Newell, Treat: Expand Federal Fund Transparency
Oklahoma senator, rep: It’s time to expand transparency involving federal funds
BY STATE REP. TOM NEWELL, AND STATE SEN. GREG TREAT
It’s no secret that the federal government’s debt is now more than $18 trillion. A bipartisan chorus of policymakers and policy analysts agrees that the current spending patterns of the federal government are unsustainable.
One of the significant drivers in federal debt has been the acceptance and expense of federal funds by state agencies.
According to the state’s Comprehensive Annual Financial Report (CAFR) prepared by the Oklahoma Office of Management and Enterprise Services, total federal funds used by state agencies in Oklahoma has risen dramatically. Just 10 years ago, in fiscal year 2004, federal funds totaled $4.3 billion. Now federal funds total $6.7 billion, meaning our dependence on federal spending is growing, not decreasing. This growth of 56 percent exceeds income growth in Oklahoma, inflation growth, and the growth of other benchmark economic indicators. We’re more reliant on federal funds despite the fact that in FY 2014, the state set a record for total state tax collections and fees.
Unfortunately, the use of federal funds by state agencies historically has not been very transparent. While Oklahomans can wade through the state’s CAFR to find the combined total amount of federal funds for all state agencies, additional and relevant detail isn’t easily available to the public or even policymakers on state government transparency websites.