Budget & Taxes

HB 1280 (2025) requires Oklahoma school districts to spend at least 50% of their annual budget on classroom instruction starting in 2025-2026. If a district falls below this threshold, it must increase instructional spending by 2% annually until reaching 50%, or face a written warning and, after four years of non-compliance, a permanent 2% annual teacher pay raise for each year missed. The bill defines "annual budget" to exclude bond sales, fundraisers, and non-educational grants, and "instructional expenditures" per federal standards. The bill failed to pass (36-57) on March 27, 2025, so it is not law.

HB 1104 allows Oklahoma counties with fewer than 200,000 residents to levy a 3% lodging tax on hotels and motels (excluding campsites) to fund county-owned tourism facilities. The tax requires voter approval via election or petition and must be deposited exclusively into a dedicated tourism fund, not general county revenue. Counties may not impose this tax within municipalities that already collect their own lodging tax. The bill specifies the tax must fund tourism promotion, advertising, or facility development, with proceeds restricted to these purposes only. It becomes effective November 1, 2025, pending voter approval.

HB 2918, the "Expanding Access to Local Foods Act of 2025," creates a program for the Oklahoma Department of Agriculture, Food, and Forestry to purchase locally grown fruits and vegetables from small and underserved Oklahoma farmers at market value. The department will donate this produce to Oklahoma non-profits that distribute food free of charge to address food insecurity. A dedicated revolving fund, financed by state appropriations, federal grants, and private contributions, will support the program's operations. The bill requires the department to establish rules for the program and takes effect on November 1, 2025.