1| STATE OF OKLAHOMA | | | 2| 1st Session of the 59th Legislature (2023) | | | 3|SENATE BILL 990 By: Garvin | | | 4| | | | 5| | | | 6| AS INTRODUCED | | | 7| An Act relating to family leave benefits; creating | | the Oklahoma Paid Family Leave Program; requiring the | 8| Oklahoma Employment Security Commission to manage the | | Program; authorizing certain employers and employees | 9| to participate in the Program; requiring certain | | deductions and contributions; providing benefit | 10| eligibility after certain period; requiring benefits | | to be paid by the Commission; providing benefit | 11| amount; creating the Oklahoma Paid Family Leave | | Program Revolving Fund; providing sources of funds; | 12| providing for expenditures from fund; providing an | | income tax credit for certain deductions from wages; | 13| stating amount of credit; making credit refundable; | | amending 68 O.S. 2021, Section 2352, which relates to | 14| apportionment of income tax revenues; providing | | apportionment to the Oklahoma Paid Family Leave | 15| Program Revolving Fund; requiring Commission to | | determine certain amount; providing for codification; | 16| and providing an effective date. | | | 17| | | | 18|BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: | | | 19| SECTION 1. NEW LAW A new section of law to be codified | | | 20|in the Oklahoma Statutes as Section 710 of Title 40, unless there is | | | 21|created a duplication in numbering, reads as follows: | | | 22| A. There is hereby created the Oklahoma Paid Family Leave | | | 23|Program. | | | 24| | | | Req. No. 639 Page 1 ___________________________________________________________________________
1| B. The Oklahoma Employment Security Commission shall manage the | | | 2|Oklahoma Paid Family Leave Program. | | | 3| C. Any employee and employer in this state may elect to | | | 4|participate in the Program. Upon election to participate: | | | 5| 1. An employer shall contribute an amount equal to forty-five | | | 6|hundredths of one percent (0.45%) of the wages paid to each | | | 7|participating employee; | | | 8| 2. For an employee of an employer who elects to participate in | | | 9|the Program, the employer of the employee shall deduct forty-five | | | 10|hundredths of one percent (0.45%) of the employee's salary; | | | 11| 3. For an employee of an employer who elects not to participate | | | 12|in the Program, the employer of the employee shall deduct nine | | | 13|tenths of one percent (0.9%) of the employee's salary; and | | | 14| 4. For an employee of this state who elects to participate in | | | 15|the Program, the employer of the employee shall deduct nine tenths | | | 16|of one percent (0.9%) of the employee's salary. | | | 17| Employers shall remit the deductions and contributions made | | | 18|pursuant to this subsection by the fifth day after each month. | | | 19| D. Employees that have contributed to the Program through | | | 20|deductions, as provided in subsection C of this section, for a | | | 21|period of six (6) consecutive months shall be eligible to receive | | | 22|benefits upon approval and shall be paid during use of leave | | | 23|pursuant to the Family and Medical Leave Act of 1993, 29 U.S.C., | | | 24|Section 2601 et seq. | | | Req. No. 639 Page 2 ___________________________________________________________________________
1| E. Benefits shall be paid to the employee by the Commission | | | 2|from funds in the Oklahoma Paid Family Leave Program Revolving Fund | | | 3|created pursuant to Section 2 of this act. | | | 4| F. Benefits shall be paid on a weekly basis in the amount of | | | 5|ninety percent (90%) of the employee's average weekly wage but shall | | | 6|not exceed fifty percent (50%) of the statewide average weekly wage | | | 7|for the preceding calendar year, as determined by the Commission. | | | 8| SECTION 2. NEW LAW A new section of law to be codified | | | 9|in the Oklahoma Statutes as Section 711 of Title 40, unless there is | | | 10|created a duplication in numbering, reads as follows: | | | 11| There is hereby created in the State Treasury a revolving fund | | | 12|for the Oklahoma Employment Security Commission to be designated the | | | 13|"Oklahoma Paid Family Leave Program Revolving Fund". The fund shall | | | 14|be a continuing fund, not subject to fiscal year limitations, and | | | 15|shall consist of all monies received by the apportionment of | | | 16|revenues pursuant to Section 2352 of Title 68 of the Oklahoma | | | 17|Statutes and employee remittances and employer contributions paid | | | 18|pursuant to Section 1 of this act. All monies accruing to the | | | 19|credit of the fund are hereby appropriated and may be budgeted and | | | 20|expended by the Commission for the purpose of providing benefits | | | 21|pursuant to the Oklahoma Paid Family Leave Program. Up to one | | | 22|percent (1%) of the average monthly balance of the fund may be used | | | 23|by the Commission for administrative expenses to implement the | | | 24|Program. Expenditures from the fund shall be made upon warrants | | | Req. No. 639 Page 3 ___________________________________________________________________________
1|issued by the State Treasurer against claims filed as prescribed by | | | 2|law with the Director of the Office of Management and Enterprise | | | 3|Services for approval and payment. | | | 4| SECTION 3. NEW LAW A new section of law to be codified | | | 5|in the Oklahoma Statutes as Section 2357.305 of Title 68, unless | | | 6|there is created a duplication in numbering, reads as follows: | | | 7| A. For tax year 2024 and subsequent tax years, a qualified | | | 8|employee shall be allowed a credit against the tax imposed pursuant | | | 9|to Section 2355 of Title 68 of the Oklahoma Statutes equal to | | | 10|deductions made exceeding forty-five hundredths of one percent | | | 11|(0.45%) of the wages paid to the employee for any pay period in the | | | 12|tax year for participation in the Oklahoma Paid Family Leave Program | | | 13|created pursuant to Section 1 of this act. | | | 14| B. If the credit provided in subsection A of this section | | | 15|exceeds the tax imposed by Section 2355 of Title 68 of the Oklahoma | | | 16|Statutes, the excess amount shall be refunded to the taxpayer. | | | 17| SECTION 4. AMENDATORY 68 O.S. 2021, Section 2352, is | | | 18|amended to read as follows: | | | 19| Section 2352. It is hereby declared to be the purpose of | | | 20|Section 2351 et seq. of this title to provide revenue for general | | | 21|governmental functions of state government; and, for that purpose | | | 22|and to that end, it is expressly declared that the revenue derived | | | 23|herefrom and penalties and interest thereon, subject to the | | | 24|apportionment requirements for the Rebuilding Oklahoma Access and | | | Req. No. 639 Page 4 ___________________________________________________________________________
1|Driver Safety Fund, the Oklahoma Tourism and Passenger Rail | | | 2|Revolving Fund, the Public Transit Revolving Fund and the Education | | | 3|Reform Revolving Fund to be derived from income tax revenue that | | | 4|would otherwise be apportioned to the General Revenue Fund as | | | 5|provided by Section 1521 of Title 69 of the Oklahoma Statutes, | | | 6|subject to the apportionment requirements for the Oklahoma Tax | | | 7|Commission and Office of Management and Enterprise Services Joint | | | 8|Computer Enhancement Fund provided by Section 265 of this title, and | | | 9|subject to the apportionment requirements for the Oklahoma State | | | 10|Capitol Building Repair and Restoration Fund provided by Section 19 | | | 11|of Title 73 of the Oklahoma Statutes, shall be distributed as | | | 12|follows: | | | 13| 1. For the fiscal year beginning July 1, 2002, the first Five | | | 14|Million Eight Hundred Thousand Dollars ($5,800,000.00) of revenue | | | 15|derived pursuant to the provisions of subsections A, B and E of | | | 16|Section 2355 of this title shall be apportioned to the Education | | | 17|Reform Revolving Fund. For the fiscal year 2024 and subsequent | | | 18|fiscal years, an amount determined to be necessary to provide for | | | 19|benefit payments and administrative expenses of the Oklahoma Paid | | | 20|Family Leave Program created pursuant to Section 1 of this act shall | | | 21|be deposited in the Oklahoma Paid Family Leave Program Revolving | | | 22|Fund created pursuant to Section 2 of this act. The remainder of | | | 23|such revenue for the fiscal year beginning July 1, 2002, and all | | | 24| | | | Req. No. 639 Page 5 ___________________________________________________________________________
1|such revenue for each fiscal year thereafter shall be apportioned | | | 2|monthly as follows: | | | 3| a. the following amounts shall be paid to the State | | | 4| Treasurer to be placed to the credit of the General | | | 5| Revenue Fund of the state for such fiscal year for the | | | 6| support of the state government to be paid out only | | | 7| pursuant to appropriation by the Legislature: | | | 8| Fiscal Year Amount | | | 9| FY 2003 and FY 2004 87.12% | | | 10| FY 2005 86.91% | | | 11| FY 2006 86.66% | | | 12| FY 2007 86.16% | | | 13| FY 2008 through FY 2022 85.66% | | | 14| FY 2023 through FY 2027 85.41% | | | 15| FY 2028 and each fiscal year thereafter 85.66% | | | 16| Of the funds apportioned to the General Revenue Fund | | | 17| pursuant to this subparagraph, until the expiration of | | | 18| the Filmed in Oklahoma Act of 2021 as provided in | | | 19| Section 11 of this act, Thirty Million Dollars | | | 20| ($30,000,000.00) shall be transferred to the Oklahoma | | | 21| Tax Commission for deposit in the Filmed in Oklahoma | | | 22| Program Revolving Fund, | | | 23| | | | 24| | | | Req. No. 639 Page 6 ___________________________________________________________________________
1| b. the following amounts shall be paid to the State | | | 2| Treasurer to be placed to the credit of the Education | | | 3| Reform Revolving Fund of the State Department of | | | 4| Education: | | | 5| (1) for FY 2003 through FY 2020, eight and | | | 6| thirty-four one-hundredths percent (8.34%), | | | 7| (2) for FY 2021: | | | 8| (a) for the month beginning July 1, 2020, | | | 9| through the month ending August 31, 2020, | | | 10| eight and thirty-four one-hundredths percent | | | 11| (8.34%), and | | | 12| (b) for the month beginning September 1, 2020, | | | 13| through the month ending June 30, 2021, nine | | | 14| and eighty-four one-hundredths percent | | | 15| (9.84%), | | | 16| (3) for FY 2022 and each fiscal year thereafter, | | | 17| eight and thirty-four one-hundredths percent | | | 18| (8.34%) shall be paid to the State Treasurer to | | | 19| be placed to the credit of the Education Reform | | | 20| Revolving Fund, | | | 21| c. the following amounts shall be paid to the State | | | 22| Treasurer to be placed to the credit of the Teachers' | | | 23| Retirement System Dedicated Revenue Revolving Fund: | | | 24| Fiscal Year Amount | | | Req. No. 639 Page 7 ___________________________________________________________________________
1| FY 2003 and FY 2004 3.54% | | | 2| FY 2005 3.75% | | | 3| FY 2006 4.0% | | | 4| FY 2007 4.5% | | | 5| FY 2008 through FY 2020 5.0% | | | 6| FY 2021: | | | 7| (1) for the month beginning | | | 8| July 1, 2020, through | | | 9| the month ending August | | | 10| 31, 2020 5.0% | | | 11| (2)for the month beginning September 1, 2020, through | | | 12| the month ending June 30, 2021 3.5% | | | 13| FY 2022 5.0% | | | 14| FY 2023 through FY 2027 5.25% | | | 15| FY 2028 and each fiscal | | | 16| year thereafter 5.0% | | | 17| d. for FY 2003 and each fiscal year thereafter, one | | | 18| percent (1%) shall be placed to the credit of the Ad | | | 19| Valorem Reimbursement Fund; | | | 20| 2. Beginning July 1, 2003, for any period of time as certified | | | 21|by the Oklahoma Development Finance Authority and the Oklahoma | | | 22|Department of Commerce to be necessary for the repayment of | | | 23|obligations issued by the Oklahoma Development Finance Authority | | | 24|pursuant to Section 3654 of this title if the other sources of | | | Req. No. 639 Page 8 ___________________________________________________________________________
1|revenue paid to or apportioned to the Quality Jobs Program Incentive | | | 2|Leverage Fund are not adequate including the proceeds from payment | | | 3|pursuant to the guaranty required by subsection M of Section 3654 of | | | 4|this title, an amount certified by the Oklahoma Development Finance | | | 5|Authority to the Oklahoma Tax Commission shall be apportioned to the | | | 6|Quality Jobs Program Incentive Leverage Fund before any other | | | 7|apportionments are made as otherwise authorized by this paragraph. | | | 8|The Oklahoma Development Finance Authority shall certify to the | | | 9|Oklahoma Tax Commission the time as of which the revenue authorized | | | 10|for apportionment pursuant to this paragraph is no longer required. | | | 11|After the certification, the revenue derived from the income tax | | | 12|shall be apportioned in the manner otherwise provided by this | | | 13|section. Except as otherwise provided by this paragraph, for the | | | 14|fiscal year beginning July 1, 2002, the first Forty-one Million One | | | 15|Hundred Ninety Thousand Eight Hundred Dollars ($41,190,800.00) of | | | 16|revenue derived pursuant to the provisions of subsections D and E of | | | 17|Section 2355 of this title shall be apportioned to the Education | | | 18|Reform Revolving Fund. The remainder of such revenue for the fiscal | | | 19|year beginning July 1, 2002, and all such revenue for each fiscal | | | 20|year thereafter, subject to the apportionment requirements for the | | | 21|Oklahoma Tax Commission and Office of Management and Enterprise | | | 22|Services Joint Computer Enhancement Fund provided by Section 265 of | | | 23|this title, shall be apportioned monthly as follows: | | | 24| | | | Req. No. 639 Page 9 ___________________________________________________________________________
1| a. the following amounts shall be paid to the State | | | 2| Treasurer to be placed to the credit of the General | | | 3| Revenue Fund of the state for such fiscal year for the | | | 4| support of the state government to be paid out only | | | 5| pursuant to appropriation by the Legislature: | | | 6| Fiscal Year Amount | | | 7| FY 2003 and FY 2004 78.96% | | | 8| FY 2005 78.75% | | | 9| FY 2006 78.50% | | | 10| FY 2007 78.0% | | | 11| (1) (a) FY 2018 through FY 2022 | | | 12| until the apportionment to | | | 13| the General Revenue Fund | | | 14| equals the moving | | | 15| five-year average amount | | | 16| for corporate income tax | | | 17| as prescribed by paragraph | | | 18| 3 of this section 77.50% | | | 19| (b)FY 2023 through FY 2027 until the | | | 20| apportionment to the General Revenue Fund | | | 21| equals the moving five-year average amount | | | 22| for corporate income tax as prescribed by | | | 23| paragraph 3 of this section 77.25% | | | 24| | | | Req. No. 639 Page 10 ___________________________________________________________________________
1| (c)FY 2028 and each fiscal year thereafter until | | | 2| the apportionment to the General Revenue | | | 3| Fund equals the moving five-year average | | | 4| amount for corporate income tax as | | | 5| prescribed by paragraph 3 of this section | | | 6| 77.50% | | | 7| (2) there shall be apportioned from the tax levy | | | 8| imposed on corporate income tax to the Revenue | | | 9| Stabilization Fund created by Section 34.102 of | | | 10| Title 62 of the Oklahoma Statutes, or to the | | | 11| Constitutional Reserve Fund, as provided by | | | 12| Section 34.102 of Title 62 of the Oklahoma | | | 13| Statutes, the amount of revenue, if any, which | | | 14| exceeds the moving five-year average amount as | | | 15| defined pursuant to paragraph 3 of this section, | | | 16| b. the following amounts shall be paid to the State | | | 17| Treasurer to be placed to the credit of the Education | | | 18| Reform Revolving Fund of the State Department of | | | 19| Education: | | | 20| (1) for FY 2003 through FY 2020, sixteen and | | | 21| five-tenths percent (16.5%), | | | 22| (2) for FY 2021: | | | 23| | | | 24| | | | Req. No. 639 Page 11 ___________________________________________________________________________
1| (a) for the month beginning July 1, 2020, | | | 2| through the month ending August 31, 2020, | | | 3| sixteen and five-tenths percent (16.5%), and | | | 4| (b) for the month beginning September 1, 2020, | | | 5| through the month ending June 30, 2021, | | | 6| eighteen percent (18%), | | | 7| (3) for FY 2022, and each fiscal year thereafter, | | | 8| sixteen and five-tenths percent (16.5%), | | | 9| c. the following amounts shall be paid to the State | | | 10| Treasurer to be placed to the credit of the Teachers' | | | 11| Retirement System Dedicated Revenue Revolving Fund: | | | 12| Fiscal Year Amount | | | 13| FY 2003 and FY 2004 3.54% | | | 14| FY 2005 3.75% | | | 15| FY 2006 4.0% | | | 16| FY 2007 4.5% | | | 17| FY 2008 through FY 2020 5.0% | | | 18| FY 2021: | | | 19| (1) for the month beginning | | | 20| July 1, 2020, through | | | 21| the month ending August | | | 22| 31, 2020 5.0% | | | 23| | | | 24| | | | Req. No. 639 Page 12 ___________________________________________________________________________
1| (2) for the month beginning | | | 2| September 1, 2020, | | | 3| through the month ending | | | 4| June 30, 2021 3.5% | | | 5| FY 2022 5.0% | | | 6| FY 2023 through FY 2027 5.25% | | | 7| FY 2028 and each fiscal | | | 8| year thereafter 5.0% | | | 9| d. for FY 2003 and each fiscal year thereafter, one | | | 10| percent (1%) shall be placed to the credit of the Ad | | | 11| Valorem Reimbursement Fund; and | | | 12| 3. "Moving five-year average for corporate income tax" means, | | | 13|for purposes of the apportionments prescribed by this section, the | | | 14|amount of income tax on corporations, as determined by the State | | | 15|Board of Equalization in the manner prescribed by Section 34.103 of | | | 16|Title 62 of the Oklahoma Statutes. | | | 17| SECTION 5. This act shall become effective November 1, 2023. | | | 18| | | | 19| 59-1-639 QD 1/19/2023 4:35:14 PM | | | 20| | | | 21| | | | 22| | | | 23| | | | 24| | | | Req. No. 639 Page 13