HB 2021 creates the Oklahoma Kids After-School Grant Program (OKAGP) under the Department of Human Services to fund community-based organizations running after-school programs for K-12 students. Eligible organizations must operate at least five locations across Oklahoma (either directly or through partnerships) and qualify for exemptions from child care licensing under Title 10. The bill establishes a revolving fund in the State Treasury for these grants, funded by state appropriations and donations, with no annual budget restrictions. The program becomes effective November 1, 2025, and will provide grants to support after-school programming for children.
HB 2952 changes how Oklahoma calculates the tax on new vehicle purchases by requiring the motor vehicle excise tax to be based on the sales price minus any trade-in value. This directly affects vehicle buyers who use trade-ins, as the adjusted price (after subtracting trade-in credits) must now appear on the bill of sale. The bill mandates that sellers document this reduced value on the bill of sale or a prescribed form, rather than using the full sales price. It takes effect on July 1, 2026.
HB 4490 creates the Oklahoma Families Thriving Everywhere Now (OFTEN) program through the Oklahoma State Department of Health, using $3 million in state funds for the 2027 fiscal year. The program provides telecare support, community outreach, and care coordination for women with high-risk pregnancies and parents of children under three, aiming to promote healthy childbirth, stable family formation, and economic self-sufficiency. Services include referrals, case management, and parenting assistance delivered by Oklahoma-based community providers. The bill takes effect July 1, 2026, and includes an emergency declaration to accelerate implementation.
HB 1427 creates tax credits for Oklahoma taxpayers who invest in qualifying clean-burning motor vehicle fuel equipment. It directly affects vehicle owners and businesses that install or purchase equipment allowing vehicles to run on compressed natural gas, hydrogen, liquefied natural gas, or liquefied petroleum gas. The bill provides tiered credits: up to $5,500 for light vehicles (under 6,000 lbs), up to $100,000 for heavy trucks (over 26,500 lbs), and 45% of costs for commercial refueling stations. Credits are limited to new, certified equipment meeting safety standards and must be claimed against state income tax. Unused credits can be carried forward for up to five years.
This bill authorizes an emergency appropriation of approximately $19.66 million to the Oklahoma Department of Mental Health and Substance Abuse Services. The funds must come from the Rate Preservation Fund in the State Treasury and are designated specifically for Title XIX services, which are Medicaid-funded mental health and substance abuse programs. The legislation includes an emergency provision, allowing the funding to take effect immediately upon the governor's approval without waiting for the regular budget cycle. This action provides direct financial resources to the state agency responsible for administering mental health and substance abuse services.
HB 2140 changes how commercial buildings with unfinished interiors are taxed in Oklahoma. It requires county assessors to value such properties - those sold or leased for the new owner/tenant to complete interiors (e.g., flooring, ceilings) - based solely on the cost of construction materials before interior work, not the full building cost. This applies to commercial buildings constructed without final interior elements like finished walls or cabinetry, affecting property owners and contractors selling or leasing these spaces. The law takes effect January 1, 2026, directly impacting property tax assessments for these specific commercial properties.
HB 1834 creates the "Inhofe Disaster Savings Account Act" in Oklahoma, allowing homeowners to set up tax-advantaged savings accounts specifically for covering insurance deductibles or self-insured losses related to qualifying disasters (hurricanes, tornadoes, floods, etc.) at their primary residence. Homeowners can deduct contributions from state taxable income (with limits based on their insurance deductible: $2,000 max for deductibles ≤$1,000, up to $15,000 or twice the deductible for higher deductibles, or $350,000 for self-insured), and all interest earned in the account is exempt from state income tax. Withdrawals are tax-free if used for qualified disaster expenses (declared by federal/state authorities), but otherwise become taxable income with a 2.5% penalty, and accounts pass tax-free to surviving spouses upon death. The law takes effect January 1, 2026, targeting Oklahoma homeowners seeking disaster financial preparedness.
HB 2645 creates a tax credit for qualifying doctors practicing medicine in rural Oklahoma, directly affecting licensed physicians who meet specific residency and education criteria. The credit, capped at $20,000 per year per doctor, applies to taxable income from medical practice in designated rural areas (population under 25,000 and at least 25 miles from larger cities). The bill includes an annual $1 million total credit limit, with adjustments to prevent exceeding this cap. The bill was pocket-vetoed by the governor on June 15, 2025, and never became law.
HB 1378 would have expanded Oklahoma's sales tax exemptions for agriculture by adding timber to the definition of "agricultural products." This change would have exempted sales of timber (including timber products used in farming) from sales tax, directly affecting Oklahoma agricultural businesses, farmers, and timber producers. The bill amended existing tax code provisions that already exempted farm products, livestock, feed, fertilizer, machinery, and other agricultural supplies. However, the bill was vetoed by the Governor on June 10, 2025, and did not become law.
HB 2753 expands Oklahoma's Rural Jobs Act by adding a new $200 million annual pool of state tax credits for rural investments, effective July 1, 2025, beyond the existing $15 million annual cap. The bill requires that at least 10% of each investment must come from local sources like employees or affiliates, and sets a 90-day deadline for rural funds to secure capital after certification. It also establishes a 15-business-day timeline for the Department to determine if a business qualifies for investment, with automatic eligibility if no decision is made by day 20. This expansion aims to increase funding for rural economic development projects by making more tax credits available to eligible businesses and rural investment funds.
