By Constitution Staff

Initiative 446 was filed with the Secretary of State on October 27, 2023 and assigned as State Question 832. The Raise the Wage Oklahoma organization represented by petitioners Kelsey Cobbs and Dustin Phelan, would gradually increase the state minimum wage, which is currently $7.25 an hour. The measure would increase the wage to $9 an hour in 2025, then gradually increase it every year by $1.50 until it reaches $15 an hour in 2029. Beginning in 2030, the wage would increase with the cost of living, as measured by the U.S. Department of Labor’s Consumer Price Index. Oklahoma is one of 20 states that currently maintain the minimum wage at the federally mandated $7.25 an hour.

The proposal seeks to amend Title 40, Section 197.2 of the Oklahoma Statutes. Since it only amends state statutes and doesn’t amend the Oklahoma Constitution, only 92,263 valid signatures are required to place the measure on the ballot. A Constitutional Amendment would require 172,993 signatures. Since it is only an amendment of state statutes and not a constitutional change, it can be amended in the future by the Legislature and the approval of the Governor.

On November 20, The State Chamber of Oklahoma and Oklahoma Farm Bureau filed a challenge in the Oklahoma Supreme Court against the proposal. “What is a major concern to us is the automatic, open-ended increase being linked to a federal government produced index that is based upon cost-of-living rates in cities like New York or San Francisco. Those areas are not reflective of the actual cost of living in Oklahoma,” said Chad Warmington, president and CEO of The State Chamber.

While on the surface, the increase may seem beneficial for low-wage workers, the collaborative effort between The State Chamber of Oklahoma and Oklahoma Farm Bureau seeks to address the complexities and adverse effects on various sectors of the state’s economy. Study after study has demonstrated that when a state or city hikes its minimum wage, the result is fewer employment opportunities, higher costs for consumers, increased business failures, or some combination of those three signs of economic destruction. Worse, those economic effects are typically borne by the very people advocates claim they are trying to help-low-income workers.

The Oklahoma State Supreme Court ruled 6-3 on March 4 that SQ 832 “does not clearly or manifestly violate either the Oklahoma or United States Constitution,” and the petition was “legally sufficient.” In response, Secretary of State Josh Cockroft proceeded set the start of signature gathering as April 8. However, he withdrew the start date due to a renewed legal challenge.

The opponents of the measure filed a petition for rehearing with the Supreme Court on March 25, 2024. The opponents asked the state’s highest court to clarify why it allowed the proposal to proceed. “All we’ve asked from the Oklahoma Supreme Court is that it show its work,” said Ben Lepak, the executive director of the State Chamber Research Foundation.

In a 1995 case, the Oklahoma Supreme Court struck down a state law that required the Oklahoma Labor Commissioner to adopt the prevailing wage as determined by the U.S. Department of Labor. The court held that law violated the non-delegation doctrine of the Oklahoma Constitution because it delegated state power to an administrative arm of the federal government. Opponents of SQ 832 have argued that the same problem exists with SQ 832, which again tries to delegate state power to the U.S. Department of Labor. But, in their recent ruling, the court majority refused to provide a written opinion that explained why this case differs from the 1995 case or if the court is overturning its 1995 opinion.

However, on April 1, the Oklahoma Supreme Court ruled against the renewed challenge. The state high court issued a single page decision saying the motion for a rehearing was denied. The court voted to deny the motion by the same 6-3 majority as its original ruling.

Following the latest ruling, Secretary of State Josh Cockroft set the start of signature gathering as April 16, 2024. All signed petition pamphlets are due on the 90th day, July 14, 2024. Registered Oklahoma voters are eligible to sign the petition, which requires the signees to list their full legal name, date of birth, and address listed on their voter registration file. The submitted signatures will be counted and verified. If a sufficient number of valid signatures are found, it will be up to the Governor to set the election date. Supporters hope to get the measure on the November 5th General Election ballot.