Proposed Budget - Fiscal Year 2023
On February 7, Oklahoma Governor Kevin Stitt released his recommended budget for fiscal year 2023. The recommended budget totals $8.95 billion which decreases spending by $114 million, or 1.3 percent, from fiscal year 2022 authorized expenditures. Agency appropriations for fiscal year 2023 are recommended at $8.86 billion which is a 2.2 percent decrease, or $204 million, from fiscal year 2022. For the certified general revenue fund, the fiscal 2023 expenditure authority is projected at $6.96 billion, an increase of 14.7 percent over fiscal 2022 actual expenditures. Oklahoma has recently saved over $1 billion in General Revenue Fund cash and unspent budget. Total unspent cash and reserve funds are $1.826 billion. This includes a Constitutional Reserve Fund (Rainy Day Fund) balance of $370.6 million and a Revenue Stabilization Fund balance of $171.3 million.
Proposed Budget Highlights
The budget focuses on keeping recurring expenditures in line with recurring revenues to grow reserves while making key investments in areas that work towards the governor’s vision of making Oklahoma a Top Ten state. The governor’s recommended budget focuses on making investments in four pillars: driving hope for all Oklahomans; protecting Oklahomans; becoming a top 10 state for business; and delivering taxpayers more for their money.
The governor’s recommended financial strategy for fiscal year 2023 proposes the following:
- Maintain fiscal year 2023 total state appropriations to the recurring revenue base.
- Rebuild reserves to a level of $2.3 billion.
- Promote prosperity in Oklahoma through an equitable, business-friendly structure.
- Governor supports reducing individual income tax, corporate income tax, and the grocery tax.
- Make strategic investments in the following areas:
- Deposit $20 million to the Quick Action Closing Fund.
- Fund a $10 million business and talent attraction campaign to recruit workforce to Oklahoma.
- Invest $1.8 million to establish a supercluster for industry innovation.
- Spend $7.7 million to rebrand Oklahoma Center for the Advance of Science and Technology (OCAST) to create a single innovation support program within the agency.
- Fund $17 million to be used for better desktop services and support outcomes for state employees.
- Invest $20 million to move all eligible individuals with intellectual and developmental disabilities in need of services off the waiting list and onto Home and Community-based Waivered Services.