Bill Restoring Aerospace Engineering Tax Incentives Passes Committee
-
February 24, 2011
Bills Restoring Engineering Tax Incentives Pass First Committee Hurdles in House and Senate
The State Chamber of Oklahoma recently formed its first aerospace committee with a purpose to take a statewide leadership role in the protection and growth of the aerospace industry in Oklahoma. We want to be your resource for up-to-date information regarding legislation that will affect the aerospace industry by sending occasional updates and action alerts. If you would like to opt out of these updates, click here.
House Bill 1008, by Representative Skye McNiel, passed the House Revenue and Taxation Committee today by a vote of 8-1. The bill will now move to the full House of Representatives for consideration. An almost identical bill, Senate Bill 3 by Senator Mike Mazzei, has already cleared the Senate Finance Committee and is set for a vote in the full Senate in the coming days. Look for an action alert on this bill next week, which will encourage you to contact your state Senator and urge them to support this legislation.
Both bills remove the aerospace incentives from the list of credits on moratorium as of July 1 this year. The legislation is needed to encourage growth within the Oklahoma aerospace sector, which is currently one of Oklahoma’s top three economic engines.
The tax credits were created in legislation passed in 2008 and aim to help encourage Oklahoma companies to hire aerospace engineers and also incentivize engineers to move to Oklahoma from other states. The credits allow aerospace engineers to receive some tuition reimbursement if they come to work for a company in Oklahoma within one year of graduation. The law also grants a tax credit to an aerospace company for compensation paid to a qualified employee.
For more information about these bills, the aerospace industry in Oklahoma and some of the supporters of the legislation, click here.
Steve Hendrickson, director of government operations for The Boeing Company, is serving as the chairman of The State Chamber’s Aerospace Committee. He recently appeared before the Senate Finance Committee in support of SB 3, saying “the Oklahoma Aerospace Engineering Tax Credit was one of the key elements contributing to the business case analysis that resulted in our decision to relocate 550 positions to Oklahoma City. This program is unique in the country, giving Oklahoma a distinct competitive advantage. Restoration of this tax credit will positively influence ongoing business case analyses to find best value approaches to address our customers’ requirements.”
For more information about The State Chamber and how you can get involved, click here. If you are a member and would like to be a part of The State Chamber’s Aerospace Committee, contact Lindsey Sparks.
