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In The Know is a daily synopsis of Oklahoma policy-related news and blogs. Inclusion of a story does not necessarily mean endorsement by the Oklahoma Policy Institute. You can sign up here to receive In The Know by e-mail.
Today you should know that Gov. Fallin has offered general support for a bill to legalize horse slaughter in the state. Horse slaughter opponents are making last-minute efforts to rein in the legislation’s momentum. The Tulsa World writes that lawmakers may pay a price for pushing the through over strong opposition from voters.
NewsOK reports that nearly 20 percent of the inmates serving time in Oklahoma prisons are 50 or older, and the number of older inmates is expected to keep growing. Four Oklahoma women have become the first to complete a rehabilitation program created as an alternative to prison for non-violent offenders. The Oklahoma editorial board endorsed OK Policy’s recommendations for criminal justice reform. See our full report outlining action items for Oklahoma to become smarter on crime here.
Tax-cutting legislation and sequestration could spell a deficit of up to $2.7 million in Norman Public Schools’ 2014 budget. The OK Policy Blog explains why two bills that would restrict the amount of bond debt that Oklahoma can take on are unnecessary and could actually make it more expensive. Kurt Hochenauer outlines why the unpaid for tax cut being pushed by the House and Governor ignores reality.
Legislation that would extend in-state tuition rates to people who graduate from an Oklahoma high school but later move out of state was put on hold after its author said the plan’s intention was being muddled in misunderstandings over how it would affect undocumented immigrants. Cherokee Nation Businesses announced record revenue for 2012 and a strong start to the first half of fiscal year 2013.
The Number of the Day is the amount Oklahoma is slated to lose in public education funds under federal ‘sequestration’ budget cuts. In today’s Policy Note, a new Urban Institute paper explains why claims of “Rate Shock” for young Americans due to the Affordable Care Act are unfounded.
In The News
Horse slaughter bill likely to get Fallin’s support
Gov. Mary Fallin has offered general support for a bill to legalize horse slaughter in the state. Meanwhile, Fallin’s office reports that it is getting thousands of calls on the issue, mostly opposed to equine slaughter, but the majority are coming from outside Oklahoma. The bill, currently awaiting consideration by the state Senate, would strike down a 50-year-old state ban on horse slaughter but would continue to prohibit the sale of horse meat for domestic consumption.
Read more from the Tulsa World.
Horse slaughter opponents spur last-minute efforts to kill legislation
With legislation that would allow the slaughter of horses in Oklahoma heading down the stretch, opponents mounted up last-minute efforts Sunday to rein in the legislation’s momentum. Speakers criticized the legislation during a news conference at a horse ranch in northeastern Oklahoma City and released poll results showing a majority of Oklahomans oppose the two measures that would overturn a 50-year ban on horse slaughter. The Senate is expected to vote early this week on House Bill 1999, which would allow horse slaughter but would continue the existing ban on the sale of horse meat for consumption in the state.
Horse slaughter foes ignored
For some inexplicable reason, Oklahoma leaders seem determined to allow horse slaughter in the state, despite strong and vocal opposition. Long-time political observers cannot remember another issue on which political leadership and rank-and-file voters were so far apart. What’s going on here? Some politicians keep dismissing the opposition to horse slaughter as ignorant urbanites influenced by out-of-state interests. But recent SoonerPoll findings show that’s not the case at all. According to the scientific poll, a majority – 66 percent – of likely state voters opposes passage of a horse-slaughter measure. Of those who oppose, 88 percent strongly oppose it.
Read more from the Tulsa World.
Older inmates represent nearly 20 percent of Oklahoma’s prison population
Nearly 20 percent of the inmates serving time in Oklahoma prisons are 50 or older. Thirty years ago, the same segment of the prison population represented just 5 percent of the state’s inmates. According to the latest annual report released by the state Corrections Department, prisoners 50 or older numbered 4,484 in 2012. In 1980, there were only 85 such inmates serving time in Oklahoma prisons. The report shows the number of inmates 50 and older is expected to increase to 5,254 by the end of 2013. State Corrections Department spokesman Jerry Massie said the growth in older inmates is expected to continue for the foreseeable future.
In Oklahoma, an alternative to prison for non-violent women
In the law-and-order state of Oklahoma, where more women are incarcerated per capita than any other state in the country, a graduation ceremony on Monday celebrated an alternative to locking up nonviolent female criminals. Four women who completed an intense rehabilitation program were handed dismissal papers from the Oklahoma County district attorney that dropped the criminal charges that normally would have sent them to the penitentiary. The hope is that after a year or more of therapy, the four women will turn around their lives and, in turn, avert their children from a path to incarceration.
At some point, resistance to new approaches to corrections has to change in Oklahoma
So we have a prison population that stands at about 26,000 — a 30 percent increase over the past 15 years. This growth has been helped by more laws requiring inmates to serve 85 percent of their time before they can be considered for parole. But the number of nonviolent drug offenders sent to prison grows each year, too. The Oklahoma Policy Institute last week called for steps that would benefit the prison system and prisoners. One is to actively pursue previous reforms such as the Justice Reinvestment Initiative, which the Legislature approved last year but needs more funding and interagency buy-in and cooperation to have any chance at making a difference.
See also: Action Items for Oklahoma: Criminal Justice from Oklahoma Policy Institute
Tax cut could spell big deficit for Norman schools
Tax-cutting legislation and sequestration could spell a deficit of up to $2.7 million in Norman Public Schools’ 2014 budget, according to a presentation at Monday evening’s school board meeting. NPS Chief Financial Officer Brenda Burkett presented her projections for Fiscal Year 2014, factoring in expected losses in tax revenue since the passage of SQ 766 in November and an anticipated reduction of 5 percent in the statewide budget from federal spending cuts. From sequestration alone, Burkett projected NPS to see a loss of $374,808 from its current federal budget of $7.4 million.
Read more from the Norman Transcript.
Bills to limit Oklahoma’s debt could make it more expensive
Two bills that would restrict the amount of bond debt that Oklahoma can take on are moving through the Legislature (HB 2195 and SJR 10). In a previous post, I discussed why debt is a normal and indispensable part of budgeting for government, private sector businesses, and individual families alike. This post explains why the proposals being considered by the Legislature might actually harm our credit rating and make borrowing more expensive. Contrary to the rhetoric of some Oklahoma lawmakers, using bonds to fund major infrastructure needs and cultural amenities that attract people here would be both prudent and cost-effective. Of course, we should be careful that bonded investments are spent wisely and that Oklahoma’s debt load does not grow too large. That leaves us with two questions—how much bond debt does Oklahoma have now, and how much can we afford?
Read more from the OK Policy Blog.
Simple tax cut approach masks reality
The political calculation behind Gov. Mary Fallin’s proposal to lower the state’s top income tax rate from 5.25 to 5 percent seems simple enough. The cut is relatively small so its impact on the state budget—a loss of revenue of around $100 million a year—is minimal on one level, and thus it hasn’t produced much pushback from state agency heads and educational leaders. It also doesn’t “pay” for itself through eliminating deductions or credits so no specific groups are protesting the cut based on their special tax statuses. It’s a small, generic proposal that will allow Republicans to say they have, indeed, used their supermajority to cut taxes and are on a path, albeit slowly, to eliminate the state income tax altogether. Those who oppose the cut, such as myself, can cringe and think, well, it could have been worse. But two issues muddy this simple assessment.
Legislator pulls in-state tuition bill
Legislation that would extend in-state tuition rates to people who graduate from an Oklahoma high school but later move out of state was put on hold Monday after its author said the plan’s intention was being muddled in misunderstandings. The bill specifically says only U.S. citizens would qualify, which raised questions about whether it would block illegal immigrants from an existing program that grants them in-state tuition if they meet certain requirements. Sen. John Sparks, D-Norman, who sponsored the bill, said those fears were unfounded because anyone who currently qualified for in-state tuition won’t be affected.
Read more from the Muskogee Phoenix.
Cherokee Nation Businesses sees record revenue growth
Cherokee Nation Businesses, the Cherokee Nation’s economic engine, today has record revenue for 2012 and a strong start to the first half of fiscal year 2013. The company’s sole shareholder, the Cherokee Nation, is seeing the effects of the strong fiscal performance in services to the Cherokee people. During fiscal year 2012, Cherokee Nation Businesses earned more than $715 million in revenue from its diverse portfolio of businesses. Total operating revenue saw a more than 9 percent increase over the prior year, as well as a 24 percent increase of income from operations. Much of the increase is a result of expansions of the tribe’s hospitality portfolio, Cherokee Nation Entertainment. The company expanded operations in Ramona, Fort Gibson and Hard Rock Hotel & Casino Tulsa.
Read more from the Catoosa Times.
Quote of the Day
Quote of the Day: “I think we’ll see a lot of positive rhetoric if those who are pushing for education dollars successfully attain their $75 million to $100 million goal from legislature, and we’d certainly be pleased about that effort, but it’s crucial for the public to understand the big picture of essentially breaking even. It’s like your employer giving you a $10,000 bonus at the end of the year after cutting your salary by $10,000.”
– Norman School Board member Linda Sexton, speaking about lost revenues to Oklahoma schools due to the increasing cost of SQ 766 and federal budget cuts
Number of the Day
$4.9 million
Amount the state is slated to lose in public education funds under federal ‘sequestration’ budget cuts, the cost of educating 13,000 young Oklahomans
Source: The Office of Management and Budget (OMB) via The White House
See previous Numbers of the Day here.
Policy Note
Claim About Health Reform “Rate Shock” Is “Unfounded,” Urban Analysis Finds
The insurance industry and its allies warn that health reform’s limit on how much more insurers can charge older people than younger people for coverage will make individual insurance much more expensive for young adults. But a new Urban Institute analysis finds that this claim of “rate shock” is “unfounded.” Starting in 2014, insurers in the individual and small-group insurance markets will be able to charge older people no more than three times what they charge younger people. This is narrower than the five-to-one differential that is typical today, meaning that (all other things being equal) premiums should rise somewhat for younger people buying coverage in the individual market. But, as the Urban Institute paper points out, the large majority of young people affected by this will also become eligible for premium subsidies to help buy coverage in the new exchanges that health reform will create, or for Medicaid (if they live in a state that adopts health reform’s Medicaid expansion). As a result, the age-rating change “would have very little impact on out-of-pocket rates paid by the youngest nongroup purchasers.”
Read more from the Center on Budget and Policy Priorities.
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