Oklahoma’s longest-serving Speaker of the House who is now running for Governor of the State of Oklahoma was scheduled to address the Mc-Clain County Republicans on Monday, April 20. Speaker Charles McCall stopped by the Newcastle Pacer earlier in the day for an interview.
McCall said he is different than the other eight gubernatorial candidates because he is the only one who has a record of proven positive outcomes.
“I was in the legislature for 12 years, eight of those as Speaker of the House. During that time, I saw the worst,” McCall said. “I inherited the worst economy in state’s history. We turned it around, and then we changed policies in the state. We moved from the worst to the best. I had no reserves when I came in the speaker’s office. When I left, we had $5 billion in savings, the state had lower taxes on people. And, we did a lot to catch up educationwiththreeteacherpay raises and new dollars into education.”
McCall, a banker from Atoka whose bank branches now span from north of there to northern Texas, is a fifth-generation Oklahoman. He said his family has deep roots in faith, family and rural values. McCall said under his steady, conservative leadership, the State not only went from budget shortfalls to record surpluses, but also from government dysfunction to national recognition for economic strength and fiscal stability.
He said he is now running for governor utilizing his leadership, conservative values and commitment to results to make Oklahoma strong. Much of the success he attributes to moving thestatetaxstructuretomoreof a consumption-based system.
“We lowered the personal income tax, and the corporate income tax. We eliminated the franchise for business. We eliminated the grocery tax, and also the marriage penalty,” McCall said. “And what happened was we started changing those things up, and then our economy changed.”
McCall said the State in 2017 was producing in 2017 available revenues for appropriation to the budget of $6 billion. He said by 2024 when he left office, the available revenues for appropriation to the budget were $18.2 billion dollars.
“And that’s with lower taxation on the people of the state,” McCall said. “And we’d returned $2,000 to every Oklahoma family every year, going forward, and we still were setting revenue records. That is because we found a better recipe, and consumption-based revenue did that.”
With this in mind, McCall wants to cut the state personal income tax to zero. He said it has to be phased out, but there are those who are concerned with the amounts of revenue they produce and making it up. He said every quarter percent cut is $300 million.
“How are you going to make that up?” McCall said. “You don’t lose it. I’ve proven it. Taxes on productivity act and work completely different than the taxes on consumption.”
McCall said those taxes didn’t just go away, but instead were left in the wage earner’s pocket and they would spend it.
“They had extra money and they spent it, and then it came back to the State,” he said. “In fact, it came back to the country, and to the cities, on the sales tax side, and consumption- tax side.”
McCall said the extra money through lower taxation went to education, healthcare, roads and bridges, mental health, and law enforcement.
“If we eliminate it, in our economy, and if it continues to double and triple its output every five years, we don’t have a money problem to address the challenges we have,” he said.
McCall said the other states that have lowered or dropped their personal income taxes are more competitive in the jobs marketplace, or drawing the interest of companies to move to a state.
“This is why we are losing jobs and companies in Oklahoma, it’s the personal income tax,” he said. “If we get rid of the individual income taxes that would make the playing field even better on our side.”
McCall said one possibility would be to exempt the first $20,000 to $30,000 of salary. By doing so, he said this would aid young families in raising a down payment on a home, help offset the costs of insurance, and daycare.
McCall also thinks property taxes are too high. He wants to freeze property taxes and McCall believes his approach, or plan, is the only one that is feasible.
McCall said properties are taxed at either 3%of valuation for homestead properties and 5% for other properties. He said this is the only thing referenced in State Statute. He said the remainder of ad valorem are in the State Constitution, and only the people can take a vote to change it.
What he would like to do as governor is put a moratorium on the 3% and the 5% for a period of three years and “just give everyone a pause — a chance to breathe — allowing wages to catch up with the inflation the expenses everyone has experienced.”
He added that after three years, he would like to make the moratorium permanent for those who are ages 62 and older.
“I just think as you get into that retirement age, you should have certainty,” Mc-Call said.
The gubernatorial candidate said he also believes the State needs “to hit the reset button” with the Indian tribes. McCall said he already has great relationships with the tribes, and believes the State and the tribes can work together to create more synergy and maximum outcomes for the people of the state.
“In the legislature we found ways to partner with them on healthcare, roads and bridges, and education,” McCall said. “We took money and set it aside at the water resources board for a tribal match, and they come in and match it dollar for dollar. That was highly successful.”
He mentioned mutual projects in Sulphur, Tishomingo and Connerville, where municipalities were all having difficulties in their water infrastructure and water security, but a partnership with the Chickasaw Nation helped create solutions.
McCall said his experience places him ahead of the other gubernatorial candidates. He said history repeats itself and if you don’t have someone in the governor’s seat who has seen it before, they are liable to repeat the past mistakes.
“I’m running for governor because I think we have a window of time where we have lots of opportunities,” McCall said. “There are millions of dollars in investments from people who want to come to Oklahoma. People like our values.
“They like the fact that in comparison to other states, our cost of living is low. Our property taxes are low, but our wages are lower here, too. That’s part of the function of cost of living being low. There’s a correlation.”
McCall said he understands that people are feeling pressure because of the rapid escalation of costs, but there are ways to help, as he said he has already mentioned.
He said he also was part of helping when the State eliminated the 4.5% grocery tax. He said by doing so, that helped the people keep money in their pockets.
He said he would also work as governor to curtail the rising utility costs and insurance rates.
McCall is one of nine Republicans who will be on the ballot for the June 16 Primary Election. He goes up against Mike Mazzei, Leisa Mitchell Haynes, Gentner Drummond, Kenneth Sturgell, Jennifer Domenico, Chip Keating, Calup Anthony Taylor, and Jake A. Merrick.
There are three Democrat candidates, and three Independent candidates also seeking the governor’s seat. Democrats are: Cyndi Munson, Arya, and Connie Johnson. Independents who have filed are: Jerry Griffin, Robert E. Brooks, Sr., and Orlando Lynn Bush.
