OKLAHOMA CITY (OBV) — Gov. Kevin Stitt signed House Bill 4072 into law, creating the Oklahoma Taxpayer Endowment Trust Fund, a long-term investment vehicle the governor’s office says is intended to help eliminate the state’s income tax over time.
Legislative tracking shows HB 4072 was approved by the governor April 22, with the governor’s office issuing a statement the following day describing the bill as a mechanism to “lock away” $200 million in existing savings so it can grow.
Under a legislative analysis of the committee substitute, the trust fund operates under a lockout period that restricts withdrawals for at least 10 years or until the fund exceeds $1 billion, whichever occurs first. After that threshold, the board may authorize annual distributions of up to 4% of the fund’s five-year average value, with amounts certified for the General Revenue Fund in the following fiscal year.
Stitt framed the fund as part of a broader savings-and-tax strategy, arguing that Oklahoma has built historic reserves and that the state should invest a portion of savings to create a durable revenue stream that supports a longer-term path toward reducing and eventually eliminating the income tax.
House and Senate budget leaders also promoted the trust structure as a way to preserve principal while generating future earnings for core services and targeted investments, positioning the endowment concept as a “long-haul” fiscal tool rather than a near-term budget patch.
