TRANSCRIPT
Announcer: Capitol Insider sponsored by the Oklahoma State Medical Association. Physician members who are committed to better health for all Oklahomans. Learn more at okmed.org.
Dick Pryor: This is Capitol Insider - taking you inside politics, policy, and government in Oklahoma. I'm Dick Pryor with Quorum Call publisher, Shawn Ashley. Shawn, legislators are off and running in this year's legislative session with more than 5,000 bills and joint resolutions to deal with before the regular session ends. Last Monday, we heard Governor Kevin Stitt's priorities in his final State of the State address. But something that has flown under the radar this week - and it's big - is the governor's executive budget. That document provides a starting point for budget discussions. What stands out about the governor's recommendations?
Shawn Ashley: For the most part, Governor Stitt proposed a flat budget. It takes out $1.2 billion of one-time appropriations, such as the $312 million that went to the Department of Corrections to purchase a prison in Lawton. At the same time, there are some of what the governor described as targeted investments, like $17 million to the Department of Mental Health and Substance Abuse Services to comply with a federal court order to implement a mental competency restoration program for those accused of crimes. When all is said and done, Stitt proposed an $11.4 billion budget for fiscal year 2027, down $1.2 billion from the $12.6 billion appropriated for the current fiscal year.
Dick Pryor: Now, you've noticed the governor's budget is taking an interesting approach. Tell us about that.
Shawn Ashley: Yeah, the governor's budget proposes $388.9 million in new spending for the current fiscal year to fund nine initiatives. Stitt talked about, for example, providing state funds for the American Dream accounts established by the federal Working Families Tax Cut Act that are tax advantaged federally funded savings accounts for children born between 2025 and in 2028. Stitt wants to contribute up to $12 million to the accounts for newborn Oklahomans, and he wants to start making those contributions this fiscal year, rather than waiting until the start of the new fiscal year. And his proposal, by the way, is not just to contribute funds to newborn’s accounts for one year, but for five years.
Stitt also wants to spend $6.75 million on a Department of Public Safety Trooper Academy this fiscal year, put $1.57 million back into the state emergency fund to make up for what was spent to support food banks during the government shutdown last fall, and appropriate $12 million to the Office of Management and Enterprise Services for a call center consolidation project. Again, this fiscal year, not next fiscal year. And the single largest proposal is $250 million to the Oklahoma Health Care Authority to address a reduction in federal Medicaid funding, maintenance of existing programs and services, and an additional claims week that falls in fiscal year 2027.
Dick Pryor: What's going to be a real challenge for budget negotiators this year is the disparity between the amount of funding agencies are requesting and how much is available for appropriations.
Shawn Ashley: House Speaker Kyle Hilbert commented on that Thursday. He noted, while Stitt has urged state agencies, which are part of the executive branch, to limit their budget request, they are now asking for $1.92 billion in additional spending for the upcoming fiscal year. Meanwhile, numbers provided in December to the State Board of Equalization showed budget writers will have $692.2 million less to appropriate for that upcoming fiscal year. Now the Board of Equalization is scheduled to meet again Friday the 13th to set the final budget numbers that Stitt and legislative budget writers will use in their budget negotiations.
Dick Pryor: Where do you see the biggest battle brewing over funding this year?
Shawn Ashley: It begins and may end with common education funding. A number of legislative education leaders have made it clear they want to pass a plan to improve childhood literacy that will require students to read at grade level by a certain time or be held back from advancing to the next grade. Superintendent of Public Instruction Lindel Fields told legislators during his agency's budget hearing that more than $200 million would be needed to fund an education reform program like the one Mississippi implemented over the last several years that moved them from the bottom in literacy rankings to near the top.
Dick Pryor: We're just a few days into the session, and a bill has already been sent to the governor for consideration. Normally, it takes five days for a bill to pass both houses and be sent to governor. How did this bill get there in only three days?
Shawn Ashley: Senate Bill 743 was carried over from the 2025 session. It needed just one vote in the Senate to go on to the governor's desk for his consideration. There are more than 100 bills carried over from the 2025 session that are in the same position - one vote from going to the governor.
Dick Pryor: All right. Thank you, Shawn.
Shawn Ashley: You’re very welcome.
Dick Pryor: For more information, go to quorumcall.online. You can find video of Capitol Insider segments on the KGOU You Tube channel. Audio and transcripts are at kgou.org and look for Capitol Insider where you get podcasts. Until next time, with Shawn Ashley, I'm Dick Pryor.
Announcer: Hi, it's Terry Gross host of Fresh Air. Hey, take a break from the 24-hour news cycle with us and listen to long form interviews with your favorite authors, actors, filmmakers, comedians and musicians - the people making the art that nourishes us and speaks to our times. So, listen to the Fresh Air podcast from NPR and WHYY.
KGOU produces journalism in the public interest, which is critical to an informed electorate. Listeners like you provide essential funding for Capitol Insider. Make your contribution at KGOU.org.
