Oklahoma 2025 Regular Session

Oklahoma House Bill HB2838 Compare Versions

Version 1 (Old)

Version 2 (New)

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3		-	ENGR. H. B. NO. 2838 Page 1 1
	3	+	HB2838 HFLR Page 1
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28		-	ENGROSSED HOUSE
29		-	BILL NO. 2838 By: Grego and Burns of the
	29	+	HOUSE OF REPRESENTATIVES - FLOOR VERSION
	30	+
	31	+	STATE OF OKLAHOMA
	32	+
	33	+	1st Session of the 60th Legislature (2025)
	34	+
	35	+	HOUSE BILL 2838 By: Grego and Burns of the
30	36		House
31	37
32	38		and
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34	40		Murdock of the Senate
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	45	+	AS INTRODUCED
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40	47		An Act relating to agricultural economic development;
41	48		enacting the Oklahoma Certified Meat Processing
42	49		Facility Incentive Act of 202 5; providing for
43	50		creation of the Oklahoma Certified Meat Processing
44	51		Facility Incentive Approval Board; prescribing
45	52		membership; providing for eligibility of entity fo r
46	53		incentive payments; imposing requirements and
47	54		restrictions with respect to equity ownership;
48	55		providing for repayment of incentives under certain
49	56		circumstances; authorizing St ate Auditor and
50	57		Inspector to conduct audit of books and records;
51	58		authorizing audit by third party; requiring certain
52	59		characterization of incentive payments for purposes
53	60		of repayment requirements; providing for enforcement
54	61		and collection of incentive repayment by Oklahoma Tax
55	62		Commission; imposing requirements with respect to
56	63		processing facility inputs; creating the Oklahoma
57	64		Certified Meat Processing Facility Incentive
58	65		Revolving Fund; providing for sources of revenue;
59	66		prescribing purpose of fund; providing fo r
60	67		expenditures from fund; providing for
61	68		noncodification; providing for codificat ion;
62	69		providing an effective date; and declaring an
63	70		emergency.
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68	75		BE IT ENACTED BY THE PEOP LE OF THE STATE OF OKLAHOMA:
69		-	SECTION 1. NEW LAW A new section of law not to be
70		-	codified in the Oklahoma Statutes reads as follows:
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72		-	ENGR. H. B. NO. 2838 Page 2 1
	77	+	HB2838 HFLR Page 2
	78	+	BOLD FACE denotes Committee Amendments. 1
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	103	+	SECTION 1. NEW LAW A new section of law not to be
	104	+	codified in the Oklahoma Statutes reads as follows:
97	105		This act shall be known and may be cited as the "Oklahoma
98	106		Certified Meat Processing Facility Incentiv e Act of 2025".
99	107		SECTION 2. NEW LAW A new section of la w to be codified
100	108		in the Oklahoma Statutes as Section 2121 of Title 62, unless th ere
101	109		is created a duplication in numbering, reads as follows:
102	110		A. There is hereby created the Oklah oma Certified Meat
103	111		Processing Facility Incentive Approval Board. The Board shall
104	112		consist of the following persons:
105	113		1. Three persons to be appointed by the G overnor;
106	114		2. The Chair of the standing committee of the Oklahoma House of
107	115		Representatives having p rimary jurisdiction with respect to
108	116		legislation affecting agriculture or agric ultural products;
109	117		3. The Chair of the standing committee of the Oklahoma State
110	118		Senate having primary jurisdiction with respect to legislation
111	119		affecting agriculture or agricultur al products;
112	120		4. One person to be selected by the Chair of the committee of
113	121		the Oklahoma House of Representatives having primary jurisdiction
114	122		with respect to legislation affecting agriculture or agricultural
115	123		products; and
116	124		5. One person to be selected by t he Chair of the standing
117	125		committee of the Oklahoma State Senate having primary jurisdiction
118		-	with respect to legislation affecting agriculture or agricultural
119		-	products.
120	126
121		-	ENGR. H. B. NO. 2838 Page 3 1
	127	+	HB2838 HFLR Page 3
	128	+	BOLD FACE denotes Committee Amendments. 1
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	153	+	with respect to legislation affecting agriculture or agricultural
	154	+	products.
146	155		B. In order to be eligible for any payment of funds from the
147	156		Oklahoma Certified Meat Pr ocessing Facility Incentive Revolving
148	157		Fund, an otherwise eligible business entity shall:
149	158		1. Be organized pursuant to the laws of any state of the United
150	159		States of America;
151	160		2. Not allow the majority of its equity interest to be owned
152	161		by:
153	162		a. a natural person who is not a citizen of the United
154	163		States,
155	164		b. a legal entity which is not a n entity organized under
156	165		the laws of any of the states of the United States,
157	166		c. a legal entity, regardless of the state of its
158	167		formation, the majority equity interest of which is
159	168		owned by natural persons who are not United States
160	169		citizens,
161	170		d. a legal entity, regardless of the state of its
162	171		formation, the majority equity interest of whi ch is
163	172		owned by an entity or entities the majority equity
164	173		interest of which is itself owned by one or more
165	174		natural persons who are not United States citizens,
166	175		and
167		-	e. a legal entity, regardless of the state of its
168		-	formation, the majority equity interest of which is
169		-	owned by any combination of natural persons who are
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171		-	ENGR. H. B. NO. 2838 Page 4 1
	177	+	HB2838 HFLR Page 4
	178	+	BOLD FACE denotes Committee Amendments. 1
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	203	+	e. a legal entity, regardless of the state of its
	204	+	formation, the majority equity interest of w hich is
	205	+	owned by any combination of natural persons who are
196	206		not United States citizens and other l egal entities if
197	207		the majority equity interest of any one or more of
198	208		such entities is owned either by a natural person or
199	209		persons who are not United States cit izens or if the
200	210		majority equity interest of any one or more of such
201	211		other legal entities is contro lled, directly or
202	212		indirectly, by natural persons who are not United
203	213		States citizens; and
204	214		3. Use at least fifty percent (50%) of inputs in the processing
205	215		facility acquired from either a resident of the state or a legal
206	216		entity the majority equity interest o f which is owned by one or more
207	217		residents of the state or a combination of natural persons who are
208	218		residents of the state and other legal entities the control ling
209	219		equity interest of which is owned, directly or indirectly, by one or
210	220		more residents of the st ate.
211	221		C. As used in this section, "majority equity interest" means
212	222		the shares or equivalent evidence of equity ownership in the entity
213	223		with voting rights havi ng the power to select a board of directors
214	224		or an equivalent governing body for the entity.
215	225		D. If an entity receives funds pursuant to the provisions of
216	226		this act and pursuant to an audit of the books and records of the
217		-	entity it is determined that the restrictions regarding alien
218		-	ownership of the voting equity interest have been violated, the
219		-	amount of incentives paid to th e entity shall become the equivalent
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221		-	ENGR. H. B. NO. 2838 Page 5 1
	228	+	HB2838 HFLR Page 5
	229	+	BOLD FACE denotes Committee Amendments. 1
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	254	+	entity it is determined that the res trictions regarding alien
	255	+	ownership of the voting equity interest have been violated, the
	256	+	amount of incentives paid to the entity shall become the equivalent
246	257		of a state tax owed by the entity and the Oklahoma Tax Commission
247	258		shall have all of the same proce dures and remedies to enforce the
248	259		repayment of the incentive amount in the same manner as with res pect
249	260		to any other state tax liability, including, but not limited to, the
250	261		provisions of the Uniform Tax Procedure Code.
251	262		E. The State Auditor and Inspector sh all have the right to
252	263		examine the books and records of any entity receiving incentive
253	264		payments pursuant to the provisions of this act in order to enforce
254	265		the provisions of subs ection B of this section and to assist in the
255	266		enforcement of the liabilities as described in subsection C of this
256	267		section. Any entity receiving incentive payments pursuant to th e
257	268		provisions of this act shall provide access to its books and records
258	269		to the State Auditor and Inspector or to any third -party auditor
259	270		engaged by the State A uditor and Inspector in order to enforce the
260	271		provisions of subsection B and subsection C of this s ection.
261	272		SECTION 3. NEW LAW A new section of law to be codified
262	273		in the Oklahoma Statutes as Section 2122 of Title 62, unless there
263	274		is created a duplication in numbering, reads as follows:
264	275		There is hereby created in the State Treasury a revolving fund
265	276		for the Oklahoma Department of Agriculture, Food , and Forestry to be
266	277		designated the "Oklahoma Certified Meat Processing Facility
267		-	Incentive Revolving Fund". The fund shall be a continuing fund, not
268		-	subject to fiscal year limitations, and shall consist of all mo nies
269		-	received by the Oklahoma Department of Agriculture, Food , and
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271		-	ENGR. H. B. NO. 2838 Page 6 1
	279	+	HB2838 HFLR Page 6
	280	+	BOLD FACE denotes Committee Amendments. 1
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	305	+	Incentive Revolving Fund". The fund shall be a continuing fund, not
	306	+	subject to fiscal year limitations, and shall consist of all monies
	307	+	received by the Oklahoma Department of Agriculture , Food, and
296	308		Forestry from such sources as may be provided by law. All monies
297	309		accruing to the credit of said fund are hereby appropriated and may
298	310		be budgeted and expended by the Oklahoma Department of Agriculture,
299	311		Food, and Forestry for the purpose of providing incentives to
300	312		qualified entities to acquire and operate or to operate faci lities
301	313		for the processing of certified meat produced within the state.
302	314		Expenditures from said fun d shall be made upon warrants issued by
303	315		the State Treasurer against claims fil ed as prescribed by law with
304	316		the Director of the Office of Management and Enterp rise Services for
305	317		approval and payment.
306	318		SECTION 4. This act shall become effectiv e July 1, 2025.
307	319		SECTION 5. It being immediately necessary for the preservation
308	320		of the public peace, health or safety, an emergency is hereby
309	321		declared to exist, by reason whereof this act shall take effect and
310	322		be in full force from and afte r its passage and approval.
311		-	Passed the House of Representatives the 13th day of March, 2025.
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316		-	Presiding Officer of the House
317		-	of Representatives
318		-
319		-	Passed the Senate the ____ day of __________, 2025.
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324		-	Presiding Officer of the Senate
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	324	+	COMMITTEE REPORT BY: COMMITTEE ON APPROPRIATIONS AND BUDGET, dated
	325	+	03/06/2025 - DO PASS, As Coauthored.