Budget & Taxes (State Budget)

This constitutional amendment (SJR 2) changes Oklahoma's budget procedures by establishing annual spending limits based on inflation and population growth. It requires the State Board of Equalization to certify revenue estimates and spending limits (capped at 95% of projected revenue), mandating voter approval for any appropriations exceeding these limits. The amendment also renames the "Constitutional Reserve Fund" as the "Constitutional Emergency Fund" and modifies how state funds are allocated and certified. It directly affects state budgeting processes and requires legislative action to adjust spending beyond certified limits.

HB 2766 is the Oklahoma state budget bill for fiscal year 2026, allocating over $1.65 billion from the General Revenue Fund to support public schools. It directs specific funding for teacher salaries, textbooks, health benefits for staff, school administration, and the School Consolidation Assistance Fund, drawing from multiple sources including the Education Lottery Trust Fund and Mineral Leasing Fund. The bill was enacted without the Governor's signature on May 29, 2025, and directly affects all Oklahoma public schools and their students through these state-funded resources.

SB 307 creates the Oklahoma Teachers Legacy Fund in the state treasury, funded by surplus General Revenue Fund monies from 2023 ($563.7 million) and 2024 ($759.4 million). The fund invests principal following state retirement fund guidelines, with income accruing to the fund. When the fund's value grows by $100 million or more above its prior year balance, the excess automatically transfers to boost teacher salaries starting January 1 each year. The fund must maintain sufficient liquidity to enable these transfers, with the bill taking effect July 1, 2025.