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SENATE FLOOR VERSION
February 28, 2024
COMMITTEE SUBSTITUTE
FOR
SENATE BILL NO. 1428 By: Alvord of the Senate
and
Townley of the House
[ economic development - investment rebate program -
claims - payments - Commerce Manufacturing Activity
Development Fund - transfer - codification ]
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 3647.1 of Title 68, unless there
is created a duplication in numbering, reads as follows:
A. There is hereby created until July 1, 2030, an investment
rebate program for the cost of qualified capital expenditures
defined by Section 3645.3 of Title 68 of the Oklahoma Statutes, by
establishments defined by Section 3645.3 of Title 68 of the Oklahoma
Statutes, that:
1. Refine, manufacture, or process compounds or elements into
hydrogen-based products in industries defined or classified in the
NAICS Manual under Industry Group No. 324 or 325 ; and
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2. Have acquired real property located within the boundaries of
a municipality with a population between twenty thousand (20,000)
and thirty thousand (30,000), according to the late st Federal
Decennial Census, where the qualified capital will be located .
B. To be eligible for consideration for an investment rebate
payment awarded under the provisions of this act, the establishment
shall:
1. Submit an application and documentation to the Oklahoma
Department of Commerce, as required by the Department , outlining a
capital expenditure plan in this state assoc iated with qualified
capital expenditures totaling no less than Eight Hundred Million
Dollars ($800,000,000.00);
2. Have made qualified capital expenditures of no less tha n
twenty percent (20%) of the cap ital expenditure plan outlined in the
application submitted by the primary establishment and approved by
the Oklahoma Department of Commerce, pursuant to the provisions of
this act; and
3. Have filed all Oklahoma tax returns and tax documents
required by law.
C. Notwithstanding any other provision of law , no investment
expenditure shall be utilized for calculation purposes that results
in the qualification of more than one establishment under the
provisions of this act, for investment rebate payments base d on the
same expenditure.
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D. 1. The Oklahoma Department of Commerce shall approve o r
disapprove claims for rebates and shall issue payment for all
approved claims from funds held in the Co mmerce Manufacturing
Activity Development Fund created in Section 2 of this act.
2. The Department shall disapprove all applications and claims
or any portion of applications and claims for rebates that would
exceed the balance of available funds in the Commerce Manufacturing
Activity Development Fund .
3. The total amount of applications approved and investme nt
rebate payments awarded under the provisions of this act shall not
exceed the total amount of monies designated by law for deposit to
the Commerce Manufacturing Activity Development Fund .
E. 1. Subject to the approval and ongoing review of the
eligibility application by the Oklahom a Department of Commerce, the
investment rebate payment authorized by this act shall be e qual to
six and twenty-five hundredths percent (6.25%) of the cost of the
qualified capital ex penditure in the year of expendit ure.
2. The Department is authorized to conditionally pre -qualify
and account for anticipated future investment rebate payments. The
Oklahoma Department of Commerce shall not pre-qualify investment
rebate payments, encumber funds, pre-encumber funds, or otherwis e
allocate resources that would result in the allocation of investment
rebate payments in excess of the balance of available funds in the
Commerce Manufacturing Activity Devel opment Fund.
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SECTION 2. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 3647.2 of Title 68, unless there
is created a duplication in numbering, reads as follows:
A. There is hereby created in the State Treasury a fund f or the
Oklahoma Department of Commerce to be designated the “Commerce
Manufacturing Activity Development Fund”. The fund shall be a
continuing fund, not subject to fiscal year limitations, and shall
consist of all monies designated for deposit to the fund by law.
All monies accruing to the credit of the fu nd are hereby
appropriated and may be budgeted and expended by the Department for
the purpose of paying rebates as provided in this act. Expenditures
from such fund shall be made upon warrants issued by t he State
Treasurer against claims filed as prescribed by la w with the
Director of the Offic e of Management and Enterprise Services for
approval and payment.
B. All unencumbered funds remaining in the Commerce
Manufacturing Activity D evelopment Fund upon January 1, 2030, shall
be transferred to the State T reasurer for deposit in the General
Revenue Fund.
COMMITTEE REPORT BY: COMMITTEE ON APPROPRIATIONS
February 28, 2024 - DO PASS AS AMENDED BY CS