Industry in Oklahoma

[C_M_25]

This is a serious question because I simply just do not know.

Besides Oil and Natural Gas, what are Oklahoma's main providers of jobs? I know Tinker is one. We have the state government and the federal government. These jobs require tax money, so I'm not really interested in that. What do we have outside of energy? Can any of these other sources of income realistically fund our state government should the energy sector stay down for a long time? How screwed is Oklahoma if the Oil industry goes bankrupt?

[Tundra]

Construction, is probably one of the largest industries in our state , when you consider all of the trades involved from concrete suppliers to carpenters to roofing contractors. But unfortunately it's tied directly to oil.

[Plutonic Panda]

And those people who put the power lines back up after they are either torn down by a tornado or an ice storm.

[C_M_25]

Construction

Construction is dependent on growth or other industrial activities. In other words, without growth, construction would not exist. I do not believe that we are going to take the chinese role and just build random cities with no population

[Plutonic Panda]

Meth Labs.

[Tundra]

Greater Oklahoma City Economic Development - Major Employers

[C_M_25]

Greater Oklahoma City Economic Development - Major Employers

Thanks for that link. That explains a lot. It is a little scary how top-heavy we are here on government jobs. Hopefully if the O&G companies tank, they can be taken up by some of the other industries, but that is a huge amount of money that wouldn't be funding the government anymore.

[Tundra]

Thanks for that link. That explains a lot. It is a little scary how top-heavy we are here on government jobs. Hopefully if the O&G companies tank, they can be taken up by some of the other industries, but that is a huge amount of money that wouldn't be funding the government anymore.

If the O$G tank, we are royally screwed, the only reason we absorbed 2008 was the O$G was still performing

[Tundra]

http://www.growmetrotulsa.com/sites/...s%20List_1.pdf

[adaniel]

This is a serious question because I simply just do not know.

Besides Oil and Natural Gas, what are Oklahoma's main providers of jobs? I know Tinker is one. We have the state government and the federal government. These jobs require tax money, so I'm not really interested in that. What do we have outside of energy? Can any of these other sources of income realistically fund our state government should the energy sector stay down for a long time? How screwed is Oklahoma if the Oil industry goes bankrupt?

Don't understand why you would dismiss Tinker and other federal agencies in your observation...last time I checked those employees and their contractors pay taxes and are funding the budget just as much as everyone else. Anyway, to answer your question....

Aerospace-Largest Maintenance hub at AA in Tulsa, numerous firms in both cities
Logistics-3 Interstates and major rail hub in OKC, Tulsa has Port of Catoosa
Agriculture and Food Processing-not as important but still has to be done
General Manufacturing-quite a bit goes on in the NE part of the state
Tourism-notice all of the TX license plates next time you are at Beavers Bend, Turner Falls, etc.

Last time I checked OKs unemployment rate was just over 4%, about the same as TX and considerably lower than the 6%+ in other energy states like Alaska, Louisiana, and New Mexico. So Oklahoma has not fallen apart.

I also know that last fiscal year Oklahoma came in already $300 million short even though oil was over $100, and had a flat budget the year before. So perhaps a better question would be why is their such a disconnect between the budget and the general economy, and where is the leadership in all of this.

[bombermwc]

I also know that last fiscal year Oklahoma came in already $300 million short even though oil was over $100, and had a flat budget the year before. So perhaps a better question would be why is their such a disconnect between the budget and the general economy, and where is the leadership in all of this.

Because no one has the balls to say "you know what, in order to pay for things, we have to collect taxes. And that's been too low".

[OU Adonis]

Because no one has the balls to say "you know what, in order to pay for things, we have to collect taxes. And that's been too low".

Considering the state tax burden is higher than the national average I would say we are paying our fair share of state taxes.

*Edited* we are 1% less than the national average. So I guess we are pretty much in the middle.

[OKCinsomniac]

Considering the state tax burden is higher than the national average I would say we are paying our fair share of state taxes.

*Edited* we are 1% less than the national average. So I guess we are pretty much in the middle.

When adjusted for cost of living, we're only 13th:
https://wallethub.com/edu/best-worst...taxpayer/2416/

[Swake]

Considering the state tax burden is higher than the national average I would say we are paying our fair share of state taxes.

*Edited* we are 1% less than the national average. So I guess we are pretty much in the middle.

10th lowest in overall personal tax burden rate. 7th lowest in corporate taxes.

http://taxfoundation.org/article/sta...dens-1977-2012

[Questor]

Something that is less apparent from the data in that link is that there are so many O&G companies here that are small or medium sized that never make the big list. The volume of them, the trucking and transportation companies that support them, and on and on, still makes up a very large percentage of our economy.

I know many small business owners who are noticing a huge drop in their business. When they see their now-infrequent customers again, they get to talking and they always end up being employed by the O&G industry (or at least were). Energy sector is still the main game in town.

[Bellaboo]

How about this incentive ? And it's not O&G

State pays millions more in wind-energy incentives than originally projected - Norman Transcript: News

[gopokes88]

How about this incentive ? And it's not O&G

State pays millions more in wind-energy incentives than originally projected - Norman Transcript: News

That's the real culprit, we incentivize everything for an unlimited amount of time. We give away over $1 billion in incentives yearly.

[Bunty]

That's the real culprit, we incentivize everything for an unlimited amount of time. We give away over $1 billion in incentives yearly.

I would rather do away with $600,000,000 of those incentives in order to better fund education, rather than raise the state sale tax by a penny to do it.

[gopokes88]

I would rather do away with $600,000,000 of those incentives in order to better fund education, rather than raise the state sale tax by a penny to do it.

Oklahoma doesn't have incentives, we have highly paid lobbyists convincing legislators to give away tax revenue in exchange for campaign cash. If your company can afford a lobbyist your company is probably getting a tax break, despite not doing much.

Incentives are fine when done correctly, The Cabela's in Chisholm Creek is a perfect example. It had a set dollar and time amount. When it expires its gone. The purpose was to help jump-start CC's development. Perfectly reasonable. The state just renews incentives year after year after year after year.

If we eliminated all incentives we would have a $400,000,000 hole after a 75% collapse in oil prices, the surpluses from previous years would be so massive not a penny would need to be cut as Oklahoma could dip into it's emergency fund.

Tax rates are fine in the state. The giveaways are the problem,

[gopokes88]

This gives a good birds eye view.

https://en.m.wikipedia.org/wiki/Economy_of_Oklahoma

This chart is also pretty awesome. We're heavier on mining (oil) and lighter on finance compared to the us as a whole.

Industry OK GDP value ($ billions) Sector % of OK GDP Sector % of US GDP
Agriculture 2.8 2% 1%
Mining 27.2 15% 3%
Utilities 5.9 3% 2%
Construction 7.3 4% 4%
Manufacturing 22.5 10% 12%
Trade 21.2 12% 12%
Transportation 7.1 4% 3%
Information 4 2% 5%
Finance 27.4 14% 20%
Professional 15 8% 12%
EducationHealth 14.2 7% 8%
Entertainment 6.6 3% 4%
Other Services 3.8 2% 2%
Government 27.7 15% 12%
Total 202.5 100% 100%

First column is OK GDP in billions, second is the % that sector is of the total ok gdp, third is the us nationally as a % of gdp. The biggest difference is ok is heavy on mining and light on finance.

[HangryHippo]

The tax rates are fine because you think so or is there some evidence they're fine?

I agree with you regarding incentives, but disagree that Cabelas was good use of them. cabelas was an example of the kind of incentive that needs to be reduced or cut.

[gopokes88]

The tax rates are fine because you think so or is there some evidence they're fine?

I agree with you regarding incentives, but disagree that Cabelas was good use of them. cabelas was an example of the kind of incentive that needs to be reduced or cut.

We had 75% drop in oil prices, with no incentives the hole would only be about 400,000,000. Surpluses would have been $600,000,000 larger in boom years and they could have adequately funded the emergency fund.

The rates are fine. The fact not everyone has to pay them because they can lobby their way into lower rates is the problem.

[Brett]

Don't forget Wal-Mart. I imagine it is the largest, non-government employer in the state.

[Just the facts]

Don't forget Wal-Mart. I imagine it is the largest, non-government employer in the state.

Not sure about now, but as recently as few years ago Walmart was the largest employer in 36 states.

[Swake]

Not sure about now, but as recently as few years ago Walmart was the largest employer in 36 states.

Wal-Mart is the largest private employer in the United States and the entire World.

Millions on employees mostly on welfare wages.