CPAs mixed on future of state jobs, economy

Rising fuel prices, health care costs and "brain drain" caused by Oklahoma graduates leaving the state top the list of economic growth inhibitors, according to a poll of certified public accountants throughout the state.

The 2008 Oklahoma Economic Outlook Poll, conducted among members of the Oklahoma Society of CPAs, found CPAs were more pessimistic answering some questions. Still, many accountants also saw bright spots.

Nearly half -- 46.7 percent -- said they believed the job market in Oklahoma will experience some expansion.

Also, 43.5 percent said there would be little change, and 8.3 percent predict fewer jobs for Oklahomans next year.

Of those surveyed, 58.7 percent of respondents said they were "op timistic" for the future of their organizations, compared with more than 60 percent from last year.

Only 17.4 percent said they were "very optimistic," compared with more than 21 percent from last year.

Less than 38 percent said they feel the economy in Oklahoma would improve, a drop of more than 15 percent from last year.

Additionally, 17.5 percent said the state's economy would get "worse" or "much worse," compared with 10.9 percent from last year.

According to the survey, 43.7 percent predicted no economic changes next year, up from 35.2 percent the year before.

Among the survey's other key findings, the economy and education were seen as the most important issues facing Oklahomans.

When asked to rank factors contributing to stagnant economic growth, 40.9 percent of respondents ranked rising fuel prices. An additional 30 percent ranked health care costs as the most significant inhibi tor.

More than half of the respondents expect health care costs to increase at least 10 percent.

Moreover, 67 percent of CPAs surveyed said they believe employers are "likely" or "somewhat likely" to begin eliminating health coverage for employees in the near future.

Approximately one third of respondents indicated increased concern for foreign competition and trade issues. Tort reform and the state's recently passed immigration bill also were mentioned as economic deterrents.

Kent Garrett, a CPA and staff accountant with SemGroup LP in Tulsa, was among those surveyed. Although he felt the business climate in Oklahoma was declining and the state's economy was worse than last year, Garrett said Oklahoma's economy would be unchanged in 2008, according to the OSCPA's release.

"Anecdotal and nonscientific polling of my friends and family indicate that most are concerned about many issues, but in general, (they think) purchasing power is diminishing when looking at food, energy, housing and almost ev erything else," said Garrett in a written statement.

Paula Hayes, a CPA with Van Wieren & Jones Inc. in Oklahoma City, also believes the state's economy will remain unchanged next year.

"The greatest growth seems to be in non-essential areas such as entertainment and gambling. Real growth in business comes from those sectors providing long-term benefits that people will continue to need, regardless of circumstance," she said in the written statement.

Laurie Winslow 581-8466 laurie.winslow@tulsaworld.com