HB 1522, now Act 620, allows newly incorporated municipalities in Arkansas to receive funds from the Municipal Aid Fund, Turnback Funds, and County Sales and Use Tax Revenues. The bill requires that the population of these municipalities - which determines the amount of funds they receive - be calculated by the Arkansas Geographic Information Systems Office using the most recent federal decennial census. This change ensures funding allocations are based on up-to-date census data rather than prior methods. The bill was enacted into law on April 14, 2025, after passing both legislative chambers.
SB 153 amends Arkansas law to require cities to pay retirement benefits for certain city officials from their general funds. It directly affects city attorneys, clerks, treasurers, mayors, deputy clerks, and other officials in cities of all classes. The bill standardizes the payment mechanism by specifying that retirement benefits must be paid monthly from a city's general fund, with minor exceptions for some roles requiring city council approval. This change clarifies funding sources for existing retirement programs without creating new benefits or altering eligibility.
HB 1594 creates a Farmer Sales Tax Identification Card that allows eligible farmers to claim sales tax exemptions when purchasing goods for farming. To qualify, farmers must prove they operate a commercial farm (via tax documents or a business plan) and meet resource requirements. Sellers who accept the card in good faith are protected from sales tax liability for those purchases. The card expires after 8 years and requires a $20 fee for new applications or $10 for renewals, with fees funding administration.
This bill (SB 88, now Act 610) is an appropriations measure that increases funding for Arkansas' Division of Higher Education for the 2025-2026 fiscal year. It raises the total appropriation from $68.55 million to $71.55 million by adding $3 million, including $5.5 million specifically for the new "Arkansas Heroes Scholarship" program. The bill directly affects public universities and colleges in Arkansas by increasing available funding for scholarships and grants. Key changes include replacing a $1.4 million allocation with $4.4 million for general scholarships and adding the new Heroes Scholarship line item. The bill modifies existing budget allocations without changing eligibility rules or creating new programs beyond the named scholarship.
SB 361 creates a legal framework for Arkansas counties and municipalities to establish Industrial Development Authorities (IDAs). These IDAs are public entities designed to secure new industry, foster economic development, and attract business investments within local communities. The bill outlines how local governments can form IDAs through ordinances or orders, establish governing boards (with membership based on population), and operate as separate corporate entities. It directly affects local governments and businesses seeking economic development opportunities by providing a standardized process for creating these authorities. The law does not make specific economic decisions but enables local entities to pursue development projects using tools like bond financing.
SB 348 increases the annual spending limit for diagnostic laboratory services under Arkansas Medicaid. It raises the standard cap from $500 to $1,800 per year for beneficiaries with chronic pain or pain management, while keeping the cap at $500 for other diagnostic lab services (excluding radiology, which remains at $500). The bill declares an emergency, citing that current low caps contribute to inadequate monitoring of medication use, potentially worsening opioid misuse and increasing emergency room visits. The changes aim to improve patient care by allowing more comprehensive testing for Medicaid patients managing chronic pain.
SB 510 allows Arkansas municipalities, counties, the state, and federally recognized tribal nations to enter agreements enabling law enforcement from all these entities to enforce laws on tribal lands within Arkansas. It directly affects tribal nations with federally recognized land in the state and their local, county, state, and tribal law enforcement agencies. The key provision creates a legal framework for cross-deputization, meaning officers from one jurisdiction can temporarily exercise authority under agreements to enforce tribal, state, and local laws on tribal lands. This bill establishes a formal process for collaboration but does not change existing jurisdictional boundaries or require specific tribes to participate.
SB 421 authorizes the Arkansas Natural Resources Commission to issue up to $500 million in state bonds for water, waste disposal, pollution control, drainage, irrigation, flood control, and wetlands projects. It directly affects local entities like counties, water districts, and municipalities by enabling them to access funding for infrastructure development. Key provisions include a $165 million cap for irrigation projects and a requirement for voter approval via the 2026 general election. The bonds can be issued in series without legislative approval, with annual limits of $60 million for irrigation projects during odd-numbered years.
This Arkansas bill (SB 564, now Act 596) changes the legal definition of "beer" to allow up to 10% alcohol by weight (previously capped at 5%) and explicitly includes malt beverages within this definition. It updates all relevant sections of Arkansas law to reflect this higher alcohol limit for beer and malt beverages, while maintaining separate 5% limits for "light wine." The bill directly affects brewers producing higher-alcohol malt beverages, retailers selling them, and regulators enforcing alcohol content rules. These changes streamline regulations for craft brewers and similar products without altering tax rates or local sales restrictions.
HB 1802 creates a state-funded Talent Recruitment Grant Program to incentivize individuals to relocate to Arkansas. The program provides grants to municipalities and qualifying nonprofits (e.g., for economic development) to offer relocation incentives to individuals who either hold remote jobs paying at least $55,000 annually or accept full-time in-state employment. Grants up to $500,000 per applicant require recipients to cover 20% of program costs and meet 50% of their target relocation goals before receiving final payment. Recipients must report quarterly on participant income, tax impacts, and economic outcomes to ensure accountability.
SB 407 repeals the Arkansas Catfish Processor Fair Practices Act of 1987, which previously regulated payment practices for catfish processors. This repeal removes requirements that larger processors (those buying over $50,000 annually from producers) must register with the Agriculture Department, pay producers within 14 days, and face penalties for late payments or bad checks. The law directly affected catfish processors and producers by establishing payment timelines and enforcement mechanisms. With this repeal, the state eliminates these specific regulatory obligations for the catfish industry.
HB 1736 amends Arkansas' implementation of the Uniform Commercial Code (Article 9) to invalidate certain contractual restrictions on security interest assignments. It specifically makes terms that prohibit or restrict the assignment of accounts, chattel paper, promissory notes, or security interests - such as clauses requiring debtor consent or triggering defaults - unenforceable if they impair security interest enforcement. This affects creditors (like lenders) and debtors in commercial transactions involving these assets, ensuring security interests can be freely transferred without violating existing contracts. The bill is now Act 603 and aligns Arkansas law with the Uniform Commercial Code's standard for enforceable security interests.
