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HOUSE OF REPRESENTATIVES - FLOOR VERSION
STATE OF OKLAHOMA
2nd Session of the 59th Legislature (2024)
COMMITTEE SUBSTITUTE
FOR ENGROSSED
SENATE BILL NO. 1428 By: Alvord of the Senate
and
Townley of the House
COMMITTEE SUBSTITUTE
[ 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 sect ion 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, a n investment
rebate program for the cost of qualified c apital expenditures
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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 p rocess compounds or elements into
hydrogen-based products in industries defined or cla ssified in the
NAICS Manual under Industry Group No. 324 or 325; and
2. Have acquired real property located within the boundar ies of
a municipality with a population bet ween seventeen thousand (17,000)
and forty-two thousand (42,000), according to the lat est Federal
Decennial Census, where the qualified capital will be located.
B. To be eligible for consideration for an investment rebate
payment awarded under the provisi ons 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 associated with qualified
capital expenditures t otaling no less than Eight Hundred Million
Dollars ($800,000,000.00);
2. Have made qualified capital expenditures of no less than
twenty percent (20%) of the capital expenditure plan outlined in the
application submitted by the primary establishment and a pproved by
the Oklahoma Department of Commerce, pursuan t to the provisions of
this act; and
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3. Have filed all Oklahoma tax returns and tax documents
required by law.
C. Notwithstanding any other provision of law, no i nvestment
expenditure shall be utiliz ed for calculation purposes that results
in the qualification of more than one establi shment under the
provisions of this act, for investment rebate payments based on the
same expenditure.
D. 1. The Oklahoma Department of Commerce shall approve or
disapprove claims for rebates and shall issue payment for all
approved claims from funds hel d in the Commerce Manufacturing
Activity Development Fund created in Section 2 of this act.
2. The Department shall disapprove all a pplications and claims
or any portion of applications and claims for rebates that would
exceed the balance of available fun ds in the Commerce Manufacturing
Activity Development Fund.
3. The total amount of applications approved and investme nt
rebate payments awarded under the provisions of t his act shall not
exceed the total amount of monies des ignated by law for deposit to
the Commerce Manufacturing Activity Development Fund.
E. 1. Subject to the approval and ongoing review of the
eligibility applicatio n by the Oklahoma Department of Comme rce, the
investment rebate payment authorized by this a ct shall be equal to
six and twenty-five hundredths percent (6.25%) of the cost of the
qualified capital expenditure in the year of expenditure.
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2. The Department is authorized to conditionally pre -qualify
and account for anticipated future investment reb ate payments. The
Oklahoma Department of Commerce shall not pre-qualify investment
rebate payments, encumber funds, pre -encumber funds, or otherwise
allocate resources that would result in the allocat ion of investment
rebate payments in excess of the bala nce of available funds in the
Commerce Manufacturing Activity Development Fund.
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 for the
Oklahoma Department of Commerce to be designated the “Commerce
Manufacturing Activity Development Fund ”. The fund shall be a
continuing fund, not subject to fisc al year limitations, and shall
consist of all monies designated for deposit to the fund by law.
All monies accruing to the credit of the fund are he reby
appropriated and may be budgeted and expended b y the Department for
the purpose of paying rebates as p rovided in this act. Expenditu res
from such fund shall be made upon warrants issued by the State
Treasurer against claims filed as prescribed by law with the
Director of the Office of Management and E nterprise Services for
approval and payment.
B. All unencumbered funds remaining in t he Commerce
Manufacturing Activity Development Fund upon January 1, 2030, shall
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be transferred to the State Treasurer for deposit in the General
Revenue Fund.
COMMITTEE REPORT BY: COMMITTEE ON APPROPRIATIONS AND BUDGET, dated
04/18/2024 - DO PASS, As Amended.