Budget hearings mark Legislature’s halfway point

Members of the Oklahoma House got a budget update from agencies Thursday as lawmakers wrapped up the first half of session.

Meanwhile, House Speaker Charles McCall said he has come up with a plan to fund teacher pay raises, but the plan will remain a secret for now.

The budget meetings were a chance to tell lawmakers how the agencies have handled budget cuts so far, but also gave officials another chance to present dire results of a hypothetical 14.5 percent spending cut.

House budget staff requested the hypothetical scenario almost three weeks ago.

In the House Health Committee, agency directors talked about their wish list items, things that they could do if they were given more money to operate. Committee Chair Chad Caldwell, R-Enid, said he also asked them to show what a 5 percent, 10 percent and 15 percent cut would look like.

“It was just an opportunity for me to communicate information back to committee members. I tried to make it very clear that I don’t think this is where we’re going to end up,” Caldwell said. “The impact is going to be pretty significant. To have an honest conversation, you have to start somewhere.”

Lawmakers are wrestling with an $878 million shortfall that will decimate next year’s budget without a fix. No comprehensive plan has emerged to fill the gap, aside from a budget proposal offered Thursday by House Democrats.

In a news conference, Democratic Leader Scott Inman, D-Del City, suggested raising tax rates on income, cigarettes and production of oil and gas.

The House Public Safety Committee heard from Public Safety Commissioner Michael C. Thompson, who said he would have to give nearly a month’s worth of furlough days to Oklahoma Highway Patrol troopers if he is cut another 14.5 percent.

“Right now, we are completely at a crossroads,” Thompson said. “I’ll probably have to start those (furloughs) in July or August at the latest, because there will be 23 of them.

Thompson said he’s not trying to be an alarmist or be perceived as warning lawmakers.

“This is why we’re pressing so hard. This is why we’re telling the story,” he said. “Our (budget year) 2017 budget almost broke the Department of Public Safety.

“I’m not in here warning these guys about anything. I’m just telling them, ‘This is what we’re looking at if you make this decision.’”

The budget picture, at least on the revenue side, is likely to become clearer in the coming weeks. The first Joint Committee on Appropriations and Budget is scheduled for Monday. House Budget Chair Leslie Osborn said, traditionally, the most serious work on the budget begins after the deadline for House and Senate bills to pass their chamber of origin. Budget work has happened for months, however, as lawmakers sift through details of how agencies are spending money.

“Behind the scenes, we’ve been digging into every agency’s books, every potential revenueraising measure, restructuring, consolidations and efficiencies,” said Osborn, R-Mustang.

Soon, she said, lawmakers should be able to publicly offer up ways to raise money. One part of that is a teacher salary raise. The idea has significant political support, but it’s weighed down by a lack of money.

“I would say in the next four weeks, I want to see the plan formulate and be able to roll something out,” Osborn said Wednesday.

Then on Thursday, the House Speaker told reporters that he has a funding plan for teacher salary increases — one that he wants to keep quiet for now.

McCall already has presented his idea to the governor’s office and Senate leadership, but he wouldn’t publicly discuss specific details about his plan because he still hasn’t shown it to House Republicans. “There is a written plan,” said McCall, R-Atoka. “We believe we’ve got to agree on a plan that will fund the teacher pay raise, and we have to show a way that can reach the full implementation phase.”

The House’s teacher pay bill would raise the minimum salary by $1,000 in the first year, $2,000 in the second year and by $3,000 in the third.

“We have a way to raise the $312 million for a $6,000 teacher pay raise, which is ongoing, which is sustainable, and without putting our members on a vote to increase tax rates,” said McCall.

The Senate recently adopted a 4 percent pay increase. That bill would increase the minimum teacher salary by another 4 percent in its second year. The bill’s author said he wants to pay for it by raising the motor fuel tax rate on gasoline and diesel.