OKLAHOMA CITY -- That rocky state revenue picture you've been hearing about is now causing problems for many cities and towns.

And it's getting worse

While lawmakers address a possible $900 million hole in the state's budget, municipal officials in Norman and Moore continue to wait for the state to pay its share of cleanup costs associated with the 2008 ice storm -- money, officials say, that's been promised, but which, so far, they haven't received.

Currently both communities are owed a total of "several hundred thousand dollars" in reimbursement -- the state's 12.5 percent share of the 2008 ice storm cleanup costs.

"It is a big amount, but we have paid some," said state Emergency Management Director Albert Ashwood. "But right now we have 162 separate projects in the debris cleanup category that we're paying."

Ashwood said when a disaster is declared, the federal government pays 75 percent of the associated cleanup cost, the state covers another 12.5 percent, and the local entity pays the remaining 12.5 percent. The federal government has paid its share of the 2008 ice storm costs, and Oklahoma cities and towns have absorbed their 12.5 percent.

But the remaining 12.5 percent due from the state has yet to be paid.

"We only have 'x'-number of dollars," Ashwood said, "We're trying to pay off everyone who had debris cleanup from last year's storm, but right now we have to wait for the Legislature to appropriate the funds."

In Moore, City Manager Steve Eddy said the city was still waiting for the state's portion of the debris cleanup bill, which totals "about $50,000."

He said state emergency management officials have reviewed the city's records, but said "it would be 30 days or more," until Moore received its share of the funds -- more than 14 months after the storm ended.

"They are always slow," Eddy said, "pending appropriations from the Legislature."

In Norman the state's bill is much bigger.

Anthony Francisco, finance director for the City of Norman, said the state owes Norman $715,446 for debris cleanup from last year's storm.

Francisco said the year-long wait is part of the "ordinary process" cities go through to be reimbursed. "They have to go through a full FEMA (Federal Emergency Management Authority) process," he said. "They have to make sure all the T's are crossed and the I's dotted. So we don't expect the state to pay very quickly."

But federal oversight isn't the only thing causing delays.

Ashwood said the Department of Emergency Management depends on lawmakers to appropriate the funds used to cover those costs. He said the department has requested about $21 million this year to pay cleanup costs.

"In January of 2007, we didn't have any reimbursements due," he said. "Then we had nine presidential declarations during the year, and five more declarations in 2008."

Those disasters amounted to about $40 million "over the course of 18 months," he said.

"It was kind of a large sum to ask for all at once." He said his department received $10 million in 2007 and $15 million in 2008 and "hope" to get the remaining funds this year.

"I fully understand why communities are frustrated," Ashwood said. "There are many communities we are trying to pay off. Many of them hired contractors, as opposed to doing the work in-house. We're trying to take care of the communities who have bills staring them in the face. We want to make sure we take care of the people who are hitting them up for payment."

But this year, that wait could be longer.

On Tuesday, State Treasurer Scott Meacham said the downturn in the U.S. economy "has found its way to Oklahoma." Meacham said the state's General Revenue Fund collections dropped "significantly below prior year collections" and the estimate in the month of January -- about $50 million less.

"It would appear that Oklahoma is increasingly seeing the effects of the nationwide recession," he said "This is the first time in nine months that monthly collections have been lower than both the previous year and the estimate."

And though Meacham predicted the state would be able to finish the fiscal year with "sufficient revenue to meet (its) financial obligations," local lawmakers were more pessimistic.

"It's going to be a rocky budget year," Norman Rep. Bill Nations said. Nations, a Democrat, said the state's budget picture "continues to get worse."

On Thursday, an announcement by the Oklahoma Tax Commission underscored Nation's statement.

Commission officials announced they'd approved an estimate which showed state revenues will be about $300 million less than the budget estimate made in December.

December's estimate predicted a $600 million budget shortfall; this week's announcement pushed that number of $900.

"It's going to be a struggle," Nations said.

Yet, despite the state's financial black hole, municipal leaders remain optimistic they will, eventually, be reimbursed.

"We don't expect the state to pay very quickly," Francisco said. "We're still getting reimbursement from the flood of August 2007. You just kinda know it's going to take a long time."

M. Scott Carter 366-3545 scarter@mooreamerican.com