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Appendix C: MOE Waiver Request — Oklahoma

Summary

This is Appendix C, an MOE Waiver Request, describing Oklahoma's fiscal burdens from the pandemic. It says the Legislature passed a budget for FY21 with cuts, including a cut to Higher Education that causes the waiver request to be submitted. It states that two bills negatively impacted FY21 state revenues. It says a special meeting on April 20, 2020 of the Board of Equalization reduced estimated revenue for FY21 by $416.8 million or 6%. It states that the state has not used ESSER, GEER or HEER to replace State funding for education.

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“Appendix C: MOE Waiver Request — Oklahoma.” Original at www.ed.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/department-of-education-pdf-www-ed-gov-ec697ee066-fd727be054/, SHA-256 844da9818b0239b9006b986487fb2972ee03da5b562eebb988002c78f0e59933.

Full text

Appendix C: MOE Waiver Request
1. A description of the extent to which the State experienced fiscal burdens in preventing, preparing for,
   and responding to the coronavirus and an explanation of how those fiscal burdens affected the State’s
   ability to maintain fiscal effort (e.g., the status of and any changes to the State’s rainy day fund,
   whether the State experienced a decline in revenues, or an increase in other emergency expenses
   resulting from the pandemic, such as expenses related to health care, unemployment insurance, or
   support for small businesses); and
       a. Like many states in the union, Oklahoma was rebuilding a strong economic position when
            COVID-19 struck, immediately shutting down the economy in the wake of the March 11,
            2020 Thunder-Jazz MBA game in OKC. The day before, the State announced that total GRF
            collections for 2020 were slightly below the estimate and the next revenue announcement
            further set the tone for the year: March revenues miss estimate. It was in this context that the
            Legislature passed a budget for FY21 with cuts, including a cut to Higher Education that
            causes this waiver request to be submitted.
2. Documentation and data supporting the description of the State’s fiscal burdens (e.g., revenue data,
   appropriation tables, unemployment statistics, etc.) including any State action that impacted State
   revenue (e.g., tax increases or decreases).
       a. There were two bills that negatively impacted FY21 state revenues. The total impact was a
            decrease of just over $4M. In light of anticipated declines in state revenues in FY21, the
            Oklahoma legislature re-apportioned several sources (including roads and retirement systems)
            to the General Revenue Fund for appropriation in FY21. All revenue tables are available on
            the OMES Website under Monthly Revenue Information.
3. In addition, in its waiver request, a State should submit information on the relevant factors listed
   below to support its request. The Secretary may ask States for additional information after States
   submit the MOE waiver request form.
       a. FY22 Budget agreement increases support for K12 and Higher Education though bills are
            currently being drafted for citation.
       b. State support for higher education decreased from FY20 to FY21. Exceptional circumstances
            beyond the global pandemic in general include a special meeting on April 20, 2020 of the
            state’s constitutionally created Board of Equalization meeting to reduce estimated revenue for
            FY21 by $416.8 million or 6%.
       c. The state has not used ESSER, GEER or HEER to replace State funding for education but to
            provide necessary one-time funds to mitigate the risks of COVID-19 while continuing to
            provide educational opportunities for Oklahoma’s students.
                         CRRSAA MOE Total Spend Scenarios
                 2020                2019                 2018                 2017
Report Title     State of            State of             State of             State of
                 Oklahoma            Oklahoma             Oklahoma             Oklahoma
                 Government-         Government-          Government-          Government-
                 Wide                Wide                 Wide                 Wide
                 Statement of        Statement of         Statement of         Statement of
                 Activities          Activities           Activities           Activities
                 (expressed in       (expressed in        (expressed in        (expressed in
                 thousands)          thousands)           thousands)           thousands)
Source           https://oklah       https://oklaho       https://oklaho       https://oklah
                 oma.gov/con         ma.gov/conten        ma.gov/conten        oma.gov/con
                 tent/dam/ok         t/dam/ok/en/o        t/dam/ok/en/o        tent/dam/ok
                 /en/omes/do         mes/documen          mes/documen          /en/omes/do
                 cuments/cafr        ts/cafr2019.pd       ts/cafr2018.pd       cuments/cafr
                 2020.pdf            f                    f                    2017.pdf
    Total spend after removing charges, grants, contributions, and business-type activities
                 FY2020              FY2019               FY2018               FY2017
in $000s         $9,309,328          $8,809,107           $8,421,916           $7,807,707


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