OKLAHOMA CITY (KFOR) – Gov. Kevin Stitt vetoed a bill which he says would have eliminated a critical recruitment tool for economic developers.
Stitt vetoed Senate Bill 1595.
“I want the world to know Oklahoma is open for business,” Stitt said. “As governor, my job is to protect Oklahomans from bad legislation that would hurt our state. This bill was passed late on a Friday night with little debate or discussion, and I cannot go along with something that is so forced in at the last hour that some legislators didn’t even know what they were voting for.”
A news release from Stitt’s office said the bill would have repealed an ad valorem tax exemption offered by a majority of states, including all states surrounding Oklahoma.
Stitt’s office cited the Oklahoma Tax Commission, which said ad valorem exemptions claimed are estimated to be associated with at least $13.43 billion in qualifying capital investment activities and more than 75,000 jobs in Oklahoma over the past five years.
Oklahoma City Mayor David Holt’s support of Stitt’s veto was quoted in the news release.
“There are several recent important projects in our city that used this incentive, and it’s important that we continue to be a predictable partner as we work with job creators. I think the governor is doing the right thing here in vetoing SB 1595. Especially at a time like this, we need all the economic development tools we have. If there are conversations that need to occur about adjustments to this incentive, I’m confident everyone is open to that, but it’s best for our future economic growth that those discussions occur thoughtfully,” Holt said.
Chad Warmington, State Chamber President and CEO, also supports the veto.
“Businesses crave certainty and operate under the assumptions that their state partner will keep its word when incentives are offered and investments are made. With his veto, Governor Stitt today reaffirmed his assurances that the State of Oklahoma is open for business and can be trusted to follow through on their commitments,” Warmington said. “We look forward to thoughtful and open conversations with the Governor and the legislature regarding the exemption and the value it has provided, while ensuring any adjustments to it are made through the proper legislative channels.”
