EXISTING windmills that do not currently have the technology. (If the windmill private companies are to pay for NEW wind turbines to have these lights, then they should also pay for THEIR EXISTING wind turbines to have them NOT tax the people through bonds). Passed May 29, 2025
SB987 (2025) Thompson, K/Osburn – Creates the Oklahoma Department of Commerce Board consisting of 9 voting members. The board must meet within 60 days of its creation, may create working groups to help carry out its responsibilities, and may accept GIFTS, GRANTS and DONATIONS from NON-GOVERNMENTAL SOURCES. (ARE THESE FROM LOBBYISTS???) Passed May 5, 2025
SB998 (2025) Green/Caldwell, T – Allows a utility to start recovering work-in-progress expenses prior to the commercial operation of a new, or newly expanded, natural gas facility. The Commission is required to permit a SPECIAL RATE for the recovery of such expenses. (the customers get screwed again with utility rate increases). Passed May 6, 2025
SB1150 (2025) Hall/Caldwell, T – Appropriates $15,000,000.00 from the PREP Fund to the Oklahoma Department of Aerospace and Aeronautics for the construction or upgrades to a primary commercial airport. There is a $15,000,000.00 impact to the state budget. (who exactly is benefiting from this?) Passed May 22, 2025
HB1438 (2025) Patzkowski/Kern – Rural Economic Development GRANTS. Raises the cap, from $150,000 to $350,0000, on certain Rural Economic Action Plan (REAP) grants administered by the Oklahoma Water Resources Board. Passed April 29, 2025
HB1571 (2025) Lawson/Gollihare – Removes the expiration date for the Route 66 Commission who is responsible for funds awarding of GRANT funding for projects on the historic highway Route 66. Passed April 29, 2025
HB1727 (2025) Moore/Pugh – College SCHOLARSHIPS only for public teachers’ kids. Passed May 28, 2025
HB2260 (2025) Miller/Haste – Establishes 3 TAX CREDITS for civil engineers and their employers beginning tax year 2026. Qualified engineering businesses that employ a civil engineer will receive a TAX CREDIT equal to 5% of the compensation paid to an engineer until January 1, 2031, or 10% if the engineer graduated from an Oklahoma college or university. The TAX CREDIT is capped at $12,500 per employee, per year, and may claimed for up to 5 years. An employer can also CLAIM ANOTHER TAX CREDIT for up to 50% of the tuition reimbursed to an employee for up to 4 years of employment until January 1, 2031. Additionally, the engineer hired is eligible for a TAX CREDIT of $5000 per year, for up to 5 years until January 1, 2031. Passed May 29, 2025
HB2645 (2025) Hilbert/Paxton – HB2645 provides a $20,000 INCOME TAX CREDIT for doctors that practice medicine in a rural area for up to four years. A rural area is considered a city or town with a population of less than 25,000 that is at least 25 miles from the nearest city or town with a population greater than 25,000. The TAX CREDIT is available beginning tax year 2026 and is limited to $1 million in total claims each year. Passed May 29, 2025
HB2753 (2025) Caldwell, T/Howard – TAX CREDITS for Rural Jobs Act. Passed May 28, 2025
HB2768 (2025) Caldwell, T/Hall – AMENDS the EXISTING Oklahoma Quality Jobs Incentive Leverage Act by increasing the maximum allowable investment for qualified establishments to $700,000,000. Passed May 22, 2025
HB2778 (2025) Caldwell, T/Hall – Creates the Teacher Recruitment and Retention Program, which exempts household income from being factored in when determining eligibility for the Child Care Subsidy Program for employees of child care facilities. Passed May 29, 2025
HB2781 (2025) Caldwell, T/Hall – Creates the Reindustrialize Oklahoma Act (ROA-25) investment REBATE PROGRAM. The program will be administered by the Oklahoma Department of Commerce (ODOC), run through July 1, 2045, and provide rebate payments to a manufacturing establishment that makes a capital expenditures investment of at least $2 billion in the state and creates 700 or more new direct jobs by year one of the rebate period. By year two, the jobs threshold is increased to 1000 and will remain so for the remainder of the rebate period. The establishment must also meet the program requirements under the Oklahoma Quality Jobs Program. Passed May 22, 2025
HB2792 Caldwell, T/Hall – Makes changes to the Progressing Rural Economic Prosperity Fund, reappropriates to projects funds that were originally appropriated in 2022; a continuation of funds as several projects still have on-going expenses. The amounts for those projects are:
• $25,000,000.00;
• $1,000,000.00;
• $20,000,000.00;
• $20,000,000.00:
• $20,000,000.00;
• $22,350,000.00;
• $14,000,000.00;
• $4,000,000.00
• $22,500,000.00
• $5,000,000.00.
Passed May 22, 2025
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Passed in previous years:
OklahomaTourism Development Act – TAXES, INCENTIVES, INDUCEMENTS for projects for eligible companies to receive sales tax credits, sales tax incentive payments annnually for up to 10 years.
Quality Jobs Incentive Program – This program provides quarterly cash payments up to 5% of new payrolls for up to 10 years.
Oklahoma’s Priority Enterprise Zones: To coordinate with the federal government’s goal of alleviating poverty, Oklahoma will utilize Priority Enterprise Zones (PEZs) created in the Oklahoma Enterprise Zone Act to attract capital to Oklahoma’s Opportunity Zones:
Investment Tax Credit – Allows a corporate income tax credit for new investment or job creation. PEZs double the income tax credit and enjoy Enterprise Zone designation for the life of the selected OZ tracts, instead of being subject to typical annual updates.
Enterprise Zone Incentive Leverage Act – Allows local areas to capture state sales tax if the local areas have a match. PEZ would allow participation in leverage incentive, if it is extended.
Tax Increment Financing (TIF) – Local incentive authorized in state statute utilized for redevelopment and reinvestment of blighted areas. PEZ designations are evidence of distressed areas and would be allowed to be incorporated in a Local Development Plan as a TIF District.
OKLAHOMA QUALITY EVENTS PROGRAM (68 O.S. §§ 4301 et seq.) – The Quality Events Incentive Program offers local municipalities reimbursements on eligible quality event expenses using incremental state sales tax revenues generated as a result of the event. The Oklahoma Tax Commission (OTC) can offer reimbursements of up to $3 million in a fiscal year.
AD VALOREM EXEMPTION FOR COMPUTER SERVICES AND DATA PROCESSING (68 O.S. §2902(B)(1)(c)) Computer services and data processing facilities may be eligible for a 5-year exemption from Ad Valorem Tax.
AD VALOREM EXEMPTION FOR WAREHOUSING AND DISTRIBUTION FACILITIES (68 O.S. §2902(B)(1)(e)) Warehousing and Distribution Facilities may be eligible for a 5-year exemption from Ad Valorem Tax.
AD VALOREM EXEMPTION FOR AUTOMOTIVE FINAL ASSEMBLY MANUFACTURING FACILITIES (68 O.S. $§2902(C)(6)) Automotive Final Assembly Manufacturing Facilities may be eligible for a 5 year exemption from Ad Valorem Taxes.
Filmed in Oklahoma Act of 2021
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Bills attempted but failed:
SB44 (2025) Rader/Fetgatter – SALES TAX EXEMPTIONS to contractors with a tax exempt entity. (No senate floor vote).
SB119 (2025) Green/Archer – REBATES for hydrogen industry. (No senate committee vote).
SB234 (2025) Rader/Lepak – 50% TAX CREDIT for remodeling old buildings for rentals. (No senate floor vote).
SB119 (2025) Green/Archer – Creates an investment REBATE program for investments on property for the purpose of refining, manufacturing, and processing compounds or elements into hydrogen-based products. (No senate floor vote).
SB236 (2025) Haste – Establishes an INCOME TAX CREDIT for employers required to comply with Cybersecurity Maturity Model Certification (CMMC) requirements. Individual claims for the credit shall not exceed $50,000.00. The credit may be carried forward for a period of 5 years. (No vote in senate rev/tax committee).
HB2767 (2025) Caldwell, T/Hall – Transfers $255 million to the ROA-25 Revolving Fund which was created to support industrial projects. The program is part of the Reindustrialize Oklahoma Act run by the Dept of Commerce to incentivize manufactruring companies to invest in Oklahoma. (No senate floor vote).
SB241 (2025) Thompson, K – Appropriates $20 million from the General Revenue Fund to the Oklahoma Department of Commerce to provide a REBATE for capital investments in an establishment that refines, manufactures, or processes compounds or elements into hydrogen-based products. (No appropriations committee vote).
SB271 (2025) Rader – A repeat of HB2305 above. (Did not get a senate committee vote). Creates the Oklahoma Perfluoroalkyl and Polyfluoroalkyl Substances (PFAS) Act. The measure stipulates that passive receivers of perfluoroalkyl and polyfluoroalkyl substances (PFAS) providing essential services shall NOT be civilly liable to the state for costs associated with the release of PFAS to the environment. (No senate energy committee vote).
SB820 (2025) Boren/Gise – Amends the Oklahoma Five Major Sports Leagues REBATE Program Act which expands eligibility to the Womens Nat’l Basketball Association, Womens Professional Fastpitch and National Womens Soccer League. This Act provides a REBATE PROGRAM similiar to the Oklahoma Quality Jobs Program with a maximum annual rebate of $10 MILLION per qualifying entity or establishment. (No house floor vote).
SB938 (2025) Kirt – Creates the Municipal Workforce Housing Development GRANT PROGRAM within the Oklahoma Housing Finance Agency to provide financial assistance to municipalities for the purpose of increasing the availability of workforce housing. (No senate ecomonic development committee vote).
SB1501 (2024) Paxton – Income tax credit for geothermal. (No senate floor vote).
HB2019 (2025) Pae/Pugh – A TAX CREDIT for aerospace industry extended to 2032. (No senate floor vote).
HB2305 (2024) Rader/Pfeiffer – Oklahoma PFAS Act which said receivers of PFAS shall NOT BE LIABLE for the release into the environment. Also, that Oklahoma will accept other states’ PFAS. Oklahoma is not a toxic waste dump site! (Died in conference committee 5/30/24).
HB2402 (2025) – Fetgatter/Murdock – INCOME TAX ABATEMENT for manufacturing of electricity from low grade heat. (No senate floor vote).
HB2407 (2025) Fetgatter/Coleman – Oklahoma “Main Street” GRANT program. (No senate floor vote).
HB1848 (2025) Thompson, K/Schreiber – Committee substitute grants a TAX CREDIT to employers that provides a childcare subsidy to its employees or operates a childcare facility for its employees. The credit is equal to 30 percent of the subsidy amount or operating cost, limited to $30,000 per employer. The credit may be claimed for tax year 2026 through 2030 and capped at $5 million in total claims each year. (No senate floor vote).
HB2026 (2025) Archer/Haste – RENAMES the Oklahoma Aircraft Engine Testing Development Grant Program to the Oklahoma Aircraft and Rocket Engine Testing Development GRANT PROGRAM. (an EXISTING GRANT program). (No senate aeronautics committee vote).
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Where some more of the taxpayer money is going:
HB2770 (2025) Caldwell, T/Hall – Officials with the Administrative Office of the Courts provides a pay increase (from the taxpayers) to the following judicial positions beginning July 1, 2025, passed May 22, 2025:
• Chief Justice of the Supreme Court, increase from $172,049 to $198,212;
• Associate Judge of the Oklahoma Supreme Court, increase from $161,112 to $185,612;
• Presiding Judge of the Court of Civil Appeals, increase from $155,459 to $179,099;
• Judge of the Court of Civil Appeals, increase from $152,632 to $175,844;
• Presiding Judge of the Court of Criminal Appeals, increase from $166,765 to $192,126;
• Judge of the Court of Criminal Appeals, increase from $161,112 to $185,612;
• District Court Judge, increase from $145,567 to $167,703;
• Associate District Judge, increase from $134,261 to $154,678;
• Special Judge, increase from $122,954 to $141,651.
HB2766 (2025) the state budget breakdown for 2026 with $6 billion to education up from $4 billion. Passed May 22, 2025
Original content OKGrassroots
