5 takeaways: Gov. Kevin Stitt pushes tax cuts, school choice in State of the State

Gov. Kevin Stitt launched Oklahoma's 2023 legislative session on Monday with the traditional "State of the State" address to a packed gallery in the House chamber.

Stitt said his legislative priorities included eliminating the state sales tax on groceries and lowering personal and corporate income taxes. He also renewed his call for school vouchers and proposed creation of a $1 billion state "legacy" fund that would generate revenue for the future.

The governor also used his marquee speech to call for stronger political campaign transparency laws, encourage fathers to be more active in their children's lives and push for a new law that would ban gender transition surgeries and hormone therapies for minors.

Grocery tax elimination, income tax reduction among Gov. Kevin Stitt's requests

Stitt once again called on lawmakers to repeal Oklahoma's sales tax on groceries. He proposed the same tax cut last year, but the House of Representatives and Senate couldn't reach an agreement.

The governor also proposed reducing the individual income tax rate by 0.76%. The new rate would be 3.99%, and would reduce state revenue by $260.9 million per year.

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He also supports a 0.75% tax cut on corporate income at a cost of $43.7 million.

"We can provide families with immediate relief at the store and with bigger paychecks," Stitt said. "We need to return excess revenue to the people, not grow government."

To accomplish these goals, Stitt will have to navigate various factions in the Legislature, including members of his own party who gave a lukewarm reception to his tax proposals. The proposed grocery tax cut drew support from House Democratic Leader Cyndi Munson, who said it was an issue her party has been pushing for years.

School vouchers, performance-based teacher pay pushed by Stitt

Stitt called on lawmakers to send him a bill that would allow for education savings accounts, also known as school vouchers, which would send state education funds to parents who want to enroll their child into a private school. He said his would cost the state $130 million.

He also proposed $50 million for performance-based teacher pay raises, and $100 million for the Innovation School Fund to help start more specialized schools. As an example, Stitt cited the Aviation Academy at Norman Public Schools.

Turning to post-secondary education, Stitt criticized diversity, equity and inclusion programs, saying universities need "less DEI officers and more career placement counselors."

"When we send our kids to college, we expect our tuition to pay for their education, not their indoctrination," he said.

Transgender Oklahomans, supporters protest proposed bills

A large group of transgender Oklahomans and their allies gathered at the Capitol on Monday to protest a slew of anti-trans and anti-LGBT bills that have been proposed for this legislative session. Shortly before the governor began speaking, protesters crowded into the Capitol rotunda shouting slogans like "Trans lives matter" and "Stop the attack."

During his speech, Stitt asked lawmakers to send him a bill that would ban minors from receiving gender transition surgery and hormone therapy.

"We must protect our most vulnerable — our children," Stitt said. "After all, minors can’t vote, can’t purchase alcohol, can’t purchase cigarettes. We shouldn’t allow a minor to get a permanent gender-altering surgery in Oklahoma."

Shay Wilson was one of the protesters who showed up Monday. Wearing a transgender identity flag as a cape and a skirt emblazoned with the colors associated with gender fluid identity, Wilson, a trans man, said his outfit highlighted what he saw as the absurdity of another proposed bill that would outlaw public displays of crossdressing or drag.

Stitt said that over the next four years, he wants to have a conversation about how Oklahoma can become the most pro-family state with a pro-family culture.

"In my view, fatherhood is an important piece of that puzzle," he said.

The governor highlighted the work of Marquess Dennis, founder and director of Birthright Living Legacy, which helps fathers take a more active role in their family.

"Let’s expand and increase fatherhood programs in our communities. Let’s continue to foster the importance of healthy homes with two involved parents," Stitt said. "And let’s not leave out other members of the family, like grandparents and their rights."

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Stitt wants Oklahoma state budget savings invested

The governor's proposed budget is a starting point for legislators as they begin negotiation how to spend an estimated $11.4 billion in revenue. Stitt recommended that most state agencies receive the same amount of cash as last year. His plan would be to limit state spending to just under $10 billion, with the remaining revenue sent back to Oklahomans in the form of tax cuts and $1 billion to be used for a new Oklahoma Legacy Fund.

Stitt said investments made through the Legacy Fund would provide a stable source of revenue in the future. The same idea was proposed by the Legislative Office of Fiscal Transparency recently as a way to pre-fund tax cuts.

"Because of our record savings, we are in a strong financial position to invest into this fund and produce earnings for a permanent revenue stream," Stitt said. We have done the hard work to be fiscally prudent. We can now dream big. We can be bold without passing the risk onto Oklahomans and the taxpayers."

Stitt spoke briefly about dark money spending in politics, which he previously criticized during his most recent campaign for governor.

"I’m calling for stronger transparency laws because Oklahomans deserve to know exactly who is funding political campaigns," Stitt said. "A democracy is doomed when special interests can spread lies and leverage blank checks to buy elections."

No mention of tribal issues, abortion law in State of the State

In previous State of the State speeches, Stitt criticized the ongoing effects of the U.S. Supreme Court's McGirt decision. In 2021, he said it was the "most pressing issue for our state’s future." Last year, he said "McGirt jeopardizes justice."

This year, his only mention of tribal issues came at the beginning of his speech when he briefly recognized several tribal leaders who watched from the House gallery.

He also said nothing about abortion law, which is likely to be considered by lawmakers in the next few weeks as they seek to clarify what exactly is an abortion and who is allowed to seek one.

This article originally appeared on Oklahoman: Okla. Gov. Stitt kicks off legislative session with State of the State