Governor Kevin Stitt signed SB 1053 and SB 617 Thursday, fully funding the state government through the month of April but did not sign a third bill sent by lawmakers.

Stitt also called on the Legislature to restore funding cuts to Oklahoma’s digital transformation initiatives and preserve all funding to the FY 2020 budget.

“Let me make something clear to the people of Oklahoma,” said Stitt. “We had a deal with the Legislature to fully fund state government for April, May and June. I am committed to standing by our deal, but House leadership wanted to use this time to play Washington, D.C. politics and sneak in some last-minute changes while Oklahomans are hurting.”

Under the legislation, state savings were used to fund the entirety of the $416 million revenue failure – with the single exception of funding for digital transformation, an agreed upon budget priority for FY 2020.

“We had a deal, and I remain committed to that deal that fully funds the rest of 2020 with no cuts,” said  Stitt. “Where I grew up in Oklahoma, your word is your bond. That’s no different at the Capitol. The people of Oklahoma elected me to hold true to my word, and I would be letting them down if I allowed the House leadership to try and play politics after we had an agreement. The truth is on my side.”

Stitt did not take action on SB 199, which becomes null and void without a meeting of the Board of Equalization to certify the revenue failure. Stitt wanted slight cuts in state agency budgets to offset the coming shortfall while Republican-led lawmakers want to spend money the state has saved without cuts. He has backed off that the notion of cuts.

“Asking the state government to also cut expenses by one or two percent is very reasonable in the current situation were in,” Stitt said.

Republican House leaders said they are in charge of the budget, not the governor.

“The position the Legislature stated by veto-proof majorities Monday is not changing,” House Speaker Charles McCall, R- Atoka. “The Legislature will not authorize cuts to core services during a pandemic response because the public needs its services right now. The state’s reserves, which exist for emergencies just like this, are sufficient for services to continue uninterrupted. The legislative branch controls the power of the purse, and we have made our position clear on behalf of our constituents across the state.”

“The Legislature, both Republicans and Democrats by overwhelming margins, took the necessary actions to protect state services from deep budget cuts,” said Senate President Pro Tem Greg Treat, R-Oklahoma City. “In the midst of a catastrophic health emergency, we must prevent budget cuts to public schools, health care, first responders and other core state services. The Legislature is a co-equal branch of government vested with the authority to write the budget. We take that role seriously.”

The current fiscal year budget deficit is about $416 million to $450 million – due mostly to a huge drop in the price of oil and natural gas. The Legislature, by unanimous and nearly unanimous votes, sent Stitt measures to allow the use of state savings to prevent automatic budget cuts of approximately 6 percent because of the revenue failure.

The budget bills are:

  • Senate Bill 1053, which sends $201.6 million from the Rainy Day Fund to the Revenue Stabilization Fund.
  • Senate Bill 199, which sends $302.3 million from the Rainy Day Fund to the General Revenue Fund. Stitt didn’t sign that bill.
  • Senate Bill 617, which authorizes the Office of Management and Enterprise Services to withdraw up to half of the balance of the Revenue Stabilization Fund to avoid cuts to agencies and the 1017 fund for education in a revenue failure in the current fiscal year.

The Legislature suspended the normal session due to the Chinese coronavirus pandemic. Stitt called a special session on April 6 to deal with current budget problem and to spend time preparing the next fiscal year budget, which must be passed by the Legislature and signed by the governor in May.

Sixteen House members voted remotely from their districts under a House rule allowing remote voting during a pandemic.

 In total, the Legislature approved withdrawing $503.9 million from the Rainy Day Fund. Any excess funds will remain in the Revenue Stabilization Fund for use by the Legislature and executive branch budget officials in addressing potential future revenue failures, as authorized in SB 617. The Rainy Day Fund balance would be $302.3 million and the Revenue Stabilization Fund balance would $349.7 million.

The Legislature also approved House Concurrent Resolution 1001x, the governor’s declaration of an expanded statewide health emergency. Under state law, the Legislature’s affirmation of the declaration lasts for 30 days. It passed the House, 99-1, and Senate and, as a concurrent resolution, is not required to go to the governor. It is now in effect.

The governor’s declaration allows the executive branch to centralize state and county health department response efforts, let first responders to know if they are responding to a location with a COVID-19 patient, and the governor to waive certain laws and rules for the purpose of the pandemic response.

“There always has to be a check to power, even with people we trust,” said House Majority Floor Leader Jon Echols, R-Oklahoma City. “This measure allows the governor very broad powers deemed necessary for an effective response. We will be watchful, however, to ensure that the governor acts in the best interest of all Oklahomans, which we are confident he will.”

The Legislature adjourned special session to the call of the chair, which would allow it to return to special session to revoke or change the powers granted to the governor within the next 30 days, if needed.

The governor was required by law to call a special session of the Legislature for the purpose of affirming or denying the expanded health emergency declaration.

The Legislature had not been in the Capitol since March 17, when a staffer tested positive. Since then, the Capitol was deep cleaned as legislators worked from their districts and staff worked remotely.

Additionally, during regular session the Senate adopted Senate Resolution 17 and a motion from Treat and Senator Kay Floyd to suspend rules in order to allow the chamber more flexibility to conduct business for the remainder of the session.

“Traditionally, the rules of the Senate have required members to be physically present for committee meetings and Senate floor proceedings. The ongoing health emergency, where health officials recommend limited in-person interactions, presents challenges for the Senate to conduct official business.