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SB1390 • 2026

Gross production tax; modifying apportionment of collections for certain fiscal years; modifying apportionment limit. Effective date.

Gross production tax; modifying apportionment of collections for certain fiscal years; modifying apportionment limit. Effective date.

Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Jech
Last action
2026-05-13
Official status
Approved by Governor 05/12/2026
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Gross production tax; modifying apportionment of collections for certain fiscal years; modifying apportionment limit. Effective date.

Gross production tax; modifying apportionment of collections for certain fiscal years; modifying apportionment limit.

What This Bill Does

  • Gross production tax; modifying apportionment of collections for certain fiscal years; modifying apportionment limit.
  • Effective date.
  • Bill Summaries/Fiscal Impact for SB 1390 (House): Engrossed (4/6/2026) Bill Summaries/Fiscal Impact for SB 1390 (Senate): Introduced (12/31/2025) Bill Summaries/Fiscal Impact for SB 1390 (Senate): Committee Substitute (3/10/2026) Fiscal Impact Statements For SB 1390 (Senate): SB1390 INT FI.PDF (Fiscal (Senate)) Fiscal Impact Statements For SB 1390 (Senate): SB1390 CS FI.PDF (Fiscal (Senate))

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

Filed

Plain English: Req.

  • Req.
  • No.
  • 3783 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 STATE OF OKLAHOMA 2nd Session of the 60th Legislature (2026) COMMITTEE SUBSTITUTE FOR SENATE BILL NO.
  • 1390 By: Jech of the Senate and Newton of the House COMMITTEE SUBSTITUTE An Act relating to gross production tax; amending 68 O.S.

Plain English: Filed

  • The official amendment file could not be read automatically during the last sync, so only the official amendment metadata is shown right now.

Bill History

  1. 2026-05-13 Senate

    Approved by Governor 05/12/2026

  2. 2026-05-06 House

    General Order

  3. 2026-05-06 House

    Third Reading, Measure passed: Ayes: 75 Nays: 16

  4. 2026-05-06 House

    Signed, returned to Senate

  5. 2026-05-06 Senate

    Referred for enrollment

  6. 2026-05-06 Senate

    Enrolled, to House

  7. 2026-05-06 House

    Signed, returned to Senate

  8. 2026-05-06 Senate

    Sent to Governor

  9. 2026-04-23 House

    CR; Do Pass Appropriations and Budget Committee

  10. 2026-04-16 House

    Recommendation to the full committee; Do Pass Appropriations and Budget Transportation Subcommittee

  11. 2026-03-31 House

    Referred to Appropriations and Budget Transportation Subcommittee

  12. 2026-03-30 House

    Second Reading referred to Appropriations and Budget

  13. 2026-03-24 Senate

    Engrossed to House

  14. 2026-03-24 House

    First Reading

  15. 2026-03-23 Senate

    General Order, Amended

  16. 2026-03-23 Senate

    Title restored

  17. 2026-03-23 Senate

    Measure passed: Ayes: 38 Nays: 7

  18. 2026-03-23 Senate

    Referred for engrossment

  19. 2026-03-09 Senate

    Placed on General Order

  20. 2026-03-04 Senate

    Reported Do Pass, amended by committee substitute Appropriations committee; CR filed

  21. 2026-03-04 Senate

    Title stricken

  22. 2026-03-04 Senate

    Emergency removed

  23. 2026-02-23 Senate

    Reported Do Pass Revenue and Taxation committee; CR filed

  24. 2026-02-23 Senate

    Referred to Appropriations

  25. 2026-02-11 Senate

    Coauthored by Representative Newton (principal House author)

  26. 2026-02-03 Senate

    Second Reading referred to Revenue and Taxation Committee then to Appropriations Committee

  27. 2026-02-02 Senate

    First Reading

  28. 2026-02-02 Senate

    Authored by Senator Jech

Official Summary Text

Gross production tax; modifying apportionment of collections for certain fiscal years; modifying apportionment limit. Effective date.
Bill Summaries/Fiscal Impact for SB 1390 (House): Engrossed (4/6/2026)
Bill Summaries/Fiscal Impact for SB 1390 (Senate): Introduced (12/31/2025)
Bill Summaries/Fiscal Impact for SB 1390 (Senate): Committee Substitute (3/10/2026)
Fiscal Impact Statements For SB 1390 (Senate): SB1390 INT FI.PDF (Fiscal (Senate))
Fiscal Impact Statements For SB 1390 (Senate): SB1390 CS FI.PDF (Fiscal (Senate))

Current Bill Text

Read the full stored bill text
An Act
ENROLLED SENATE
BILL NO. 1390 By: Jech of the Senate

and

Newton of the House

An Act relating to gross production tax; amending 68
O.S. 2021, Section 1004, as last amended by Section
2, Chapter 490, O.S.L. 2025 (68 O.S. Supp. 2025,
Section 1004), which relates to apportionments;
modifying apportionments for certain fiscal years;
updating statutory language; updating statutory
reference; and providing an effective date.

SUBJECT: Gross production tax

BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:

SECTION 1. AMENDATORY 68 O.S. 2021, Section 1004, as
last amended by Section 2, Chapter 490, O.S.L. 2025 (68 O.S. Supp.
2025, Section 1004), is amended to read as follows:

Section 1004. A. As used in this section:

1. “Moving five-year average amount for gas” means, for
purposes of the apportionments prescribed by this section, the
amount of gross production tax on natural gas collected for each of
the five (5) complete fiscal years, as computed by the State Board
of Equalization pursuant to Section 34.103 of Title 62 of the
Oklahoma Statutes; and

2. “Moving five-year average amount for oil” means, for
purposes of the apportionments prescribed by this section, the
amount of gross production tax on oil collected for each of the five
(5) complete fiscal years, as computed by the State Board of

ENR. S. B. NO. 1390 Page 2
Equalization pursuant to Section 34.103 of Title 62 of the Oklahoma
Statutes.

B. Beginning July 1, 2017, the gross production tax provided
for in Section 1001 of this title is hereby levied and shall be
collected and apportioned as follows:

1. For all monies collected from the tax levied on asphalt or
ores bearing uranium, lead, zinc, jack, gold, silver or copper:

a. eighty-five and seventy-two one-hundredths percent
(85.72%) shall be paid to the State Treasurer of the
state to be placed in the General Revenue Fund of the
state and used for the general expense of state
government, to be paid out pursuant to direct
appropriation by the Legislature,

b. seven and fourteen one-hundredths percent (7.14%) of
the sum collected from natural gas and/or casinghead
gas or asphalt or ores bearing uranium, lead, zinc,
jack, gold, silver or copper shall be paid to the
various county treasurers to be credited to the County
Highway Fund county highway fund as follows: Each
county shall receive a proportionate share of the
funds available based upon the proportion of the total
value of production from such county in the
corresponding month of the preceding year, and

c. seven and fourteen one-hundredths percent (7.14%)
shall be allocated to each county as provided for in
subparagraph b of this paragraph and shall be
apportioned, on an average daily attendance per capita
distribution basis, as certified by the State
Superintendent of Public Instruction to the school
districts of the county where such pupils attend
school regardless of residence of such pupil, provided
the school district makes an ad valorem tax levy of
fifteen (15) mills for the current year and maintains
twelve (12) years of instruction;

2. For all monies collected from the tax levied on natural gas
and/or and casinghead gas at a tax rate of seven percent (7%)

ENR. S. B. NO. 1390 Page 3
pursuant to the provisions of subsection B of Section 1001 of this
title:

a. after the total revenue apportioned to the General
Revenue Fund as prescribed by subparagraph b of this
paragraph equals the moving five-year average amount
for gas as defined by paragraph 1 of subsection A of
this section, there shall be apportioned from the
gross production tax levy imposed pursuant to Section
1001 of this title on natural gas and/or and
casinghead gas to the Revenue Stabilization Fund
created by Section 34.102 of Title 62 of the Oklahoma
Statutes, the amount of revenue, if any, which exceeds
the moving five-year average amount for gas as defined
pursuant to paragraph 1 of subsection A of this
section,

b. until the apportionment to the General Revenue Fund
equals the moving five-year average amount for gas as
prescribed by paragraph 1 of subsection A of this
section, eighty-five and seventy-two one-hundredths
percent (85.72%) shall be paid to the State Treasurer
of the state to be placed in the General Revenue Fund
of the state and used for the general expense of state
government, to be paid out pursuant to direct
appropriation by the Legislature,

c. before any other apportionment of revenue has been
made pursuant to this paragraph, seven and fourteen
one-hundredths percent (7.14%) of the sum collected
from natural gas and/or and casinghead gas shall be
paid to the various county treasurers to be credited
to the County Highway Fund county highway fund as
follows: Each county shall receive a proportionate
share of the funds available based upon the proportion
of the total value of production from such county in
the corresponding month of the preceding year, and

d. before any other apportionment of revenue has been
made pursuant to this paragraph, seven and fourteen
one-hundredths percent (7.14%) shall be allocated to
each county as provided for in subparagraph c of this

ENR. S. B. NO. 1390 Page 4
paragraph and shall be apportioned, on an average
daily attendance per capita distribution basis, as
certified by the State Superintendent of Public
Instruction to the school districts of the county
where such pupils attend school regardless of
residence of such pupil, provided the school district
makes an ad valorem tax levy of fifteen (15) mills for
the current year and maintains twelve (12) years of
instruction;

3. For all monies collected from the tax levied on natural gas
and/or and casinghead gas at a tax rate of four percent (4%)
pursuant to the provisions of subsection B of Section 1001 of this
title:

a. after the total revenue apportioned to the General
Revenue Fund as prescribed by subparagraph b of this
paragraph equals the moving five-year average amount
for gas as defined by paragraph 1 of subsection A of
this section, there shall be apportioned from the
gross production tax levy imposed pursuant to Section
1001 of this title on natural gas and/or and
casinghead gas to the Revenue Stabilization Fund
created pursuant to Section 34.102 of Title 62 of the
Oklahoma Statutes, the amount of revenue, if any,
which exceeds the moving five-year average amount for
gas as defined pursuant to paragraph 1 of subsection A
of this section,

b. until the apportionment to the General Revenue Fund
equals the moving five-year average amount for gas as
prescribed by paragraph 1 of subsection A of this
section, seventy-five percent (75%) shall be paid to
the State Treasurer of the state to be placed in the
General Revenue Fund of the state and used for the
general expense of state government, to be paid out
pursuant to direct appropriation by the Legislature,

c. before any other apportionment of revenue has been
made pursuant to this paragraph, twelve and one-half
percent (12.5%) of the sum collected from natural gas
and/or and casinghead gas shall be paid to the various

ENR. S. B. NO. 1390 Page 5
county treasurers to be credited to the County Highway
Fund county highway fund as follows: Each county
shall receive a proportionate share of the funds
available based upon the proportion of the total value
of production from such county in the corresponding
month of the preceding year, and

d. before any other apportionment of revenue has been
made pursuant to this paragraph, twelve and one-half
percent (12.5%) shall be allocated to each county as
provided for in subparagraph c of this paragraph and
shall be apportioned, on an average daily attendance
per capita distribution basis, as certified by the
State Superintendent of Public Instruction to the
school districts of the county where such pupils
attend school regardless of residence of such pupil,
provided the school district makes an ad valorem tax
levy of fifteen (15) mills for the current year and
maintains twelve (12) years of instruction;

4. For all monies collected from the tax levied on natural gas
and/or and casinghead gas at a tax rate of one percent (1%) pursuant
to the provisions of subsection B of Section 1001 of this title:

a. fifty percent (50%) of the sum collected from natural
gas and/or and casinghead gas shall be paid to the
various county treasurers to be credited to the County
Highway Fund county highway fund as follows: Each
county shall receive a proportionate share of the
funds available based upon the proportion of the total
value of production from such county in the
corresponding month of the preceding year, and

b. fifty percent (50%) shall be allocated to each county
as provided for in subparagraph a of this paragraph
and shall be apportioned, on an average daily
attendance per capita distribution basis, as certified
by the State Superintendent of Public Instruction to
the school districts of the county where such pupils
attend school regardless of residence of such pupil,
provided the school district makes an ad valorem tax

ENR. S. B. NO. 1390 Page 6
levy of fifteen (15) mills for the current year and
maintains twelve (12) years of instruction;

5. For all monies collected from the tax levied on natural gas
and/or and casinghead gas at a tax rate of two percent (2%) pursuant
to the provisions of paragraph 3 of subsection B of Section 1001 of
this title:

a. after the total revenue apportioned to the General
Revenue Fund as prescribed by subparagraph b of this
paragraph equals the moving five-year average amount
for gas as defined by paragraph 1 of subsection A of
this section, there shall be apportioned from the
gross production tax levy imposed pursuant to Section
1001 of this title on gas to the Revenue Stabilization
Fund created by Section 34.102 of Title 62 of the
Oklahoma Statutes, the amount of revenue, if any,
which exceeds the moving five-year average amount for
natural gas and/or and casinghead gas as defined
pursuant to paragraph 1 of subsection A of this
section,

b. until the apportionment to the General Revenue Fund
equals the moving five-year average amount for gas as
prescribed by paragraph 1 of subsection A of this
section, fifty percent (50%) shall be paid to the
State Treasurer to be placed in the General Revenue
Fund of the state and used for the general expense of
state government, to be paid out pursuant to direct
appropriation by the Legislature,

c. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-five percent
(25%) of the sum collected from natural gas and/or and
casinghead gas shall be paid to the various county
treasurers to be credited to the County Highway Fund
county highway fund as follows: Each county shall
receive a proportionate share of the funds available
based upon the proportion of the total value of
production from such county in the corresponding month
of the preceding year, and

ENR. S. B. NO. 1390 Page 7
d. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-five percent
(25%) shall be allocated to each county as provided
for in subparagraph c of this paragraph and shall be
apportioned on an average daily attendance per capita
distribution basis, as certified by the State
Superintendent of Public Instruction, to the school
districts of the county where such pupils attend
school regardless of residence of such pupil, provided
the school district makes an ad valorem tax levy of
fifteen (15) mills for the current year and maintains
twelve (12) years of instruction;

6. For all monies collected from the tax levied on oil at a tax
rate of seven percent (7%) pursuant to the provisions of subsection
B of Section 1001 of this title:

a. there shall be apportioned from the gross production
tax levy imposed pursuant to Section 1001 of this
title on oil to the Revenue Stabilization Fund created
by Section 34.102 of Title 62 of the Oklahoma
Statutes, after the applicable maximum amount
prescribed by subsection C of this section has been
deposited to the funds therein specified, the amount
of revenue, if any, which would otherwise be
apportioned to the General Revenue Fund and which
exceeds the moving five-year average amount for oil as
defined pursuant to paragraph 2 of subsection A of
this section,

b. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-five and
seventy-two one-hundredths percent (25.72%) shall be
paid to the State Treasurer to be placed in the Common
Education Technology Revolving Fund created in Section
34.90 of Title 62 of the Oklahoma Statutes,

c. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-five and
seventy-two one-hundredths percent (25.72%) shall be
paid to the State Treasurer to be placed in the Higher

ENR. S. B. NO. 1390 Page 8
Education Capital Revolving Fund created in Section
34.91 of Title 62 of the Oklahoma Statutes,

d. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-five and
seventy-two one-hundredths percent (25.72%) shall be
paid to the State Treasurer to be placed in the
Oklahoma Student Aid Revolving Fund created in Section
34.92 of Title 62 of the Oklahoma Statutes,

e. before any other apportionment of revenue has been
made pursuant to this paragraph, three and seven
hundred forty-five one-thousandths percent (3.745%)
shall be distributed to the various counties of the
state for deposit into the County Bridge and Road
Improvement Fund of each county based on a formula
developed by the Department of Transportation and
approved by the Department of Transportation County
Advisory Board created pursuant to Section 302.1 of
Title 69 of the Oklahoma Statutes to be used for the
purposes set forth in the County Bridge and Road
Improvement Act. The formula shall be similar to the
formula currently used for the distribution of monies
in the County Bridge Program funds, but shall also
take into consideration the effect of the terrain and
traffic volume as related to county road improvement
and maintenance costs,

f. before any other apportionment of revenue has been
made pursuant to this paragraph, four and twenty-eight
one-hundredths percent (4.28%) shall be paid to the
State Treasurer to be apportioned to:

(1) the following sources and in the following
amounts through the fiscal year ending June 30,
2027 June 30, 2032:

(a) thirty-three and one-third percent (33 1/3%)
to the Oklahoma Tourism and Recreation
Department Capital Expenditure Revolving
Fund created pursuant to Section 2254.1 of
Title 74 of the Oklahoma Statutes,

ENR. S. B. NO. 1390 Page 9

(b) thirty-three and one-third percent (33 1/3%)
to the Oklahoma Conservation Commission
Infrastructure Revolving Fund created
pursuant to Section 3-2-110 of Title 27A of
the Oklahoma Statutes, and

(c) thirty-three and one-third percent (33 1/3%)
to the Community Water Infrastructure
Development Revolving Fund created pursuant
to Section 1085.7A of Title 82 of the
Oklahoma Statutes, and

(2) the Oklahoma Water Resources Board Rural Economic
Action Plan Water Projects Fund for the fiscal
year beginning July 1, 2027 July 1, 2032, and for
each fiscal year thereafter,

g. before any other apportionment of revenue has been
made pursuant to this paragraph, seven and fourteen
one-hundredths percent (7.14%) of the sum collected
from oil shall be paid to the various county
treasurers, to be credited to the County Highway Fund
county highway fund as follows: Each county shall
receive a proportionate share of the funds available
based upon the proportion of the total value of
production from such county in the corresponding month
of the preceding year,

h. before any other apportionment of revenue has been
made pursuant to this paragraph, seven and fourteen
one-hundredths percent (7.14%) shall be allocated to
each county as provided in subparagraph g of this
paragraph and shall be apportioned, on an average
daily attendance per capita distribution basis, as
certified by the State Superintendent of Public
Instruction, to the school districts of the county
where such pupils attend school regardless of
residence of such pupil, provided the school district
makes an ad valorem tax levy of fifteen (15) mills for
the current year and maintains twelve (12) years of
instruction, and

ENR. S. B. NO. 1390 Page 10

i. before any other apportionment of revenue has been
made pursuant to this paragraph, five hundred thirty-
five one-thousandths percent (0.535%) of the levy
shall be transmitted by the Oklahoma Tax Commission to
the Statewide Circuit Engineering District Revolving
Fund as created in Section 687.2 of Title 69 of the
Oklahoma Statutes;

7. For all monies collected from the tax levied on oil at a tax
rate of four percent (4%) pursuant to the provisions of subsection B
of Section 1001 of this title:

a. there shall be apportioned from the gross production
tax levy imposed pursuant to Section 1001 of this
title on oil to the Revenue Stabilization Fund created
by Section 34.102 of Title 62 of the Oklahoma
Statutes, after the applicable maximum amount
prescribed by subsection C of this section has been
deposited to the funds therein specified, the amount
of revenue, if any, which would otherwise be
apportioned to the General Revenue Fund and which
exceeds the moving five-year average amount for oil as
defined pursuant to paragraph 2 of subsection A of
this section,

b. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-two and one-
half percent (22.5%) shall be paid to the State
Treasurer to be placed in the Common Education
Technology Revolving Fund created in Section 34.90 of
Title 62 of the Oklahoma Statutes,

c. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-two and one-
half percent (22.5%) shall be paid to the State
Treasurer to be placed in the Higher Education Capital
Revolving Fund created in Section 34.91 of Title 62 of
the Oklahoma Statutes,

d. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-two and one-

ENR. S. B. NO. 1390 Page 11
half percent (22.5%) shall be paid to the State
Treasurer to be placed in the Oklahoma Student Aid
Revolving Fund created in Section 34.92 of Title 62 of
the Oklahoma Statutes,

e. before any other apportionment of revenue has been
made pursuant to this paragraph, three and twenty-
eight one-hundredths percent (3.28%) shall be
distributed to the various counties of the state for
deposit into the County Bridge and Road Improvement
Fund of each county based on a formula developed by
the Department of Transportation and approved by the
Department of Transportation County Advisory Board
created pursuant to Section 302.1 of Title 69 of the
Oklahoma Statutes to be used for the purposes set
forth in the County Bridge and Road Improvement Act.
The formula shall be similar to the formula currently
used for the distribution of monies in the County
Bridge Program funds, but shall also take into
consideration the effect of the terrain and traffic
volume as related to county road improvement and
maintenance costs,

f. before any other apportionment of revenue has been
made pursuant to this paragraph, three and seventy-
five one-hundredths percent (3.75%) shall be paid to
the State Treasurer to be apportioned to:

(1) the following sources and in the following
amounts through the fiscal year ending June 30,
2027 June 30, 2032:

(a) thirty-three and one-third percent (33 1/3%)
to the Oklahoma Tourism and Recreation
Department Capital Expenditure Revolving
Fund created pursuant to Section 2254.1 of
Title 74 of the Oklahoma Statutes,

(b) thirty-three and one-third percent (33 1/3%)
to the Oklahoma Conservation Commission
Infrastructure Revolving Fund created

ENR. S. B. NO. 1390 Page 12
pursuant to Section 3-2-110 of Title 27A of
the Oklahoma Statutes, and

(c) thirty-three and one-third percent (33 1/3%)
to the Community Water Infrastructure
Development Revolving Fund created pursuant
to Section 1085.7A of Title 82 of the
Oklahoma Statutes, and

(2) the Oklahoma Water Resources Board Rural Economic
Action Plan Water Projects Fund for the fiscal
year beginning July 1, 2027 July 1, 2032, and for
each fiscal year thereafter,

g. before any other apportionment of revenue has been
made pursuant to this paragraph, twelve and one-half
percent (12.5%) of the sum collected from oil shall be
paid to the various county treasurers, to be credited
to the County Highway Fund county highway fund as
follows: Each county shall receive a proportionate
share of the funds available based upon the proportion
of the total value of production from such county in
the corresponding month of the preceding year,

h. before any other apportionment of revenue has been
made pursuant to this paragraph, twelve and one-half
percent (12.5%) shall be allocated to each county as
provided in subparagraph g of this paragraph and shall
be apportioned on an average daily attendance per
capita distribution basis, as certified by the State
Superintendent of Public Instruction, to the school
districts of the county where such pupils attend
school regardless of residence of such pupil, provided
the school district makes an ad valorem tax levy of
fifteen (15) mills for the current year and maintains
twelve (12) years of instruction, and

i. before any other apportionment of revenue has been
made pursuant to this paragraph, forty-seven one-
hundredths percent (0.47%) of the levy shall be
transmitted by the Tax Commission to the Statewide

ENR. S. B. NO. 1390 Page 13
Circuit Engineering District Revolving Fund as created
in Section 687.2 of Title 69 of the Oklahoma Statutes;

8. For all monies collected from the tax levied on oil at a tax
rate of one percent (1%) pursuant to the provisions of subsection B
of Section 1001 of this title:

a. fifty percent (50%) of the sum collected shall be paid
to the various county treasurers, to be credited to
the County Highway Fund county highway fund as
follows: Each county shall receive a proportionate
share of the funds available based upon the proportion
of the total value of production from such county in
the corresponding month of the preceding year, and

b. fifty percent (50%) shall be allocated to each county
as provided for in subparagraph a of this paragraph
and shall be apportioned on an average daily
attendance per capita distribution basis, as certified
by the State Superintendent of Public Instruction, to
the school districts of the county where such pupils
attend school regardless of residence of such pupil,
provided the school district makes an ad valorem tax
levy of fifteen (15) mills for the current year and
maintains twelve (12) years of instruction;

9. For all monies collected from the tax levied on oil at a tax
rate of two percent (2%) pursuant to the provisions of paragraph 3
of subsection B of Section 1001 of this title:

a. there shall be apportioned from the gross production
tax levy imposed pursuant to Section 1001 of this
title on oil to the Revenue Stabilization Fund created
by Section 34.102 of Title 62 of the Oklahoma
Statutes, the amount of revenue, if any, which exceeds
the moving five-year average amount for oil as defined
pursuant to paragraph 2 of subsection A of this
section,

b. until the apportionment to the General Revenue Fund
equals the moving five-year average amount for oil as
prescribed by paragraph 2 of subsection A of this

ENR. S. B. NO. 1390 Page 14
section, fifty percent (50%) shall be paid to the
State Treasurer to be placed in the General Revenue
Fund of the state and used for the general expense of
state government, to be paid out pursuant to direct
appropriation by the Legislature,

c. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-five percent
(25%) of the sum collected from oil shall be paid to
the various county treasurers, to be credited to the
County Highway Fund county highway fund as follows:
Each county shall receive a proportionate share of the
funds available based upon the proportion of the total
value of production from such county in the
corresponding month of the preceding year, and

d. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-five percent
(25%) shall be allocated to each county as provided in
subparagraph c of this paragraph and shall be
apportioned on an average daily attendance per capita
distribution basis, as certified by the State
Superintendent of Public Instruction, to the school
districts of the county where such pupils attend
school regardless of residence of such pupil, provided
the school district makes an ad valorem tax levy of
fifteen (15) mills for the current year and maintains
twelve (12) years of instruction;

10. On or after June 28, 2018 and before July 1, 2025, the
gross production tax levied on natural gas or casinghead gas at the
rate of five percent (5%) provided for in paragraph 3 of subsection
B of Section 1001 of this title shall be apportioned as follows:

a. after the total revenue apportioned to the General
Revenue Fund as prescribed by subparagraph b of this
paragraph equals the moving five-year average amount
for gas as defined by paragraph 1 of subsection A of
this section, there shall be apportioned from the
gross production tax levy imposed pursuant to Section
1001 of this title on natural gas and/or and
casinghead gas to the Revenue Stabilization Fund

ENR. S. B. NO. 1390 Page 15
created pursuant to Section 34.102 of Title 62 of the
Oklahoma Statutes, the amount of revenue, if any,
which exceeds the moving five-year average amount for
gas as defined pursuant to paragraph 1 of subsection A
of this section,

b. until the apportionment to the General Revenue Fund
equals the moving five-year average amount for gas as
prescribed by paragraph 1 of subsection A of this
section, eighty percent (80%) shall be paid to the
State Treasurer of the state to be placed in the
General Revenue Fund of the state and used for the
general expense of state government, to be paid out
pursuant to direct appropriation by the Legislature,

c. before any other apportionment of revenue has been
made pursuant to this paragraph, ten percent (10%) of
the sum collected from natural gas and/or and
casinghead gas shall be paid to the various county
treasurers to be credited to the County Highway Fund
county highway fund as follows: Each county shall
receive a proportionate share of the funds available
based upon the proportion of the total value of
production from such county in the corresponding month
of the preceding year,

d. before any other apportionment of revenue has been
made pursuant to this paragraph, ten percent (10%)
shall be allocated to each county as provided for in
subparagraph c of this paragraph and shall be
apportioned, on an average daily attendance per capita
distribution basis, as certified by the State
Superintendent of Public Instruction to the school
districts of the county where such pupils attend
school regardless of residence of such pupil, provided
the school district makes an ad valorem tax levy of
fifteen (15) mills for the current year and maintains
twelve (12) years of instruction;

11. Beginning July 1, 2025, the gross production tax levied on
natural gas or casinghead gas at the rate of five percent (5%)

ENR. S. B. NO. 1390 Page 16
provided for in paragraph 3 of subsection B of Section 1001 of this
title shall be apportioned as follows:

a. after the total revenue apportioned to the General
Revenue Fund as prescribed by subparagraph b of this
paragraph equals the moving five-year average amount
for gas as defined by paragraph 1 of subsection A of
this section, there shall be apportioned from the
gross production tax levy imposed pursuant to Section
1001 of this title on natural gas and/or and
casinghead gas to the Revenue Stabilization Fund
created pursuant to Section 34.102 of Title 62 of the
Oklahoma Statutes, the amount of revenue, if any,
which exceeds the moving five-year average amount for
gas as defined pursuant to paragraph 1 of subsection A
of this section,

b. until the apportionment to the General Revenue Fund
equals the moving five-year average amount for gas as
prescribed by paragraph 1 of subsection A of this
section, forty percent (40%) shall be paid to the
State Treasurer of the state to be placed in the
General Revenue Fund of the state and used for the
general expense of state government, to be paid out
pursuant to direct appropriation by the Legislature,

c. before any other apportionment of revenue has been
made pursuant to this paragraph, ten percent (10%) of
the sum collected from natural gas and/or and
casinghead gas shall be paid to the various county
treasurers to be credited to the County Highway Fund
county highway fund as follows: Each county shall
receive a proportionate share of the funds available
based upon the proportion of the total value of
production from such county in the corresponding month
of the preceding year,

d. before any other apportionment of revenue has been
made pursuant to this paragraph, ten percent (10%)
shall be allocated to each county as provided for in
subparagraph c of this paragraph and shall be
apportioned, on an average daily attendance per capita

ENR. S. B. NO. 1390 Page 17
distribution basis, as certified by the State
Superintendent of Public Instruction to the school
districts of the county where such pupils attend
school regardless of residence of such pupil, provided
the school district makes an ad valorem tax levy of
fifteen (15) mills for the current year and maintains
twelve (12) years of instruction, and

e. before any other apportionment of revenue has been
made pursuant to this paragraph, forty percent (40%)
shall be remitted to the State Treasurer to be
credited to the Preserving and Advancing County
Transportation Fund created in Section 1 of this act
508 of Title 69 of the Oklahoma Statutes, but in no
event shall the total amount apportioned in any fiscal
year pursuant to this subparagraph exceed Seventy-five
Million Dollars ($75,000,000.00). Any amounts in
excess of Seventy-five Million Dollars
($75,000,000.00) shall be placed in the General
Revenue Fund of the state and used for the general
expense of state government, to be paid out pursuant
to direct appropriation by the Legislature; and

12. On or after June 28, 2018, the gross production tax on oil
levied at the rate of five percent (5%) provided for in paragraph 3
of subsection B of Section 1001 of this title shall be apportioned
as follows:

a. there shall be apportioned from the gross production
tax levy imposed pursuant to Section 1001 of this
title on oil to the Revenue Stabilization Fund created
by Section 34.102 of Title 62 of the Oklahoma
Statutes, after the applicable maximum amount
prescribed by subsection C of this section has been
deposited to the funds therein specified, the amount
of revenue, if any, which would otherwise be
apportioned to the General Revenue Fund and which
exceeds the moving five-year average amount for oil as
defined pursuant to paragraph 2 of subsection A of
this section,

ENR. S. B. NO. 1390 Page 18
b. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-three and
seventy-five one-hundredths percent (23.75%) shall be
paid to the State Treasurer to be placed in the Common
Education Technology Revolving Fund created in Section
34.90 of Title 62 of the Oklahoma Statutes,

c. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-three and
seventy-five one-hundredths percent (23.75%) shall be
paid to the State Treasurer to be placed in the Higher
Education Capital Revolving Fund created in Section
34.91 of Title 62 of the Oklahoma Statutes,

d. before any other apportionment of revenue has been
made pursuant to this paragraph, twenty-three and
seventy-five one-hundredths percent (23.75%) shall be
paid to the State Treasurer to be placed in the
Oklahoma Student Aid Revolving Fund created in Section
34.92 of Title 62 of the Oklahoma Statutes,

e. before any other apportionment of revenue has been
made pursuant to this paragraph, three and twenty-
eight one-hundredths percent (3.28%) shall be
distributed to the various counties of the state for
deposit into the County Bridge and Road Improvement
Fund of each county based on a formula developed by
the Department of Transportation and approved by the
Department of Transportation County Advisory Board
created pursuant to Section 302.1 of Title 69 of the
Oklahoma Statutes to be used for the purposes set
forth in the County Bridge and Road Improvement Act.
The formula shall be similar to the formula currently
used for the distribution of monies in the County
Bridge Program funds, but shall also take into
consideration the effect of the terrain and traffic
volume as related to county road improvement and
maintenance costs,

f. before any other apportionment of revenue has been
made pursuant to this paragraph, five percent (5%)

ENR. S. B. NO. 1390 Page 19
shall be paid to the State Treasurer to be apportioned
to:

(1) the following sources and in the following
amounts through the fiscal year ending June 30,
2027 June 30, 2032:

(a) thirty-three and one-third percent (33 1/3%)
to the Oklahoma Tourism and Recreation
Department Capital Expenditure Revolving
Fund created pursuant to Section 2254.1 of
Title 74 of the Oklahoma Statutes,

(b) thirty-three and one-third percent (33 1/3%)
to the Oklahoma Conservation Commission
Infrastructure Revolving Fund created
pursuant to Section 3-2-110 of Title 27A of
the Oklahoma Statutes, and

(c) thirty-three and one-third percent (33 1/3%)
to the Community Water Infrastructure
Development Revolving Fund created pursuant
to Section 1085.7A of Title 82 of the
Oklahoma Statutes, and

(2) the Oklahoma Water Resources Board Rural Economic
Action Plan Water Projects Fund for the fiscal
year beginning July 1, 2027 July 1, 2032, and for
each fiscal year thereafter,

g. before any other apportionment of revenue has been
made pursuant to this paragraph, ten percent (10%) of
the sum collected from oil shall be paid to the
various county treasurers, to be credited to the
County Highway Fund county highway fund as follows:
Each county shall receive a proportionate share of the
funds available based upon the proportion of the total
value of production from such county in the
corresponding month of the preceding year,

h. before any other apportionment of revenue has been
made pursuant to this paragraph, ten percent (10%)

ENR. S. B. NO. 1390 Page 20
shall be allocated to each county as provided in
subparagraph g of this paragraph and shall be
apportioned on an average daily attendance per capita
distribution basis, as certified by the State
Superintendent of Public Instruction, to the school
districts of the county where such pupils attend
school regardless of residence of such pupil, provided
the school district makes an ad valorem tax levy of
fifteen (15) mills for the current year and maintains
twelve (12) years of instruction, and

i. before any other apportionment of revenue has been
made pursuant to this paragraph, forty-seven one-
hundredths percent (0.47%) of the levy shall be
transmitted by the Tax Commission to the Statewide
Circuit Engineering District Revolving Fund as created
in Section 687.2 of Title 69 of the Oklahoma Statutes.

C. Provided, notwithstanding any other provision of this
section, the total amounts deposited to the Common Education
Technology Revolving Fund, the Higher Education Capital Revolving
Fund, the Oklahoma Student Aid Revolving Fund, the Rural Economic
Action Plan Water Projects Fund, the Oklahoma Tourism and Recreation
Department Capital Expenditure Revolving Fund, the Oklahoma
Conservation Commission Infrastructure Revolving Fund and the
Community Water Infrastructure Development Revolving Fund pursuant
to paragraphs 6, 7 and 11 12 of subsection B of this section shall
not exceed One Hundred Fifty Million Dollars ($150,000,000.00) in
any fiscal year.

Except as otherwise provided in this subsection, all sums in
excess of One Hundred Fifty Million Dollars ($150,000,000.00) in any
fiscal year which would otherwise be deposited in such funds shall
be apportioned by the Oklahoma Tax Commission to the General Revenue
Fund of the state.

SECTION 2. This act shall become effective November 1, 2026.

ENR. S. B. NO. 1390 Page 21
Passed the Senate the 23rd day of March, 2026.

Presiding Officer of the Senate

Passed the House of Representatives the 6th day of May, 2026.

Presiding Officer of the House
of Representatives

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: _________________________________