State Budget and Tax Cuts

As of May 25, the last day of session, a flat budget representing $6.8 billion in appropriations was passed by the state Legislature and agreed to by Governor Fallin. This flat budget represents about $200 million in additional funds than were appropriated in the last budget year. A few state agencies, including the Department of Mental Health and Substance Abuse Services, will see additional funding. The budget agreement also transfers existing behavioral health programs currently administered by the Oklahoma Health Care Authority to the Department of Mental Health and Substance Abuse Services. The Oklahoma Health Care Authority (OHCA) did not receive additional funding, but the agency will work with the OHCA board to develop a process to determine how to manage any shortfall. At this time, OHA has been assured by a representative of the OHCA this will not entail cutting current provider rates.

The tax cut proposals under consideration did not pass.

A complete OHA legislative report will provide detail on both the budget and proposed tax cuts and will be available to members soon after the governor’s deadline for signing bills.