This bill amends Section 1604 of Title 74 of the Oklahoma Statutes to mandate that each state agency establish or enhance an internal employee suggestion program aimed at promoting efficiency and effectiveness in state operations. The program will provide financial rewards to employees whose suggestions lead to direct cost savings, with the maximum award increased from twenty percent (20%) to twenty-five percent (25%) of the savings, and a minimum of ten percent (10%) of the savings unless it conflicts with other award limits. Additionally, the bill introduces a new requirement for agencies to prioritize and implement viable suggestions, justifying any rejections in writing, and forwarding them for statewide review. It also allows for non-cash recognition for suggestions that improve efficiency without quantifiable savings.

Furthermore, the bill establishes the Statewide Cost Savings Incentive Fund, which will be funded by a portion of realized statewide savings and used to provide bonus pools for agencies achieving reductions. It creates the Incentive Awards for State Employees Committee to recognize top performers and report on statewide savings. Each agency will be required to submit an annual report detailing cost-saving suggestions and measures implemented. The act is set to take effect on July 1, 2026, and includes an emergency clause for immediate implementation upon passage.