Revenue from voter-approved “sin taxes” still growing
In 2004, Oklahoma voters approved a series of measures intended to raise new revenues for education and health care through a state lottery (SQ 705 and 706), gaming compacts (SQ 712), and increased tobacco taxes (SQ 713). OK Policy has now released a set of newly updated fact sheets that explains how these revenue sources operate, how much revenue each generates, and where the dollars are allocated. You can access all three 1-page fact sheets as a single document, or you can download the PDF separately for the lottery, gaming and tobacco.
During the most recently completed budget year, FY ’11, Oklahoma collected $346.2 million from these three revenue sources. This is an increase of $10.8 million, or 3.2 percent, from FY ’10. While the rate of revenue growth for the three “sin taxes” has clearly slowed compared to the first years following their enactment, their steady and uninterrupted growth over recent years stands in marked contrast to most other revenue sources, which were strongly affected by the economic downturn of 2008-09. General sales tax revenue, for example, declined 8 percent in FY ’10, before recovering in FY ’11. Read the rest of this entry »
