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tclar02n-blog · 7 years

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Wanted to share with you a press release sent out by my minority leader-

In light of the announcement today by the Commissioner of the Department of Mental Health and Substance Abuse Services (ODMHSAS), House Minority Leader Scott Inman issued the following statement and update on budget negotiations:

“The refusal on the part of legislative leaders to support a bipartisan budget solution that fairly spreads the burden of raising adequate revenue to prevent the dangerous and harmful cuts to core services borders on immoral.

We have entered the fourth week of special session. It has been nearly ten weeks since the Supreme Court ruled the cigarette fee unconstitutional and yet the citizens of Oklahoma still wait for this legislature to do its job and properly fund vital programs like those offered through the ODMHSAS.

Here’s where we are at: I was optimistic when more than a month ago Governor Fallin presented legislators with a proposed budget compromise raising nearly $600 million in recurring revenues that included a 5% gross production tax on new wells, a restoration of income tax cuts on high earners coupled with a fuel and cigarette tax increase. Unfortunately, while my entire caucus stood ready to support the plan, House Republican leadership couldn’t convince their membership to compromise for the good of the state. A major sticking point revolved around their reticence to increase the GPT to 5%.

My frustrations were eased when, just more than a week ago, on Sunday October 8th, members of my leadership team and I met with Speaker McCall and members of his leadership team. After a productive conversation, we were presented with another bipartisan compromise plan. The Speaker offered us a grand bargain consisting of two parts. The plan would increase income taxes on high earners, restore the Earned Income Tax Credit for working families, in exchange for support for a $1.50 cigarette tax increase. Additionally, the plan eliminated the sales tax exemption on wind, increased the fuel tax by 6 cents per gallon, in exchange for a 5% gross production tax on new oil and gas wells. In total, the plan would raise nearly $500 million of recurring revenue, prevent further cuts to core services, and offer Oklahoma’s underpaid teachers a $2,000 pay raise.

I took the proposal to my caucus the following day, Monday October 9th. That afternoon, I contacted the Speaker’s leadership team and informed them that while my caucus didn’t like certain components of their offer, all 28 members of my team were nevertheless ready to vote in favor of the agreement. It was then that I was told that when the plan was presented to House Republican members by phone, they couldn’t find 48 of their 72 members, the necessary number to pass the legislation, willing to support their offer. Again, I was told that, even though the Speaker’s team had offered it as part of the compromise, a 5% GPT on new wells was simply unacceptable to House Republican Leadership. On behalf of my caucus, I then offered to accept 4.5% on new wells for the first 18 months of the well or even 4% for the first 12 months of the well. All offers at compromise were dismissed.

People are hurting. Core services are being starved. It’s not an exaggeration to say that lives hang in the balance. While I understand that some members may not want to ask the oil and gas industry to pay a little more to help the state out of this mess and would rather just ask middle class families to pay more for fuel and cigarettes, the solution to our problems must share the burden and responsibility fairly and evenly.

My caucus stands ready to support either the Governor’s bipartisan compromise plan or the Speaker’s bipartisan compromise plan. We have accepted their proposals. We will stand at the altar until legislative leaders decide to put partisan bickering and powerful special interests aside and join us. Oklahomans can’t wait any longer."

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