Communications Division
State Capitol
Oklahoma City, Oklahoma 73105

For Immediate Release: May 23, 2003

Audio Clip

Senator Monson discusses the impact of the
federal economic stimulus package on Oklahoma.

Senator Monson Says Federal Economic Recovery Plan Will Soften Oklahoma’s Budget Shortfall

The Federal economic stimulus package just approved by Congress is now awaiting President Bush’s signature. The proposal includes $20 billion for state governments across the nation.

The package is critical to Oklahoma and other states facing huge budget shortfalls, said Senator Angela Monson, President of the National Conference of State Legislatures. The $20 billion state aid plan earmarks $10 billion for Medicaid and $10 billion for states to use at their discretion. Oklahoma’s total share of that package is estimated to be approximately $216 million.

“The National Conference of State Legislatures has always said that any successful economic recovery plan must recognize the importance of states in economic recovery. That’s what this agreement does,” explained Monson, D-OKC.

Senator Monson said Oklahoma’s budget shortfall, which is nearly $700 million, is only part of a bigger economic picture.

“Nationwide, states are facing a collective $53.5 billion budget gap for fiscal year 2004. This is due to a national economic downturn that was dramatically worsened as a direct result of the terrorist attacks of September 11th,” explained Monson. “The situation was worsened by corporate failures such as Enron.”

The shortfalls have forced many state legislatures to consider cost-cutting measures such as layoffs, across-the-board cuts and other measures that would ultimately hamper economic recovery efforts.

“Like the federal government, states are dedicated to getting the nation’s economy back on track. We stand ready to work with Congress, the Bush administration and the private sector to do our share to achieve this goal,” said Monson.

“In the meantime, these funds can help keep many, many Americans, including citizens right here in Oklahoma, from losing vital services such as medical care and hopefully help soften the impact of other cuts that could prove devastating to the public.”

For more information, contact:
Senate Communications Division - (405) 521-5774