If enacted, SB1266 would require all economic incentive provisions, whether newly enacted or reauthorized, to specify measurable goals. This change is aimed at ensuring that businesses receiving incentives do so with clear expectations of long-term outcomes. Additionally, the bill stipulates that incentives claimed as tax credits can only have a duration of ten years or less. This promotes a more responsible approach to economic incentives, aligning them with performance metrics that reflect their effectiveness in stimulating economic activity within the state.
Summary
Senate Bill 1266, introduced by Senator Kirt, aims to amend the existing provisions related to economic incentives in Oklahoma. The bill expands the requirements and definitions related to economic incentives, particularly focusing on those provisions enacted after January 1, 2016. One of the key changes is the inclusion of measurable goals for economic incentives, which are intended to provide a framework for data collection and evaluation of the effectiveness of such incentives. The measure seeks to enhance the accountability of economic incentive programs offered by the state, especially those benefiting business entities.
Contention
Opposition to SB1266 primarily stems from concerns about the potential increased administrative burden on both the state and the businesses seeking incentives. Critics argue that while measurable goals can provide clarity, they could complicate the application process and deter small businesses from pursuing necessary funding or support. Proponents, however, assert that these measures are essential for improving transparency and accountability in state economic development initiatives. Overall, the discussions surrounding the bill highlight the ongoing tension between fostering business growth and ensuring responsible governance of state resources.
Incentive Evaluation Commission; modifying terms of appointment; modifying membership; modifying frequency of evaluations; requiring development of schedule. Effective date. Emergency.