The state government pays for services that benefit all Oklahomans. This section describes spending by the state government of Oklahoma. State spending is divided into several major types. State agencies combine funding streams and sources to finance their programs.

The three main sources of funding for government operations are state appropriations, federal funds, and revolving funds, which include fees, dedicated financing, and other agency-generated funding.  

• Appropriations are annual authority from the Legislature to spend an amount of money for a particular purpose. Appropriations get the most attention from the Governor and Legislature and from interest groups, the media, and other observers at the Capitol, because they represent spending we can control. In FY 2011, total state appropriations are approximately $6.7 billion, including federal stimulus and Rainy Day Fund dollars that the Legislature has authorized agencies to spend to support basic services.
• Federal funds are grants given by the federal government to support specific state services. Most require the state to share in funding of these services and all limit how the money may be used.
• Revolving funds receive fees and other revenue collected by state agencies. They use these funds to support activities of the agencies. Revolving funds normally are not appropriated and agency spending of these funds is in addition to spending of appropriated and federal funds.

Appropriations make up less than half the state's total spending. Appropriations are the most important funding source in government because our elected officials have choices about how to use them. Most appropriated revenue sources may be used for any legal purpose of the state, though some funds are limited to specific purposes.

Appropriations, however, are only part of the total spending picture (39 percent of all spending in FY '08) for the state of Oklahoma. Federal and revolving funds usually are not appropriated because their use is restricted for specific purposes. In some agencies, nearly all the funding comes from appropriations while, in many others, appropriations make up less than half the total spending of the agency. Many agencies receive no appropriations at all; they are funded entirely by federal and revolving funds. The larger unappropriated agencies are discussed in the sections that describe spending in each major service area.

• State Spending and Services
• Appropriations by Agency
• Appropriations History

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