Gov. Henry Vetoes Budget Bill, Calls for Bipartisan Talks

Press Release

Gov. Brad Henry today used his line-item veto to strike down $6.8 billion in new state spending, saying legislative leaders employed a flawed, closed-door process to craft a flawed budget product that did not represent the best interests of Oklahoma taxpayers.

After announcing his vetoes, the governor called for leaders of each House and Senate caucus to begin immediate budget negotiations with the executive branch.

"I do not use my veto authority lightly, but given the flawed process and the flawed product it created, I had no other choice but to strike down the spending bill to protect taxpayers' best interests," said Gov. Henry.

"I know tempers are short and emotions are running high, but instead of wasting valuable time with tit-for-tat statements and political gotcha games, I would urge all legislative leaders to come together and immediately begin budget negotiations with the executive branch and their fellow lawmakers. I ask legislative leaders to put aside the political rhetoric and look on this as an opportunity to work together in a true bipartisan fashion.

"With everyone at the table this time, I'm certain we can produce a budget that better addresses the needs of Oklahoma."

After reviewing the 148-section bill, Gov. Henry said he determined that the legislation did not do a good enough job of using available revenue to meet state priorities. For example, the governor said prisons and education, including the Oklahoma Teachers Retirement System, did not receive the resources needed to operate efficiently and effectively.

"If I had approved this as the blueprint for the final budget, our prison system would be in danger of coming under federal control and public safety would be jeopardized. Students at our colleges and universities would be facing double-digit tuition hikes, and teachers would once again be left wondering whether their pay would ever reach the regional average as promised or whether they would have a pension when they retired," said the governor.

"That's unacceptable. By working together, I'm convinced we can build a better budget with available revenue."

The governor's vetoes struck down approximately $6.8 billion of new spending in the general appropriations portion of House Bill 1234 and a $1 million supplemental appropriation to the Legislative Services Bureau. The governor did approve approximately $92 million in emergency funds for a variety of state interests including public schools, prisons, career technology centers and college scholarship programs, among other things. Gov. Henry also approved HB 1233, which authorizes a cash transfer to pay for the supplemental appropriations.

"Schools, prisons and other critical need areas are getting the emergency funds they must have to operate. Unfortunately, this legislation does not provide adequate funding for corrections and public safety, so we will have to address their additional emergency needs very quickly," said the governor.

This is not the first time a state chief executive has chosen to veto an omnibus state budget bill early in the legislative session. In 2001, then-Gov. Frank Keating vetoed major portions of a general appropriations bill, citing the same concerns echoed by Gov. Henry today - that a flawed process excluded the governor's office and many lawmakers and produced a substandard budget product.

In 2001, legislative leaders predicted Gov. Keating's veto in late March would lead to a government shutdown, but no such emergency ever materialized. In fact, the governor and legislative leaders successfully worked together to craft a new budget bill in the final two months of session, and the Legislature even adjourned a day early with lawmakers giving the session high marks for its accomplishments.

Gov. Henry believes the same thing can happen this year.

"Predictions of a government shutdown are nonsense, as Gov. Keating and previous legislators have demonstrated in the past. With more than two months left in the legislative session, there is plenty of time to address state priorities and write a budget that addresses the needs of all Oklahoma taxpayers," said the governor.

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