Oklahoma state budget deal close, House leader says

OKLAHOMA CITY – House Speaker Charles McCall on Monday said he hopes to get a state budget agreement this week.

“I think we are very close,” McCall, R-Atoka said.

But the House and Senate do not have an agreement on a possible income tax cut.

McCall and Gov. Kevin Stitt have been pushing for a cut in the state’s 4.75% income tax.

The Senate, however, has been steadfastly opposed.

Earlier this year, lawmakers and Stitt eliminated the state’s portion of the sales tax on groceries.

Senate President Pro Tem Greg Treat, R-Oklahoma City, has said that was as far as his chamber was willing to go.

An income tax cut is one of the few sticking points left, McCall said.

“Hopefully, we will work through those,” he said.

McCall said an income tax is necessary and warranted, adding that the state has record surpluses.

“I don’t see it harming our economy at all because you are just leaving money in people’s pockets to spend,” McCall said. “And they will. It will come back to the state in sales tax dollars.”

Stitt, McCall and Treat have not met as a group to finalize things, McCall said.