SB 1403: Quality jobs incentives; expanding qualifying industries; modifying wage requirements; modifying period to claim rebate. Effective date. - Oklahoma

Floor (House) → Floor (Senate) · 5 edits

MODERATE

The bill was converted from the House version to the Senate version, which includes significant changes to the Oklahoma Quality Jobs Program. The most notable substantive change is the extension of the incentive payment period from fifteen years to thirty years for specific projects. Additionally, the bill updates the list of eligible industries and modifies financial thresholds for certain sectors.

Scope change

The bill's scope regarding the duration of financial incentives was expanded for specific qualifying projects.

TIMELINE

Extended the maximum period for receiving quarterly incentive payments from fifteen years to thirty years for establishments that entered into contracts before November 1, 2023.

REQUIREMENT

Adjusted the minimum gross payroll threshold for 'professional, scientific, and technical service' industries from $2.5 million to $1.5 million.

Modified the payroll threshold for 'air transportation' activities, changing the requirement from $2.5 million to $1.5 million.

DEFINITION

Updated the definition of eligible manufacturing activities to reference specific NAICS codes and the 2007 version of the industry classification system.

ELIGIBILITY

Added a new eligibility provision allowing establishments located on federal Superfund removal sites or the National Priorities List to qualify for incentives.

House Committee Substitute for Senate Bill → Floor (House) · 3 edits

MINOR

The bill text was reformatted from a 'Committee Substitute' draft to the official 'Floor Version' for the House of Representatives. The substantive policy content, including definitions of eligible industries and program requirements, remains unchanged. The primary difference is the removal of internal committee tracking numbers and the addition of a header indicating this is the version intended for final floor debate.

Scope change

No change in the scope or applicability of the law; the bill still governs the Oklahoma Quality Jobs Program incentives.

TECHNICAL

Removed internal committee tracking numbers (e.g., 'Req. No. 17458') and page footers from the text.

Added a header identifying the document as the 'House of Representatives - Floor Version'.

Adjusted line breaks and indentation to match the official formatting style used for floor proceedings.

Proposed Committee Substitute (sub committee) 1 → House Committee Substitute for Senate Bill · 3 edits

MINOR

The bill was completely rewritten by the House Committee, replacing the original Subcommittee version. The most significant substantive change is the addition of new language defining 'reservation services' to explicitly include work performed by subsidiaries, affiliated entities, or contractors, ensuring these workers count toward eligibility requirements. The bill also updates the bill title and page numbers to reflect its new status as a House Committee Substitute.

Scope change

The bill's scope regarding eligibility was expanded to include workers from affiliated or contracted entities performing reservation services, whereas the previous version did not explicitly cover these arrangements.

DEFINITION

Added specific language to define reservation services to include work performed by employees of subsidiaries, affiliated entities, or contractors, ensuring these workers are counted for eligibility.

TECHNICAL

Replaced the entire bill text, updating the title from 'Proposed Subcommittee Substitute' to 'Committee Substitute' and changing the bill number reference from 17286 to 17458.

ELIGIBILITY

Introduced new criteria clarifying that establishments using out-of-state entities for some reservation services do not automatically disqualify the establishment from the program.

Engrossed → Proposed Committee Substitute (sub committee) 1 · 4 edits

MODERATE

The bill was rewritten to update statutory references to new laws and add a new definition for 'basic industry.' The most significant change is the expansion of eligible industries, which now includes specific administrative, professional, and agribusiness sectors, alongside existing manufacturing and power generation categories. Additionally, the bill clarifies eligibility for distribution centers based on out-of-state inventory shipping and for loan collection services based on out-of-state debtors.

Scope change

The scope of the Quality Jobs Program was expanded to include new industry sectors such as administrative support, professional services, agribusiness, and specific financial services, whereas the previous version focused primarily on manufacturing and power generation.

DEFINITION

Added a new definition for 'basic industry' that includes administrative support, professional services, agribusiness, and specific financial and distribution activities.

ELIGIBILITY

Modified eligibility criteria for distribution centers to qualify if 40% or more of inventory is shipped out-of-state, and for loan collection services if 75% of loans serviced are from out-of-state debtors.

REQUIREMENT

Updated the list of qualifying industries to include air transportation, wind industry support, and other professional services not previously explicitly listed.

TECHNICAL

Updated all statutory citations to reflect recent legislative sessions and corrected section numbers (e.g., adding Section 3603).

Amended And Engrossed → Engrossed · 4 edits · Mar 11, 2026

MODERATE

The bill was amended to transition from a House version to a Senate version, primarily updating the title and effective date references. The most significant substantive change is the extension of the incentive payment period for qualifying businesses from fifteen years to thirty years, allowing payments to continue until the net benefit for new jobs is fully paid out. Additionally, the bill clarifies eligibility requirements for specific industries, such as distribution centers and agribusiness, by setting precise payroll thresholds and sales percentages.

Scope change

The scope of financial incentives was expanded by increasing the maximum duration of quarterly payments from fifteen years to thirty years for establishments meeting the program's qualifications.

TIMELINE

The maximum duration for receiving quarterly incentive payments was increased from fifteen years to thirty years.

ELIGIBILITY

New eligibility criteria were added for establishments located on federal Superfund sites, National Priorities List sites, or sites formally deferred to the state in lieu of listing, allowing them to qualify for incentives.

REQUIREMENT

Specific requirements for distribution centers and agribusiness were clarified to mandate that at least 75% of total sales be made to out-of-state customers or the federal government, unless the annual gross payroll exceeds $2.5 million.

TECHNICAL

The bill title and enacting clause were updated to reflect the Senate's version of the legislation, and references to the effective date were adjusted to November 1, 2023.

Introduced → Amended And Engrossed · 3 edits · Mar 11, 2026

MINOR

The bill was amended to significantly expand the definition of 'basic industry' eligible for tax incentives, adding sectors like administrative services, professional services, and distribution centers. The amendment also updates the bill's title and statutory references to align with recent legislative changes, ensuring the law reflects current industry classifications and program requirements.

Scope change

The scope of eligible industries for the Oklahoma Quality Jobs Program was expanded to include administrative and facilities support services, professional and technical services, and distribution centers, in addition to existing manufacturing and power generation sectors.

DEFINITION

Added new categories to the definition of 'basic industry' to include administrative services, professional services, distribution centers, and specific agribusiness activities.

REQUIREMENT

Updated the bill's title and statutory references to include Section 3603 and reflect amendments made in the 2025 legislative session.

TECHNICAL

Corrected formatting and page numbering inconsistencies in the original text.

Quality jobs incentives; expanding qualifying industries; modifying wage requirements; modifying period to claim rebate. Effective date.

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