Oklahoma Budget Overview: Trends and Outlook, June 2010

8/9/2019 Oklahoma Budget Overview: Trends and Outlook, June 2010

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OKLAHOMA BUDGET OVERVIEW

Trends and Outlook

FULLY UPDATED June 17, 2010

David Blatt

Oklahoma Policy [email protected] - (918) 794-3944
mailto:[email protected]:[email protected]


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Oklahomas Path to Prosperity

OUR STARTING POINTGovernment is among our means of

achieving our common goals as astate --- alongside private businesses,non-profit organizations, faith groups

and families.


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OUR STARTING POINTWithout a strong and effective public sector, ourfamilies, communities and businesses cannot thrive

We depend on our state and local governments to

help: Educate our children and train our workforce;

Protect our streets and investigate crimes;

Maintain and upgrade our roads and bridges;

Pay for much of the medical care provided by private doctors,

nurses, therapists, home health aides, etc.

Inspect our water supply;

Support our farmers, investors, and manufacturers;

Take care of those at risk of harm and abuse.


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We Already Lag Behind Oklahoma already underfunds most of our publicstructures and falls short of many of our common goals asa state. For example:

Our teacher pay is among the lowest in the nation;

We have among the highest rates of heart disease, obesity,smoking, and uninsured;

Our community-based social service providers have gone yearswithout rate increases;

Our correctional facilities are overcrowded and understaffed.

The ongoing state budget crisis risks a serious andlong-term corrosion of our public structures that willweaken our prosperity, security and well-being.


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Budget Trends: FY 02 FY 09

Annual Appropriations Totals,FY 00FY 08(Includes Supplementals thru FY 08 and Rainy Day spillover Funds for

Recurring Agency Expenditures) - in $millions

FY 02 FY 08: Bust and BoomState budget suffered steep downturn, deep cuts, 02 - 04

Strong economy led to robust revenue growth and increased stateappropriations between FY 06 and FY 08

$4,981

$5,389 $5,491$5,191 $5,145

$5,459

$6,217

$6,760$7,043

$4,000

$4,500

$5,000

$5,500

$6,000

$6,500

$7,000

$7,500

FY'00 FY'01 FY'02 FY'03 FY'04 FY'05 FY'06 FY'07 FY'08


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Where did the growth revenue go?

Covering rising costs of basic services and supportingtargeted investments for shared goals;

80 percent of new dollars went to six core agencies.

Increased State Appropriations, Selected Agencies,FY 06 FY 08

Dept. of Education: $453M

Health Care Authority: $289M

Higher Education: $271M

Human Services: $129M

Corrections: $80M

Transportation: $72.5M*



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Lost Revenues from Select Tax Cuts Enacted 2004 - 2006FY'05 through FY'10 (in $ millions)

$18.7$144.8

$333.3

$561.8$651.1

$776.9

$0.0

$200.0

$400.0

$600.0

$800.0

FY'05 FY'06 FY'07 FY'08 FY'09 FY'10source : Oklahoma Tax Commission

Tax Cuts had a long-term impact Most of the cuts were to the personal income tax

Tax cuts were stretched out over several years; full impactwill not be felt until FY 11



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Budget Trends: FY 02 - FY 09

FY07 FY08: Revenue Slowdown

As tax cuts kicked in and tax breaks multiplied, GeneralRevenue collections were almost flat in FY 08 comparedto FY 07 (+%0.9, $54 million)

-6.6%-5.3%

10.6%

7.6%

14.8%

4.0%

0.9%

-10.0%

-5.0%

0.0%

5.0%

10.0%

15.0%

20.0%

FY '02 FY '03 FY '04 FY '05 FY '06 FY '07 FY '08

Annual % Change in General Revenue Collections, FY '03 - FY '08


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Budget Trends: FY 02 - FY 09

FY 09 Budget: Tightening the Screws Most agencies appropriations frozen for FY 09

No funding for benefit cost increases teacher salary increases, stateemployee raises

FY 09 excludes supplementals and mid-year budget cut


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Source: Center on Budget and Policy Priorities


Things Are Tough All Over

All but two states are experiencing the state fiscal crisis

Combined state budget gaps for FY 09 FY 12 estimated toreach $600 billion


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The Recession Hit Oklahoma Late 2008

Monthly Oil and Gas Prices, 1986 - 2010

$-

$20.00

$40.00

$60.00

$80.00

$100.00

$120.00

$140.00

$160.00

$-

$2.00

$4.00

$6.00

$8.00

$10.00

$12.00

Jan-1986

Jan-1987

Jan-1988

Jan-1989

Jan-1990

Jan-1991

Jan-1992

Jan-1993

Jan-1994

Jan-1995

Jan-1996

Jan-1997

Jan-1998

Jan-1999

Jan-2000

Jan-2001

Jan-2002

Jan-2003

Jan-2004

Jan-2005

Jan-2006

Jan-2007

Jan-2008

Jan-2009

Jan-2010

U.S. Natural Gas Wellhead Price (Dollars per Thousand Cubic Feet)

Cushing, OK WTI Spot Price FOB (Dollars per Barrel)


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See OK Policy, Numbers You Need, at:

http://okpolicy.org/numbers-you-need-key-oklahoma-economic-and-budget-trends

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.08.0

9.0

10.0

Jan-80

Mar-81

May-82

Jul-83

Sep-84

Nov-85

Jan-87

Mar-88

May-89

Jul-90

Sep-91

Nov-92

Jan-94

Mar-95

May-96

Jul-97

Sep-98

Nov-99

Jan-01

Mar-02

May-03

Jul-04

Sep-05

Nov-06

Jan-08

Mar-09

%Umpo

Oklahoma Monthly Unemployment Rate(Seasonally-Adjusted), 1980-2010

Apr 2010:

6.6%


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-5.0%

-3.0%

-1.0%

1.0%

3.0%

5.0%

2007.4 2008.1 2008.2 2008.3 2008.4 2009.1 2009.2 2009.3 2009.4

% Change from PriorQuarter

Quarterly Change in Personal Income,Oklahoma and National,

4th Quarter 2007 to 4th Quarter 2009

U.S. Oklahoma


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Its A Revenue Problem Jan 2009 Feb 2010: Revenues fell by a monthlyaverage of 23.1 percent compared to the same month forthe prior year

Finally seeing clear signs that the downturn has hitbottom and revenues are starting to climb back

11.1% 10.8%

1.3%

10.4%12.8%

7.1%

-8.5%

-21.5%-19.1%

-21.1%

-27.7%-30.1%

-26.3%

-31.6%-30.1%

-23.7%

-30.5%-29.1%

-16.7%

-7.3%

1.6%

-0.2%

6.0%

-40.0%

-30.0%

-20.0%

-10.0%

0.0%

10.0%

20.0%

July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June July Aug Sept. Oct Nov Dec Jan Feb Mar Apr May

Change in Monthly General Revenue Collections, Compared to Same Month Prior Year,

July '08 - May '10


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Its a Revenue Problem For most of FY 10, monthly revenue collections have been 15to 25 percent their 5-year historical average for the same month

Collections are recovering but remain below their pre-downturn levels

92.0%

60%

70%

80%

90%

100%

110%

120%

130%

Jul'08

Aug'08

Sep'08

Oct'08

Nov'08

Dec'08

Jan'09

Feb'09

Mar'09

Apr'09

May'09

Jun'09

Jul'09

Aug'09

Sep'09

Oct'09

Nov'09

Dec'09

Jan'10

Feb'10

Mar'10

Apr'10

May-10

Monthly Total General Revenue Collections as % of Prior Five-Year Same-MonthAverage, July 2008 - May 2010


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Its a Revenue Problem Four consecutive quarters of worsening collections

Revenue drops more than twice as steep as during thelast downturn

-12.1%

9.9%

-29.5%

-8.3%

-40.0%

-20.0%

0.0%

20.0%

40.0%

Q1

FY

'02

Q3

FY

'02

Q1

FY

'03

Q3

FY

'03

Q1

FY

'04

Q3

FY

'04

Q1

FY

'05

Q3

FY

'05

Q1

FY

'06

Q3

FY

'06

Q1

FY

'07

Q3

FY

'07

Q1

FY

'08

Q3

FY

'08

Q1

FY

'09

Q3

FY

'09

Q1

FY

'10

Q3

FY

'10

Quarterly Year-over-Year Change in GR Collections,Oklahoma, FY '02 - FY'10 (Q3)


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Its a Revenue Problem FY 10 General Revenue projected to be 25 percent below pre-

downturn (FY 08) levels;

FY 10 GR collections less than FY 01 without adjusting forinflation or population growth

$4,717

$4,408

$4,174

$4,616

$4,966

$5,701

$5,935 $5,953

$5,518

$4,475

$4,000

$4,500

$5,000

$5,500

$6,000

FY '01 FY '02 FY '03 FY '04 FY '05 FY '06 FY '07 FY '08 FY '09 FY '10

(proj.)

General Revenue Collections,FY '01 - FY '10 (in $millions)


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Its a Revenue Problem

Between FY 08 and FY 10, GR Collections expected to fall by:

Gross production tax : -53 percent

Corporate income tax : -45 percent

Personal income tax : -26 percent

Sales tax : -8 percent

$-

$500

$1,000

$1,500

$2,000

$2,500

FY'06 FY'07 FY'08 FY'09 FY'10(Proj.) FY'11(Est.)

Oklahoma General Revenue Collections by Major Tax,FY '06 - FY '11 (in $ millions)

Personal Income Tax Corporate Income Tax Gross Production

Sales Tax Motor Vehicle


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This is As Bad as Its Ever Been

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

1982

1983

1984

1985

1986

1987

1988

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

Annual General Revenue Collections, in $ millions,

FY '82 - FY '11 (FY '10 & FY'11 based on Feb. 2010 certification)


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FY 10 Budget: Revenues on the Skids

5,407.2

5,649.2

5,981.1 5,946.45,902.7

5,710.0

5,356.6

5,000

5,500

6,000

6,500

FY '06 Actual Fy '07 Actual FY '08 Actual FY '09 June FY '09

December

FY '09

February

FY '10

Feburary

General Revenue Collections,FY '06 Actual - FY '10 Estimated (in $million)

In February, FY 10 revenues estimated to come in >$600million below FY09 ;


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FY 10 Initial Budget

NOTE: FY 09 totals do not include June budget cuts

$7,231.2 million total, including $641 million ARRA (stimulus)

Increase in total appropriations of $106 million (1.5 percent)compared to FY 09

State dollars only: $500 million less than in FY 09

$4,981

$5,389 $5,491

$5,191 $5,145

$5,459

$6,217

$6,760

$7,043

4,000

4,500

5,000

5,500

6,000

6,500

7,000

7,500

FY'00 FY'01 FY'02 FY'03 FY'04 FY'05 FY'06 FY'07 FY'08 FY'09 FY'10State Appropriations ARRA

$30ARRA

$7,125 $7,231

$641ARRA

$7,095State

$6,590State

State Appropriations History, FY '00 - FY '10 in $millions)(includes supplementals, excludes one-times from Rainy Day Spillover funds)


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FY 10 Initial Budget Stimulus funds made it possible to minimize cuts orprovide small increases to ten largest state agencies andsome smaller ones

Funding for 10 largest agencies up $161 million, 2.6

percent Most smaller agencies took cuts of 5 to 7 percent

No funding to address rising employee benefit costs orinflation (e.g. utilities, transportation, food)

Demands for some state services increase due to thedownturn

See: OK Policy FY 10 Budget Review at:

http://okpolicy.org/fy-10-budget-information


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FY 10 : Off to a Very Rough Start Collections through January were $864 million 24.9 percent -below the estimate.

After seven months of significant shortfalls, collections startingin February have come close to or exceeded the estimate.

-$401

-$180 -$200

-$11-$72

-$864-$1,000

-$800

-$600

-$400

-$200

$0

Net Income

Tax

Gross

Production

Sales Tax Motor

Vehicle

Other

Sources

Total Gen.

Revenue

General Revenue Collections compared toEstimate, by Tax, FY '10 thru Jan (in $millions)

-$420

-$26

-$236

-$2-$98

-$781

-$1,000

-$800

-$600

-$400

-$200

$0

Net Income

Tax

Gross

Production

Sales Tax Motor

Vehicle

Other

Sources

Total Gen.

Revenue

General Revenue Collections compared to

Estimate, by Tax, FY '10 thru May (in $millions)


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FY 10 : How Large a Shortfall? February certification projected a $669 million (13.0percent) shortfall in FY 10 GR collections.

$109 million projected shortfall in HB 1017 Fund as well

Total mid-year shortfall of $778 million

$5,415

$5,145

$4,476

$4,000

$4,500

$5,000

$5,500

100% Estimate - June Appropriation (95%) February Projection

FY '10 General Revenues - Original vs.Revised Projections

$669million


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FY 10 : What Response? OSF cut agenciesGR allocations by 5 percent beginning inAugust and by 10 percent beginning in December

Cuts were across-the-board based on GR allocations

Since some agencies are partly or fully appropriated fromother funds (i.e. 1017 Fund, State Transportation Fund,ARRA), agencies are not all affected equally

Cuts limited to less than shortfall through by borrowing fromcash reserves of various funds that must be repaid

$320.9 million borrowed in first 7 months of the year

Fully repaid by May


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FY 10 : What Response? Rainy Day Fund was filled to maximum amount of $597million

Left untouched for initial FY 10 budget

$157.5

$340.9

$72.3

$0.1

$217.5

$461.3$496.7

$571.6$596.6

$0

$100

$200

$300

$400

$500

$600$700

2001 2002 2003 2004 2005 2006 2007 2008 2009

Rainy Day Fund Balances, FY '01 - FY '09(opening balance in $ millions)


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FY 10 : What Response? Rainy Day Fund can be accessed as follows:

3/8th for a mid-year shortfall in GR collections; ($224M)

3/8th for a projected decline in GR collections for the comingyear compared to the current year ($224M);

1/4th upon declaration of an emergency and legislative approval($149M)

Current Year

RevenueFailure, 37.5% -

$224M

Forthcoming

Year Shortfall,

37.5% - $224M

Emergency,

25.0% - $149M

Uses of Constitutional

Reserve Fund


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FY 10 Mid-Year Budget AgreementAgreements announced by Governor, Speaker andPresident Pro Tem in January and February

Continued 10 percent monthly cuts to GR for rest of year

Averages out to 7.5 percent of GR for full year

Supplemental funding to various agencies to offset part of GRand HB 1017 shortfalls (Common Ed, Higher Ed, OHCA,Corrections, others)

After supplementals, mid-year cuts equaled $272 million (3.8percent)

Additional revenues needed to balance: $223.7 million of Rainy Day Fund (3/8th), $151 million more

stimulus money, plus additional gross production taxrevenues and other sources


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FY 10 Mid-Year Budget Agreement Total revised budget was $272 million (3.8%) less thaninitial; $165 million (2.4%) less than FY 09;

Almost $1.5billion (21%) of revised FY 10 budget madeup of non-recurring money

$6,793

$6,220$5,462

$301

$371

$435

$30$641

$838

$224

$4,000

$4,500

$5,000

$5,500

$6,000

$6,500

$7,000

$7,500

FY '09 FY '10 - Initial FY '10 - Revised

State Recurring Cash Stimulus (ARRA) Rainy Day Fund

State Appropriations, FY '09 - FY '10,

Total and by Funding Source (in $millions)

Total= $7,124 million Total= $7,231 millionTotal= $6,959 million


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FY 10 Mid-Year Budget Agreement Agencies funded in whole or in part with non-GR fundsand those receiving supplementals absorbed less than full 7.5percent cut

FY '10 Budget Cuts: 12 Largest Agencies, Total Budget

Agency

FY '09 (Final) -

FY '10 (Final)

FY '10 (Initial) -

FY '10 (Final)Mental Health -10.0% -7.2%

District Courts -9.6% -2.8%

Health Department -8.2% -7.4%

Public Safety -8.1% -4.3%

Career Tech -7.6% -7.3%

Juvenile Affairs -7.2% -7.3%

Transportation -7.0% -7.5%

Human Services -6.6% -5.7%

Corrections -5.3% -5.3%

Common Education -3.4% -4.9%

ALL AGENCIES -2.8% -4.2%

Higher Education -0.2% -3.1%

Health Care Authority 12.4% 0.1%


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FY 10: Impact of Cuts Even with all the additional revenue to reduce the size ofcuts , the toll on services and programs has been significant:

Department of Mental Health and Substance Abuse Services reducedbeds and closed centers for childrens mental health and adultsubstance abuse, cut contracts to all providers;

OJA cancelled youth detention and gang prevention programs, cutproviders 5 percent, authorized 22 furlough days;

OHCA cut some Medicaid benefits and reduced all provider rates by3.5 percent;

Health Department eliminated 17 child guidance centers serving pre-school children with developmental delays

Department of Corrections cut contracts, eliminated programs,reduced staffing to under 75 percent of authorized levels;

School districts eliminating programs, some going to 4-day weeks;

DA offices prosecuting fewer criminals;

Most agencies leaving positions unfilled, offering buy-outs; manyimposing furloughs.


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FY 11 Budget: The Challenge Escalates FY 11 revenue collections projected to grow onlyslightly from FY 10 and to remain almost 25 percentbelow pre-downturn (FY 08) levels

$5,714

$5,928 $5,981

$5,519$5,415

$ 4,475

$4,579

$4,000

$4,500

$5,000

$5,500

$6,000

FY '06 Actual FY '07 Actual FY '08 Actual FY '09 Actual FY '10 (June

estimated)

FY '10 (Feb

projected)

FY '11 (Feb

estimated)

General Revenue Collections,FY '06 Actual - FY '11 Estimated (in $ millions)


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FY 11 Budget: The Challenge Escalates Final FY 11 certification provided $1.8 billion lessrevenue for next year than FY 10 initial budget , $1.5billion less than final FY 10 budget

$7,043 $7,124$7,231

$6,452

$6,959

$5,294 $5,415

$6,797

$4,000

$5,000

$6,000

$7,000

$8,000

FY'08 FY'09 FY'10 -

initial

budget

FY '10 -

projected

revenues

(Feb)

FY '10 -

Revised

FY '11 -

Certified

State $

(Dec)

FY '11 -

Certified

State $

(Feb)

FY '11 -

Gov

Budget

State Appropriations, FY'08-FY '11(includes all revenues and supplementals;

in $ millions)


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FY 11 Budget: The Challenge Escalates To budget the balance, Gov. Henry proposed:

Annualizing and increasing FY10 cuts by an additional 0.5percent to 3 percent for all agencies.

Using remaining stimulus funds and a portion of remaining

Rainy Day Funds. Savings from consolidating agencies and IT services.

New bond issues.

Enhanced tax collection proposals, particularly increased salestax collections on Internet sales and automated enforcement of

vehicle insurance;

Eliminating and suspending various tax credits;

Increases in fees and permits.


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FY 11 Budget: The Challenge Escalates 2010 Session focused on which, if any, revenue measures wouldbe adopted to bridge the budget gap.

Assuming maintenance of FY 10 budget cuts, the use of allremaining stimulus funds and 3/8ths of Rainy Day Fund, FY 11budget gap exceeded $800 million.

Equivalent to an additional 12 percent cuts to all agencies ofstate government beyond the cuts already enacted.

Agency scenarios of how to absorb cuts of an additional 7.5percent to 15 percent in FY 11 left no doubt of the grave threatsthat would be posed to the state economy and to the health and

security of Oklahomans. Many cuts would be multiplied by loss of federal matching

funds.

See OK Policy, Bridging the Budget Gap,:http://okpolicy.org/files/bridgingthegap_1pg.pdf


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FY 11 Budget Agreement Total appropriations for FY 11 = $6.714 billion. 7.2 percent decrease (-$517.5 million) from the initial FY 10

budget and 3.5 percent decrease (-$245.4 million) from thefinal FY 10 budget after mid-year cuts

$4,906

$5,389$5,412

$4,922$5,073

$5,240

$6,217

$6,760$7,043

$7,095

$6,590

$5,897 $5,802

$219

$30

$641

$838

$539

$75

$79

$269 $72

$224

$373

$4,000

$4,500

$5,000

$5,500

$6,000

$6,500

$7,000

$7,500

FY'00 FY'01 FY'02 FY'03 FY'04 FY'05 FY'06 FY'07 FY'08 FY'09 FY'10 -

Initial

FY '10

- Final

FY '11

FIG. 1: State Appropriations History, FY '00 - FY 11(in $millions; FY '00-FY'10 includes supplementals, excludes one-times from

Rainy Day Spillover Funds )

State Revenues Federal Relief Rainy Day Fund


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FY 11 Budget AgreementAppropriated over $1.35 billion in additional revenues ontop of those certified in February. These included:

$539 million from the 2009 stimulus bill

Remaining $373 from the Rainy Day Fund

$450 million from assorted revenue enhancements

Suspending and deferring payment of tax credits

Issuing and refinancing bonds

Fee and permit increases

Transfers of cash balances

About $225 million of the total $1.35 billion in additionalrevenue is recurring; the rest is one-time


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FY 11 Budget Agreement

Common Ed.,$2,375.6 , 35%

Higher Ed.,$1,003.5 , 15%

OHCA (Medicaid),$993.0 , 15%

DHS, $543.1 , 8%

Corrections, $462.1, 7%

Transportation,$114.8 , 2%

Mental Health,$187.7 , 3%

Career Tech, $142.0, 2%

Juv. Affairs, $99.2 ,1%

Public Safety, $88.4, 1%

All Other Agencies,$704.3 , 11%

TotalAppropriations:$6,713.7 millionIncludes stimulus,Rainy Day Fund

Total TenLargest:$6,009.4,89.5%

Notes:Transportation also received$65 from bond issue;OHCA includes $30m transferfrom Insure Oklahoma Fund;excludes Health Carrier Access

Agency Appropriations 10 Largest, Others, Total


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FY 11 Budget Agreement Funding cuts limited to under 10 percent for most of the largeststate agencies;

However, over half of all appropriated agencies will absorb cutsof at least 15 percent for FY 11 compared to FY 09.

In some cases, appropriations cuts have been partly offset byfee increases. In addition, the Legislature has approved measuresto promote savings and efficiencies and give agencies and schooldistricts greater flexibility

For most agencies and school districts, no additional funding tocover increased employee health care costs, general inflation or

rising caseloads.

Cuts, furloughs, hiring freezes, layoffs will continue in FY 11

See OK Policys FY 11 Budget Highlights at:

http://okpolicy.org/fy-10-fy-11budget-

information


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Budget Outlook: Looking Ahead

Budget Outlook: No Quick Recovery Revenues unlikely to recover to pre-downturn nominallevels prior to FY 13

$5,928 $5,981

$5,544

$4,439

$4,735

$5,275

$5,945

$4,000

$4,500

$5,000

$5,500

$6,000

$6,500

FY 07 (act.)FY 08 (act.)FY 09 (act.)FY 10 (est.)FY 11 (est.)FY 12 (est.)FY 13 (est.)

R

n$mio

Fiscal Year

Historical and Projected Revenue, FY'07-FY'13General Revenue Fund

Estimates by OKPolicy - not based onFeb 2010

certification


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Budget Outlook: No Quick Recovery Substantial reliance in FY10 11 on non-recurringrevenue creates significant problems for FY 12 and FY 13

Time-released tax cuts still kicking in

Top rate will fall from 5.5% to 5.25% as soon asrevenues are projected to grow 4%... even if revenuesremain below pre-downturn levels

Additional revenues automatically allocated for ROADSand OHLAP

Possible passage of SQ 744 (mandatory K-12 educationfunding increases) could throw everything into chaos


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Short-Term Recommendations1. Defer additional tax cuts until revenues fully recover

2. Serious review of tax credits and exemptions to determinewhich are needed and effective

3. Consider new revenue streams for the Medicaid program

4. Consolidation of functions and agencies where duplicativeor unnecessary

5. Prioritize prevention, diversion and surveillance overdetention

6. Prepare for next downturn by strengthening our reservefunds and improving our forecasting capacities


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Structural deficit: Asituation that occurswhen a states normal

growth of revenues isinsufficient to finance

the normal growth ofexpenditures year afteryear

(CBPP, Faulty Foundations: State Structural

Budget Problems)

Long-Term Fiscal Outlook

Oklahoma like most states and the federal government faces a looming structural budget deficit


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Projected Annual Budget Surpluses and Deficits

Before and After 2004-2006 Tax Cuts (2007 to 2035)

(2,500)

(2,000)

(1,500)

(1,000)

(500)

0

500

1,000

2007 2009 2011 2013 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2035Y e a r

Mion$2005

B e f o r e T a x C u t s

A f t e r T a x C u t s

Oklahomas Structural Deficit

Source: Projections conducted in 2007 by Dr. Kent Olson, Professor ofEconomics, Oklahoma State University


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Long-Term Recommendations1. Serious review of our tax system

2. Scrutinize our programs and spendingcommitments

3. Give control for making decisions about revenuesand spending back to our elected representatives



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For More Information

Updated Budget Information:okpolicy.org/fy-10-fy-

11budget-information

Oklahoma Policy Institutes OnlineBudget Guide

www.okpolicy.org/online-

budget-guide
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Oklahoma Budget Overview: Trends and Outlook, June 2010

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Transcript of Oklahoma Budget Overview: Trends and Outlook, June 2010