Senate commerce committee advances governor’s commerce nominee and a package of industry incentives

The Senate Committee on Economic Development, Workforce and Tourism advanced Deborah Murad’s nomination to be Oklahoma’s cabinet secretary of commerce and passed a package of bills on incentives and grants aimed at economic development, tourism and entertainment production.

Murad, introduced by Senator Mann, told the committee she was “very excited to be appointed as the secretary of commerce for the great state of Oklahoma.” The committee clerk recorded a 9-0 roll call to forward her nomination to the full Senate.

The committee also approved House Bill 2402, a new incentive program for what the bill describes as low‑grade waste heat electrification tied to data centers and manufacturing; House Bill 2110, a pilot rebate to attract live‑audience sitcom and similar productions; and several other trade, Main Street, tourism and child‑care tax credit measures. Several senators raised questions about fiscal impacts, overlap with existing incentives and workforce training needs during debate.

Why it matters: The actions bundle short‑term grant authority and tax‑abatement incentives alongside workforce and program requirements. If enacted, the measures aim to attract new capital and productions to Oklahoma, but committee members repeatedly requested fiscal analyses and clarifications on how new incentives interact with existing credits and local funding.

Nomination: Deborah Murad Senator Mann presented Deborah Murad to the committee as the governor’s nominee for secretary of commerce. Murad thanked the committee and the governor and recognized family and business colleagues in the room. The clerk recorded the roll as: Senator Fricks, Gillespie, Goodwin, Green, Guthrie, Kurt, Woods, Vice Chair Coleman and Chairwoman Thompson; the committee reported 9 ayes and 0 nays and forwarded the nomination to the full Senate.

House Bill 2744 (PREP funds for OKC Fairgrounds) Senator Hall presented House Bill 2744 to reauthorize PREP (a state program referenced in testimony as the fund set aside for economic projects) dollars for renovations at the Oklahoma City fairgrounds. The bill authorizes reallocation of existing PREP funds originally appropriated for fairgrounds renovation; committee discussion noted the project had spent only a few million of an initial $20,000,000 appropriation after asbestos was found at the Rob Norwick Center, which delayed remediation. Senators asked about timing and remaining PREP balances; the author said she had not yet obtained a timeline from the recipient and described this as a reauthorization of funds already committed by the legislature. The committee approved the bill on a 9-0 vote.

House Bill 2402 (low‑grade waste heat electrification incentive) Senator Murdock presented HB 2402, described in committee as a corporate income tax abatement to incentivize businesses that capture and convert low‑grade waste heat (for example, heat from data center HVAC systems or industrial processes). The bill establishes tiered abatement levels tied to investment and job creation thresholds discussed on the record: one tier cited a $10,000,000 investment qualifying for a 30% abatement for five years and a higher tier at $20,000,000 for a 50% abatement. The author said the program is new and a fiscal impact statement was pending.

During questioning, senators expressed concern that the bill did not exclude recipients of other state incentives and that the state lacked a net‑benefit analysis to compare foregone revenue to economic activity generated. The author said she would work with members on language and noted the intent is to allow Oklahoma companies and new entrants to qualify whether they are existing in‑state firms or new relocations. Committee roll call showed 5 ayes and 4 nays; the bill passed out of committee.

House Bill 2110 (sitcom‑and‑live‑audience production pilot) Senator Coleman presented HB 2110, a pilot rebate program intended to attract live‑audience sitcoms, game shows and similar productions by offering a percentage rebate on qualified production spending. Rachel Cannon, founder and CEO of Rock Paper Cannon, testified to committee members about the sector and workforce implications. Cannon said, “the average is a 12 episodes for the shows created in the last 10 years for live audience, sitcoms specifically.” She described program design elements that appeared in committee discussion: a minimum per‑episode local spend of $200,000 (a six‑episode minimum equals $1,200,000), a base rebate (discussed in committee as 25%) with a 30% maximum, and a $10,000,000 appropriation set aside for the pilot.

Questions from senators focused on whether such productions would already be eligible under existing film and production incentives, how the pilot would build workforce capacity and studio infrastructure statewide, and whether the state would receive measurable return on investment. Committee members were told that the pilot is intended to build local infrastructure and a trained workforce that could later support larger productions. HB 2110 passed the committee 7-2.

Other bills advanced - House Bill 1092: creates an Oklahoma trade school tuition tax credit (tax credit equal to $7,500 or the cost incurred, must be claimed within three years); passed 8-1. - House Bill 2407: establishes an Oklahoma Main Street grant program revolving fund and requires Department of Commerce application and designation by the state Main Street program; passed 7-1. Committee discussion noted local/state cost‑sharing for Main Street staffing and that grant‑funding details had not been fully worked out. - House Bill 2894: extends the sunset of the Tourism Development Act to Jan. 1, 2032; passed 7-0. - House Bill 2374: amends the Film in Oklahoma Act (payroll withholding for production payroll) and requires production companies or their payroll providers to withhold at the highest percentage rate; passed 7-0. - House Bill 1848: creates a nonrefundable employer child‑care expenses tax credit capped at $30,000 per employer and with an aggregate cap ($5,000,000 was noted for credits); passed 8-0.

Votes at a glance - Deborah Murad nomination to secretary of commerce — advanced to full Senate, 9 ayes, 0 nays. - HB 2744 (PREP reauthorization for OKC fairgrounds) — passed committee, 9 ayes, 0 nays. - HB 2402 (waste heat electrification tax abatement) — passed committee, 5 ayes, 4 nays. Key debate: tiers (30% at $10M, 50% at $20M), fiscal impact pending, concern about stacking with other incentives. - HB 2110 (sitcom/live‑audience pilot rebate) — passed committee, 7 ayes, 2 nays. Key elements: six‑episode minimum, $200,000 per‑episode threshold ($1.2M spend), base ~25% rebate, 30% maximum, $10M set‑aside for pilot. - HB 1092 (trade school tuition tax credit) — passed committee, 8 ayes, 1 nay. Credit: $7,500 (or cost), targets core trades (HVAC, plumbing, automotive, electrical, carpentry, welding, construction). - HB 2407 (Oklahoma Main Street grant program) — passed committee, 7 ayes, 1 nay. Requires application to Department of Commerce; funding arrangement between state and municipalities discussed as not fully settled. - HB 2894 (extend Tourism Development Act sunset) — passed committee, 7 ayes, 0 nays. - HB 2374 (Film in Oklahoma Act withholding amendment) — passed committee, 7 ayes, 0 nays. - HB 1848 (employer child‑care expenses tax credit) — passed committee, 8 ayes, 0 nays.

What’s next Several measures noted they are dual‑assigned or will be transmitted to appropriations or the full Senate. Multiple senators asked for fiscal analyses and clarifying language before the measures move through subsequent committees. The committee adjourned after reporting the listed bills and the nomination out of committee.