OKLAHOMA CITY (OBV) — The Oklahoma Incentive Evaluation Commission (IEC) met recently to outline its 2026 evaluation plan, continuing the state’s rotating review of tax incentives and related economic development programs. The IEC was created to produce objective evaluations of Oklahoma’s incentive portfolio and works with an outside consultant to conduct the reviews.
Under the IEC process, the commission approves a multi-year schedule and evaluation criteria early in the year, with background and benchmarking work in the spring and summer, draft evaluations due by Oct. 1, and final reports typically completed later in the year.
“The process of the Incentive Evaluation Commission can be considered a master class in government accountability for taxpayer dollars being put into economic development incentives and is a gold standard for other states to replicate,” Amanda Hall, policy and research director at the State Chamber Research Foundation said. “The IEC reviews the use and impact of each incentive to the state. Then provides recommendations for each incentive, which can be taken up by the legislature.”
Incentives slated for 2026 review
The commission’s 2026 plan includes the following incentives and programs (with the year last evaluated, where applicable):
- Computer Services & Data Processing Tax Exemption (last evaluated: 2023)
- Oklahoma Affordable Housing Tax Credit (2022)
- Construction Materials Tax Exemption (2023)
- Credit for Investments in Clean-Burning or Electric Vehicle Property (2021)
- Ethanol Fuel Retailer Tax Credit (2021)
- Tax Deduction for Eligible Investors (new)
- Capital Gain Deduction (2022)
- Public Private Partnership (P3) Pooled Finance (2023)
- Business Expansion Incentive Program (BEIP) (2023)
- Oklahoma Innovation Expansion Program (OIEP) (2023)
- Quick Action Closing Fund (2022)
- Strategic Industrial Development Enhancement (SIDE) Act (new)
IEC evaluations typically assess an incentive’s economic and fiscal impact, administrative performance, and whether guardrails are in place to prevent costs from exceeding expectations, culminating in recommendations on whether a program should be retained, reconfigured or repealed.
As 2026 evaluations move forward, the IEC’s consultant is expected to assemble background materials and benchmarking analysis ahead of later-year draft reports and public hearings.
