HB 2768: Revenue and taxation; Oklahoma Quality Jobs Incentive Leverage Act; increasing certain limitation caps related to qualifying investment amounts. - Oklahoma

House Committee Substitute → Floor (House) · 3 edits

MINOR

This version of HB 2768 transitions from a House Committee Substitute to the Floor version, incorporating formatting adjustments and minor text reorganization. The substantive policy content regarding the Oklahoma Quality Jobs Incentive Leverage Act remains unchanged, with no modifications to eligibility thresholds, funding amounts, or program requirements.

TECHNICAL

Header formatting changed from 'HOUSE OF REPRESENTATIVES - FLOOR VERSION' to standard title page layout with page numbering adjustments.

Page footers updated from 'Req. No. 13792' to 'HB2768 HFLR' with added note that bold face denotes Committee Amendments.

Minor whitespace and indentation adjustments throughout the document for floor version formatting.

Proposed Committee Substitute (full committee) 1 → House Committee Substitute · 7 edits

MODERATE

The bill was substantially rewritten to update eligibility thresholds and definitions for the Oklahoma Quality Jobs Incentive Leverage Act, increasing financial requirements for businesses seeking tax incentives.

Scope change

The bill's scope expanded to include higher investment and compensation thresholds, allowing larger corporations to qualify for state incentives.

ELIGIBILITY

Increased annual gross compensation requirement from $115 million to $115 million (unchanged) but added new criteria for substantial gross compensation of $4 million or more within three years.

Raised total investment requirement from $200 million to $200 million (unchanged) but added new category for modernization investment of $100 million to $700 million within five years.

Added new eligibility criteria for establishments with at least 1,550 full-time employees for elections filed before the act's effective date.

DEFINITION

Added new definition for 'Establishment' with specific criteria including gross compensation, average salary, investment amounts, and industry classification.

Added new definition for 'Substantial gross compensation' as $4 million or more within three years of filing initial election.

REQUIREMENT

Added requirement that establishments must complete 80% of additional investment expenditures within five years, with a one-year extension option.

TIMELINE

Extended the five-year investment period upon filing a second irrevocable election, with provisions for depositing incentive payments into the Quality Jobs Program Incentive Leverage Fund.

Enrolled (final version) → Proposed Committee Substitute (full committee) 1 · 5 edits

MODERATE

The bill was amended to update the Oklahoma Quality Jobs Incentive Leverage Act by modifying eligibility thresholds and investment requirements. The committee substitute replaced the original enrolled version with revised language to clarify definitions and adjust financial caps related to qualifying investments.

Scope change

The bill's scope remains focused on the Oklahoma Quality Jobs Incentive Leverage Act, but eligibility criteria and investment thresholds were modified to better align with current economic conditions.

ELIGIBILITY

Updated the minimum annual gross compensation requirement for establishments to ensure businesses meet higher financial thresholds before qualifying for incentives.

Adjusted the total investment requirement in Oklahoma to reflect updated economic standards for qualifying businesses.

Revised the modernization and retooling investment thresholds to provide clearer guidelines on additional capital expenditures required for facility upgrades.

DEFINITION

Clarified definitions of key terms such as 'Establishment' and 'Gross compensation' to ensure consistent interpretation and application of the law.

REQUIREMENT

Updated requirements for filing second irrevocable elections to streamline the process for businesses seeking additional incentive payments.

Engrossed → Enrolled (final version) · 5 edits · May 22, 2025

MODERATE

This bill transitioned from an Engrossed version to an Enrolled version, representing the final legislative text ready for the Governor's signature. The substantive policy content remains largely unchanged, with the primary differences being formatting adjustments, page number updates, and minor text reorganization rather than new policy provisions.

Scope change

No substantive change to the bill's scope or applicability; the bill's provisions regarding the Oklahoma Quality Jobs Incentive Leverage Act remain the same.

TECHNICAL

Header formatting changed from 'ENGROSSED HOUSE' to 'ENROLLED HOUSE' indicating final passage by both legislative chambers

Page numbering and layout adjustments between the engrossed and enrolled versions

Minor text reorganization and cleanup of line breaks and spacing throughout the document

Added 'SUBJECT: Revenue and taxation' line in the enrolled version for cataloging purposes

POLICY

All substantive policy provisions regarding investment thresholds, compensation requirements, and incentive program mechanics remain identical

Introduced → Engrossed · 6 edits · May 22, 2025

MODERATE

This bill amends the Oklahoma Quality Jobs Incentive Leverage Act to increase investment thresholds and add new requirements for establishments seeking tax incentives. The changes raise the minimum investment amount from $115 million to $200 million, increase annual compensation requirements, and introduce a new $100 million modernization investment option. These modifications aim to attract larger investments and modernize existing facilities while maintaining strict eligibility criteria.

Scope change

The bill expands eligibility requirements for establishments seeking state tax incentives, specifically increasing minimum investment and compensation thresholds while adding new definitions for qualifying investments.

ELIGIBILITY

Increased minimum annual gross compensation requirement from $115 million to $200 million for establishments seeking tax incentives.

Added new requirement that establishments must have an average employee salary of at least $40,000.

Introduced new option for establishments to qualify through $100 million in modernization and retooling investments, with a cap of $250 million for additional investment.

DEFINITION

Added new definition for 'Establishment' with specific criteria including investment amounts, compensation levels, and industry classification.

REQUIREMENT

Added requirement for establishments to file a second irrevocable election within 180 days before debt service payments are due.

TIMELINE

Extended the five-year investment period for establishments that file a second irrevocable election, with a one-year extension if 80% of expenditures are completed.

Revenue and taxation; Oklahoma Quality Jobs Incentive Leverage Act; increasing certain limitation caps related to qualifying investment amounts.

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