The bill amends Section 2902 of Title 68 of the Oklahoma Statutes, focusing on ad valorem tax exemptions for manufacturing facilities. It revises payroll requirements for qualifying industries, introducing new definitions and specific payroll calculations. A key change is the requirement for the Oklahoma Tax Commission to rescind certain denials and determinations upon request. The payroll exemption criteria will now be based on a net increase in annualized base payroll, with thresholds varying according to the population of the county where the facility is located. Additionally, the bill expands eligibility to facilities engaged in computer services and data processing, stipulating that investment costs will be adjusted annually based on the Consumer Price Index.

Moreover, the bill establishes new criteria for eligibility, including a net increase in annualized payroll or capital improvements, and mandates that qualifying facilities provide a basic health benefits plan to full-time employees. It defines terms such as "annual payroll," "initial payroll," and "base payroll," which will be verified by the Tax Commission through the Oklahoma Employment Security Commission. The process for claiming exemptions is outlined, including application deadlines and the roles of county assessors and the Tax Commission. The five-year exemption period for qualifying facilities will commence on January 1 following the initial use of the property, with provisions for facilities in tax incentive districts. An emergency clause is included, allowing the act to take effect immediately upon passage and approval.

Statutes affected:
Introduced: 68-2902