State Government Expenditures

The state government invests in services that benefit all Oklahomans. This section describes spending by the state government of Oklahoma. State spending is divided into several major types. State agencies combine funding streams and sources to finance their programs.

The three main sources of funding for government operations are state appropriations, federal funds, and dedicated funds, which include fees, dedicated financing, and other agency-generated funding.  

• Appropriations, often called the state budget, are annual authority from the Legislature to spend an amount of money for a particular purpose. Appropriations get the most attention from the Governor and Legislature and from interest groups, the media, and other observers at the Capitol, because their allocation is determined by our state elected officials. Annual appropriation authority is certified each year by the Board of Equalization. In FY 2021, total state appropriations are approximately $7.7 billion. Most appropriated revenue sources are from the General Revenue Fund, which may be spent for any legal purpose of the state.
• Federal funds are grants given by the federal government to support specific state services. Most require the state to share in funding of these services and all limit how the money may be used.
• Dedicated revenues include fees, user charges, and other revenue collected by state agencies. Some agencies also receive state taxes that are permanently dedicated, or earmarked, to fund specific services. Dedicated revenues normally are not appropriated and agency spending of these funds is in addition to spending of appropriated and federal funds. Federal and dedicated revenues usually are not appropriated because their use is restricted for specific purposes. 

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