Facing pushback, lawmakers opt to renew compacts
The Oklahoma Legislature has signed off on a proposal to renew cigarette tax compacts with tribal nations through 2024. Lawmakers also voted to extend vehicle tag compacts with three of the largest tribes based in the state.
The final approvals on Friday followed a tense back-and-forth between the state’s executive and legislative branches. Lawmakers initially floated plans to renew the tobacco, gas and vehicle tag compacts for five years. But they shifted gears Monday after Gov. Kevin Stitt denounced the five-year renewals as a way to cut him out of negotiations.
It remains to be seen whether Stitt will sign the shorter extensions into law. If not, lawmakers will have to decide whether to return to the Capitol and approve them again. Although the regular session ended Friday, the extensions were passed as part of the special session process, leaving lawmakers a possible path to override potential vetoes.
Stitt has said he is focused on fairness as he attempts to rework terms of the compacts, which are agreements that allow governments to settle conflicting interests. Many cigarette tax compacts are set to expire over the next year. But several tribal leaders have said negotiations have so far gone nowhere.
Choctaw Chief Gary Batton, who described Stitt’s proposed changes to his tribe’s tobacco compact as a “non-starter,” expressed gratitude to lawmakers for stepping in. “We hope Gov. Stitt will quickly sign these one-year extensions,” Batton said in a statement. “We look forward to working cooperatively to secure long-term agreements.”
Under the measures approved by lawmakers, current and and recently expired tobacco compacts would be extended through December 2024. Vehicle registration compacts between the state and the Cherokee, Chickasaw and Choctaw nations also would remain active through that time.