A flurry of bills passed by the House and Senate on Tuesday that would cut the business franchise tax, suspend taxes on groceries, cut personal income taxes and provide tax relief land to senior high-income residents.

In total, that would take about $557.2 million in revenue for fiscal year 2024. That’s on top of last year’s personal and corporate income tax cuts, totaling about $347 million. for fiscal year 2023.

On Wednesday, the House then approved measures to phase out personal and business income taxes ($400 million annual loss), temporarily expand sales tax refunds ($185 million) and to mail out $321 million in tax refunds ahead of the November general election.

Oklahoma’s economy is good right now. Oil prices are up, $2 billion sits in state savings accounts, and federal pandemic emergency assistance has prevented an economic collapse. The unemployment rate is 2.7%, lower than the American 3.8%.

The conservative approach would be to slow revenue reductions, especially without a plan to reduce services or replace the loss.

Instead, lawmakers are going on the same tax-cutting spree that began during the boom of the late 1990s. Then came a bust. A decade later, the Legislative Assembly faced steady revenue declines and a $1.5 billion deficit.

Agency budgets have been devastated. Everything from mental health services to highway patrol miles traveled to education programs in prisons have been cut.

Common education has nearly lasted in terms of teacher pay and spending per student, leading to a two-week teacher strike in 2018. State funding now accounts for less than 10% of the budgets of major universities in the Oklahoma. These effects on education are still being felt.

Not going back to those days means remembering those days.

Tax rates and charges should be assessed regularly, but utility costs.

This was raised last week during debate on Senate Bill 1481, by Sen. John Michael Montgomery, R-Lawton. The proposal would impose a moratorium on the business franchise tax, which is expected to reduce revenue by $57.2 million.

When asked how this would be recouped for the agencies, Montgomery said: “Budget negotiations are ongoing. We’ll see how that goes as we move forward.

This shows either a lack of response or a lack of transparency on the budget proposals. It’s no secret that a few people behind closed doors work out the exit budget towards the end of the session.

Of the tax cut proposals, House Bill 3349, by Speaker Charles McCall, R-Atoka, takes the more cautious route. He would plan a two-year trial to see how the state fares without an estimated $270 million in state sales tax on groceries. This does not affect local groceries taxes.

By not making it permanent, it allows time to see if the cut has the desired effect.

For now, lawmakers are moving forward without remembering those lean years, instead betting on a “we’ll see” budget approach.