Oklahoma Senator James Lankford recently discussed the recently passed “Big, Beautiful Bill,” highlighting its significant impact on Oklahomans, particularly the state’s agricultural producers and businesses. In an interview with Farm Director KC Sheperd, Senator Lankford clarified key components of the extensive 940-page legislation, which he noted was a “struggle” due to its broad scope.
Crucial Farm Bill Updates Included
Senator Lankford emphasized that a substantial portion of the long-overdue Farm Bill was unexpectedly included as the very first chapter of this new, omnibus legislation. “Hardly anybody talked about, but me, the first chapter of it is most of the Farm Bill was actually included in the one big beautiful bill,” he stated. He specifically noted that critical elements like reference prices, along with many other aspects that “needed to be updated were finally updated.” These long-awaited changes are expected to bring tangible benefits and be “felt pretty quickly” by commodity producers across the state.
Lankford clarified that while this bill represents a “major portion of the farm bill in dealing with all of our commodity prices,” it is not the complete Farm Bill. Aspects related to research entities and other programmatic details, which could not be included in this type of cost- and tax-focused legislation, will still need to be addressed in future Farm Bill negotiations. Despite this, he underscored the significance of finally achieving these updates, which had been a point of contention with Democratic colleagues in the previous session.
Protecting Taxpayers and Businesses
A major win for all Oklahomans, according to Lankford, is the commitment to keeping tax rates the same, preventing a “big tax increase” that was anticipated for January of next year.
For businesses, two specific victories stand out:
- Elimination of the Intangible Drilling Cost Tax: Senator Lankford successfully fought to remove a specific tax on oil and gas producers, ensuring they are “treated the same as every other business” in manufacturing.
- Permanent Full Expensing: This crucial change allows businesses to immediately write off the full expense of large equipment purchases, such as tractors and trucks, in the year of purchase, rather than depreciating them over several years. “That really changes a lot for a lot of businesses,” Lankford explained.
Addressing Misconceptions: SNAP, Medicaid, and More
Senator Lankford also took the opportunity to dispel common misconceptions circulating about the bill:
- “All About Billionaires” is False: He clarified that the bill maintains current tax rates across all income brackets, preventing scheduled increases for everyone, not just the wealthy.
- SNAP (Food Stamps) Not Cut: Contrary to rumors, the SNAP program will continue to increase with inflation and will spend more next year than this year. The bill introduces a new requirement for states with an error rate higher than 6% in administering the program to contribute 5-15% of the cost. This aims to reduce fraud and waste, ensuring “only the people who qualify for the SNAP program” receive benefits.
- Medicaid Changes Explained: Two changes were made to Medicaid:
- A work requirement was added for “able-bodied adults with no children,” mirroring similar requirements in the SNAP program.
- States are now challenged to fully pay their required portion of Medicaid costs, preventing them from shifting more financial burden onto the federal government. Lankford stressed this is about fairness and fiscal responsibility.
- No Tax on Tips and Overtime: The bill includes provisions to eliminate taxes on tips, a significant benefit for service industry workers like waiters, waitresses, and rideshare drivers. Additionally, there will be no tax on overtime pay, directly benefiting first responders and law enforcement.
- Social Security Benefit for Working Seniors: A substantial change increases the standard deduction for working seniors, meaning they will not have to pay taxes on their Social Security benefits simply because they are still employed. This is aimed at protecting a “vulnerable” segment of society.
Looking Ahead: The “Rest of the Farm Bill” and Immigration
While celebrating the passage of this comprehensive bill, Senator Lankford noted that “the rest of the Farm Bill” still needs to be addressed. He referred to this as “the rest of the Farm Bill” that “still needs to be done that hopefully we can get done this fall.” He highlighted the aggressive efforts of Senator John Boozman of Arkansas, the lead chairman of agriculture in the Senate, and his staff to complete this remaining legislation.
Regarding immigration, Lankford stated that comprehensive H2A reform is unlikely this year. He believes the President’s primary focus remains on border security. Once the border is deemed secure and legal challenges are resolved, Lankford anticipates the administration will then turn to other immigration reforms, potentially addressing DACA and visa programs in the third year of his presidency.
A Tribute to Bob Funk Sr.
Senator Lankford also spoke about the profound loss of Bob Funk Sr. of Express, praising him as an “incredible” leader who set a “top of the bar” standard for Express Ranch and contributed immensely to the Youth Expo, Boy Scouts, faith-based organizations, and the broader farming and ranching community. He acknowledged the deep grief felt by Funk’s family, staff, and the entire state due to this “big loss.”
Ongoing Legislative Efforts
The Senator concluded by mentioning recent legislative activity, including a “rescission bill” that set aside approximately $8 billion in foreign aid. He also clarified that recent discussions about PBS and NPR funding did not result in their shutdown, but rather a reduction of 10% from NPR and 15% from PBS, aimed at saving taxpayer dollars while encouraging more sponsorships. Lankford emphasized the ongoing legislative work and the daily effort to address critical issues.
