Governor Fallin issues order to sell underutilized State-owned p - KSWO 7News | Breaking News, Weather and Sports

Governor Fallin issues order to sell underutilized State-owned property

OKLAHOMA CITY, Okla._Governor Mary Fallin has filed an executive order in an attempt to raise revenue to pay for maintenance of State-owned buildings.

Executive Order 2015-48 directs state agencies to immediately review their inventories of State-owned property assets and “dispose of any underutilized property to generate revenue for State government operations, reduce expenditures, and return real property to local tax rolls.” The order also includes undeveloped land, warehouses and residences.

This is not the first time state agencies have sold underutilized property. In July 2015, the Department of Human Services sold the former Laura Dester Center to the City of Tulsa for $955,000. With half of the buildings being underutilized, Oklahoma estimates an annual saving between $50,000 and $63,000 by not paying for maintenance, utilities and landscaping.

“Disposing of underutilized property will reduce costs and ensure our taxpayer dollars are going towards the core government services that Oklahomans rely on,” said Governor Fallin. “That is especially important as we approach what we know will be a tough budget year.”

Selling the properties to private purchasers helps local governments by being placed on tax rolls.

In most cases, money from the sale of the properties goes to the Maintenance of State Buildings Revolving Fund.

Legislation passed in 2013 requires agencies to dispose of underutilized state properties, and $1.5 million has been generated through the sale of six properties since 2013.

The state Office of Management and Enterprise Services will assist state agencies with the disposal of underutilized property assets, according to the executive order.

Wednesday’s Executive Order comes two days after an order to reduce non-mission-critical spending by 10 percent across all state agencies.

Monday’s order, Executive Order 2015-46, says every state agency must provide their respective cabinet secretary with written documentation explain how they will reduce non-mission-critical spending by 10 percent and how the money saved will be reallocated to other needs within the agency. That proposal goes into effect December 1 and is for the remained of fiscal year 2016 and all of fiscal year 2017. The Executive Order also put a hold on non-essential out-of-state travel paid for by the State of Oklahoma.

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