Jobs act changes could benefit team
Jobs act changes could benefit team

By John Estus and Paul Monies

Published: March 26, 2008

Gov. Brad Henry supports offering state tax breaks to the Sonics if the team locates here.

Henry told members of the NBA's relocation committee Tuesday that he would approve revisions to the state's Quality Jobs Act that would give the Sonics or other major league sports teams cash payments in exchange for creating jobs in the state.

NBA Commissioner David Stern called Henry's pitch "forceful” and impressive.

"If another major employer was considering Oklahoma as a location for its national headquarters, we would be following the same course of action and trying to entice them with some form of incentive package,” Henry said in a statement.

The Sonics have lobbied for the tax rebates and need changes to the Quality Jobs Act in order to receive them.

Henry and the authors of the proposed changes, co-Senate leader Glenn Coffee, R-Oklahoma City, and House Speaker Chris Benge, R-Tulsa, said discussions are still preliminary.

"If Oklahoma City is ultimately successful in landing an NBA franchise, it will be great for the entire state of Oklahoma, not just the metro area. For that reason, I think it is appropriate for the state to be involved in the effort,” Henry said.

The Quality Jobs program started in 1993 as a way for the state to better compete for manufacturing jobs.

Bennett said the team didn't ask for a direct appropriation from the Legislature, and instead opted for the changes to Quality Jobs.

Coffee acknowledged that pro sports-specific changes to the act could be a tough sell to legislators from outside the Oklahoma City area whose constituents wouldn't reap the immediate benefits from an NBA team.

He challenged critics to realize that in the past, the act has benefited diverse industries statewide, including agriculture.

"As we grow different sectors in different parts of the state, all of Oklahoma benefits,” Coffee said.

The changes under discussion are designed for major league teams. Minor league teams such as the Oklahoma City Blazers or Tulsa Drillers wouldn't be eligible for rebates, Coffee said.

Roy Williams, president of the Greater Oklahoma City Chamber, said the Legislature has modified the focus of the Quality Jobs program to keep up with changes in the economy.

"When Quality Jobs was originally created, it was very narrowly defined in manufacturing,” he said.

Williams said up to 200 jobs related to an NBA team could be created in Oklahoma City if the Sonics relocate. Those types of jobs would be the equivalent of a corporate headquarters in terms of economic impact to the state, he said.

Natalie Shirley, the state's secretary of commerce and tourism, said her department will administer whatever changes are approved to Quality Jobs. The Commerce Department isn't involved in the political negotiations taking place at the Capitol, she said.

"It's a program that is revenue-neutral,” Shirley said of the current program. "It doesn't take money out of coffers that isn't in there; by that, I mean it's revenue-neutral. Number two, if you don't perform, you don't get it. In that sense, Quality Jobs is one of the best-conceived and most flexible incentives out there, and Oklahoma has been able to attract significant quality jobs to this state.”

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