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An Act
ENROLLED HOUSE
BILL NO. 2781 By: Caldwell (Trey) and Kane of
the House
and
Hall and Haste of the
Senate
An Act relating to economic development; creating the
Reindustrialize Oklahoma Act of 2025; providing for
alternative reference; declaring legislative
findings; defining terms; providing for certain
interpretations under certain conditions; creating
certain investment rebate program until certain date;
establishing qualifying criteria; providing capital
expenditure and job creation thresholds for
qualification; assigning administrative
responsibilities for rebate program; requiring
certain annual reporting of certain information;
authorizing the promulgation of rules for
implementation of program; establishing eligibility
criteria; requiring certain application submissions
and evaluations; disqualifying participation in
certain program if participating in rebate program;
providing methodology for certain calculations;
authorizing issuances of ROA-25 investment rebate
payments under certain conditions for certain period
of years; limiting authorization to award payments;
providing for ongoing review of eligibility;
authorizing and limiting certain budgeting procedures
related to encumbering funds; creating the ROA-25
Revolving Fund and the ROA-25 Beneficiary Revolving
Fund; establishing fund characteristics; deeming
funds appropriated; requiring and limiting certain
budgetary procedures related to utilization of funds;
providing for transfer of unencumbered funds after
certain date; and providing for codification.
SUBJECT: Economic development
ENR. H. B. NO. 2781 Page 2
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 3647.1 of Title 68, unless there
is created a duplication in numbering, reads as follows:
A. This act shall be known and may be cited as the
"Reindustrialize Oklahoma Act of 2025" and shall be known and may be
cited as the "ROA-25 Act".
B. The Legislature hereby finds that it is beneficial to the
state and its citizens to provide large-scale enhanced economic
development incentives to certain establishments, including, but
not limited to, those associated with an onshoring of
industrialization that creates a substantial number of jobs, as such
economic activity results in a greater benefit to the state.
SECTION 2. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 3647.2 of Title 68, unless there
is created a duplication in numbering, reads as follows:
As used in the Reindustrialize Oklahoma Act of 2025:
1. "Application" means a submission of detailed information by
an establishment that complies with all procedures established by
the Oklahoma Department of Commerce related to the format, content,
means, and timing of submission. Such submissions shall include,
but not be limited to, a capital expenditure plan outlining
anticipated annual placements-in-service of qualified property and a
job creation plan outlining anticipated annual totals of new direct
jobs created;
2. "Available funds" means the total amount of monies
identified for deposit in the ROA-25 Beneficiary Revolving Fund by
law, less the cumulative total of all ROA-25 investment rebate
payments, pre-qualified ROA-25 investment rebate payments,
encumbrances, and pre-encumbrances of the ROA-25 Beneficiary
Revolving Fund;
3. "Establishment" means any business, no matter the legal
form, including, but not limited to, a sole proprietorship,
partnership, corporation, or limited liability corporation;
ENR. H. B. NO. 2781 Page 3
4. "New direct job" means full-time employment, employed by the
establishment, which did not exist in this state prior to the date
of approval, by the Oklahoma Department of Commerce, of an
application made pursuant to this act. A job shall be deemed to
exist in this state prior to approval of an application if the
activities and functions for which the particular job exists have
been ongoing at any time within six (6) months prior to such
approval; and
5. "Qualified capital expenditure" means an expenditure on
property in this state after May 1, 2025, depreciable under Internal
Revenue Code, 26 U.S.C., Section 168, that has been verified by the
Oklahoma Department of Commerce. The cost of property placed in
service and expenditures made on behalf of or for the benefit of an
establishment by a separate business entity shall be considered an
"expenditure" of the establishment for purposes of this definition.
SECTION 3. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 3647.3 of Title 68, unless there
is created a duplication in numbering, reads as follows:
A. 1. There is hereby created until July 1, 2045, an ROA-25
investment rebate program for the cost of qualified capital
expenditures by establishments which create not less than a
threshold number of new direct jobs as provided in this section.
2. The threshold number of new direct jobs required for
establishments to qualify and remain qualified for investment rebate
payments created in paragraph 1 of this subsection shall be seven
hundred (700) new direct jobs in year one of the rebate payment
period, with a threshold number of one thousand (1,000) beginning in
year two and throughout the remainder of the rebate payment period.
B. The ROA-25 investment rebate program shall be administered
by the Oklahoma Department of Commerce.
C. No later than October 1 of each year, the Oklahoma
Department of Commerce shall submit electronically an annual report
to the Speaker of the Oklahoma House of Representatives, the
President Pro Tempore of the Oklahoma State Senate, the Chair of the
Appropriations and Budget Committee of the Oklahoma House of
Representatives, the Chair of the Appropriations Committee of the
Oklahoma State Senate, and the Executive Director of the Legislative
Office of Fiscal Transparency detailing the program and ROA-25
investment rebate payments.
ENR. H. B. NO. 2781 Page 4
D. The Oklahoma Department of Commerce and the State Treasurer
may promulgate rules to implement the provisions of this act.
E. To be eligible for consideration for an ROA-25 investment
rebate payment awarded under the provisions of this act, a primary
establishment shall:
1. a. Submit an application and documentation to the
Oklahoma Department of Commerce, as required by the
Department:
(1) outlining a capital expenditure plan in this
state associated with qualified capital
expenditures totaling no less than Two Billion
Dollars ($2,000,000,000.00), and
(2) outlining new job creation levels no less than
seven hundred (700) new jobs, and
b. Establishment primarily engaged under Industry Sector
Nos. 31 through 33 of the NAICS Manual, latest
revision;
2. Be otherwise qualified to receive payments pursuant to the
provisions of the Oklahoma Quality Jobs Program Act created pursuant
to Section 3601 of Title 68 of the Oklahoma Statutes; and
3. Have filed all Oklahoma tax returns and tax documents
required by law.
F. 1. Notwithstanding any other provision of law, if a primary
establishment receives an ROA-25 investment rebate payment pursuant
to the provisions of this act, neither the qualified establishment
nor its subsidiaries shall be eligible to receive quarterly
incentive payments provided for in Section 3601 et seq. of Title 68
of the Oklahoma Statutes, in connection with the project or
development for which the investment rebate payment was based.
2. Notwithstanding any other provision of law, no investment
expenditure shall be utilized for calculation purposes in a way that
results in the qualification of more than one establishment under
the provisions of this act, for ROA-25 investment rebate payments
based on the same expenditure.
ENR. H. B. NO. 2781 Page 5
G. 1. Except as limited by paragraph 2 of this subsection, the
Oklahoma Department of Commerce shall approve or disapprove claims
for rebates and issue ROA-25 investment rebate payments for all
approved claims from funds held in the ROA-25 Beneficiary Revolving
Fund created pursuant to Section 5 of this act and subject to the
limitations set forth in Section 4 of this act.
2. The Department shall disapprove all applications and claims,
as well as portions of applications and claims, for rebates that
would exceed the anticipated accumulation of available funds in the
ROA-25 Beneficiary Revolving Fund.
SECTION 4. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 3647.4 of Title 68, unless there
is created a duplication in numbering, reads as follows:
A. Subject to the approval and ongoing review of the
eligibility application by the Oklahoma Department of Commerce, the
ROA-25 investment rebate payment authorized by this act shall be
equal to one-fifteenth (1/15) of the payout value of the financial
instrument purchased or acquired pursuant to Section 5 of this act;
ROA-25 investment rebate payments in the same amount shall be
allowed in each of the fifteen (15) subsequent years, provided the
Department has verified that the establishment remains eligible for
such payment in each successive year based on the eligibility
criteria of this act.
B. The Oklahoma Department of Commerce is authorized to
conditionally pre-qualify and account for anticipated future ROA-25
investment rebate payments. The Oklahoma Department of Commerce
shall not pre-qualify ROA-25 investment rebate payments, encumber
funds, pre-encumber funds, or otherwise allocate resources in any
way that would result in the allocation of ROA-25 investment rebate
payments in excess of the anticipated accumulation of available
funds in the ROA-25 Beneficiary Revolving Fund.
SECTION 5. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 3647.5 of Title 68, unless there
is created a duplication in numbering, reads as follows:
A. There is hereby created in the State Treasury a revolving
fund for the State Treasurer to be designated the "ROA-25 Revolving
Fund". The fund shall be a continuing fund, not subject to fiscal
year limitations, and shall consist of all monies lawfully directed
for deposit to the fund. All monies accruing to the credit of said
ENR. H. B. NO. 2781 Page 6
fund are hereby appropriated and upon communication from the
Department of Commerce of a satisfactory feasibility study of such
project participating in the Reindustrialize Oklahoma Act of 2025,
shall be budgeted and expended by the State Treasurer for the
purpose of purchasing or acquiring an annuity or materially similar
financial instrument which shall provide to the ROA-25 Beneficiary
Revolving Fund created by subsection B of this section equal annual
distributions of monies over a fifteen-year period. Expenditures,
transfers, and distributions from said fund shall be made upon
warrants issued by the State Treasurer against claims filed as
prescribed by law with the Director of the Office of Management and
Enterprise Services for approval and payment, or as otherwise
required to satisfy the requirements of this section.
B. There is hereby created in the State Treasury a beneficiary
revolving fund for the Oklahoma Department of Commerce to be
designated the "ROA-25 Beneficiary Revolving Fund". The fund shall
be a continuing fund, not subject to fiscal year limitations, and
shall consist of all distributions of the financial instrument
financed through subsection A of this section. All monies accruing
to the credit of said beneficiary revolving fund are hereby
appropriated and shall be budgeted, expended, and distributed by the
Oklahoma Department of Commerce in accordance with the provisions of
the Reindustrialize Oklahoma Act of 2025. Expenditures, transfers,
and distributions from said fund shall be made upon warrants issued
by the State Treasurer against claims filed as prescribed by law
with the Director of the Office of Management and Enterprise
Services for approval and payment.
C. The State Treasurer is authorized to establish a custodial
account within the Treasury, and enter a contractual relationship
for custodial account services with a private institution as needed,
to administer the provisions of this section.
D. All unencumbered funds remaining in the Funds created in
subsections A and B of this section on or after the expiration of
the Reindustrialize Oklahoma Act of 2025 shall be transferred to the
State Treasurer for deposit in the General Revenue Fund.
ENR. H. B. NO. 2781 Page 7
Passed the House of Representatives the 20th day of May, 2025.
Presiding Officer of the House
of Representatives
Passed the Senate the 22nd day of May, 2025.
Presiding Officer of the Senate
OFFICE OF THE GOVERNOR
Received by the Office of the Governor this ____________________
day of ___________________, 20_______, at _______ o'clock _______ M.
By: _________________________________
Approved by the Governor of the State of Oklahoma this _________
day of ___________________, 20_______, at _______ o'clock _______ M.
_________________________________
Governor of the State of Oklahoma
OFFICE OF THE SECRETARY OF STATE
Received by the Office of the Secretary of State this __________
day of ___________________, 20_______, at _______ o'clock _______ M.
By: _________________________________
ENR. H. B. NO. 2781 Page 8