{"id":698,"date":"2011-09-12T12:14:26","date_gmt":"2011-09-12T17:14:26","guid":{"rendered":"http:\/\/stateimpact.npr.org\/oklahoma\/?p=698"},"modified":"2012-12-20T10:20:35","modified_gmt":"2012-12-20T16:20:35","slug":"is-a-state-tax-credit-subsidizing-out-of-state-businesses","status":"publish","type":"post","link":"https:\/\/stateimpact.npr.org\/oklahoma\/2011\/09\/12\/is-a-state-tax-credit-subsidizing-out-of-state-businesses\/","title":{"rendered":"Is a State Tax Credit Subsidizing Out-of-state Businesses?"},"content":{"rendered":"<p>As <a href=\"http:\/\/stateimpact.npr.org\/oklahoma\/2011\/08\/25\/5-things-we-learned-from-the-task-credit-task-force-meeting\/\">we\u2019ve reported<\/a>, several members of the tax credit task force recently took issue with the <a href=\"http:\/\/ocib.org\/\">Oklahoma Capital Investment Board<\/a>, which was created to bring venture capital funding to Oklahoma start-up companies. The OCIB leverages tax credits to raise money for venture capital investments.<\/p><p>The OCIB is a state public trust and Oklahoma is its only beneficiary.<\/p><p>But roughly 85-90 cents of every $1 invested by the OCIB goes to a start-up company outside of Oklahoma, according to an analysis by Gene Perry with Oklahoma Policy Institute, a nonprofit research organization that promotes equitable, responsible and sustainable fiscal and economic policies.<\/p><p>In a <a href=\"http:\/\/okpolicy.org\/blog\/taxes\/guest-blog-tom-adelson-scott-meacham-preston-doerflinger-oklahoma-tax-credit-is-subsidizing-out-of-state-businesses\/\">guest editorial<\/a> on the institute\u2019s website, Perry, a tax policy analyst, also cites a 2006 audit by the Oklahoma State Auditor and Inspector\u2019s office, which shows that the OCIB invested in 18 venture funds that sent $26 million to companies here in Oklahoma.<\/p><p><!--more-->About $939 million went out-of-state, Perry wrote.<\/p>\n<blockquote><p>\u2026 it\u2019s simply wrong for states to gamble away tax dollars on out of state companies or to directly subsidize economic growth and job creation elsewhere. That\u2019s not what the people of Oklahoma elected their State Legislature to do.<\/p><\/blockquote><p>At the Aug. 24 meeting, the Task Force on State Tax Credits and Economic Incentives <a href=\"http:\/\/www.tulsaworld.com\/news\/article.aspx?subjectid=336&articleid=20110825_16_A13_CUTLIN538543\">grilled<\/a> OCIB president Devon Sauzek. Former State Treasurer Scott Meacham, who\u2019s now with the State Chamber of Oklahoma, defended the tax credit, saying that capital formation is a \u201cbig problem\u201d in Oklahoma.<\/p><p>OK Policy&#8217;s Perry disagrees:<\/p>\n<blockquote><p>&#8230; capital is abundant. What there is a shortage of in Oklahoma are good ideas worthy of investment. Certainly, there is a role for the Oklahoma Legislature to play in supporting the generation of creative ideas that grow jobs and increase economic activity.<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>As we\u2019ve reported, several members of the tax credit task force recently took issue with the Oklahoma Capital Investment Board, which was created to bring venture capital funding to Oklahoma start-up companies. The OCIB leverages tax credits to raise money for venture capital investments.The OCIB is a state public trust and Oklahoma is its only [&hellip;]<\/p>\n","protected":false},"author":36,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[492,16],"tags":[71,97,60],"acf":[],"_links":{"self":[{"href":"https:\/\/stateimpact.npr.org\/oklahoma\/wp-json\/wp\/v2\/posts\/698"}],"collection":[{"href":"https:\/\/stateimpact.npr.org\/oklahoma\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stateimpact.npr.org\/oklahoma\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stateimpact.npr.org\/oklahoma\/wp-json\/wp\/v2\/users\/36"}],"replies":[{"embeddable":true,"href":"https:\/\/stateimpact.npr.org\/oklahoma\/wp-json\/wp\/v2\/comments?post=698"}],"version-history":[{"count":11,"href":"https:\/\/stateimpact.npr.org\/oklahoma\/wp-json\/wp\/v2\/posts\/698\/revisions"}],"predecessor-version":[{"id":709,"href":"https:\/\/stateimpact.npr.org\/oklahoma\/wp-json\/wp\/v2\/posts\/698\/revisions\/709"}],"wp:attachment":[{"href":"https:\/\/stateimpact.npr.org\/oklahoma\/wp-json\/wp\/v2\/media?parent=698"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stateimpact.npr.org\/oklahoma\/wp-json\/wp\/v2\/categories?post=698"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stateimpact.npr.org\/oklahoma\/wp-json\/wp\/v2\/tags?post=698"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}