Oklahoma 2026 Regular Session

Oklahoma Senate Bill SB1123

Introduced
2/3/25  

Caption

Municipal taxation; requiring the withholding of municipal collections upon determination the municipality is obstructing enforcement of immigration law. Effective date.

Impact

The bill aims to impact municipalities that may adopt 'sanctuary city' policies that limit cooperation with federal immigration enforcement. By defining 'sanctuary city,' the bill allows the Attorney General to take action against such municipalities, effectively tying their municipal funding to their compliance with federal immigration laws. Should a city be determined to be obstructing enforcement, the Tax Commission will allocate collected funds into a special account and withhold them from the municipality until notified that they have ceased obstructive actions. The bill thus potentially impacts local municipal budgets and governance structures markedly.

Summary

Senate Bill 1123 introduces significant changes to municipal taxation in Oklahoma, particularly regarding the enforcement of immigration laws. This bill amends Section 2702 of the Oklahoma Statutes, enabling the Oklahoma Tax Commission to assess, collect, and enforce municipal taxes under certain conditions. A notable provision is the authority granted to the Attorney General to determine whether a municipality is obstructing federal immigration laws, which could trigger withholding of tax collections from that municipality. This creates a connected framework between local tax administration and federal immigration enforcement, expanding the role of state authorities in municipal matters.

Contention

Opponents of SB1123 argue that the legislation infringes upon local government authority and autonomy, positioning municipalities in a precarious place where their financial viability can be jeopardized by state assessments of their immigration policies. Supporters contend that the bill is necessary to ensure compliance with federal law and to prevent municipalities from becoming non-compliant 'sanctuary cities.' The discussion around the bill highlights a tension between state oversight and local control, raising important questions about the relationship between state taxation powers and local governance.

Companion Bills

OK SB1123

Carry Over Municipal taxation; requiring the withholding of municipal collections upon determination the municipality is obstructing enforcement of immigration law. Effective date.

Previously Filed As

OK SB1123

Municipal taxation; requiring the withholding of municipal collections upon determination the municipality is obstructing enforcement of immigration law. Effective date.

OK SB166

Municipalities; removing prohibition of municipal registration of real property. Effective date.

OK HB1798

Poor persons; municipalities; purchase; one-way bus ticket; effective date.

OK SB1125

Excise tax; authorizing counties and municipalities to levy tax on medical marijuana. Effective date.

OK SB468

County assessors; requiring municipalities in certain counties to submit certain permit to county assessors. Effective date.

OK SB400

Cities and towns; allowing municipalities to declare certain buildings as unoccupied. Effective date.

OK HB1539

Revenue and taxation; individual income tax; rates; brackets; revenue determinations; effective date.

OK SB605

Alcoholic beverage licenses; prohibiting county or municipality from imposing certain requirements. Effective date.

OK SB484

Municipalities; prohibiting approval of certain facility within certain locations. Emergency.

OK HB2185

Children; task; Department of Human Services; Office of Juvenile Affairs; county, municipality, or political subdivision; codification; effective date.

Similar Bills

No similar bills found.