From Our Government Affairs Team
Nagel Selected for Judicial Nominating Commission
Last week, Senate President Pro Tempore Greg Treat appointed Rick Nagel to the Judicial Nominating Commission (JNC) effective immediately.
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The JNC plays an important role in shaping the courts in Oklahoma. It’s incredibly important that the women and men considered by the governor for judicial appointments be immensely qualified to serve as wise and impartial jurists. Rick Nagel will bring a welcome perspective to the JNC in how it selects the pool of judicial candidates passed on to the governor. I appreciate his willingness to take on this important job and I have full confidence Rick will do an excellent job serving on the JNC,
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said Treat (R-Oklahoma City).
The State Chamber of Oklahoma also applauded the decision. “Rick Nagel is business-minded and understands the ramifications judicial decisions have on businesses,” said Kinsey Westwood, Vice President of Government Affairs at the State Chamber.
Nagel is the managing partner of Acorn Growth Companies. He serves on the board of directors of the State Chamber of Oklahoma and is involved in many civic organizations, including the Oklahoma Alliance of Boys & Girls Clubs. He holds a bachelor’s degree from the University of Oklahoma’s College of Engineering.
2019 State and Local Business Tax Burden Study
The report
shows all state and local business taxes paid in each of the 50 states and the District of Columbia. Businesses paid $781 billion in state and local taxes in FY18, an increase of 6.1% from FY17. State business taxes increased by 7.1%, and local business taxes grew by 5.1%. In FY18, business tax revenue accounted for approximately 43.5% of all state and local tax revenue.
Other key findings of the study include:
- Business property tax revenue increased 5.2% in FY18, a gain of $14.6 billion. Property taxes remain by far the largest state and local tax paid by businesses, accounting for 38.0% of the total. Property taxes are also by far the largest local tax paid by businesses (accounting for 76.2% of all local taxes paid by businesses).
- General sales taxes on business inputs and capital investment totaled $166.9 billion, or 21.4%, of state and local business taxes. Overall sales taxes paid by business increased 5.6%. Sales taxes on business inputs are the largest state tax paid by businesses (accounting for 31.6% of all state taxes paid by businesses).
- Corporate income taxes rose after two consecutive years of decline, largely due to federal tax reform. In FY18, state and local corporate income taxes, including statewide gross receipts taxes, totaled $66.2 billion, or 8.5%, of all state and local business taxes (an increase of 6.7% from FY17). The increase relating to state conformity with federal tax reform reflects the impact of only one-half of a year of revenues and can be expected to rise even more in FY19.
- Individual income taxes on pass-through business income accounted for 6.4% of total state and local business tax revenue. Individual income tax revenue on business income increased by 15.7% from FY17.
- Severance taxes increased nearly 42.2% to $12.7 billion in FY18; the majority of the increase occurred in Texas, following higher oil prices during FY18.
- On average, business taxes are equal to 4.7% of private-sector gross state product (GSP), which measures the total value of a state’s annual private-sector production of goods and services. The data reflect a substantial variation, with ratios ranging from 3.4% to 9.0% of private-sector GSP.
- On average, businesses continue to pay more in state and local taxes than they receive in benefits from governmental spending. Businesses paid $3.28 for every dollar of government spending benefiting businesses, on average, assuming that education spending does not benefit local businesses. An alternate assumption, that half of education spending benefits local businesses, results in businesses paying $1.17 for every dollar of government spending benefiting businesses.
Save the Date for Policy Committee Meetings
As a member of the State Chamber, you are invited to our annual policy committee meetings where we develop the legislative agenda for the next year. We hope you will plan to attend any that are of interest to your business.
Aerospace, Technology, Defense & Telecommunications
Tuesday, October 22 from 10:30 am – 12:00 pm
Health Care
Tuesday, October 22 from 2:00 – 3:30 pm
Transportation & Infrastructure
Wednesday, October 23 from 1:30 – 3:00 pm
Trump Administration Announces Partnership to Grow Outdoor Recreation Economy
Last week, in support of the Trump administration’s Executive Order on Promoting Agriculture and Rural Prosperity in America, the U.S. Environmental Protection Agency (EPA), the U.S. Department of Agriculture (USDA) Forest Service, and the Northern Border Regional Commission (NBRC) announced the selection of 10 communities under the Recreation Economy for Rural Communities assistance program to help revitalize their main streets through outdoor recreation.
“We are pleased to work with our federal partners to promote healthy outdoor activities and deliver on President Trump’s commitment to support and revitalize rural communities,” said EPA Administrator Andrew Wheeler. “Together, we will develop strategies that rural communities can use to grow their economies and make wise use of their natural resources.”
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We applaud this effort,
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said Jessica Wahl, Outdoor Recreation Roundtable (ORR) Executive Director.
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ORR looks forward to working with the EPA, USDA and the Northern Border Regional Commission to help more communities invest in the recreation economy and time spent outside.
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The 10 communities selected for assistance include: Cambridge, New York; Fryeburg, Maine; Giles County, Virginia; Glenwood Springs, Colorado; Gorham, New Hampshire; Grants, New Mexico; Jasper, Alabama; John Day, Oregon; Poultney, Vermont; and Thompson Falls, Montana. The selected communities are planning to revitalize their communities in a variety of ways, including building new trail connections, boosting downtown amenities, connecting nearby hiking-biking trails to downtown, and working to attract recreation-related economic opportunities.