Oklahoma/EZ Policies

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EZ Policies for Oklahoma

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Download EZ Policies for Oklahoma CSV (rows 1 - 47)

Policy Place Policy Type Active Implementing Sector Summary
Accelerate Oklahoma (Oklahoma) Oklahoma Equity Investment Yes State/Province Three new funds that each offer equity and growth investment capital for state-based entrepreneurs, depending on the lifecycle stage of their business, were appropriated through the Oklahoma Commerce Department by the U.S. Treasury Department and are managed by i2E. These funds are expected to attract up to $130 million in concurrent and follow-on private capital in Oklahoma companies that receive investment through Accelerate Oklahoma!
Air Pollution Control (Oklahoma) Oklahoma Environmental Regulations Yes State/Province This chapter enumerates primary and secondary ambient air quality standards and the significant deterioration increments. Significant deterioration refers to an increase in ambient air pollution above a baseline plus a specific increment allowed for one of three classes of areas. It is required for potential sources of air contaminants to register with the Division. Facilities that emit air contaminants have to file an emission inventory and pay annual operating fees.

The article also lays out rules about permits for operation and construction of facilities, states visibility standards and excess emissions reporting standards. It also provides provisions for open burning, incinerators, municipal waste combustors and for the control of emission of nitrogen oxides, carbon monoxide, volatile organic compounds.

The rules have provisions for permitting, as well as specific provisions for clean coal technology.
Canadian River Compact (Multiple States) Texas
Oklahoma
New Mexico
Siting and Permitting Yes State/Province The Canadian River Commission administers the Canadian River Compact which includes the states of New Mexico, Oklahoma, and Texas. Signed in 1950 by the member states, the Compact was subsequently ratified by the respective state legislatures, approved by Congress, and was signed into law by the President in 1952. The interstate Canadian River Commission includes one state commissioner appointed by the governor of each member state and one federal commissioner appointed by the President. The major purposes of the Compact are to promote interstate comity; to remove causes of present and future controversy; to make secure and protect present developments within the States; and to provide for the construction of additional works for the conservation of the waters of Canadian River.
Climate Action Plan (Oklahoma) Oklahoma Climate Policies No State/Province The State of Oklahoma does not currently have a climate action plan in place or in progress.
Community Development Block Grant/Economic Development Infrastructure Financing (United States) United States Grant Program
Loan Program
Yes Federal Community Development Block Grant/Economic Development Infrastructure Financing (CDBG/EDIF) provides public infrastructure financing to help communities grow jobs, enable new business startups and expansions for existing businesses. State programs help achieve the national objective of CDBG by funding projects in which at least 51 percent of the new jobs created are made available to low and moderate income individuals. The maximum amounts awarded under the program are $1 million for new businesses locating to the state and $500,000 for existing businesses expanding in the state.
Community Energy Education Management Program (Oklahoma) Oklahoma State Loan Program Yes State/Territory The Oklahoma Department of Commerce offers a revolving loan fund for local governments to make energy efficient improvements to government buildings. All eligible projects should increase energy efficiency, reduce energy consumption, project a positive return on investment and be paid back within 6 years of the loan award. Funds from this program can be used to pay for a technical assistance report/audit, energy conservation measures, and operation and maintenance procedures that would contribute to overall reduced energy consumption.

Generally, the loans will not be more than $150,000, and the average loan amount is around $60,000. An eligible local government may have only one active loan open at any time.

More information, including guidelines and an application, are available at the program website above.
Credit Enhancement Program (Oklahoma) Oklahoma Loan Program Yes State/Province The Credit Enhancement Program is a means by which the Oklahoma Finance Authority provides guarantees for small companies, manufacturing facilities and communities in need of funds for expansion projects and infrastructure loans. "Credit Enhanced" financing carry a financial guarantee of the Credit Enhancement Reserve Fund (CERF). The fund assumes part or all of the risk of repayment of the credit enhanced notes or bonds. The two basic forms of lending utilized by ODFA are conduit and credit-enhancement financing. The Authority utilizes conduit financing to provide borrowers with lower cost financing, due to the Authority's standing as a public trust, without creating risk for ODFA itself.
Energy Loan Fund for Schools (Oklahoma) Oklahoma State Loan Program Yes State/Territory The Oklahoma Department of Commerce has established a loan/lease fund for public and non-profit K-12 schools to improve energy efficiency.


Two categories of funding are available for schools to reduce energy consumption. Category I funding will pay for technical and energy audits, the development of Energy Management Plans, and any professional services that contribute to the planning and design of energy reduction systems and measures. Category II funding covers the actual acquisition and installation of energy conservation measures.

All projects must be shown to reduce energy consumption, have a positive return on investment, and be able to be repaid within 6 years. Loan funds may not be used to pay off an existing loan but may be used to leverage additional third-party financing of energy efficiency projects. An eligible school district may only have one active loan at a time.
Forestry Policies (Oklahoma) Oklahoma Environmental Regulations Yes State/Province Oklahoma's forests are managed by the Oklahoma Forestry Services, a division of the Oklahoma Department of Agriculture, Food, and Forestry. In 2008 the Department issued the "Forest Resources of East Oklahoma":

http://www.forestry.ok.gov/Websites/forestry/images/East_Oklahoma_2008_Final_Report.pdf

The Department offers several forest management grants, including:

Forest Resource Development Program, to assist landowners implement forestry practices: http://www.forestry.ok.gov/forest-resource-development-program-frdp

Forestry Environmental Quality Enhancement Program, to assist landowners in improving or establishing forest land: http://www.forestry.ok.gov/forestry-eqip
General Obligation Limited Tax Bonds (GOLTBs) (Oklahoma) Oklahoma Bond Program No State/Province General Obligation Limited Tax Bonds (GOLTBs) are issued by counties and cities to provide financing for industrial projects. Revenue generated by the project in the form of income is used to retire the bonds. If revenue generated by the project is inadequate to retire the bonds then a levy will be placed on the property taxes of the jurisdiction in order to retire the bonds. Only the acquisition, construction or expansion of real property is eligible for GOLTBs.
General Water Quality (Oklahoma) Oklahoma Environmental Regulations Yes State/Province The purpose of this water quality rule is to protect, maintain and improve the quality of waters of the State. Any applicant for a federal license, permit or project to conduct any activity including but not limited to, the construction or operation of facilities, dredge or fill, or other activities, which may result in any discharge into, or pollution or alteration of the waters of the State of Oklahoma, shall first obtain a water quality certification from the DEQ. The subchapter on groundwater pollution control states that any person proposing a remediation project relating to ground water or required to undertake such a project by the DEQ is required to obtain prior approval by the DEQ of a site assessment plan and remediation plan. Any discharge to waters of the state resulting from remediation of groundwater shall require an authorization or permit under the Oklahoma Pollutant Discharge Elimination System Act.
Hazardous Waste Management (Oklahoma) Oklahoma Property Tax Incentive
Sales Tax Incentive
Environmental Regulations
Yes State/Province This article states regulations for the disposal of hazardous waste. It also provides information about permit requirements for the transport, treatment and storage of such waste. It also mentions the availability of tax credits for waste facilities.

Energy recovery from the destruction of a hazardous waste may be considered as recycling, and the equipment or devices needed to effectuate such recovery may be eligible under this rule. In order to claim energy recovery, the unit must maintain a thermal energy recovery efficiency of at least sixty percent, calculated in terms of the recovered

energy compared with the thermal value of the fuel, and at least seventy-five percent of this recovered energy must be exported and utilized on an annual basis. Credit will not be allowed for internal use of recovered heat in the same unit.
Interstate Mining Compact Commission (multi-state) Alabama
Arkansas
Illinois
Indiana
Kentucky
Louisiana
Maryland
Missouri
New York
North Carolina
North Dakota
Ohio
Oklahoma
Pennsylvania
South Carolina
Tennessee
Texas
Virginia
West Virginia
Safety and Operational Guidelines
Siting and Permitting
Yes State/Province The Interstate Mining Compact is a multi-state governmental agency / organization that represents the natural resource and related environmental protection interests of its member states. Currently, 23 states are members to the compact, and 6 additional states are associate members. The compact is administered by the Interstate Mining Compact Commission, which does not possess regulatory powers but “provides a forum for interstate action and communication on issues of concern to the member states” and thus aids the development of effective regulatory programs and environmental protection initiatives. The Commission exercises several powers on behalf of the states, all of which are of a study, recommendatory or consultative nature. The Commission does not possess regulatory powers, as some Compacts do. The Commission provides a forum for interstate action and communication on issues of concern to the member states. It is the potential to stimulate the development and production of each state's mineral wealth through effective regulatory programs that draws many of the states together in the prosecution of the Commission's work. Given the environmental sensitivities associated with this objective, a significant portion of the Commission's work is dedicated to the environmental protection issues naturally associated with this mineral development. It is the significant value and clout that comes from "compacting" together and speaking with a strong, united voice that can make a difference in each state's efforts to implement effective regulatory programs that will conserve natural resources and secure a vibrant state (and thus national) mineral economy.
Interstate Oil and Gas Conservation Compact (Multiple States) Alabama
Alaska
Arizona
Arkansas
California
Colorado
Florida
Georgia
Idaho
Illinois
Indiana
Kansas
Kentucky
Louisiana
Maryland
Michigan
Mississippi
Montana
Nebraska
Nevada
New Mexico
New York
North Dakota
Ohio
Oklahoma
Pennsylvania
South Dakota
Texas
Utah
Virginia
West Virginia
Wyoming
Environmental Regulations Yes State/Province The Interstate Oil and Gas Compact Commission assists member states efficiently maximize oil and natural gas resources through sound regulatory practices while protecting the nation's health, safety and the environment.

The Commission serves as the collective voice of member governors on oil and gas issues and advocates states' rights to govern petroleum resources within their borders.

The Commission formed the Geological CO2 Sequestration Task Force, which examines the technical, policy and regulatory issues related to safe and effective storage of CO2 in the subsurface (depleted oil and natural gas fields, saline formations and coal beds).

The Commission also funds research on hydraulic fracking, reusing water used in extracting oil and gas, and makes recommendations on national energy policies and statutes for individual states.

The Commission also has several associate states: North Carolina, South Carolina, Georgia, Tennessee, Missouri, Idaho, Oregon and Washington. In addition, it has international affiliations with the Canadian provinces of Alberta, British Columbia, New Brunswick, Newfoundland and Labrador, Nova Scotia, Saskatchewan, and the Yukon.
Local Option - County Energy District Authority (Oklahoma) Oklahoma PACE Financing Yes State/Territory Note: The Federal Housing Financing Agency (FHFA) issued a statement in July 2010 concerning the senior lien status associated with most PACE programs. S.B. 102 amended the law to make PACE loans junior and inferior to other liens. Effective November 1, 2011, this law should allow local governments to adopt PACE programs that are within the acceptable parameters established by the FHFA.

Property-Assessed Clean Energy (PACE) financing effectively allows property owners to borrow money to pay for energy improvements. The amount borrowed is typically repaid via a special assessment on the property over a period of years. Oklahoma has authorized county governments to establish such programs, as described below. (Not all local governments in Oklahoma offer PACE financing; contact your local government to find out if it has established a PACE financing program.)

Oklahoma enacted legislation in April 2009 (S.B. 668) that authorized counties to create "County District Energy Authorities." The Authorities are authorized to issue notes/bonds, seek out public/private lenders, or apply for grants/loans from other governmental entities in order to establish and fund local PACE programs. Once a county has established the Authority and PACE program, county property owners, who are up-to-date on their property taxes, may enter into a contract with the county to receive a loan for permanently fixed renewable energy or energy efficiency improvements to their property. These loans are then repaid via the property taxes and they constitute a lien on the property until paid in full.

The legislation mandates that any resulting county loan program established must require participating property owners to undergo an energy audit (the cost of the audit may also be rolled into the financing received). The efficiency equipment must be energy star rated. Finally, the legislation also authorizes the County District Energy Authorities to establish a grant program for not-for-profit organizations that are property-tax exempt, although the Authorities are not required to do so. The remaining details of a county program are determined locally and will vary from county to county.
Management of Solid Waste (Oklahoma) Oklahoma Environmental Regulations Yes State/Province The Solid Waste Management Division of the Department of Environmental Quality regulates solid waste disposal or any person who generates, collects, transports, processes, and/or disposes of solid waste and/or waste tires. The following solid waste disposal facilities require a solid waste permit prior to construction and/or operation: land disposal facilities; solid waste processing facilities, including: transfer stations; solid waste incinerators receiving waste from off-site sources; regulated medical waste processing facilities receiving waste from off-site sources, and that are not shared service facilities; used tire facilities; composting facilities, except yard waste composting facilities; permanently established household hazardous waste collection facilities; and any other type of facility that processes solid waste; facilities used for the storage of solid waste for longer than 10 days; and facilities used for the storage of more than 50 used tires.
Net Metering (Oklahoma) Oklahoma Net Metering Yes State/Territory Net metering has been available in Oklahoma since 1988 under Oklahoma Corporation Commission (OCC) Order 326195. The OCC's rules require investor-owned utilities and electric cooperatives under the commission's jurisdiction* to file net-metering tariffs for customer-owned renewable-energy systems and combined-heat-and-power (CHP) facilities up to 100 kilowatts (kW) in capacity. Net metering is available to all customer classes. There is no limit on the amount of aggregate net-metered capacity.

Utilities are not allowed to impose extra charges for customers signed up for net metering, nor are they allowed to require new liability insurance as a condition for interconnection. Utilities are also not required to purchase net excess generation (NEG) from customers. However, a customer may request that the utility purchase NEG. If the utility agrees, then NEG will be purchased at the utility's avoided-cost rate.

Systems must be installed and maintained in compliance with the National Electric Code (NEC). An external disconnect switch is required.


  • Click here for a list of cooperative utilities exempt from OCC regulation.
New Market Tax Credits (NMTC)-Metafund (Oklahoma) Oklahoma Corporate Tax Incentive
Loan Program
Yes State/Province The New Market Tax Credits (NMTC)-Metafund program is designed to provide financial capital to areas of significant economic distress. In addition to its $10 million in capital, MetaFund has received a $54 million New Markets Tax Credits (NMTC) allocation, which is available to banks and other tax credit investors. Census tracts having a poverty rate greater than 20% and/or a median family income of less than 80% of the area's median family income, qualify for the 39% credit, which can be claimed for qualifying loans or investments in eligible census tracts. MetaFund can also facilitate the 20-30% Oklahoma Small Business Tax Credits, which in some cases may be combined with the NMTC.
New Market Tax Credits-REI (Oklahoma) Oklahoma Corporate Tax Incentive Yes State/Province The New Market Tax Credits-REI is a tool to meet the challenge of economic development in low-income rural and urban communities. This program Objective offers investors an attractive tax benefit through a 39% federal income tax credit for investments. To be eligible, businesses must derive at least 50% of their gross income from a Qualified Low-Income Community.
Oklahoma Clean Air Act (Oklahoma) Oklahoma Environmental Regulations Yes State/Province This legislation establishes the authority for the Oklahoma Department of Environmental Quality to administer programs to maintain and monitor air quality across Oklahoma. The Department monitors the air quality across Oklahoma and warns and advising the public when conditions could be hazardous to their health. The Department is charged with implementing the state and federal Clean Air Acts to reduce emissions and improve air quality in Oklahoma. The division recommends adoption of Air Quality Rules and operates regulatory programs that realistically balance the needs of all the state's stakeholders.
Oklahoma Hazardous Waste Management Act (Oklahoma) Oklahoma Environmental Regulations Yes State/Province A hazardous waste facility permit from the Department of Environmental Quality is required to store, treat or dispose of hazardous waste materials, or to construct, own or operate any facility engaged in the operation of storing, treating or disposing of hazardous waste or storing recyclable materials. The Department shall not issue a permit for the treatment, disposal or temporary storage of any liquid hazardous waste in a surface impoundment that is not generated by the owners of the surface impoundment. Except as otherwise specifically provided by law, the disposal of any liquid hazardous waste in a landfill or in a surface impoundment is prohibited. The practice of plowing hazardous waste into the soil surface for the purpose of disposal is prohibited, except unless authorized by a plan approved by the Department of Environmental Quality for biodegradable or inert material. In addition, the site used for such disposal must not be subject to flooding or extensive erosion.
Oklahoma Local Development and Enterprise Zone Incentive Leverage Act (Oklahoma) Oklahoma Enterprise Zone Yes State/Province The Oklahoma Local Development and Enterprise Zone Incentive Leverage Act provides funding for local units of government to match local tax revenue dedicated to support a project located in an enterprise zone. No more than 10% of the net leasable space may be used for retail purposes and no state local government matching payment shall be made for project costs. Certification that all projects described within the related project plan will generate, in the aggregate, a minimum of either $1 million in payrolls, exclusive of payroll for construction, or $5 million in investment. Enterprise Zones can be designated in disadvantaged counties, cities or portions of cities. The Oklahoma Department of Commerce designates enterprise zones and publishes lists of eligible counties, cities and census tracts. Businesses located in an Enterprise Zone are eligible to receive double the Investment/New Jobs Tax Credit. Additionally, companies obtaining ad valorem exemptions from local taxing entities could be exempted for up to six years, rather than five.
Oklahoma Opportunity Fund (Oklahoma) Oklahoma Grant Program Yes State/Province The Oklahoma Opportunity Fund was established to promote economic development and related infrastructure development. Eligible applicants are for-profit entities; non-profit entities; and state and local government entities. Funds will be expended for projects which provide a substantial economic benefit to the state through any of the following: the creation of new jobs that offer a basic health benefit plan; maintenance of existing jobs that are at risk for termination, investment in new real property or equipment or in the improvement of existing plant or equipment; or lead to additional revenues in either ad valorem, income or sales and use taxes.
Oklahoma Pollutant Discharge Elimination System Act (Oklahoma) Oklahoma Environmental Regulations Yes State/Province The Department of Environmental Quality regulates facilities that discharge any pollutant into waters of the state. Permits must be acquired before the discharge of any pollutants into state waters. Parameters of the permit for stormwater are outlined by the Environmental Quality Board. The rules may require permits on a case-by-case basis, exempt categories of discharges, or provide a schedule for obtaining a permit. The Department of Environmental Quality has the authority to determine whether a facility, activity or entity regulated by the Department is required to obtain a stormwater permit.
Oklahoma Pollutant Discharge Elimination System (OPDES) Standards (Oklahoma) Oklahoma Environmental Regulations Yes State/Province This program of the Water Quality Division of the Department of Environmental Quality sets the point source, biosolids (sewage sludge), and stormwater permitting standards for discharges to the waters of the State of Oklahoma. The law applies to any person or entity that land applies biosolids or prepares it for firing in a biosolids (sewage sludge) incinerator, in addition to those facilities that discharge wastewater to waters of the state. An applicant must acquire or possess a right to use and access the property on which discharge points, facilities, activities or discharge sources are located. The owner/operator must maintain such rights for the duration of the permit term, and provide documentary proof to the DEQ. The fees and specific requirements for discharge are listed in the legislation.
Opportunity and Enterprise Zones (Oklahoma) Oklahoma Enterprise Zone Yes State/Province Opportunity and Enterprise Zones provide enhanced financial incentives for businesses located in such zones aimed at stimulating economic expansion in rural and disadvantaged communities Opportunity Zones are those census tracts in which, according to the most recent federal decennial census, at least 30% of the residents have an annual gross household income from all sources below the poverty guidelines established by the US Department of Health and Human Services. Enterprise Zones can be designated in disadvantaged counties, cities or portions of cities. The Oklahoma Department of Commerce designates enterprise zones and publishes lists of eligible counties, cities and census tracts.
Other Surface Impoundments and Land Applications (Oklahoma) Oklahoma Environmental Regulations Yes State/Province A water quality permit is required from the Department of Environmental Quality to construct, install, operate or close any industrial surface impoundment, industrial septic tank or treatment system, or the use of any existing unpermitted surface impoundment, septic tank or treatment system that is within the jurisdiction of the Department and which is proposed to be used for the containment or treatment of industrial wastewater or sludge. Any major addition, extension, operational change or other change proposed for a facility must be approved by the Department through the major modification of the facility's permit prior to construction or implementation of such addition, extension or change.
Property Tax Exemption for Wind Generators (Oklahoma) Oklahoma Property Tax Incentive Yes State/Territory Oklahoma offers a 5-year ad valorem property tax exemption for certain wind-power generators.


Manufacturing facilities (broadly defined as “facilities engaged in the mechanical or chemical transformation of materials or substances into new products”) are eligible for the property tax exemption if there is a net increase in annualized payroll of at least $250,000 in counties with a population of 75,000 or less or at least $1,000,000 if the facility is located in a county with a population of 75,000 or more. However, wind-power generators are specifically exempt in the statute from these payroll requirements if there is a net increase in annualized payroll at the facility of at least $250,000 or a net increase of $2,000,000 or more in capital improvements while maintaining or increasing payroll.


More information on the wind-power generator ad valorem property tax exemption can be found through the Oklahoma Tax Commission.
Qualifying RPS State Export Markets (Oklahoma) Oklahoma Renewables Portfolio Standards and Goals Yes State/Province This entry lists the states with Renewable Portfolio Standard (RPS) policies that accept generation located in Oklahoma as eligible sources towards their RPS targets or goals. For specific information with regard to eligible technologies or other restrictions which may vary by state, see the RPS policy entries for the individual states, shown below in the Authority listings. Typically energy must be delivered to an in-state utility or Load Serving Entity, and often only a portion of compliance targets may be met by out-of-state generation. In addition to geographic and energy delivery requirements, ownership, registry, and other requirements may apply, such as resource eligibility, generator vintage and capacity limitations, as well as limits on Renewable Energy Certificate (REC) vintage. The listing applies to RPS Main Tiers only, and excludes solar or distributed generation that may require interconnection only within the RPS state. This assessment is based on energy delivery requirements and reasonable transmission availability. Acceptance of unbundled RECs varies. There may be additional sales opportunities in RPS states outside the Eastern Interconnection. REC prices in markets with voluntary goals (North Dakota, Oklahoma, South Dakota) may be lower.
Quality Jobs Investment Program (Oklahoma) Oklahoma Grant Program Yes State/Province The Oklahoma Quality Jobs Program allows qualifying businesses which are creating new quality jobs to receive a special incentive to locate or expand in Oklahoma.

The program provides quarterly cash payments of up to 5% of new taxable payroll directly to a qualifying company, for up to ten years.

To qualify, a company must be a central administrative office, manufacturer, researcher and developer or engaged in an industry listed on the program's website. Service companies must prove 75% out of state sales to qualify. A company must achieve a $2.5 million taxable payroll for any four consecutive quarters during the first 12 quarters in the program and have an average wage equal to or above the average county wage in which the company is locating or expanding. The minimum wage requirements do not apply to opportunity zones. Once the company achieves the threshold, it may remain in the program for the remainder of the ten-year period. Once the threshold is achieved, a company must maintain the $2.5 million payroll, including the average wage requirement, to qualify for incentive payments during any quarter.
Radiation Management Act (Oklahoma) Oklahoma Environmental Regulations Yes State/Province This Act establishes The Department of Environmental Quality as the designated official agency of the State of Oklahoma for all regulatory activities for the use of atomic energy and sources of radiation, except for the use of sources of radiation by diagnostic x-ray facilities. It also states rules for permits and fees related to the establishment of standards for safe levels of protection against radiation; the maintenance and submission of records; the determination, prevention and control of radiation hazards; the reporting of radiation accidents; the handling, storage and registration of sources of radiation; periodic inspections of facilities using sources of radiation; the review and approval of plans, and the issuance and revocation of permits and licenses, for the use of sources of radiation; prior to issuance of any permit, requirements to post a bond or acceptable alternative financial assurance guaranteeing proper on-site or off-site storage or disposal; methods and facilities for disposal of sources of radiation; constructive uses of radiation, and prevention and control of its associated harmful effects; and other items deemed necessary for the protection of the public health and safety in radiation.
Renewable Energy Goal (Oklahoma) Oklahoma Renewables Portfolio Standard Yes State/Territory In May 2010, the Oklahoma Legislature enacted the Oklahoma Energy Security Act (see H.B. 3028), establishing a renewable energy goal for electric utilities operating in the state. The goal calls for 15% of the total installed generation capacity in Oklahoma to be derived from renewable sources by 2015. There are no interim targets, and the goal does not extend past 2015.

The Oklahoma Corporation Commission reported that 18.42% (4,056 MW) of installed capacity came from eligible renewable energy resources in 2013.

Eligible Technologies

Eligible renewable energy resources include wind, solar, photovoltaics, hydropower, hydrogen, geothermal, biomass, landfill gas, distributed generation from an eligible renewable energy resource where the generating facility or any integrated cluster of such facilities has an installed generating capacity of not more than five (5) megawatts, other renewable sources approved by the Oklahoma Corporation Commission, demand side management and energy efficiency as provided in Title 17, Oklahoma Statutes, Section 801.6. Energy efficiency and demand-side management may be used to meet up to 25% of the renewable energy goal (i.e., 3.75% of total installed generation capacity).

Compliance

Unlike the renewables portfolio standards adopted by other states, Oklahoma's renewable energy goal does not require utilities to purchase and retire renewable energy credits to demonstrate compliance. Instead, each utility in Oklahoma that owns or operates electricity generation facilities must file a report with the OCC each year by March 1. The report must document the total installed capacity of all generation facilities, the number of kilowatt-hours (kWh) generated by each facility, and the energy source for each facility.
Requirements for Wind Development (Oklahoma) Oklahoma Solar/Wind Permitting Standards Yes State/Territory In 2010, Oklahoma passed HB 2973, known as The Oklahoma Wind Energy Development Act. The bill becomes effective January 1, 2011. The Act provides sets rules for owners of wind energy facilities related to decommissioning, payments, and insurance.
  • Within one year of abandonment of a project, equipment from wind energy facilities must be removed and the land must be returned to its condition prior to the facility construction, except for roads.
  • After 15 years of operation, wind energy facility owners must file an estimate of the decommissioning costs as well as proof of financial security to cover the cost of the decommission.
  • For any wind energy facility that makes payments to the landowner dependent upon the amount of electricity produced, facility owners are required to provide an explanation of the payment calculation to the landowner, allow for landowners to confirm the accuracy of payments and inspect records, and make records available to the state of Oklahoma.
  • Wind energy facilities must have commercial general liability insurance, which must name the landowner as an insured party. Proof of such insurance must be provided to the landowner before construction begins.
In addition to the Wind Energy Development Act, Oklahoma also passed SB 1787, which states that access to the airspace is tied to the ownership of the land; any wind or solar leasing arrangements associated with the airspace must be made with the landowner that owns the land below the air.
Reservoir Protection (Oklahoma) Oklahoma Environmental Regulations Yes State/Province The Oklahoma Water Resource Board has the authority to make rules for the control of sanitation on all property located within any reservoir or drainage basin. The Board works with the Department of Environmental Quality to ensure that disposal systems meet regulatory requirements.

Lakes, bodies of water, or reservoirs owned or controlled by any city, town or municipality of Oklahoma are exempt, unless they voluntarily opt in for regulation by the Board.

The legislation authorizes the Board to conduct research, studies, demonstrations and investigations relating to the use and reuse of wastewater.
Septic Tanks (Oklahoma) Oklahoma Environmental Regulations Yes State/Province A license from the Department of Environmental Quality is required for cleaning or pumping of septic tanks or holding tanks and disposing of sewage or septage. The rules for the license are dictated by the Oklahoma Water Resource Board.
Small Business Administration (SBA) Guarantee Fee Tax Credit (Oklahoma) Oklahoma Corporate Tax Incentive Yes State/Province The Small Business Administration (SBA) Guarantee Fee Tax Credit allows for small businesses operating in Oklahoma to claim a credit against income tax liability. This credit may be claimed for tax year 2012 and subsequent tax years, for guaranty fees paid on or after July 1, 2012. The credit shall be for the amount of fee paid to obtain financing from the SBA. The credit may be carried forward five years.
Small Business Linked Deposit Program (Oklahoma) Oklahoma Loan Program Yes State/Province The Small Business Linked Deposit Program provides below-market interest rates for qualified small businesses and certified industrial parks through local financing sources. Loans are for a two-year term and may be renewed for three additional terms in accordance with guidelines of the State Treasurer’s office. In Enterprise Zones, loans may be for three years with a three-year renewal and a two-year renewal. In Priority Enterprise Zones, loans may be for five years with a three-year renewal. A small business may request funding of up to $1 million. The limit on the amount of funding an industrial park may request is $6 million. The amount that will be funded is based on the number of jobs that will be created or preserved because of receipt of a low interest loan.
Small Employer Quality Jobs 7-Year Cash Incentive (Oklahoma) Oklahoma Performance-Based Incentive
Grant Program
Yes State/Province This program provides incentive payments to a qualifying small employer (90 employees or less). The payments may reach as high as 5% of new taxable payroll and last for up to seven years. Annual salaries must meet at least 110% of the average county wage.
Solid Waste Management Act (Oklahoma) Oklahoma Environmental Regulations Yes State/Province This Act establishes rules for the permitting, posting of security, construction, operation, closure, maintenance and remediation of solid waste disposal sites; disposal of solid waste in ways that are environmentally safe and sanitary, as well as economically feasible; submission of laboratory reports or analyses performed by certified laboratories for the purposes of compliance monitoring and testing and for other purposes required for the regulation of sludge, transportation of solid waste and permit requirements. No person shall dispose of solid waste at any site or facility other than a site or facility for which a permit for solid or hazardous waste disposal has been issued by the Department of Environmental Quality. No person shall own or operate a site or facility at which solid waste is disposed other than a site or facility for which a permit for solid or hazardous waste disposal has been issued by the Department. No person shall knowingly transport solid waste to an unpermitted site or facility. In addition to any permit required, a solid waste permit shall be required for the beneficial use, transport, disposal and storage of sludge not subject to the direct jurisdiction of a state environmental agency.
Southern States Energy Compact (Multiple States) Alabama
Arkansas
Florida
Georgia
Kentucky
Louisiana
Maryland
Mississippi
Missouri
North Carolina
Oklahoma
Puerto Rico
South Carolina
Tennessee
Texas
United States Virgin Islands
Virginia
West Virginia
Industry Recruitment/Support
Environmental Regulations
Yes State/Province The Southern States Energy Compact provides for the proper employment and conservation of energy, and for the employment of energy-related facilities, materials, and products, within the context of a responsible regard for the environment, among the Southeastern states, Puerto Rico, and the U.S. Virgin Islands. The Southern States Energy Board is responsible for administering the Compact and may adopt bylaws, rules, and regulations in conjunction with state agencies. The Board also encourages the development, conservation, and responsible use of energy and energy-related facilities, installations, and products as part of a balanced economy and a healthy environment.
Tax Credit for Manufacturers of Small Wind Turbines (Oklahoma) Oklahoma Industry Recruitment/Support No State/Territory Note: After a 2-year moratorium on all state tax credits, this credit may be claimed for tax year 2012 and subsequent tax years for small wind turbines manufactured on or after July 1, 2012.

Oklahoma offers an income tax credit to the manufacturers of small wind turbines for tax years 2003 through 2012. Oklahoma manufacturers of wind turbines with a rated capacity of between 1 kilowatt (kW) and 50 kW are eligible for the credit if they agree in advance to allow their production and claims to be audited by the Oklahoma Tax Commission. They must also be able to show that they have made economic development investments in Oklahoma over the period of time for which the credit was claimed that exceed the amount of credit claimed.

The turbine must incorporate advanced technologies such as new airfoils, new generators, and new power electronics and at least one unit of each model must have been installed for testing at the US-DOE National Wind Technology Center. All turbines must comply with appropriate interconnection safety standards of the Institute of Electrical and Electronics Engineers.

The credit amount varies based on the turbine's square footage of rotor swept area. The credit was $25.00 per square foot produced in 2003, $12.50 per square foot produced in 2004, and $25.00 per square foot produced each year from 2005-2012. The credit is transferable during the 10 years following the year of qualification. To claim this credit, complete Tax Form 511CR, Schedule for Other Credits.
Training For Industry Program (TIP) (Oklahoma) Oklahoma Training/Technical Assistance Yes State/Province The Oklahoma Department of Career and Technology Education runs the Training For Industry Program (TIP) is a no-cost/low-cost way for new or growing companies that create jobs to get a skilled, focused, and motivated workforce in Oklahoma. The program provides training facilities, supplies and instructional materials and development.
Underground Wells (Oklahoma) Oklahoma Environmental Regulations Yes State/Province Class I, III, IV and V injection wells require a permit issued by the Executive Director of the Department of Environmental Quality; Class V injection wells utilized in the remediation of groundwater associated with underground and aboveground storage tanks regulated by the Corporation Commission and Wells used for the recovery, injection or disposal of mineral brines are exempt. All water wells, monitoring wells, unused water test wells and water test holes used or capable of being used as to avoid pollution of water-bearing strata.
Wastewater and Wastewater Treatment Systems (Oklahoma) Oklahoma Environmental Regulations Yes State/Province The Oklahoma Department of Environmental Quality administers regulations for waste water and waste water treatment systems. Construction of a municipal treatment work, non-industrial waste water treatment system, or other sewage treatment works requires permits from the Department. These permits may only be issued to a public entity unless all components of the proposed system, including the service lines, are or will be located on property that is owned by the owner of the system or dedicated to the owner of the system in a recorded easement for the installation and operation of the system. Small public sewage treatment or individual sewage treatment systems must comply with requirements prescribed by the Environmental Quality Board, determined through inspection performed by the Department of Environmental Quality or a person authorized by the Department.
Water Quality (Oklahoma) Oklahoma Environmental Regulations Yes State/Province The Water Quality Act establishes cumulative remedies to prevent, abate and control the pollution of the waters of the state. The act establishes responsibilities of the Oklahoma Department of Environmental Quality and the Oklahoma Water Quality Board. The act requires the development of a Water Quality Management Plan, which is an effort of both agencies. The act establishes that it is unlawful for any person to cause pollution of any waters of the state or to place or cause to be placed any wastes in a location where they are likely to cause pollution of any air, land or waters of the state. Included in the law are other acts, including the Oklahoma Pollutant Discharge Elimination System Act, the Oklahoma Water Supply Systems Act, legislation for Wastewater and Wastewater Treatment Systems, Other Surface Impoundments and Land Applications, Reservoir Protection, and Septic Tanks.
Water Quality Standards Implementation (Oklahoma) Oklahoma Environmental Regulations Yes State/Province The Oklahoma Department of Environmental Quality regulates Oklahoma's Water Quality Standards. The law states the requirements and standards for point source discharges. It also establishes groundwater protection standards. Discharge permit criteria allow the DEQ to include measures for the protection of groundwater quality, and requires the responsible party to report all spills of reportable quantities and respond accordingly to protect waters of the state, which includes groundwater.
Zero-Emission Facilities Production Tax Credit (Oklahoma) Oklahoma Corporate Tax Credit Yes State/Territory For tax years beginning on or after January 1, 2003, a state income tax credit is available to producers of electric power using renewable energy resources from a zero-emission facility located in Oklahoma. The zero-emission facility must have a rated production capacity of 1 megawatt or greater. The facility must be placed in operation after June 4, 2001, and the electricity must be sold to an unrelated party.


Eligible Technologies


Eligible renewable energy resources include wind, moving water, sun, and geothermal energy. The construction and operation of the zero-emission facility must result in no pollution or emissions that are or may be harmful to the environment, as determined by the Department of Environmental Quality.


Tax Credit Amount


The amount of the credit varies depending on when the electricity is generated. Credits may be claimed for electricity generated on or after January 1, 2003, during a 10-year period following the date that the facility is placed in operation.

Facilities placed in operation before January 1, 2007:

For electricity generated on or after January 1, 2003, but prior to January 1, 2004, the amount of the credit is $0.0075 per kilowatt-hour (kWh) of electricity generated. For electricity generated after January 1, 2004, but prior to January 1, 2007, the amount of the credit is $0.0050 per kWh. For electricity generated after January 1, 2007, but prior to January 1, 2012, the amount of the credit is $0.0025 per kWh.

Facilities placed in operation on or after January 1, 2007:

For electricity generated on or after January 1, 2007, but prior to January 1, 2021, the amount of the credit is $0.0050 per kWh.


Process


To claim this credit, applicants must complete Tax Form 511CR, Schedule for Other Credits.


For credits generated before January 1, 2014, the tax credit is freely transferable at any time during the 10 years following the year of qualification. This includes transfers or sales from non-taxable entities to taxable entities and transfers or sales from one taxable entity to another.


For credits generated on or after January 1, 2014, the Oklahoma Tax Commission can refund the taxpayer 85% of the face value of the tax credits at the taxpayer's request. The direct refund is available to all taxpayers including pass-through entities, but not nontaxable entities. Nontaxable entities will still be able to transfer or sell credits to taxable entities. If the taxpayer does not elect to receive a direct refund, excess credits can be allocated to one or more shareholders, partners, or members of the taxpayer entity.