Senate Bill No. 577 amends Oklahoma's ad valorem tax exemption laws for manufacturing facilities, requiring qualifying entities to provide specific information to the Oklahoma Tax Commission, which will share this data with the Incentive Evaluation Commission. The bill clarifies definitions and eligibility criteria for manufacturing facilities, including updated investment cost criteria that now encompass capital expenditures for the replacement, refurbishment, repair, or maintenance of existing machinery or equipment, provided they meet certain depreciation standards. Additionally, it mandates that facilities maintain or increase their base payroll and offer a basic health benefits plan to employees to qualify for the exemption. The bill also introduces new provisions regarding the disclosure of information related to tax credits and business transactions, allowing for the sharing of information about tax credits while ensuring personal identifying information remains confidential. It updates the sections referenced for incentive payments and tax credits, changing the citation from Sections 1 through 8 of this act to Sections 3930 through 3937 of this title. Furthermore, it requires the Tax Commission to prepare an annual report on the impact of tax law provisions that reduce state revenue, emphasizing strict interpretation to prevent unauthorized disclosure of tax records and establishing penalties for violations. The act is set to take effect on November 1, 2025.

Statutes affected:
Introduced: 68-2902, 68-205
Floor (House): 68-2902, 68-205
Floor (Senate): 68-2902, 68-205
Engrossed: 68-2902, 68-205
Enrolled (final version): 68-2902, 68-205