1 STATE OF OKLAHOMA
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2 2nd Session of the 59th Legislature (2024)
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3 HOUSE BILL 3240 By: Lawson
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4
4
5
5
6 AS INTRODUCED
6
7 An Act relating to sales tax code; amending 68 O.S.
7 2021, Section 1353, as last amended by Section 2,
8 Chapter 290, O.S.L. 2023 (68 O.S. Supp. 2023, Section
8 1353), which relates to apportionment of sales tax
9 revenues; modifying apportion of sales tax revenue;
9 removing the limitation on apportionment to the
10 Oklahoma Tourism Promotion Revolving Fund; removing
10 the limitation on apportionment to the Oklahoma
11 Tourism Capital Improvement Revolving Fund; modifying
11 the destination for funds over the limitation
12 provided for the Oklahoma Route 66 Commission
12 Revolving Fund; removing the limitation on the
13 apportionment to the Oklahoma Historical Society
13 Capital Improvement and Operations Revolving Fund;
14 amending 68 O.S. 2021, Section 1403, which relates to
14 apportionment of use tax revenues; modifying
15 apportion of use tax revenue; removing the limitation
15 on apportionment to the Oklahoma Tourism Promotion
16 Revolving Fund; removing the limitation on
16 apportionment to the Oklahoma Tourism Capital
17 Improvement Revolving Fund; removing the limitation
17 on the apportionment to the Oklahoma Historical
18 Society Capital Improvement and Operations Revolving
18 Fund; providing an effective date; and declaring an
19 emergency.
19
20
20
21 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
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22 SECTION 1. AMENDATORY 68 O.S. 2021, Section 1353, as
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23 last amended by Section 2, Chapter 290, O.S.L. 2023 (68 O.S. Supp.
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24 2023, Section 1353), is amended to read as follows:
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Req. No. 8575 Page 1
 1 Section 1353. Purpose of article - Apportionment of revenues.
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2 A. It is hereby declared to be the purpose of the Oklahoma
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3 Sales Tax Code to provide funds for the financing of the program
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4 provided for by the Oklahoma Social Security Act and to provide
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5 revenues for the support of the functions of the state government of
5
6 Oklahoma, and for this purpose it is hereby expressly provided that,
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7 revenues derived pursuant to the provisions of the Oklahoma Sales
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8 Tax Code, subject to the apportionment requirements for the Oklahoma
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9 Tax Commission and Office of Management and Enterprise Services
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10 Joint Computer Enhancement Fund provided by Section 265 of this
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11 title, shall be apportioned as follows:
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12 1. Except as provided in subsection C of this section, the
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13 following amounts shall be paid to the State Treasurer to be placed
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14 to the credit of the General Revenue Fund to be paid out pursuant to
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15 direct appropriation by the Legislature:
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16 Fiscal Year Amount
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17 FY 2003 and FY 2004 86.04%
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18 FY 2005 85.83%
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19 FY 2006 85.54%
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20 FY 2007 85.04%
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21 FY 2008 through FY 2022 83.61%
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22 FY 2023 through FY 2027 83.36%
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23 FY 2028 and each fiscal year thereafter 83.61%;
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Req. No. 8575 Page 2
 1 2. The following amounts shall be paid to the State Treasurer
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2 to be placed to the credit of the Education Reform Revolving Fund of
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3 the State Department of Education:
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4 a. for FY 2003, FY 2004 and FY 2005, ten and forty-two
4
5 one-hundredths percent (10.42%),
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6 b. for FY 2006 through FY 2020, ten and forty-six one-
6
7 hundredths percent (10.46%),
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8 c. for FY 2021:
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9 (1) for the month beginning July 1, 2020, through the
9
10 month ending August 31, 2020, ten and forty-six
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11 one-hundredths percent (10.46%), and
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12 (2) for the month beginning September 1, 2020,
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13 through the month ending June 30, 2021, eleven
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14 and ninety-six one-hundredths percent (11.96%),
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15 d. for FY 2022 and each fiscal year thereafter, ten and
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16 forty-six one-hundredths percent (10.46%);
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17 3. The following amounts shall be paid to the State Treasurer
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18 to be placed to the credit of the Teachers' Retirement System
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19 Dedicated Revenue Revolving Fund:
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20 Fiscal Year Amount
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21 FY 2003 and FY 2004 3.54%
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22 FY 2005 3.75%
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23 FY 2006 4.0%
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24 FY 2007 4.5%
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Req. No. 8575 Page 3
 1 FY 2008 through FY 2020 5.0%
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2 FY 2021:
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3 a. for the month beginning July
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4 1, 2020, through the month
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5 ending August 31, 2020 5.0%
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6 b. for the month beginning
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7 September 1, 2020, through
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8 the month ending June 30,
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9 2021 3.5%
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10 FY 2022 5.0%
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11 FY 2023 through FY 2027 5.25%
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12 FY 2028 and each fiscal year thereafter 5.0%;
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13 4. a. except as otherwise provided in subparagraph b of this
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14 paragraph, for the fiscal year beginning July 1, 2022,
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15 and for each fiscal year thereafter, eighty-seven one-
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16 hundredths percent (0.87%) shall be paid to the State
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17 Treasurer to be further apportioned as follows:
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18 (1) twenty-four percent (24%) shall be placed to the
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19 credit of the Oklahoma Tourism Promotion
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20 Revolving Fund, but in no event shall such
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21 apportionment exceed Five Million Dollars
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22 ($5,000,000.00) in any fiscal year,
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23 (2) forty-four percent (44%) shall be placed to the
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24 credit of the Oklahoma Tourism Capital
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Req. No. 8575 Page 4
 1 Improvement Revolving Fund, but in no event shall
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2 such apportionment exceed Nine Million Dollars
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3 ($9,000,000.00) in any fiscal year, and
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4 (3) thirty-two percent (32%) shall be placed to the
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5 credit of the Oklahoma Route 66 Commission
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6 Revolving Fund, but in no event shall such
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7 apportionment exceed Six Million Six Hundred
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8 Thousand Dollars ($6,600,000.00) in any fiscal
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9 year, and
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10 b. any amounts which exceed the limitations of division
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11 (3) of subparagraph a of this paragraph shall be
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12 placed to the credit of the General Revenue Fund;
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13 further apportioned as follows:
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14 (1) thirty-six percent (36%) shall be placed to the
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15 credit of the Oklahoma Tourism Promotion
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16 Revolving Fund, and
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17 (2) sixty-four percent (64%) shall be placed to the
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18 credit of the Oklahoma Tourism Capital
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19 Improvement Revolving Fund; and
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20 5. For the fiscal year beginning July 1, 2015, and for each
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21 fiscal year thereafter, six one-hundredths percent (0.06%) shall be
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22 placed to the credit of the Oklahoma Historical Society Capital
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23 Improvement and Operations Revolving Fund, but in no event shall
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24 such apportionment exceed the total amount apportioned pursuant to
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Req. No. 8575 Page 5
 1 this paragraph for the fiscal year ending on June 30, 2015. Any
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2 amounts which exceed the limitations of this paragraph shall be
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3 placed to the credit of the General Revenue Fund.
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4 B. Provided, for the fiscal year beginning July 1, 2007, and
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5 every fiscal year thereafter, an amount of revenue shall be
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6 apportioned to each municipality or county which levies a sales tax
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7 subject to the provisions of Section 1357.10 of this title and
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8 subsection F of Section 2701 of this title equal to the amount of
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9 sales tax revenue of such municipality or county exempted by the
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10 provisions of Section 1357.10 of this title and subsection F of
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11 Section 2701 of this title. The Oklahoma Tax Commission shall
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12 promulgate and adopt rules necessary to implement the provisions of
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13 this subsection.
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14 C. From the monies that would otherwise be apportioned to the
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15 General Revenue Fund pursuant to subsection A of this section, there
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16 shall be apportioned the following amounts:
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17 1. For the month ending August 31, 2019:
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18 a. Nine Million Six Hundred Thousand Dollars
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19 ($9,600,000.00) to the credit of the State Highway
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20 Construction and Maintenance Fund created in Section
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21 1501 of Title 69 of the Oklahoma Statutes, and
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22 b. Two Million Dollars ($2,000,000.00) to the credit of
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23 the Oklahoma Railroad Maintenance Revolving Fund
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Req. No. 8575 Page 6
 1 created in Section 309 of Title 66 of the Oklahoma
1
2 Statutes;
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3 2. For the month ending September 30, 2019:
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4 a. Twenty Million Dollars ($20,000,000.00) to the credit
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5 of the State Highway Construction and Maintenance Fund
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6 created in Section 1501 of Title 69 of the Oklahoma
6
7 Statutes, and
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8 b. Two Million Dollars ($2,000,000.00) to the credit of
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9 the Oklahoma Railroad Maintenance Revolving Fund
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10 created in Section 309 of Title 66 of the Oklahoma
10
11 Statutes;
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12 3. For the month ending October 31, 2019:
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13 a. Twenty Million Dollars ($20,000,000.00) to the credit
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14 of the State Highway Construction and Maintenance Fund
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15 created in Section 1501 of Title 69 of the Oklahoma
15
16 Statutes, and
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17 b. Two Million Dollars ($2,000,000.00) to the credit of
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18 the Oklahoma Railroad Maintenance Revolving Fund
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19 created in Section 309 of Title 66 of the Oklahoma
19
20 Statutes;
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21 4. For the month ending November 30, 2019:
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22 a. Twenty Million Dollars ($20,000,000.00) to the credit
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23 of the State Highway Construction and Maintenance Fund
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Req. No. 8575 Page 7
 1 created in Section 1501 of Title 69 of the Oklahoma
1
2 Statutes, and
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3 b. Two Million Dollars ($2,000,000.00) to the credit of
3
4 the Oklahoma Railroad Maintenance Revolving Fund
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5 created in Section 309 of Title 66 of the Oklahoma
5
6 Statutes; and
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7 5. For the month ending December 31, 2019:
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8 a. Twenty Million Dollars ($20,000,000.00) to the credit
8
9 of the State Highway Construction and Maintenance Fund
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10 created in Section 1501 of Title 69 of the Oklahoma
10
11 Statutes, and
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12 b. Two Million Dollars ($2,000,000.00) to the credit of
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13 the Oklahoma Railroad Maintenance Revolving Fund
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14 created in Section 309 of Title 66 of the Oklahoma
14
15 Statutes.
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16 SECTION 2. AMENDATORY 68 O.S. 2021, Section 1403, is
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17 amended to read as follows:
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18 Section 1403. A. It is hereby declared to be the purpose of
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19 Section 1401 et seq. of this title to provide for the support of the
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20 functions of the state and local government of Oklahoma; and for
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21 this purpose and to this end, it is hereby expressly provided that
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22 the revenues derived hereunder, subject to the apportionment
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23 provided in subsection B of this section and to the apportionment
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24 requirements for the Oklahoma Tax Commission and Office of
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Req. No. 8575 Page 8
 1 Management and Enterprise Services Joint Computer Enhancement Fund
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2 provided by Section 265 of this title, are hereby apportioned as
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3 follows:
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4 1. The following amounts shall be paid by the Tax Commission to
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5 the State Treasurer and placed to the credit of the General Revenue
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6 Fund to be paid out pursuant to direct appropriation by the
6
7 Legislature:
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8 Fiscal Year Amount
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9 FY 2004 85.35%
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10 FY 2005 85.14%
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11 FY 2006 85.54%
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12 FY 2007 85.04%
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13 FY 2008 through FY 2022 83.61%
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14 FY 2023 through FY 2027 83.36%
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15 FY 2028 and each fiscal year thereafter 83.61%;
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16 2. The following amounts shall be paid to the State Treasurer
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17 to be placed to the credit of the Education Reform Revolving Fund of
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18 the State Department of Education:
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19 a. for FY 2020, ten and forty-six one-hundredths percent
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20 (10.46%),
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21 b. for FY 2021:
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22 (1) for the month beginning July 1, 2020, through the
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23 month ending August 31, 2020, ten and forty-six
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24 one-hundredths percent (10.46%), and
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Req. No. 8575 Page 9
 1 (2) for the month beginning September 1, 2020,
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2 through the month ending June 30, 2021, eleven
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3 and ninety-six one-hundredths percent (11.96%),
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4 and
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5 c. for FY 2022 and each fiscal year thereafter, ten and
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6 forty-six one-hundredths percent (10.46%);
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7 3. The following amounts shall be paid to the State Treasurer
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8 to be placed to the credit of the Teachers' Retirement System
8
9 Dedicated Revenue Revolving Fund:
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10 Fiscal Year Amount
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11 FY 2003 and FY 2004 3.54%
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12 FY 2005 3.75%
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13 FY 2006 4.0%
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14 FY 2007 4.5%
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15 FY 2008 through FY 2020 5.0%
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16 FY 2021:
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17 a. for the month beginning July
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18 1, 2020, through the month
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19 ending August 31, 2020 5.0%
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20 b. for the month beginning
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21 September 1, 2020, through
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22 the month ending June 30,
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23 2021